Convoluted Corruption War Rages in Texas

A convoluted corruption case revolving around American Federation of Government Employees offical Joe Palazzolo may have entered its final stage on Jul. 27 at a Federal Labor Relations Authority hearing in Forth Worth, TX to determine if Palazzolo is eligible to continue holding his 2 union jobs, which he holds simultaneously, representing General Services Administration employees in an 11-state region. The probe has the attention of federal investigators in Dallas, Denver and Washington, as well as top AFGE union bosses. A decision is expected in Sept.

The case which has seen Palazzolo removed from and subsequently returned to office earlier this year began in Mar. 1997. A union mailbox has been seized; a union office has been locked-out; and several counter lawsuits have been filed — 2 by Palazzolo. Palazzolo has been forced into an extended leave from his GSA job and has been threatened with disciplinary action from GSA … Read More ➡

AFSCME Conspiracy in Massachusetts

According to the U.S. Attorney’s Office, minutes before his trial on Jul. 27, Am. Fed. of State, County & Municipal Employees member Abraham Aly, in-house architect of Newton, MA, pled guilty to 9 counts of bribery, 5 counts of mail fraud, 3 counts of embezzlement and 1 count of conspiracy. U.S. Attorney Donald K. Stern stated, “Newton was bilked by Aly for construction…work at 2 high schools, 2 elementary schools and at City Hall itself. This was done so that the defendant could pocket cash kickbacks and put a new roof on his own house. The losers were the taxpayers of the City of Newton and the public trust.” Aly admitted that during 1993-95 he used his position to extract personal favors and cash from a vendor. The vendor overbilled the city about $50,000 and kicked-back about $25,000, in cash, to Aly. Payments were typically made at job sites and … Read More ➡

Money-Laundering Scandal Briefs

  • Aug. 4: U.S. Attorney Mary Jo White told the U.S. District Court in Manhattan that Congress allowed the Justice Department to spend $4 million of the $8.4 million estimated cost on the rerun election. [BNA 08/05/98]
  • Aug. 3: Teamsters presidential candidate and Carey supporter, Tom Leedham accused Rep. Peter Hoekstra (R-MI) of using his Congressional investigation into the Teamsters scandal to aid rival candidate James P. Hoffa. Hoekstra’s spokesman said it was “ridiculous.” [BNA 08/04/98]
  • Jul. 27: Ron Carey, who was elected in 1991 with a motto “no corruption, no excuses, no exceptions,” was permanently expelled from the union almost a year after revelations of his 1996 campaign’s schemes that funneled over $538,000. The court-appointed Independent Review Board also expelled disgraced Teamsters political director William W. Hamilton who has been indicted for his role in the scandal. [Wash. Times 07/28/98]
  • Jul. 24: Teamsters Vice President Aaron Belk’s
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Strike-Happy CWA in 35 States?

If the Communications Workers of America has its way, it may disconnect America in Aug. as strikes near at 3 regional telephone giants. On Aug. 3, CWA members authorized strikes at BellSouth and US West, and CWA’s board authorized a strike against Bell Atlantic. CWA President Morton Bahr smugly proclaimed, “We have serious problems, much negotiating to do and very little time to go.” Contracts expire at Bell Atlantic and BellSouth on Aug. 8 and US West on Aug. 15. If CWA doesn’t compromise: 73,000 workers at Bell Atlantic in DE, ME, MD, MA, NH, NJ, NY, PA, RI, VT, VA, WV & DC; 48,000 at BellSouth in AL, FL, GA, KY, LA, MS, NC, SC & TN; and 36,000 at US West in AZ, CO, ID, IA, MN, MT, NE, NM, ND, OR, SD, UT, WA & WY will be on strike.

Boss Doctors Union’s Books
Louis DiFiore, the … Read More ➡

Top Cranston Officials’ Trial Set

On Aug. 4, nine months after two union members of the National Association of Government Employees Local 198 in Rhode Island were indicted on racketeering and bribery charges and suspended from Cranston city jobs, City Treasurer Kathleen DeLuca and her husband, Raymond, director of the city’s computer services had their criminal trial date set for Nov. 16. According to the Attorney General, the DeLucas are accused of accepting $188,771 in kickbacks in return for securing about $564,000 in city computer contracts for a company. The DeLuca case was another black eye for Mayor Michael A. Traficante’s administration that has been rocked by the kickback-and-bribery convictions of a Public Works Director and a Parks and Recreation Director. Traficante, who is not seeking reelection this year after 14 years in office, pleaded guilty himself in 1994 to nine campaign-finance misdemeanors. [Providence Journal-Bulletin 08/04/98 & 08/05/98]

