Blogs

I recently questioned the existence of a binding "no-strike clause" that the media reported on back when General Motors was making a plea for its taxpayer-funded bailout. The claims were that the UAW could not strike at GM or Chrysler until 2015. UAW Communications Coordinator, Tom Brune, has responded and gave a bit of clarification as to what the so-called no-strike clause actually means.

Kevin Clor's intentions may have been good, but members of the union he represented might not be impressed. Clor, formerly general counsel for New York State Thruway Employees Local 72, was indicted in Manhattan state court on January 25 on charges of embezzling more than $211,000 from the Teamsters-affiliated union, which represents some 2,500 toll collectors and other Thruway employees. Working out of his Buffalo home office, the defendant allegedly used his position to generate phony receipts enabling him to receive funds from two separate union accounts. "Instead of representing their best interests, (Clor) now stands accused of violating their trust and using his position to enrich himself illegally," said District Attorney Cyrus Vance Jr. Clor has pleaded not guilty and is free on $75,000 bail.

Well-respected car guy and General Motors supporter, Bob Lutz, posted a piece on Forbes that attacked "right-wing" criticism of the Chevy Volt. With all due respect and noting that I have nowhere near the credentials of Mr. Lutz, I feel it appropriate to respond to the ridiculous defense that we have seen of a vehicle that is costing taxpayers billions of dollars while offering little in return. I also have some questions of my own for Mr. Lutz and GM.

Last week yet another treasured Obama administration “Green” energy company – electric vehicle battery manufacturer Ener1 – went bankrupt, after having been granted $118 million in stimulus funds in August 2009. But the gift did more than just sustain it and subsidiary EnerDel; the cash enabled the company to bail out what would be its top customer, a Norwegian electric car company that had already been drained of cash on at least three previous occasions.

On November 15, Mary Lynn Otten, former secretary-treasurer of American Federation of Musicians Local 26, was charged in U.S. District Court for the Central District of Illinois with filing false financial information on behalf of the Peoria union. She then pleaded guilty. The charge and guilty plea follow a probe by the Labor Department's Office of Labor-Management Standards.

On November 14, Charles McDaniel, former general chairman of United Transportation Union General Committee of Adjustment 341, was sentenced in U.S. District Court for the Western District of Missouri to five years probation and ordered to pay $68,365.62 in restitution and a $100 special assessment. McDaniel had been charged in April with wire fraud in the theft of $44,889.62 from the St. Joseph, Mo.-based union and another $36.629.29 from Burlington Northern Santa Fe Railroad, pleading guilty immediately afterward. The actions follow a probe by the U.S. Labor Department's Office of Labor-Management Standards.

On November 14, Perry Taylor, former vice president of American Federation of State, County and Municipal Employees Local 1820 in Pontiac, Mich., was sentenced in U.S. District Court for the Eastern District of Michigan to two years probation and ordered to pay $5,897.60 in restitution and a special assessment of $25 for aiding and abetting union financial records fraud. He had pleaded guilty in July. The sentencing follows an investigation by the U.S. Labor Department's Office of Labor-Management Standards.

NLPC Associate Fellow Mark Modica last night discussed the National Highway Traffic Safety Administration (NHTSA) investigation of the Chevy Volt fires with Gerri Willis on the Fox Business Network. Here's a transcript:

Ann Kelly can be thankful she paid back what she took. On November 16, Kelly, formerly secretary-treasurer of American Federation of Government Employees Local 2814, was sentenced in U.S. District Court for the Southern District of Iowa to three years probation and six months home confinement for embezzling $33,296.28 in funds from the Council Bluffs union. She also was ordered to pay a $5,000 fine and a $100 special assessment. The retired federal railroad inspector had pleaded guilty to one count of wire fraud back in August for stealing the money during 2002-07 to pay off credit cards and help family members. Kelly pleaded for leniency, stating that she had paid the money back after dipping into her retirement savings. The sentencing follows a probe by the U.S. Labor Department's Office of Labor-Management Standards.