On August 30, Michell Clifton, former office manager for International Association of Heat & Frost Insulators and Allied Workers Local 78, pleaded guilty in U.S. District Court for the Northern District of Alabama to one count of embezzling $23,014 in funds from the Irondale (Birmingham area), Ala.-based union. She also agreed to pay full restitution. Clifton had been charged in June with one count of embezzlement, 17 counts of forgery and two counts of making false statements. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On September 15, Coralee Stotler, former employee of International Brotherhood of Teamsters Local 992, was charged in the Circuit Court for Washington County, Maryland with one count of theft in a sum between $1,000 and $10,000. The charge follows an investigation by the Labor Department’s Office of Labor-Management Standards and the Treasury Department’s Inspector General for Tax Administration.
On September 14, Benjamin Stancil, former secretary-treasurer of American Federation of Government Employees Local 451, was sentenced in U.S. District Court for the Eastern District of North Carolina to 120 days of home confinement and three years of probation for wire fraud against the Havelock (near New Bern), N.C.-based union. He also was ordered to pay $13,308 in restitution, a $2,500 fine and a $400 special assessment. Stancil had pleaded guilty in June to four-count information of wire fraud after being charged in February. The actions follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
For 10 years, Robert Smith III stole freely from his union. He now is realizing the meaning of the saying, “Nothing in life is free.” On Friday, October 14, Smith, former business agent and financial secretary of International Longshoremen’s Association Local 970, pleaded guilty in U.S. District Court for the Eastern District of Virginia to one count of mail fraud in connection with his theft of more than $1 million from the Norfolk-based union. He had resigned his post in April following a joint investigation by the FBI and the U.S. Labor Department’s Office of Labor-Management Standards and Office of Inspector General. He faces up to 20 years in prison at sentencing this February.
Port of Virginia, located along Hampton Roads in the southeast coastal portion of the state, is home to four marine terminals – two in Portsmouth and one each in Norfolk and Newport News. The terminals and … Read More ➡
On September 7, John Bickerstaff, former business manager of International Association of Heat and Frost Insulators and Allied Workers Local 133, was charged in U.S. District Court for the District of North Dakota with one count of embezzling $70,659 in funds from the Bismarck union, plus one count each of filing a false financial report and willfully concealing records. The charges follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards.
On September 7, Charles Nelson, former secretary-treasurer of the National Council of Security Police, pleaded guilty in U.S. District Court for the Eastern District of Washington to one count of embezzling more than $140,000 in funds from the Yakima, Wash.-based union federation. Scheduling is set for December. Nelson had been charged in April. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On September 7, Carlton Woodcox, former secretary-treasurer for American Federation of Government Employees Local 2150, pleaded guilty in Dubois County (Indiana) Superior Court to one count of theft in the amount of $30,859 from the Jasper, Ind.-based union. A month later, on October 6, he was sentenced to 360 days of probation, eight days in jail (previously served) and 80 hours of community service. He also was ordered to pay full restitution. Woodcox, 56, a resident of Jasper, had been charged in a two-count information in June with stealing $32,787. Local 2150 represents employees of the U.S. Department of Agriculture’s Food Safety and Inspection Service. The actions follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On August 19, William Winecke, former treasurer of the Soo Line Locomotive and Car Foreman’s Association, was charged in the Dakota County (suburban Minneapolis-St. Paul) District Court with two counts of theft by swindle during August 2011-April 2015 from the Apple Valley, Minn. union in the amount of $41,036. The charge follows an investigation by the Labor Department’s Office of Labor-Management Standards.… Read More ➡
Roberto Gracia Jr. probably wishes right now that he was more attentive to detail. On August 29, Gracia, former president of International Longshoremen’s Association Local 1544, was charged in U.S. District Court for the Southern District of Texas with failing to maintain financial records of the Brownsville-based union. Several years prior to his tenure at that local, he had headed ILA Local 1395, where he also had failed to maintain financial records. Gracia’s inaction caused a combined loss of nearly $30,000. He pleaded guilty immediately thereafter and was sentenced to five years of probation. He already had paid full restitution. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.
International Longshoremen’s Association Local 1544 represents clerks and checkers at the Port of Brownsville. Roberto Gracia, now 63, a resident of Brownsville, headed the union during 2012-13. According to prosecutors, he was less than attentive to … Read More ➡
For several years, Garry Craighead had a sweet deal going. Then the federal government discovered things were going sour. On June 10, Craighead, an Austin-area chiropractor, was sentenced in U.S. District Court for the Western District of Texas to 14 years in prison, plus three years of supervised release, for receiving kickbacks from health care providers in return for steering patients, many of them covered by union-sponsored plans, to the providers. He also was ordered to pay nearly $18 million in restitution to the Department of Labor’s workers compensation program and forfeit certain assets. Craighead had pleaded guilty to the false billing scheme last December following a probe by the FBI, IRS, U.S. Army, U.S. Postal Service and DOL’s Office of Inspector General. The scam ran parallel to another one engineered by an employee of Craighead.
Central to this saga is the Department of Labor’s Federal Employees Compensation Act (FECA), … Read More ➡