On February 29, 2012, in the United States District Court for the Eastern District of Michigan, an information was filed against Paul Morales, former Treasurer of United Transportation Union (UTU) Local 1477 (located in Taylor, Mich.), charging him with one count of willfully failing to maintain union records for unauthorized cash withdrawals totaling $22,829.39. The charge follows an investigation by the OLMS Detroit District Office.
On February 28, 2012, in the United States District Court for the Central District of Illinois, Mary Lynn Otten, former Secretary-Treasurer of Musicians Local 26 (located in Peoria, Ill.), was sentenced to two years of probation and was ordered to pay $5,032.50 in restitution and a $25 special assessment. On November 15, 2011, Otten pled guilty to filing a false report, in violation of 29 U.S.C. 439(b). The sentencing follows an investigation by the OLMS Chicago District Office.
On February 27, 2012, in the United States District Court for the Eastern District of New York, Francis Mazzella, employer for members of Painters Local 8A-28A (located in Long Island City, N.Y.), waived indictment and pled guilty to a two-count information charging Conspiracy to Commit Wire Fraud and Mail Fraud, in violation of 18 U.S.C. 1349 and 18 U.S.C. 371. The plea follows an investigation by the OLMS New York District Office.
On February 24, 2012, in the United States District Court for the Western District of Washington, Poutoa Tuiolemotu, former Financial Secretary for Glass, Molders, Pottery, Plastics and Allied Workers (GMP) Local 50 (located in Seattle, Wash.), was sentenced to one year of probation, 90 days of home confinement, and was ordered to pay restitution totaling $17,250. Tuiolemotu was charged with one count of 29 U.S.C. 501(c) for knowingly and willfully embezzling labor union funds. The sentencing follows an investigation by the OLMS Seattle District Office.
On February 24, 2012, in the United States District Court for the Southern District of Ohio, Zeffrey Tibbs, spouse of Marqueeta Tibbs, former office secretary for Carpenters Local 437 (located in Portsmouth, Ohio), pled guilty to one count of conspiracy to embezzle union finds in the amount of $84,903, in violation of 18 U.S.C. 371. Zeffrey Tibbs was indicted on September 21, 2011. The plea follows an investigation by the OLMS Cincinnati District Office.
On February 24, 2012, in the United States District Court for the Southern District of West Virginia, Freda Hensley, former President of Steelworkers Local 8-14505 (located in West Logan, W.Va.), was sentenced to five years of probation with the first six months served in home confinement. She was also ordered to pay restitution of $36,489.68 at $100 a month. On October 17, 2011, Hensley pled guilty to one count of embezzling union funds, in violation of 29 U.S.C. 501(c). The sentencing follows an investigation by the OLMS Pittsburgh District Office.
On February 23, 2012, in the United States District Court for the Northern District of Ohio, Western Division, an information was filed charging Laura Dixon, former office secretary for the Ohio and Vicinity Regional Council of Carpenters (located in Cleveland, Ohio), with one count of embezzlement in the amount of $170,216, in violation of 29 U.S.C. 501(c). The information follows a joint investigation by the OLMS Cleveland District Office and the Department of Labor’s Office of Inspector General.
On February 23, 2012, in the Morgan County Circuit Superior Court of Indiana, Cynthia Collier, former Secretary-Treasurer of Carpenters Local 2177 (formerly located in Scottsburg, Ind.), pled guilty to theft in the amount of $2,053, in violation of Indiana Code 35-43-4-2(a). Collier was previously charged with theft on August 5, 2011. Collier’s sentencing is scheduled for March 29, 2012. The plea follows an investigation by the OLMS Cincinnati District Office.
On February 21, 2012, in the United States District Court for the District of Massachusetts, Roody Lespinasse, former Treasurer of Steelworkers Local 04-421 (located in Brockton, Mass.), pled guilty to one count of willfully failing to maintain union records, in violation of 29 U.S.C. 439(a). On February 21, 2012, an information was filed charging Lespinasse with the same crime. Lespinasse agreed to make restitution in the amount of $20,818. The plea follows an investigation by the OLMS Boston District Office.
On February 21, 2012, in the Green Lake County Wisconsin Circuit Court, Nancy Kumbier, former President and Treasurer of National Association of Letter Carriers (NALC) Branch 1144 (located in Berlin, Wis.), was sentenced to 12 months of probation and was ordered to pay $3,505 in restitution. On the same date, Kumbier entered an Alford plea for one count of theft in a business setting of between $2,500 and $5,000. The sentencing follows an investigation by the OLMS Milwaukee District Office.
