Eleven New York Building Trades Union Officials Charged in Bribery Racket

New York City-area construction unions are well-known for being on the take. An announcement by the U.S. Department of Justice won’t likely alter that reputation. On October 1, the U.S. Attorney’s Office for the Southern District of New York announced the arrest and indictment of 11 officials of the New York State Building and Construction Trades Council for various charges related to their receipt of over $100,000 in bribes from nonunion contractors in return for bid-rigging, in the process selling out the dues-paying union members whom they represented. Led by Trades Council President James Cahill, the defendants are current or former members of two local affiliates of the United Association of Plumbers & Pipefitters. Aiding in the probe was the Suffolk County (Long Island), N.Y. district attorney’s office. All the defendants pleaded not guilty at arraignment.

It’s a common form of back-scratching in the world of organized labor: An employer, … Read More ➡

Hawaii Crime Boss Busted for Racketeering, Murder; Infiltrated Teamster Local

Organized crime has been a dominant if often hidden reality in Hawaii for decades. But at least for now one of its most violent sociopaths is out of commission. On July 15, Michael Miske Jr., was arrested at his oceanfront home in Kailua, Oahu Island and charged in Honolulu federal court, along with 10 other men, with numerous criminal charges including murder, racketeering, kidnapping, arson, robbery and money-laundering. Significantly, his empire involved, if perhaps inadvertantly, a Teamsters local. Prosecutors termed Miske “the unquestioned leader of a racketeering enterprise” which “routinely committed violent crimes and assaults, and used threats and intimidation to protect (its) illegal activities.” He pleaded not guilty to all charges. A month later, on August 11, U.S. Magistrate Judge Kenneth Mansfield ordered Miske held without bail, terming him a flight risk and a threat to the community.

Welcome to the “other” Hawaii. Behind the beautiful beaches, lush … Read More ➡

Herman Benson, Longtime Opponent of Union Corruption, Dies

Longevity isn’t in the cards for everyone. But Herman Benson, who died last month at his home in Brooklyn, N.Y. at the age of 104, was one of the lucky ones. And those of us who make a living fighting corruption and gangsterism in organized labor are luckier for it. Benson, in his lifetime, edited a weekly tabloid; helped draft the Landrum-Griffin Act, which is the basis for union financial accountability in this country; and for the last half-century ran the Association for Union Democracy (AUD), a Brooklyn-based nonprofit advocate for honest unionism. Though of the Left, Benson’s legacy is instructive across the political spectrum. “He was a one-man army in the union democracy movement for over 50 years,” notes Ken Paff, co-founder of Teamsters for a Democratic Union.

Make no mistake, Benson was a labor socialist. Yet he displayed a consistent willingness to denounce union leaders who operated … Read More ➡

UAW’s Pearson Pleads Guilty to Embezzlement

The outcome couldn’t have been more inevitable for Vance Pearson. And it couldn’t have been less welcome for the people ranking above him. Last Friday, February 7, Pearson, former regional director for the United Auto Workers and a member of the union’s international board, pleaded guilty in Detroit federal court to conspiracy to embezzle hundreds of thousands of dollars in union funds, enabling him and other UAW officials to live large – or at least larger – for nearly a decade. In so doing, he may have brought prosecutors one step closer to bringing charges against former Auto Workers President Gary Jones and his immediate predecessor, Dennis Williams. The action follows a probe by the FBI, the IRS, and the U.S. Labor Department’s Office of Labor-Management Standards and Office of Inspector General.

As Union Corruption Update indicated a couple of weeks ago, Vance Pearson, now 58, a resident of … Read More ➡

Feds Cite Former UAW Presidents for Racketeering; File New Charges against Ex-Regional Boss

It’s official: The United Auto Workers has been declared a racket. On January 6, recently departed UAW President Gary Jones (in photo) and his immediate predecessor, Dennis Williams, were cited, albeit under assumed names, in Detroit federal court as participants in a racketeering enterprise. The designation was part of a new charge against Vance Pearson, former director of a major regional affiliate and a member of the union’s international executive board, of embezzlement conspiracy. U.S. Attorney Matthew Schneider had been hinting at such action these last few months. Jones had resigned his post under pressure in November. The actions follow a joint probe by the FBI, the IRS and the Labor Department’s Office of Labor-Management Standards and Office of Inspector General.

Union Corruption Update more than once has covered this scandal, the details of which provide a hard look into how the Detroit-based union, with around 400,000 active members, … Read More ➡

RICO Suit Could Mean Long-Term Federal Control Over Longshoremen

On the surface, life at International Longshoremen’s Association (ILA) headquarters in Manhattan hasn’t changed all that much. But the seeming normalcy doesn’t disguise the fact that the union’s longstanding alleged ties to two Mafia families are about to be exposed wide open. On July 6, Justice Department lawyers filed a massive civil RICO lawsuit in U.S. District Court in Brooklyn. Prosecutors, in their words, seek to end “the conspiracy among union officials, organized crime figures and others that has plagued some of the nation’s most important ports for decades.” The lawsuit alleges that the Genovese and Gambino crime families control the docks at the ports of New York-New Jersey and Miami, and that the mobsters have used that influence to curry favor with the international union and put their people in charge of member benefit programs.

 

ILA President John Bowers, his top aides, and union attorney Howard W. Read More ➡

Niagara LIUNA Enforcer Pleads Guilty to Racketeering

Another domino has fallen in the strange, violent saga of Laborers Local 91. For years the local dictated the terms of hiring at construction sites in Niagara County, N.Y. Their targets were nonunion workers and any contractor foolish enough to hire them. Their preferred methods of enforcement were vandalism, assault and extortion. In a predawn raid in 2002 federal agents arrested more than a dozen union members. In recent weeks, two of them, Anthony Cerrone and Andrew Shomers, pleaded guilty to racketeering.

 

Reading the tea leaves, Salvatore Bertino has become the next to go down. The 53-year-old former local vice president pleaded guilty on Tuesday, June 21 to racketeering conspiracy. At his hearing, Bertino cited five incidents in which Local 91 President Mark Congi directed him and others to engage in extortion. Seven other union officials, including Congi, are set to go on trial later this year. (BuffaloRead More ➡