Kansas Postal Workers President Pleads Guilty to Concealing Records

On February 27, Asenath Roland, former president of the Kansas Postal Workers Union, pleaded guilty in U.S. District Court for the District of Kansas to one count of failure to maintain financial records of the Wichita union.  He had been indicted last July for embezzling union funds in the amount of $4,740. The union is an affiliate of the American Postal Workers Union. The actions follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards. … Read More ➡

Machinists Secretary-Treasurer in Maine Pleads Guilty to Theft

On February 27, Jeffrey Phillips, former financial secretary-treasurer of International Association of Machinists and Aerospace Workers Local Lodge 836, pleaded guilty in U.S. District Court for the District of Maine to one count of stealing and carrying away personal property in the sum of $57,610. The Kittery-based union represents employees of the Portsmouth Naval Shipyard. Phillips had been indicted last October. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards. … Read More ➡

UFCW Secretary-Treasurer in North Carolina Sentenced for Embezzlement

A decade ago, the appropriately named Terry Slaughter organized slaughterhouse workers. Little did these workers know that he eventually would steal their dues. On February 26, Slaughter, former secretary-treasurer of United Food and Commercial Workers Local 1208, was sentenced in Raleigh federal court to six months in prison, to be followed by three years of supervised release, for embezzling funds from the Tar Heel, N.C. union, which represents employees of Smithfield Foods pork processing plants in the Carolinas. He also was ordered to pay $63,315.18 in restitution. Slaughter had pleaded guilty in February 2019. Ex-local President Keith Ludlum pleaded guilty this January to stealing over $200,000. The actions follow a probe by the U.S. Labor Department’s Office of Labor-Management Standards.

Slaughter, now 46, a resident of Fayetteville, N.C., served as secretary-treasurer of Food and Commercial Workers Local 1208 during 2011-15 following a bitter corporate campaign and organizing drive against Smithfield … Read More ➡

Machinists Secretary-Treasurer in Houston Charged with Theft

On February 25, Moises Romero, former secretary-treasurer of International Association of Machinists and Aerospace Workers Local Lodge 811, was indicted in the District Court of Harris County (Texas) on one count of misapplication of funds from the Houston-based union in a sum of between $20,000 and $100,000. Local 811 represents about 2,700 ramp and fleet service employees of United/Continental Airlines. The indictment follows an investigation by the U.S. Labor Department’s Office of Labor-Management Standards. … Read More ➡

Former UAW President Gary Jones Charged with $1M+ Embezzlement

If a government takeover of the United Auto Workers looked like a possibility a few days ago, that possibility just became more real. Yesterday, March 5, Gary Jones (in photo), former president of the United Auto Workers, was charged in an information in Detroit federal court for his role in the embezzlement of well over $1 million in funds from the union, enabling himself and other union leaders to splurge on indulgences unrelated to UAW business. Forced from his post in November, Jones is the biggest catch yet in a union-auto industry probe that so far has netted over a dozen guilty pleas. As this is an information, not an indictment, a plea deal is virtually certain. The actions follow a probe by the FBI, the IRS and the U.S. Labor Department’s Office of Labor-Management Standards and Office of Inspector General.

Union Corruption Update has covered this case since it … Read More ➡

AFSCME President in New Jersey Sentenced for $175K+ Ripoff

Shelby Hyman can console herself with the knowledge that her required restitution is on the low side. On February 10, Hyman, former president and treasurer of American Federation of State, County and Municipal Employees Local 1761, was sentenced in Middlesex County (New Jersey) Superior Court to four years in prison for stealing about $176,000 in funds from the New Brunswick union over a six-year period. She also was ordered to pay $25,000 in restitution on top of the $10,000 she paid last October – well short of $176,000. Hyman had pleaded guilty last August after being arrested and charged with fund misapplication in December 2018. AFSCME Local 1761 represents various employees of Rutgers University.

According to prosecutors, Hyman, now 52, a resident of Franklin Township (Somerset County), N.J., used her position as union president and treasurer during 2012-18 to divert union funds to personal uses. Eventually, one or more suspicious … Read More ➡

Massachusetts AFSCME Local President Charged with Theft

On February 26, Christian Leeds, former president of American Federation of State, County and Municipal Employees Local 1370, was charged in the Springfield District Court of Massachusetts with one count of larceny in the sum of $13,444 from the Springfield-based union. The charge follows an investigation by the Labor Department’s Office of Labor-Management Standards. … Read More ➡

Ex-AFSCME Local President in Maryland Sentenced for Theft

On February 18, Sophia Love, former president of American Federation of State, County and Municipal Employees Local 2751, was sentenced in the Circuit Court for the City of Baltimore to five years in prison, with credit for time served, for theft in the amount of $15,548 from the Baltimore union. She had pleaded guilty in June 2018 following her indictment in August 2017. The actions follow an investigation by the U.S. Labor Department’s Office of Labor-Management Standards.  … Read More ➡

Teamster Probe Slaps Northern California Boss with New Charges

Rome Aloise seemingly behaved as though nothing happened the first time around. It may be a lot harder for him this time. On February 14, independent investigator Joseph E. diGenova issued a critical memorandum citing the San Francisco Bay Area Teamster leader’s “methodical and Machiavellian steps” to maintain power all but in name during a two-year suspension. The alleged steps included extortion and unauthorized participation in contract talks. The report sets the stage for a union Executive Board hearing and a review officer ruling. Aloise, an international vice president as well as a local and district boss, called the report “an insidious and incessant violation of my rights.” The diGenova memo came just three days before the union was freed from more than 30 years of federal control.

The International Brotherhood of Teamsters (IBT), with some 1.4 million members, in March 1989 became a ward of the U.S. government … Read More ➡

Ex-UAW Official Sentenced for Collecting $2M in Shakedowns

The wages of corruption at the United Auto Workers continue to be paid. On February 18, Michael Grimes, a retired senior official at the Detroit-based union’s General Motors Department, was sentenced in U.S. District Court for the Eastern District of Michigan to 28 months in prison and a year of supervised release for honest services fraud and money laundering conspiracy related to his extraction of roughly $2 million in payoffs from UAW vendors through multiple schemes. He also must pay about $1.5 million restitution plus a $200 assessment. Grimes had pleaded guilty in September after being charged in August. The actions follow a probe by the FBI, the IRS and Labor Department’s Office of Labor-Management Standards and Office of Inspector General.

Grimes, now in his mid-60s, a resident of Fort Myers, Fla., had served as a $150,000-a-year administrative assistant to United Auto Workers Vice President Estrada. Apparently, it wasn’t enough. … Read More ➡