Meltdown Continues at NYC Local 1

The toll of guilty pleas and further investigations continues in the case of Local 1 of the Intl. Union of Elevator Constructors and the construction of the Metro. Transportation Authority’s new headquarters.  A full summary of how Local 1 officials helped the mob defraud the MTA of more than $10 million with phantom workers paid at inflated rates can be read at http://www. nlpc.org/olap/UCU3/05_04_02.htm. 

On Aug. 28, frmr. Local rep. William Barthold was sentenced to 21 mos. in prison and ordered to pay $227,985 in restitution to the MTA.  He pled guilty on Jan. 22 to submitting false time sheets to various contractors on behalf of certain elevator operators, incl. himself.  On Sept. 5, Genovese crime family associate Robert Santoro pled guilty to laundering the proceeds of the inflated no-show payments in exchange for a percentage of the payments.

Now, the frmr. president of Local 1, John G. Green, is under investigation by the U.S. Attny. for the Eastern Dist. of NY after being booted out of office for reportedly embezzling $75,000 and other benefits.  His son-in-law, Terence Carr, is one of more than 30 officials and members of Local 1 who have been charged in the fraud scheme.  Expelled with Green was secy.-treasurer Anthony Orrigo, who reportedly admitted taking extra payments along with Green.  Amazingly, the two actually held a fund-raiser at Moran’s Bar & Grill in Manhattan on Sept. 4 to help them pay back the funds they allegedly stole.  Few people reportedly showed up. [U.S. Ofc. Labor-Mgmt. Standards, 9/10/03: U.S.A.O. E.D. NY, 9/5/03: New York Post, 9/10/03]