http://www.dol.gov/olms/regs/compliance/enforcement_1.htm
here's a few excerpts..... in no particular order.....
On November 17, 2009, in the District Court of Brockton, Massachusetts, Joseph J. Morana, former President of National Association of Government Employees (NAGE) SEIU Local 01-86 (located in
West Roxbury, Mass.) and NAGE -SEIU Local 01-25 (located in Brockton, Mass.), admitted to sufficient facts to the charge of larceny over $250 by a single scheme. Morana was ordered to pay restitution in the amount of $7,696.48 and an assessment of $90 and placed on supervised probation for two years, which may be terminated early when restitution is paid in full. The admission follows and investigation by the OLMS Boston District Office.
On June 9, 2009, in the Brockton, Massachusetts District Court, a criminal complaint was filed charging Joseph Morena, former President of AFGE Locals 25 and 86 (located in Brockton, Mass. and West Roxbury, Mass.), with one count of larceny over $250 for embezzling $7,696 from the two locals. The charge follows an investigation by the OLMS Boston District Office.
On February 9, 2007, in the Pittsfield Massachusetts District Court, a criminal complaint was issued against Norman Haskins, former Treasurer for NAGE Local 01-62, charging him with larceny in the amount of $2,192. The complaint follows an investigation by the OLMS Boston District Office.
On December 13 and 17, 2007, in the United States District Court for the Eastern District of Wisconsin, Debra Timko and Danny Iverson, former Presidents of SEIU Local 150, were sentenced for failing to maintain union records. Timko was sentenced to six months home confinement, three years probation, and was ordered to make restitution in the amount of $38,795.10. Iverson was sentenced to three years
probation and was ordered to make restitution in the amount of $24,853. On August 23, 2007, Timko and Iverson both pled guilty to two counts of failing to maintain union records. The sentencing follows an investigation by the OLMS Milwaukee District Office.
On August 7, 2003, a complaint was filed in the
United States District Court for the District of Massachusetts against
the National Association of Government Employees (NAGE). The complaint
seeks to overturn the election of executive board members which was
held in September 2002, in Las Vegas, NV. The suit claims that NAGE
announced the creation of 30 new executive board positions, and
nominations to fill them, one day before the election on September 19,
2002. Union members protested the election, arguing that the field of
candidates was limited by the lack of notice of the new officer
positions and the lack of time to campaign for those positions. The
complaint asks that the executive board election be voided and NAGE be
ordered to hold a new election for those positions under OLMS
supervision. The complaint follows an investigation by the OLMS Boston
District Office.
Court for the Northern District of California, Optical Workers Unit
(OWU) of Service Employees International Union (SEIU) Local 535 was
ordered to conduct new nominations and election under the Secretary's
supervision for all officers and delegates of OWU within 120 days of
the signing of the Order. The Secretary filed suit against OWU SEIU
Local 535 in July 2005 after an investigation disclosed that OWU denied
eligible members the right to vote when OWU failed to mail notices to
ten members and denied a duplicate ballot to at least three members who
made timely requests. The lawsuit and Order follow an investigation by
the OLMS San Francisco District Office.
On May 14, 2007, in the United States District Court for the Central District
of California, Janet Humphries, former President of SEIU Local 99, was sentenced
to 5 years probation and ordered to perform 1,000 hours of community service.
Additionally, Humphries was ordered to pay restitution in the amount of $5,149,
and to pay a special assessment of $500. On November 13, 2006, Humphries pled
guilty to one count of conspiracy and three counts of embezzlement for conspiring
to finance Martin Ludlow's campaign for Los Angeles City Council with Local
99 funds, and for using union funds to pay for a trip to the Virgin Islands
for her daughters and a family friend. The conviction follows a joint investigation
by the OLMS Los Angeles District Office, the Department of Labor's Office of
the Inspector General, and the Los Angeles City Ethics Commission.
On December 14, 2006, in the Superior Court of California-County of Los Angeles, Janett Humphries,
former President of SEIU Local 99, was sentenced to six months in jail, followed by six months of
electronic monitoring, and ordered to make restitution in the amount of over $36,000 on state charges
for making illegal contributions to former Secretary-Treasurer Martin Ludlow's campaign for Los Angeles
City Council. On November 13, 2006, Humphries pled guilty to one count of conspiracy and three counts
of embezzling union funds. Humphries is set to be sentenced under federal guidelines on February 18,
2007. The sentencing follows a joint investigation by the OLMS Los Angeles Office, the Department of
Labor's Office of Inspector General, and local law enforcement.
On June 5, 2006, in the United States District Court for the Central District of California,
Martin Ludlow, former Secretary-Treasurer of the Los Angeles County Federation of Labor, was sentenced to five years probation, 2000 hours of community service, and was ordered to make restitution of $36,400 to SEIU Local 99. On March 28, 2006, Ludlow pled guilty to conspiring to use funds embezzled from SEIU Local 99 for his 2003 campaign for Los Angeles City Councilman. Ludlow admitted to using union money to pay six people who were put on the union payroll but who actually worked on his campaign. Ludlow also used union funds for a cell phone used in the campaign. The sentence follows a joint investigation conducted by the OLMS Los Angeles District Office, the Department of Labor's Office of Inspector General, and local law enforcement.
