BOLD STATEMENT!! LET'S SEE IF THEY ARE SINCERE SHALL WE
SPEAKING OF .....
"THE BIGGEST THREAT TO ORGANIZED LABOR IS PROVING TO BE UNIONS THEMSELVES"
Today a federal jury convicted a North Carolina couple, a Missouri
man, and an Ohio man in relation to a scheme involving theft of
union-member dues through the award of no-show jobs, lavish travels and
dinners charged to the union, unearned vacation payouts, and an
unauthorized $7 million loan made to a union-related bank.
The
jury convicted Newton Jones, 72, of Chapel Hill, North Carolina, the
former President of the International Brotherhood of Boilermakers, Iron
Ship Builders, Forgers, and Helpers (Boilermakers Union), his wife
Kateryna Jones, 33, of Chapel Hill, and the former Secretary Treasurer,
William Creeden, 78 of Kearney, Missouri, of violation of the
Racketeering Influenced Corrupt Organization (RICO) Act. Those
defendants, as well as one of the Boilermaker Union’s former Vice
Presidents, Lawrence McManamon, 78, of Rocky River, Ohio were convicted
of embezzlement from the Union through various means, including:
- Taking elaborate foreign trips that were not related to Union business
- Charging personal expenses to the Union, including shopping trips and dinners out –
- Paying or overpaying unearned salary and relocation expenses for Newton Jones’s family members –
- Paying out of unearned vacation –
- Paying for unauthorized surveillance of Union employees
- Making an unlawful $7M loan to a bank at which Newton Jones and Creeden were employed
- Theft from the Union retirement plan –
- Health care fraud relating to unearned benefits provided to Kateryna Jones –
- Wire
fraud relating to failure to disclose required payments, outside
employment, and conflicts of interest
“The
Boilermakers Union members were supposed to get representation out of
their hard-earned money used to pay union dues,” said Assistant Attorney
General A. Tysen Duva of the Justice Department’s Criminal Division.
“What they got instead is their money wasted on lavish trips and
dinners, and unearned vacation payouts for the union leadership. Union
dues must be handled with care and used for the benefit of the dues
paying members. Union leadership that steals from the American worker
will face prosecution, conviction, and prison time.”
“The absolute
hubris and entitlement with which these defendants stole from American
workers is disgraceful,” said U.S. Attorney Ryan A. Kriegshauser for the
District of Kansas. “While union members were faithfully clocking-in
and out of their jobs, these defendants thought they were unaccountable
and were callously gallivanting on extravagant trips that spared no
expense. With these convictions comes a reckoning, and we will be asking
the Court to hold these defendants accountable for their criminal
conduct and impose appropriate sentences of incarceration.”
“By
using union funds for their private benefit, the fraud committed by
these defendants strikes at the very confidence union members place in
their leaders to represent their interests,” said Special Agent in
Charge Chris Omerod of the FBI Kansas City Field Office. “The evidence
presented in trial demonstrated an elaborate and willful deceit of the
Boilermakers Union to fund the lavish lifestyle of their former leaders.
The FBI will not tolerate this level of financial exploitation against
hard working Americans.”
“These union officials clearly violated
LMRDA fiduciary requirements with their excessive and extravagant
spending and caused great harm to their organization and its members,”
said Department of Labor (DOL) Office of Labor-Management Standards
Director Elisabeth Messenger. “The conviction of these individuals
serves as a strong warning to those who abuse their responsibilities
that such violations of union members’ trust will lead to serious
repercussions. The department’s new reporting requirements for large
unions will go a long way in protecting the financial integrity of labor
unions.”
“Investigating corruption and ensuring the financial
integrity of private health and pension plans, including union plans, is
a priority for EBSA,” said DOL Employee Benefits Security
Administration Assistant Secretary Daniel Aronowitz. “In this case,
Boilermakers officials put their own interests first and misused funds
entrusted to them to provide retirement and health benefits for union
members and their families. EBSA will pursue those who engage in
criminal schemes to defraud private sector benefit plans. We are very
pleased to have had the opportunity to work collaboratively with our law
enforcement partners.”
