On June 5, Charlotte McDaniel, former secretary-treasurer of American Federation of State, County and Municipal Employees Local 3826, pleaded guilty in Marion County, Indiana Superior Court to one count of theft of funds in an amount of between $750 and $50,000 from the union, which represents Indianapolis public school bus drivers. She then was sentenced to a year in jail, with all but two days suspended, and ordered to pay $4,082 in restitution. McDaniel had been indicted in March following an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On May 31, John Scarcella, former secretary-treasurer of Association of Civilian Technicians Local 125, was charged in the Circuit Court for Baltimore County, Md. with one count of theft from the Middle River-based union in a sum of more than $10,000 but less than $100,000. The charge follows an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
The news for Jonathon Ortino keeps getting worse. On June 4, Ortino, former president of National Treasury Employees Union Chapter 165, was charged in U.S. District Court for the Northern District of California in a six-count superseding indictment with offenses relating to his making unauthorized electronic funds transfer in the sum of $4,500 from a union account to a personal account. He previously had been charged in March 26 in a three-count indictment with concealing the thefts in three consecutive annual financial reports. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.
According to the original charges, Ortino, now 43, a resident of San Bruno, Calif., falsely stated in LM-3 statements to the Labor Department that NTEU Chapter 165 made no loans of more than $250 to any union officer or member during 2014, 2015 or 2016. Moreover, he allegedly understated the amount of … Read More ➡
For George Peltz, running a business and ripping off a union often meant the same thing. That’s why he’s no longer involved in either. On May 20, Peltz, a Philadelphia-area contractor, was sentenced in U.S. District Court for the Eastern District of Pennsylvania to 18 months in prison and two years of probation for bribery, theft from a benefit fund, and tax fraud related to his dealings with International Brotherhood of Electrical Workers Local 98. He also paid nearly $1 million in restitution. Peltz had pleaded guilty in January. The actions are part of a larger federal and state joint probe of corruption in Philadelphia that thus far has implicated a city council member, a Pennsylvania Supreme Court justice, a couple of contractors and several Local 98 officials.
On May 7, Robert Kurtycz, former comptroller for the Service Employees International Union’s Chicago and Midwest Regional Joint Board, was indicted in U.S. District Court for the Northern District of Illinois on one count of conspiracy to commit commercial bribery plus six counts of wire fraud. One of the wire fraud charges involved the electronic transfer of funds from the Chicago-based labor organization for his receipt of unauthorized expense reimbursements totaling $85,962. The five others are related to this alleged offense. The indictments follow a joint investigation by the U.S. Labor Department’s Office of Labor-Management Standards, Office of Inspector General, and Employee Benefits Security Administration.… Read More ➡
On May 17, Claudia Beltran, former office assistant for United Association of Plumbers and Pipefitters Local 100, was indicted in Kaufman County, Texas court for misapplication of fiduciary property in the sum of between $2,500 and $30,000. The union is based in nearby Garland (Dallas County). The indictment follows an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On May 17, Caroline Phelps, former office secretary of International Union of Operating Engineers Local 369, was sentenced in U.S. District Court for the Western District of Tennessee to three years of probation for embezzling funds from the Cordova (Shelby County) union. She also was ordered to pay restitution in the amount of $36,823 plus a $100 special assessment. Phelps had pleaded guilty in February. The actions follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
On May 7, Amy Barber (Rodman), former treasurer for the Florida state affiliate of the National Staff Organization, was indicted in U.S. District Court for the Northern District of Florida on one count of embezzling funds of an unspecified sum from the union and one count of filing a false financial report to cover up the theft. The NSO represents employees of various unions. The charges follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.… Read More ➡
The International Brotherhood of Boilermakers, as Union Corruption Update has noted in the past, is a union that spends lavish sums on salaries and benefits for its top officials. One of its affiliates is earning disrepute of a different sort. Early last month, Scot Whitney Albertson, business manager for the Kansas City, Mo.-based Boilermakers Local 83, was arrested in Council Bluffs, Iowa for causing bodily injury in connection with his alleged stabbing of two men. Neither injury was considered life-threatening. No word is yet available on whether the attack was over union business. Union international headquarters in Kansas City, Kansas refused to comment on the matter, claiming it did not have sufficient facts. So let us look at some material facts.
According to court records, just after midnight on May 5, Council Bluffs police were called to a crime scene near Albertson’s residence. Upon arrival, two injured men told … Read More ➡
Larry Inman’s vote apparently was for sale. But what does that say about who was paying? On May 15, Inman, a three-term Republican in the Michigan House of Representatives, was indicted in Grand Rapids federal court for attempted extortion, solicitation of a bribe, and lying to the FBI related to his seeking cash payments from a Carpenters union affiliate in exchange for a favorable vote on a prevailing wage bill. He is declaring his innocence, but has an uphill climb. House Speaker Lee Chatfield, also a Republican, wants him to resign. And Mike Jackson, executive secretary for the Michigan Regional Council of Carpenters and Millwrights, is glad Inman “is being brought to justice.” Yet the details are far from completely known. Inman pleaded not guilty at his arraignment on May 28. And the union may have ulterior motives.