Executive Board Settles with Los Angeles Local Boss

On the matter of Ronnie Cunningham, Local 44 of the International Alliance of Theatrical Stage Employees was a house divided.  He was the business agent for the 5,700-member North Hollywood, Calif.-based local, which represents prop makers, decorators, model builders and other employees in film and television set design.  But on March 1 of this year the board voted 16-0 to oust him.  Members alleged that for roughly a decade Cunningham had committed embezzlement, extortion and other offenses.  Yet he had his defenders.  In the face of a possible protracted legal battle, the board decided to cut its losses.


The Los Angeles Times reported that Local 44 had paid Cunningham a $170,000 settlement.  Not every union member is happy.  “A lot of us are very upset about this,” said Charlotte Laughon.  “The decision to pay him before members could make their own Read More ➡

Ex-Treasurer of D.C. Local Sentenced, Forced to Repay

James O. Baxter II, a mastermind of the Washington Teachers Union scheme that ripped off at least $4.6 million from dues-paying members during 1995-2002, learned his fate in federal court on June 5.  And unlike his recently-sentenced partner in crime, former WTU office manager Gwendolyn Hemphill, he didn’t try to cop an insanity plea.  Baxter will have to serve 10 years in prison, to be followed by three years of supervised probation and 900 hours of community service.  He’ll also have to make more than $4.2 million in restitution.  Last August 31, Baxter was found guilty along with Hemphill on 23 separate counts, including embezzlement, conspiracy, mail fraud and money laundering.      


In the meantime, it’s going to take a while for the current union leadership to climb out of the financial hole left by its predecessors.  Its fiscal year 2005 Department of Read More ➡

Whistleblowers at Houston Local Leads to Boss’s Indictment

It took four years, phone threats and sleepless nights, but Harry Bowers III and David McCormick are getting some justice.  The two members of International Brotherhood of Teamsters Local 988 in Houston have learned that the U.S. Attorney’s Office won an indictment against the former head of the union, Charles “Chuck” Crawley, on charges he’d rigged a union election, took a $20,000 kickback, and falsely recorded it in union records.  “We file what we feel are the most serious and the most readily provable offenses,” said Donald DeGabrielle Jr., U.S. Attorney for the Southern District of Texas.     


Back in 2002 Bowers and McCormick went to the FBI with a list of allegations.  The former business agents-organizers told federal investigators they had suspected Crawley and other local members of misappropriating union funds.  These allegations led to an investigation by the FBI, the Teamsters international Read More ➡

Boilermakers Benefit Funds Administrator, Contractor Indicted for Thefts

The leaders of the International Brotherhood of Boilermakers had a feeling the tab for renovation work at their Kansas City, Kansas funds office ran on the high side – way high. Four years earlier they’d sued the wife of the one of the people they’d suspected of embezzlement. Now the federal government wants to know why a rehab job cost around twice what it should have. Early this month Vernon Keith Reed and Richard Michael Taylor were charged in federal court on nine counts each of conspiracy and theft of pension and welfare funds. The IBB, with more than 100,000 members in the U.S. and Canada, is hoping it can recover the funds.

Reed, 62, from 1983 until his ouster in 2001, had served as executive administrator for the union’s three benefit funds. U.S. Attorney Eric Melgren said Reed conspired to allow Taylor to overcharge for the renovation work during Read More ➡

Rift Between Top ILA Officials Could Strengthen Feds’ Case

Bad blood always has run through the top echelons of the International Longshoremen’s Association. But the latest power struggle could wind up sinking its entire leadership. Last summer federal prosecutors filed a civil RICO suit in Brooklyn, N.Y. seeking to oust the longtime leadership of the union, which represents roughly 50,000 workers at three dozen ports along the Atlantic Coast and the Great Lakes. Taking center stage are ILA President John Bowers, Sr., and Vice President Arthur Coffey. They, several other union officials, and certain persons with ties to the Genovese and Gambino crime families are facing a lifetime ban on participating in the affairs of the union or any of its pension, benefit and welfare funds. For some reason, Bowers hasn’t been making himself accessible to Coffey as of late. “He’s staying away from me like I’m poison,” Coffey said of Bowers. “No one takes my phone calls anymore…(I)’ve Read More ➡

Ex-Local President in Virginia Sentenced for Embezzlement

On May 22, Tina Buracker, formerly president of Communications Workers of America Local 82174, was sentenced in U.S. District Court to five years in prison to be followed by five months home detention and three years probation.  She also will have to make $51,554.15 in restitution to the union.  Ms. Buracker pleaded guilty to embezzlement in March.  Local 82174 is based in Shenandoah, Va.  The sentencing follows an investigation by the Labor Department’s Office of Labor-Management Standards.  (OLMS, 6/1/06).  


