United Transportation Union (UTU)

Transportation Union Secretary-Treasurer in New Jersey Charged; Pleads Guilty

UTU logoAt least Kevin McKnight didn't pretend to be innocent. McKnight, formerly secretary-treasurer of United Transportation Union Local 1390, was charged in U.S. District Court for the District of New Jersey on November 17 with embezzling about $68,000 in funds from the Laurence Harbor, N.J. (Middlesex County) union, which represents road and yard workers for Norfolk Southern and Conrail. He then pleaded guilty and agreed to make full restitution. McKnight faces up to five years in prison and a $250,000 fine. The charge and guilty plea follow an investigation by the Labor Department's Office of Labor-Management Standards.

Missouri Rail Union Official Sentenced for Wire Fraud

UTU logoOn 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.

Secretary-Treasurer of Pennsylvania Transportation Local Charged

Transit busOn November 9, Derek Klingman, former secretary-treasurer of United Transportation Union Local 1006, was indicted in U.S. District Court for the Southern of Pennsylvania for embezzling $9,354.84 in funds from the Finleyville, Pa. (near Pittsburgh) union. The charge follows a probe by the Labor Department's Office of Labor-Management Standards.

Transportation Union Secretary in Pennsylvania Pleads Guilty

UTU logoOn September 23, Brandon Borders, former secretary-treasurer of United Transportation Union Local 997, pleaded guilty in U.S. District Court for the Middle District of Pennsylvania to embezzling $12,551.16 in funds from the Camp Hill, Pa. union. She had been indicted in July. Sentencing is scheduled for January. The indictment and guilty plea follow a probe by the Labor Department's Office of Labor-Management Standards.

Texas United Transportation Union Secretary-Treasurer, Wife Indicted

On September 7, Vance Valentine, formerly secretary-treasurer of United Transportation Union Local 524 in Willis, Tex. (north of Houston), was indicted in U.S. District Court for the Southern District of Texas on one count of conspiracy and four counts of embezzlement of union assets of an unspecified sum. His wife, Sheila, that day also was indicted for embezzling union assets by writing unauthorized checks, making unauthorized debit card purchases and making unauthorized cash withdrawals. The indictments follow an investigation by the U.S. Labor Department's Office of Labor-Management Standards.

FBI Arrests 11 in Probe of Massive LIRR Disability Scam

doctor bribery photoThey might not have been Oscar-worthy performances. But the acting job by hundreds of Long Island Rail Road (LIRR) employees and their enablers was convincing enough to run a racket that could wind up costing U.S. taxpayers $1 billion or more. On October 27, FBI and New York State agents arrested 11 persons for operating a scheme by which retired workers at the heavily unionized LIRR allegedly visited doctors who would prepare phony medical histories, allowing retirees to receive outsized pension and "disability" checks, courtesy of the U.S. Railroad Retirement Board. One arrestee, in fact, was a former union president. The investigation was triggered by revelations a few years ago of unusually high rates of disability claims and awards. "This was a game where every retiree was a winner," said FBI New York bureau head Janice Fedarcyk.

New Jersey Transportation Union President Pleads Guilty

Commuter busOn July 13, Jose Rivera, former president and secretary-treasurer of United Transportation Union Local 710, pleaded guilty in U.S. District Court for the District of New Jersey to receiving unauthorized loans from the union in excess of $2,000. The local represents Coach USA bus drivers in Newark, Elizabeth and Orange, N.J. The guilty plea follows a probe by the Labor Department's Office of Labor-Management Standards.

Transportation Workers Secretary-Treasurer in Pennsylvania Indicted

RailroadOn July 11, Brandon Borders, formerly secretary-treasurer of United Transportation Union Local 997, was indicted in U.S. District Court for the Middle District of Pennsylvania for embezzling $12,551.16 from the Camp Hill, Pa.-based union. Borders, 47, a resident of Harrisburg, allegedly stole the funds from late 2005 to August 2009. The local represents Norfolk Southern railroad employees. The charge follows an investigation by the Labor Department's Office of Labor-Management Standards.

Rail Union Official in Missouri Charged with $80K+ Theft

Passenger trainOn April 12, Charles McDaniel, former general chairman of United Transportation Union General Committee of Adjustment 341, was charged in U.S. District Court for the Western District of Missouri with wire fraud in the theft of $44,889.62 from the union and another $36,629.29 from Burlington Northern Santa Fe Railroad. The charge follows a probe by the U.S. Labor Department's Office of Labor-Management Standards.

Central Illinois Transportation Union Local Secretary Sentenced

Passenger trainOn February 4, Kevin Hunt, former secretary-treasurer for United Transportation Union Local 198 in Peoria, was sentenced in U.S. District Court for the Central District of Illinois to one year of probation and was ordered to pay a $500 fine and a $25 assessment for filing false information in an annual financial report. He pled guilty in October. The guilty plea and sentencing follow a probe by the U.S. Labor Department's Office of Labor-Management Standards.

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