HOTEL & RESTAURANT EMPLOYEES (HERE)
Second Hanley to Resign Over Criminal Charges
The son of Edward T. Hanley, the disgraced
former President of the Hotel Employees & Restaurant Employees Int’l
Union, has reportedly settled charges of embezzlement and misuse of union
funds. Thomas Hanley has resigned as HERE’s director of organization and
as president of Local 1 in Chicago. Kurt Muellenberg, HERE’s monitor under
the 1995 consent agreement with the Justice Dep’t, confirmed that Hanley’s
resignation was stipulated under an agreement settling various charges
of misconduct. But, Muellenberg refused to give further details until U.S.
Dist. Judge Garrett E. Brown has reviewed the agreement.
However, a government source familiar with the agreement told the Bureau of National Affairs that Hanley agreed to relinquish his two positions and pay a $25,000 penalty. But Hanley would be able to retain his HERE membership (thus his pension), and after Aug. 31, 1999, he could participate in HERE without restriction the source said. Hanley’s ouster comes a month after his father resigned as general president under similar circumstances (see UCU 1.4 7/27/98). There was no mention of criminal prosecution against either Hanley. But a May 20 statement U.S. Atty. for the Dist. of N.J. noted that charges were pending against union bosses including Thomas Hanley for “embezzlement of union funds and a scheme to defraud the members of the union of money and property.” [BNA 9/10/98]
In addition to the unions and organizations covered in this Union Corruption Update,readers can look forward to news and information on other corrupt and abusive unions in future editions.
All back issues of the Union Corruption Update can be viewed at NLPC’s website (www.nlpc.org). Also available is a union by union index of all Union Corruption Update articles.
If you have ideas or suggestions for future editions of Union Corruption Updatte,please email NLPC at nlpc@nlpc.org. Thank you.
Union Corruption Update is part of NLPC's Organized Labor Accountability Project which is investigating and exposing corruption and extremism in the Teamsters, LIUNA, AFL-CIO and many other union organizations. NLPC is a nonpartisan, nonprofit foundation promoting ethics and accountability in government through research, education and legal action.
Complete Edition Union Corruption Update (September 21, 1998 -- Vol. 1, Issue 8)
Union Corruption Update Article Index