Former Financial Secretary in New Jersey Indicted for Theft

On May 9, Marie-Elena Clayton, ex-financial secretary for Glass Molders & Plastics Union Local 236A, was indicted in U.S. District Court for the District of New Jersey on one count of embezzlement of $41,126 in union funds, and one count of not turning in union records.  (OLMS, 6/1/06).


Pittsburgh-Area Financial Secretary Indicted for Read More ➡

James Thomas, Nemesis of Jackie Presser, Dies

teamsters-logoEveryone knew that Jackie Presser was a kept man of the Cleveland mob. That’s how he eventually got to the top of the International Brotherhood of Teamsters in 1983. But it took a lot of gumshoe work to get the goods on him. Among those who did the work was James Thomas, known to his colleagues as “Foggy.” Thomas, 66, died May 23 after a long battle with lung cancer. He began his federal career with the IRS, and closed it in 1991 with the Defense Criminal Investigative Service. But it was his work with the Department of Labor during the early- to mid-80s for which he will be best remembered.

Thomas, along with fellow DOL investigator George “Red” Simmons, spent four years probing kickbacks and ghost-employee schemes operated by Presser, often engaging in telescope surveillance. He got plenty of resistance from the FBI, who, though unknown to the public Read More ➡

Longshoremen Officials Seek to Dismiss Civil Racketeering Suit

It might be a longshot bet, but the bosses at the International Longshoremen’s Association think they can beat the rap. Last July the U.S. Attorney’s Office in Brooklyn, N.Y. filed a civil RICO lawsuit against several of the union’s top officials, including its longtime president, John Bowers, calling for their removal from office. In court filings, attorneys for the ILA and joint union-management benefit programs said the lawsuit was filled with generalities and unsupported conclusions, and overlooked the progress in the internal cleanup program that the union instituted a few years ago. “The Waterfront Enterprise it imagines is a largely unascertainable mass of people and businesses with no specified relationship to one another other than being part of the same industry,” said ILA lawyer Howard Goldstein. 

The union is going up against some strong evidence. President Bowers, the 83-page RICO complaint alleges, violated an earlier settlement by “committing and otherwise Read More ➡

Top Aide to Imprisoned Washington, D.C. Local Boss Sentenced

aft-logoGwendolyn Hemphill wasn’t eager about doing time in federal prison.  But it appears the former office manager of the Washington Teachers Union, an affiliate of the American Federation of Teachers, is headed that way, now that her claim of mental illness has fallen by the wayside.  On May 22, Hemphill, 64, received an 11-year sentence for her role in a scheme that embezzled well over $4 million from union coffers, using much of that money to buy luxury goods.  She isn’t likely to keep what merchandise she has left, since she’s been ordered by the court to make restitution.  Though her attorney said she plans to appeal the sentence, such a move should prove yet another exercise in futility.


From 1995 until well into 2002, Hemphill, along with WTU President Barbara Bullock, Treasurer James O. Baxter II and several associates, had stolen and/or laundered at least $4.6 million from the Read More ➡

NLPC Releases Report on Union Corruption, Another on Politics

Full-length studies of union corruption have been rolling off the presses at a rapid pace this year.  First, Robert Fitch came out with Solidarity for Sale (Public Affairs).  Then James B. Jacobs weighed in with Mobsters, Unions, and Feds (NYU Press).  Now the institution that makes possible Union Corruption Update, the National Legal and Policy Center, has unleashed a monograph.  It’s called Union Corruption and the Law:  Toward a Unified Framework for Reform.  Don’t be put off by the word “law.”  In 62 densely-packed 8½ x 11 pages, the author, Phillip B. Wilson, vice president and general counsel of the Oklahoma-based Labor Relations Institute, Inc., makes clear the complexities of prosecuting illegal union behavior to laymen as well as to lawyers. 


Wilson leads off by summarizing four representative cases, breaking down behavior and motives in fine detail to show Read More ➡