On February 21, 2012, in the New York State Court for New York County, Neil Cardoso, former President of American Postal Workers Union (APWU) Local 1241 (located in Long Island City, N.Y.), was indicted with a charge of Grand Larceny in the Second Degree, P.L. 155.40 (1) for allegedly using an ATM card to make unauthorized withdrawals of approximately $75,000 in cash from the union’s account. Cardoso was arrested on February 28, 2012 by investigators from the Manhattan District Attorney’s Office and arraigned on March 2, 2012. The indictment follows an investigation by the OLMS New York District Office.
On February 20, 2012, in the General Court of Justice, Superior Court Division for the State of North Carolina, County of Durham, Terry L. Wagner, former Secretary-Treasurer of American Federation of Government Employees (AFGE) Local 2923 (located in Durham, N.C.), was indicted for embezzlement totaling between $7,312 and $7,845. The indictment follows an investigation by the OLMS Nashville District Office.
On February 17, 2012, in the United States District Court for the Middle District of Pennsylvania in Harrisburg, Brandon Borders, former Secretary-Treasurer of United Transportation Union (UTU) Local 997 (located in Camp Hill, Pa.), was sentenced to eight months of home confinement followed by 24 months of probation. He was also ordered to pay a fine of $2,000 and a $100 special assessment. Borders had already paid restitution of $12,551.16. On September 23, 2011, Borders pled guilty to one count of embezzlement. The sentencing follows an investigation by the OLMS Philadelphia District Office.
On February 17, 2012, in the United States District Court for the Eastern District of Arkansas, Steven Boyles, former Secretary-Treasurer of American Postal Workers Union (APWU) Local 189 (located in Little Rock, Ark.), was sentenced to one year of probation, 100 hours of community service, and was ordered to pay a $100 assessment and a $2,500 fine. On September 7, 2011, Boyles pled guilty to wire fraud, in violation of 18 U.S.C. 1343, a Class C Felony. The sentencing follows an investigation by the OLMS Dallas District Office and the United States Postal Service’s Office of Inspector General.
On February 17, 2012, in the United States District Court for the Eastern District of California, Robert L. Carr, former Financial Secretary-Treasurer and Business Manager of Plumbers Local 228 (located in Yuba City, Calif.), and his wife Theresa A. Carr, each pled guilty to one count of conspiracy to misappropriate labor union funds, in violation of 18 U.S.C. 371, and two counts of misappropriation of labor union funds, in violation of 29 U.S.C. 501(c). Robert and Theresa Carr agreed to pay restitution totaling $120,000 and asked the court for a 30-month and 3-month sentence, respectively. The pleas follow an investigation by the OLMS San Francisco District Office, the Department of Labor’s Office of Inspector General, and the U.S. Postal Inspection Service.
On February 16, 2012, in the United States District Court for the Southern District of New York, John McNamee, former President and Secretary-Treasurer of Stage & Picture Operators Local 829 (located in New York, N.Y.), was arrested following the filing of a criminal indictment for embezzling approximately $240,000 in union funds and filing false reports, in violation of 29 U.S.C. 501(c) and 29 U.S.C. 439(b). From January 2004 through February 2011, McNamee is alleged to have used the union’s corporate credit cards to make personal charges. The arrest and charge follow an investigation by the OLMS New York District Office.
On February 15, 2012, in the United States District Court for the Western District of Pennsylvania, Thomas Conley, former President and Vice President of Amalgamated Transit Union (ATU) Local 1738 (located in Latrobe, Pa.), was charged in a two-count indictment for embezzling $15,432.26 in union funds and falsifying union records. The indictment follows an investigation by the OLMS Pittsburgh District Office.
On February 14, 2012, in the United States District Court for the Western District of New York, Guy Masocco, former President of Steelworkers Local 897 (located in Cheektowaga, N.Y.), was sentenced to 10 months of home confinement, three years of probation, and was ordered to pay $31,701 in restitution. On August 29, 2011, Masocco pled guilty to embezzling from his union. The sentencing follows an investigation by the OLMS Buffalo District Office.