According to evidence presented at trial,
over a 15-year period, the defendants, led by Newton Jones and Creeden,
embezzled the funds of the Boilermakers Union including:
- Over $5 million in unnecessary luxury international travel;
- Nearly
$2 million in salary and benefits to Kateryna Jones and others for
no-show jobs, at which they were not required to work, including payment
of two years of salary to Kateryna Jones for a period when she resided
in Ukraine and was dating Newton Jones;
- Over $100,000 in tuition, rent, and relocation expenses for members of the family of Newton Jones;
- Hundreds of thousands of dollars in cash payments relating to fraudulently claimed vacation time;
- Over $100,000 in restaurant charges by Newton Jones and Kateryna Jones in their hometown;
- Money
spent in unauthorized email surveillance of union employees to defend
Newton Jones and McManamon from internal union charges; and
- $7
million in unauthorized loans from the Boilermakers Union to the bank
at which Newton Jones and Creeden had supposed full-time jobs that
required little work and were each paid nearly $500,000 per year while
they were also being paid a full-time salary from the union.
Trial
evidence showed that Newton Jones hired his wife Kateryna Jones for a
job in which she performed little to no work and received nearly $1.8
million in salary over the course of nine years. Newton and Kateryna
Jones also embezzled over $160,000 for date night meals in their
hometown of Chapel Hill. Newton Jones and William Creeden embezzled
hundreds of thousands of dollars in salary and benefits for three of
Newton Jones’ family members. These defendants also embezzled hundreds
of thousands of dollars in the form of improper vacation payouts.
In
addition, the couple embezzled millions of dollars in unnecessary and
lavish international travel from the dues of union members, including
conducting executive meetings for no apparent purpose in extravagant
hotels in cities like Paris, France and Rome, Italy.
Creeden and Newton Jones also used their executive positions in the
Boilermakers Union to obtain high-level positions at the Bank of Labor,
where the union is the majority shareholder. Earning a full-time salary
at the bank while supposedly working full-time at the union, Jones and
Creeden were paid nearly $4 million in salary and $1.4 million in
retirement benefits from the bank.
A sentencing date has been set
for Sept. 1. Lawrence McManamon faces a maximum of penalty of five years
in prison on each count. William Creeden, Newton Jones, and Kateryna
Jones each face a maximum penalty of 20 years in prison. A federal
district court judge will determine any sentence after considering the
U.S. Sentencing Guidelines and other statutory factors.
The Department of Labor and the FBI investigated the case.
Senior
Litigation Counsel Vincent Falvo and Trial Attorney Alexandra Swain of
the Criminal Division’s Violent Crime and Racketeering Section and
Assistant U.S. Attorneys Faiza Alhambra and Jabari Wamble for the
District of Kansas prosecuted the case.
"UNION LEADERSHIP THAT STEALS FROM THE AMERICAN WORKER"
IS THIS LEGIT OR JUST THE FINAL CHAPTER OF THE BUMBLE JOE BIDEN VENDETTA AGAINST THE BOILERMAKERS
THE BOILERMAKERS UNION DID NOT ENDORSE BIDEN AND HIS "CREW".
IT APPEARS THE BOILERMAKERS DID NOT LINE BIDEN'S POCKETS AND THEN
CALLED HIM OUT FOR LYING WHEN HE CLAIMED THEY DID ENDORSE HIM.......
SUDDENLY THE DEPARTMENT OF JUSTICE PURSUES A CASE AGAINST THE BOILERMAKERS UNION
BUT IT APPEARS TO BE HANDS OFF THE UBC CORRUPTION AND UBC CRIMINAL
ENTERPRISE
WE HAVE A WEALTH DOCUMENTED PROOF THAT CASH MCCARRON AND OTHER UBC INTERNATIONAL RATS ARE GUILTY OF THE SAME ALLEGATIONS LISTED AGAINST JONES AND THE REST.LET'S SEE WHAT THE DOJ DOES WITH THE INFORMATION
OH LOOK..THERE IS DOUGY'S KID NO SHOW CAR DANCER MIKEY MCCARRON