Teamsters Cited for Illegal Dues CollectionRead More ➡

Militants Overrun University of Wisconsin Bookstore

On Jul. 31, about 150 militant Union of Needletrades, Industrial & Textile Employees members raided the University of Wisconsin Bookstore claiming the clothing in the store was produced in “sweatshops.” UNITE protesters ripped open the doors and began marching into the store, chanting and shaking cans filled with pieces of metal as employees and patrons watched with “amazement and dismay.” At each level of the store, a contingent peeled off to march around that floor while the bosses continued to the administrative offices. Richard Metcalf, boss of the Midwest Regional UNITE demanded to see “someone in authority.” When denied, UNITE sat down in the halls and began singing a union anthem ”We Will Not Be Moved,” while on the floors below their followers continued to march and chant. As the Madison Police Department moved into positions around the store, UNITE marched out and briefly terrorized a second store up the … Read More ➡

SEIU Fails to Disclose Lobbying

San Francisco unions have never disclosed their lobbying of city officials despite a 10-year-old law aimed at eliminating back-room deal-making. SF’s Ethics Commission is now attempting to force compliance by the unions, particularly Service Employees International Union which is SF’s largest union and has led the lobbying effort this year on hotly-contested health care legislation. The unions face thousands of dollars in penalties if they are found to have knowingly not complied with the ordinance. Union bosses contend they were unaware the measure applied to them. They also argue it is wrong to lump them in with hired-gun lobbyists for corporate interests. And they have said the unions will resist city efforts to force them to make disclosures under the lobbying ordinance.

But that has not sat well with other lobbyists and elected officials. “Since I took office in 1993, the unions have been the strongest lobbying force and the … Read More ➡

Massachusetts Local Stoops “Pretty Low” in Negotiations

Local 254 of the Service Employees International Union, which represents Massachusetts probation officers, has told its members to stop volunteering for community-based probation plans because a contract dispute with the state court system. The following excerpts of a Jul. 25 Boston Herald editorial speaks for itself:

“As a negotiating tactic, this is pretty low. Local 254 of [SEIU], this week directed its members not to work after regular office hours. This could cripple the crucial ‘Night Light’ program in Boston, under which probation officers check up on their charges with visits to their homes and haunts at night, not to mention other important after-hours programs in many communities. Though the union claims ‘a couple’ of members haven’t joined this boycott, ‘they will get religion as well.’ We hope it’s more than a couple, and we hope for a growing apostasy. Probation officers in Brockton were reported to have decided to … Read More ➡

Dissention in the Teamsters Ranks in A-B Strike Vote

Some Teamsters are angry at the way their union is handling negotiations with Anheuser-Busch (A-B) and have successfully delayed the counting of votes on the latest strike proposal. The ballots mailed to 8,000 Teamsters were supposed to be counted on Jul. 15, but the challenges delayed the mailing of ballots and pushed back the count to Jul. 30. Bosses at 8 of the 16 locals that represent the A-B workers asked the Teamsters to call off the vote. The opponents said they were confused about what they were voting on because of additional proposals. But the Teamsters systematically rejected all the opponents’ challenges. Officers of the Baldwinsville, NY and Williamsburg, VA locals hoped the Teamsters would reconsider its decision; otherwise, court action is possible according to Steve Richmond, a member of the Baldwinsville union’s negotiating team. He said that federal law guarantees workers the right to an “informed vote” in … Read More ➡

Improper Election of Rhode Island Boss

RI’s American Federation of State, County & Municipal Employees Council 94 has been ordered to rerun election of top officers because it allegedly failed to ensure a secret-ballot vote. The investigation was sparked by self-styled dissident Linda C. Riendeau who lost to incumbent union boss J. Thomas Chellel at the Apr. convention. Chellel has run Council 94 since 1979. AFSCME’s judicial panel in Washington questioned whether 71 delegates to the convention, who voted on behalf of 8,000 union members, were able to vote by secret ballot. The panel was also troubled by a plan to change the formula for determining the size of Council 94’s executive board which the panel said was improperly adopted and didn’t allow Riendeau a chance to organize her own board slate. Announced Jul. 10, the rerun will be Aug. 12. [Providence Journal-Bulletin 07/09/98 & 07/11/98]

Lazy Unions In Springfield, IL
Poor work habits by … Read More ➡

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