New York Union Boss Arrested, Kickbacks Exceed $700K

New York Union Boss Arrested, Kickbacks Exceed $700K

United States attorney Loretta E. Lynch:   Hector Lopez turned the union members’ benefits fund into “a personal piggy bank, lining his pockets with the fruits of their labors.” The former boss of an International Union of Painters and Allied Trades (IUPAT) union local in Long Island City, Queens, was arrested on Tuesday and accused of abusing his position through a host of illegal schemes, including taking hundreds of thousands of dollars in kickbacks from a company he contracted to run the union’s health benefits plan, the New York Times reports: Hector Lopez, the former president of Local 8a-28a, which represents metal polishers, sign painters and other tradespeople, set up an elaborate money-laundering operation involving several companies that funneled secret payments to him, according to a 29-page indictment that was unsealed in Federal District Court in Brooklyn. In the most serious kickback scheme, Mr. Lopez, 54, is accused of accepting $740,000 over a seven-year period in exchange for guaranteeing one company the contract to administer the union’s benefits fund. The indictment did not name Mr. Lopez’s alleged accomplices or the names of the companies involved.

SEIU Racketeering

SEIU Racketeering

Breitbart reports on a number of nursing homes in the Northeast are fighting back against the SEIU: HealthBridge Management and CareOne, related companies that own and operate nursing homes in Connecticut, Massachusetts, New Jersey, and two other states, filed a lawsuit on Wednesday against the New England Health Care Employers Union, also known as Service Employees International Union (SEIU) 1199NE, and United Healthcare Workers East, also an affiliate of SEIU. The lawsuit claims the unions violated the Racketeer Influenced and Corrupt Organizations (RICO) Act through the use of threats, sabotage, and intimidation in a “shake-down” to coerce the companies to accept union demands. The health care companies charge that SEIU’s use of the help of politicians and liberal activists to intimidate them amounted to criminal extortion. Approximately 600 SEIU members, from six nursing homes, have been striking since July over pay, health insurance benefits, and HealthBridge contributions to their pensions. HealthBridge hired 450 replacement workers, and, in addition, some strikers returned to work. HealthBridge claims that, for 17 months, the union made “untenable demands, while refusing to engage” in negotiations. In Connecticut, several politicians, including Gov. Dannel Malloy (D-WFP), Lt. Gov. Nancy Wyman (D-WFP), and Attorney General George Jepsen (D-WFP), walked picket lines with 1199NE employees in a show of support for the strike. In July of this year, Gov. Malloy accused HealthBridge Management of New Jersey of violating labor laws in its five branches in Connecticut. “This action is not about strikes, or union organizing, or collective bargaining,” claims the suit. “It is about a corporate campaign, endorsed and effectuated by Defendants and facilitated by the politicians they support, that is in its essence a shake-down by a lawless enterprise."

DNC on Hook (Literally) to SEIU

DNC on Hook (Literally) to SEIU

[media-credit name=" " align="alignright" width="218"][/media-credit]The Free Beacon has discovered that the Democratic National Committee (DNC) owes at least $8 million to a bank owned by one of the largest unions in the country, according to the committee’s most recent financial report. The DNC initiated an $8 million loan with the Amalgamated Bank of New York on Aug. 10, the report shows, accounting for the majority of the committee’s overall debt of $11 million. Amalgamated Bank, often described as “America’s Labor Bank,” is a national entity, the majority of which is owned by the Service Employees International Union (SEIU), a politically active union with deep ties to the Democratic Party. The SEIU is also involved with the Democracy Alliance, a shadowy group of wealthy left-wing donors founded by billionaire investor George Soros. The bank announced in an August press release that the DNC had “moved its primary banking relationship” to Amalgamated Bank, which would handle the committee’s “day-to-day banking needs.” The DNC had previously done most of its banking with Bank of America, which helped finance the Democratic convention in Charlotte. DNC chairwoman Debbie Wasserman Schultz hailed the transition to Amalgamated Bank, and noted the longstanding political and financial ties between the two organizations.

How the Teachers’ Union Robbed Chicago, Again

Writing at National Review, Joshua Culling looks at the details of the Chicago teachers deal: During the Democratic National Convention I wrote about a clear contrast between the policies of Illinois natives Barack Obama and Pat Quinn, and their Wisconsin counterparts, Paul Ryan and Scott Walker. We now have another anti-reformer to add to the Illinois column: Chicago mayor Rahm Emanuel. The seven-school-day Chicago Teachers Union strike was extensively covered across the country, as teachers walked out of the classroom after rejecting a deal with the city that would have paid them 16 percent more over four years, coupled with a slightly greater weighting of student performance in teacher evaluations. So far as I could tell, the union’s choice was overwhelmingly portrayed in a negative light, with even the New York Times editorial page calling the strike “unnecessary,” positing that union president Karen Lewis “seem[ed] to be basking in the power of having shut down the school system.” It was an opportunity for Emanuel to take a politically popular stand against union largesse while winning serious reforms for his city’s beleaguered budget. It is sad but true that when Democratic leaders push back against unions, they are applauded for moderation, or at least left alone by observers in the media. In 2011, Massachusetts governor Deval Patrick and an overwhelmingly Democratic legislature curbed collective bargaining to little fanfare. At the same time, Wisconsin governor Scott Walker pursued a similar path in Madison, but faced thousands of union protesters at his doorstep and the wrath of the New York Times and MSNBC.