On February 14, 2012, in the United States District Court for the Southern District of Ohio, Claude Huff, former Business Manager/President of Amalgamated Transit Union (ATU) Local 1385 (located in Dayton, Ohio), was indicted on one count of embezzlement in an amount exceeding $100,000, in violation of 29 U.S.C. 501(c). The indictment follows an investigation by the OLMS Cincinnati District Office.
On February 9, 2012, in the United States District Court for the District of New Jersey, Jose M. Rivera, former President and Treasurer of United Transportation Union (UTU) Local 710 (located in Newark, N.J.), was sentenced to three years of probation and was ordered to pay the remaining balance of restitution. The sentencing follows a guilty plea by Rivera regarding one count of accepting an illegal loan as an officer from a union over $14,000. The sentencing follows an investigation by the OLMS New York District Office.
On February 7, 2012, in the United States District Court for the Western District of Pennsylvania, Curtis Reed, a former staff representative of the Steelworkers, AFL-CIO (located in Pittsburgh, Pa.), was charged in a one-count indictment for embezzling $3,694.32 in union funds, in violation of 29 U.S.C. 501(c). The charge follows an investigation by the OLMS Pittsburgh District Office.
On February 7, 2012, in the United States District Court for the Western District of Pennsylvania, Robert Misuraca, a former staff representative of the Steelworkers, AFL-CIO (located in Pittsburgh, Pa.), was charged in a one-count indictment for embezzling $17,566.21 in union funds, in violation of 29 U.S.C. 501(c). The charge follows an investigation by the OLMS Pittsburgh District Office.
On February 6, 2012, in the Polk County, Minnesota Circuit Court, Michelle Jean Nelson, former President of Communications Workers of America (CWA) Local 7272 (located in Erskine, Minn.), was sentenced to 45 days of confinement, 10 years of probation, and was ordered to pay restitution of $4,634.22, a $100 fine, and $160 in special assessments and fees. On November 4, 2011, Nelson pled guilty to theft by false representation. The sentencing follows an investigation by the OLMS Milwaukee District Office and the OLMS Minneapolis Resident Investigator Office.
On February 6, 2012, in the Kandiyohi County, Minnesota District Court, Cherity Perez, former Secretary-Treasurer of American Postal Workers Union (APWU) Local 631 (located in Willmar, Minn.), pled guilty to theft, in violation of Minnesota State Statute 609.52.2(1). The plea follows an investigation by the OLMS Minneapolis Resident Investigator Office.
On February 2, 2012, in the United States District Court for the Eastern District of Michigan, Carol Wethington, former Secretary-Treasurer of Plant Protection Local 103 (located in Dearborn, Mich.), pled guilty to making false entries in union records, in violation of 29 U.S.C. 439(c). Wethington was charged with the same offense in a one-count information on September 20, 2011. The plea follows an investigation by the OLMS Detroit District Office.
On February 1, 2012, in the United States District Court for the Western District of Missouri, Kelly Dull, former President of American Federation of Government Employees (AFGE) Local 2904 (located in Kansas City, Mo.), pled guilty to one count of wire fraud in the amount of $32,118.66, in violation of 18 U.S.C. 1343. The plea follows an investigation by the OLMS Kansas City Resident Investigator Office.
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Criminal Enforcement Actions 2012
An indictment is a formal accusation or charge based on a finding by a Grand Jury that it is likely that the person charged committed the criminal offense described in the indictment and is the means by which an accused person (defendant) is brought to trial. An indictment raises no inference of guilt. As in all criminal cases, each defendant is presumed innocent until proven guilty beyond a reasonable doubt.
An information is a formal accusation of a crime by a government attorney rather than a Grand Jury. An information raises no inference of guilt. As in all criminal cases, each defendant is presumed innocent until proven guilty beyond a reasonable doubt.
A charge is an accusation of criminal activity and raises no inference of guilt. As in all criminal cases, each defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Each count is a separate and distinct offense charged in an indictment or information.
A guilty plea is a defendant’s admission to the court that he or she committed the offense charged and an agreement to waive the right to a trial.
A conviction is a judgment based on a jury’s verdict, judge’s finding, or the defendant’s admission that the defendant is guilty of the crime charged.
A sentence is a judicial determination of the punishment to be imposed on an individual who has plead guilty or has been convicted by a jury or judge of a criminal offense.
Source: Office of Labor-Management Standards (OLMS)