On December 16, 2004, in the United States District Court for the Eastern District of Missouri,
Donald L. Rudd, former president of Local 50, Service Employees International Union, was arrested and charged with misappropriation of approximately $18,083 in union funds. The arrest and charge follow an investigation by the OLMS St. Louis District Office.
United States District Court
Eastern District of Missouri
United States of America V. Donald L. Rudd | Criminal Complaint Case Number: 4:04MJ1286TIA |
I,
Ralph Amelung, the undersigned complainant being duly sworn state the
following is true and correct to the best of my knowledge and belief.
On or about October 22, 2003, in St. Louis County, in the Eastern
District of Missouri, defendant did, embezzling and converting union
funds to his own benefit while and officer of the union in violation of
Title 29, United States Code, Section 501(c). I further state that I am
an Agent and that this complaint is based on the following facts:
See Attached Affidavit.
Continued on the attached sheet and made a part hereof. _X_ Yes
Sworn to before me, and subscribed in my presence
/SIGNED/_____ December 10, 2004 at St. Louis. Missouri | /SIGNED/_____ Terry I. Adelman |
Affidavit
I,
Ralph Amelung, being first duly sworn, depose and state that I am an
Agent with the Department of Labor, Office of Labor Management
Standards. I have been a Federal Agent with the DOL/OLMS for over 15
years. My duties as an Agent with the DOL/OLMS include the
investigation of embezzlement of union funds in violation of Title 29,
United States Code, Section 501(c), and the creation of false
statements in union records in violation of Title 29, United States
Code, Section 439.
I was assigned an audit of the Service Employees International Union, Local 50, in St. Louis, Missouri.
The
information contained within this affidavit is based on my
investigation and on the information either personally known to me or
provided to me by other law enforcement officers in my official
capacity. Since this affidavit is being submitted for the limited
purpose of securing a warrant for the arrest of DONALD L. RUDD, a white
male, date of birth , SSN , I have set forth only the facts
that I believe are necessary to establish probable cause that the
suspect has violated Title 29, United States Code, Sections 501(c) and
439.
Beginning in February of 2004, I started a routine audit
of the Service Employees International Union, Local 50, in St. Louis,
Missouri. This audit was begun because the annual financial report of
the Local (LM-2) showed that the President's expenses had doubled in
one year while the Local had fallen $500,000.00 behind in their per
capita payments. My investigation covered the period from January of
1999 through January of 2004. In all of that time, Local records show
that DONALD L. RUDD was the President of the Local. In that capacity,
he was issued a credit card by the Local to use exclusively to pay
expenses of the Local. Further, my investigation showed that DONALD L.
RUDD was the only officer of the Local actively involved in the
financial matters of the Local.
By reviewing the records of
the Local, I learned that in 2003 DONALD L. RUDD was paid a salary of
$77,830.25 and received the use of an automobile and health and pension
benefits paid by the Local. The Local's LM-2 for the fiscal year ending
on June 30, 1999, showed DONALD L. RUDD's expenses to be $9,733.00. The
LM-2 for the fiscal year ending on June 30, 2003 showed those expenses
had increased to $35,076.00. I began to examine the records of the
Local to determine what expenses made up this increase. I found
expenses I considered questionable. These expenses related to uses of
the Union Travel MasterCard the Local had provided to DONALD L. RUDD.
In
the records which related to the use of the MasterCard, I found 530
examples of DONALD L. RUDD using the MasterCard at lounges and a hotel
near his residence. In 1999, I found 1 such charge for $25.00. In 2000,
I found 48 such charges for $1,215.01. In 2001, I found 113 such
charges for $3,268.77. In 2002, I found 206 such charges for $7,284.83.
In 2003, I found 158 such charges for $6,139.74, and in January of
2004, I found 4 such charges for $150.55. Included in these charges was
a February 6, 2002, $45.00 charge and a October 22, 2003, $120.00
charge for a room at the Stratford Inn, a hotel connected to the
Stratford Bar and Grill at which DONALD L. RUDD made frequent charges
on the Local's MasterCard. The records available to me showed that
these charges generally occurred at night, well after the Local's
business hours. As DONALD L. RUDD was forbidden to use the Local's
MasterCard for personal expenses, I tried to determine the nature of
these charges which totaled $18,083.90.
I spoke with the
manager of the Stratford Inn who told me that each of these charges was
for the rental of a sleeping room at the Inn. The Vice-President of the
Local told me of meeting DONALD L. RUDD at a number of bars, after
union hours, for social occasions. He told me that DONALD L. RUDD had
told him that he (RUDD) had, "got pretty toasted and had to get a
room." I spoke with Business Agents, other officers of the Local, all
of whom had also met DONALD L. RUDD in the bars to which he had made
charges on the MasterCard. All said the meetings were not for Local
business and could not have been charged to the Local by RUDD. The
Secretary-Treasurer of the local said he knew of no union activities
that could have necessitated the charges. I could find no Local officer
or employee to back up that any of these expenses were related to the
business of the Local. All said their meetings with RUDD after hours in
bars were social.
I then spoke with the Trustees of the Local,
all of whom were unaware of the charges. All said this use of the
Local's MasterCard was improper.
I also interviewed bar
personnel at two of the bars for which DONALD L. RUDD submitted charges
related to the MasterCard. At one of the establishments I was told that
RUDD liked to play darts while he was visiting. At another
establishment an employee confirmed that RUDD visited with co-workers
and his girlfriend. The employee could not recall what types of
activities RUDD engaged in during his visits.
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