International Brotherhood of Boilermakers (IBB)

Mass. Bus. Agent Sentenced for Embezzlement

A Chicopee man was sentenced on May 5 in federal court for embezzling $81,000 from a union representing employees of Top Flight, a wholly owned subsidiary of Callaway Golf formerly owned by Spalding.  U.S. Attny. Michael J. Sullivan and Mark Letizi, Dist. Director for the U.S. Dept. of Labor's Ofc. of Labor Mgmt. Standards (OLMS) in New England, announced that Gene Malinowski was sentenced by U.S. Dist. Judge Michael A.

Mass. Secy. of State Levies $50m Fine against Investment Firm

On April 8, Secy. of the Commonwealth William Galvin levied a $50 million fine on Putnam Investment in a settlement in which Putnam admitted to allowing some managers and certain fund participants to market time in its mutual funds.  The administrative settlement also orders Putnam to pay $5 million in restitution to the affected funds. In a related settlement, the federal Securities and Exchange Commission also fined Putnam $50 million and ordered $5 million in restitutions to the funds.

 

Ex-Mass. Union Finance Director Pleads Guilty to Embezzlement

The former finance director for the Massachusetts Teachers' Association (MTA) has pleaded guilty to charges he stole $802,000 from the union over a six-year period, Attorney General Tom Reilly announced on Dec. 19.  Richard Anzivino, 49, of Needham, pleaded guilty in Suffolk County Superior Court to five counts of larceny over $250 and six counts of making a false entry in a corporate book. Judge Carol Ball sentenced Anzivino to two years in the House of Correction with one year to serve and the balance suspended for five years with probation. The sentence was stayed until January 2.

 

Mass. Unionists Accused in Case of Mutual Fund Fraud

On Oct. 28, Mass. Secy. of the Commonwealth William F. Galvin accused 28 members of a Mass. union of defrauding their fellow members in the union's 401(k) mutual fund.  The charges were laid out in a complaint filed with the Mass. Securities Division against Putnam Investment Mgmt., Inc., headquartered in Mass.  Curiously, the U.S. Dept. of Labor's web site shows no record that the union involved, Intl. Bhd. of Boilermakers Local Lodge 5, has recently filed the financial disclosure form required by federal law.

 

Controversial Boston Local under Spotlight for Possible Embezzlement at Airport Parking Garage

FBI and IRS agents searched the Logan Airport's Parking garage and interviewed at least 23 wrkrs. and mngrs. on Nov. 7, after being alerted to "discrepancies" in parking revenues. The wrkrs. at the garage are controlled by Local 25 of the Intl. Bhd. of Teamsters, already under investigation for a series of shakedowns and featherbedding in the movie-making industry, and whose president, George W. Cashman, is under indictment for union insurance fraud.

Mass. Port Authority CEO Craig P. Coy contacted fed. investigators after he was hired in April and discovered the "discrepancies," which were uncovered in a Dec. 2001 audit. The indicted boss, George W. Cashman, sat on the port authority bd. until forced to resign after his indictment in Jan. of this year. Coy, hired to reestablish public trust in the authority known as a haven for political patronage jobs, said he was asked to delay any actions of his own until after the grand jury investigation is complete. [Boston Globe 11/8/02, Boston Herald 11/9/02]

Ex-WI Secy.-Treas. Sentenced for $60K Theft

On September 6, 2002, in the U.S. Dist. Ct. for the East. Dist. of Wisc., David Dobry, former Secy.-Treas. of Boilermakers Lodge 177, was sentenced to five months imprisonment followed by five months of home detention followed by three years of supervision. He was also ordered to pay restitution in the amount of $61,510. He pled guilty to embezzling $61,510 in union funds on July 2, 2002, following an investigation by the Milwaukee branch of the U.S. Dept. of Labor's Ofc. of Labor-Mgmt. Standards. [DOL OLMS 9/12/02]

Ex-Green Bay Boilermaker Boss Confesses to $61K Embezzlement

Frmr Secy.-Treas. David Dobry pled guilty on July 2 to embezzling $61,510 from Lodge 177 of the Intl. Bhd. of Boilermakers in Green Bay, Wisc. Dobry's plea came in the U.S. Dist. Ct., E.D. Wisc., before Chief Dist. Judge J.P. Stadtmueller (Reagan).  The Secy.-Treasurer of Lodge 177 from 1987-99 was indicted on Feb. 2 for the embezzlement, and for falsifying the union's LM-3 financial disclosure form filed with the U.S. Dept. of Labor.  According to the prosecutor, Asst. U.S. Attny Erica O'Neil, that charge will be dropped at Dobry's sentencing.

