National Legal and Policy Center -- Organized Labor Accountability Project
 
UNION CORRUPTION UPDATE
 
June 24, 2002 -- Vol. 5, Issue 13


For Influential Leaders & Important Decision Makers:
Information on America's most corrupt & aggressive unions


 
LONGSHOREMEN (ILA)
More Details Emerge on Gotti Clan's Extortion of Longshoremen
The U.S. Atty's Office for the E.Dist. of N.Y. has released additional details of the June 3 indictment of 17 members and associates of the Gambino organized crime family for racketeering and extortion within the Int'l Longshoremen's Ass'n. The three-year state and federal probe revealed that despite the 1991 civil consent decree that prohibited Anthony  "Sonny” Ciccone from participating in ILA and waterfront affairs, he continued to oversee the Gambino family's criminal interests in the ILA (including Local 1814 and Local 1) and the Brooklyn and Staten Island waterfronts.  Those criminal interests extended to job assignments on the waterfront, selection of high level ILA officials, and receipt of kickbacks from ILA's national health plan. The following additional details from the indictment focus on ILA aspects of the case and amplify the report in the previous issue of the UCU:

The investigation revealed that the Gambino and the Genovese families coordinated efforts to control selection of ILA bosses at the highest level. Between Apr. and Aug. 2000, "Captain” Ciccone plus "soldiers” Primo Cassarino and Jerome "Jerry" Brancato, worked with Local 1814 vice president Frank "Red” Scollo to allegedly intimidate ILA bosses into placing a Genovese associate on the ILA's Executive Council, then to elevate him to the ILA presidency during a year when the election would be closed to the union's general membership.

The investigation also revealed additional cooperation between the Gambino and Genovese clans in a kick-back scheme involving ILA's national health plan, which is called "MILA.”  In 1998, Ciccone, Cassarino, Vincent Nasso, and Scollo, allegedly intimidated MILA trustees into awarding a prescription drug service contract to GPP/VIP, a firm owned in part by Nasso. The Gambino and Genovese families then split a kick-back of approximately $400,000 from Nasso in exchange for the contract.  Further, when it appeared that GPP/VIP's contract was not going to be extended in Nov.  2001, Ciccone, through Cassarino, allegedly directed Scollo, who had also become a MILA trustee, to "look into what happened with Vinny Nasso, why he lost that thing" and to "do whatever you gotta do."

Additionally, between Apr. 2000 and Aug.  2001, Ciccone, Cassarino, and Scollo ousted a Local 1814 delegate and allegedly replaced him with a handpicked candidate of Ciccone and his crew.  According to the indictment, Cassarino and Local 1814 president Scollo met surreptitiously on numerous occasions in Scollo's car to discuss the details of the scheme.

Further, between June 2000 and Aug. 2001, Ciccone, Cassarino, Scollo and others, allegedly coerced Local 1 officials into following Ciccone's directives regarding the management of the local, including the placement of members in particular jobs. Ciccone reportedly enforced his rule on the waterfront by sending warnings to the Local 1 officers through Scollo, Cassarino and others. On one occasion he sent Cassarino to a Local official's personal residence to deliver his message, according to prosecutors.

Finally, between Oct. 2000 and Jan. 2001, Ciccone, Cassarino and Scollo allegedly extorted thousands of dollars from a relative of an individual seeking employment on the waterfront, in exchange for a waterfront job. During the summer of 2001, using Cassarino and Scollo, Ciccone allegedly attempted to force an employee of Howland Hook Container Terminal to step down from his job so that a relative of Gambino family member Anthony Anastasio could be installed in his place. The indictment also alleges that Ciccone and Cassarino demanded that an injured longshoreman pay them a portion of the monetary settlement he received as a result of a work-related injury.

"By controlling the union, its locals, its national health plan and various businesses on the waterfront, the Gambino organized crime family and its associates victimized rank and file union members and the consuming public,” said FBI Assistant Director-in-Charge Kevin P. Donovan. "Free enterprise was a rare commodity on the docks of New York. Eliminating the influence of organized crime will not be achieved by one investigation, one indictment or one successful prosecution but, rather, by maintaining law enforcement pressure on the mob's organization, it leadership and its sources of income."

DOL Inspector General Gordon Heddell added, "This investigation uncovered a well-disciplined, conspiratorial organization that had utilized a climate of fear and intimidation to exploit the ILA. The U.S. Department of Labor, Office of Inspector General, has participated in this multi-agency investigation to ensure that union workplaces are free from the influence of organized crime and to ensure that worker health plans are protected.” [USAO E.D.N.Y. 6/4/02]


Union Corruption Update is made possible by the generous contributions from readers like you. NLPC, PO Box 6821, Falls Church, VA 22040. Thank you. Union Corruption Update is part of NLPC's Organized Labor Accountability Project which is investigating and exposing corruption 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.

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 (http://www.nlpc.org).  Also available is a union-by-union and state-by-state index of all Union Corruption Update articles. If you have story ideas or suggestions for future editions of Union Corruption Update, please email NLPC at nlpc@nlpc.org.  Thank you.
 
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