Dobry began his embezzlement in 1994 to pay for his heavy alcohol and cocaine usage.  He wrote checks from the union's account to himself, sometimes without a second signature as required, other times using the signature stamp of the frmr Lodge President, Delbert Watzka. [U.S.A.O. E.D. WI, DOL]

No Jail Time for California Extortionist

U.S. Dist. Judge Virginia A. Phillips (C.D. Cal., Clinton) sentenced Hank Van Heyningen, ex-president of Christian Labor Union Local 17 (Dairy Employees), to a mere 36 months probation and 300 hours of community service for extorting money from workers for job referrals. He faced up to 20 years in prison. Phillips also ordered Van Heyningen to pay $100 restitution and a $2,500 fine. The boss of the Chino, Cal., union pled guilty to one federal count of extortion on Oct. 23. He admitted to regularly extorting money for 10 years. A member who received a full-time job with regular daylight hours was charged $800 to $1,500. [DOL 1/7/02; USAO C.D. Cal. 10/23/01]


Ohio Boss Admits $142,700 Scheme
On Jan. 28, Richard Adams, ex-treasurer of Int'l Ass'n of Fire Fighters Local 639 in Parma, Ohio, pled guilty to a federal bank fraud charge for a scheme to deprive the union of $142,715.78. Sentencing is scheduled for Apr. 10 before U.S. Dist. Judge Donald C. Nugent (N.D. Ohio, Clinton). [DOL 1/28/02; Plain Dealer (Cleveland) 1/30/02]

Employees Win $120,000 from Oklahoma Local in Beck Action

Richard Ohse and 60 other employees of the Carlon Corp. won a long-running case on Jan. 31 against Int'l Bhd. of Boilermakers Lodge 465-D in Oklahoma City . Ohse, with the help of Nat'l Right to Work Legal Def. Fdn. attorneys, filed charges with the Nat'l Labor Relations Bd. to reclaim dues that had been illegally collected by the union and used to support political activities. As a result of the NLRB's ruling, the local, also known as Cement Workers Lodge 465-D, will have paid out a total of $120,000 in full refunds of illegally seized dues, plus interest,  to the 61 employees who were the beneficiaries of the complaint. Ohse, and the other Carlon employees have had to wait more than a decade for this ruling. The charge was first filed in 1991, but  it took several years to force the Clinton NLRB to act  on the matter.

"After all of these prosecutorial delays and the union's stonewalling, these employees have finally been made whole," said NRTWLDF's Stefan Gleason. "No matter  how long union officials hold out, they cannot ultimately deny workers their fundamental rights."

Rhode Island Union Fund Manager Gets Eight Years

Todd J. LaScola, the fund manager for Int'l Bhd. of Elec. Workers Local 99 in Rhode Island who embezzled more than $ 6.4 million from his clients, was sentenced May 22 to eight years in prison. After an emotional three-hour hearing punctuated by statements from five of the investors defrauded by LaScola, U.S. Dist. Judge Mary M. Lisi's decision boiled down to appearances how LaScola appeared to working and retired people who entrusted him with their savings, and how he has come across since his downfall.

After listening to an elderly woman describe having to seek public housing and a sobbing father describe how LaScola had stolen his children's college money, Lisi learned that LaScola had spent $4,200 on suits last year, so that he could look good for his well-paying job in Ft. Lauderdale, Fla. "There's no more despicable act than lying to people whose money you've taken so that you could look good and live the good life," said Lisi. "During these past several months, when you had some extra change in your pocket, you spent it on yourself. That tells me that you don't get it... I haven't seen you do one blessed thing for the people whose lives you've ruined."

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