September 14, 2019

DONALD'S NEXT LABOR SECRETARY?:

UAW presidents Gary Jones, Dennis Williams implicated in federal probe (Robert Snell, Daniel Howes and Ian Thibodeau, 9/12/19, The Detroit News0

United Auto Workers President Gary Jones is an unnamed union official accused in a federal criminal case Thursday of helping orchestrate a years-long conspiracy that involved embezzling member dues and spending the money on personal luxuries, three sources told The Detroit News.

In the criminal case, federal authorities identified four current and former senior officials as complicit in the embezzlement scheme. The government did not use their names but used labels to identify the union leaders, including "UAW Official A" and "UAW Official B," and detailed numerous instances of misspending on golf, golf equipment, cigars, months-long rentals at private villas and falsified expense reports.

Multiple sources told The News that "UAW Official A" is Jones and "UAW Official B" is former President Dennis Williams. The sources spoke only on the condition that they were not publicly identified because they are not authorized to speak about the investigation.

In outlining its case, federal officials provided the most detailed accounting to date of how Jones' former aide, UAW Region 5 Director Vance Pearson, and the unnamed union officials defrauded the union by using fraudulent expense reports for items during prolonged stays in luxury Palm Springs villas. Those visits lasted days, weeks and even months beyond the union's official business purpose for being in the desert oasis.

Pearson made an initial appearance in a Missouri federal court Thursday to face charges that include embezzling union funds, mail and wire fraud and money laundering.

The criminal case outlined a pattern of corruption stretching from California to Detroit and illegal spending by union leaders who spent more than $1 million of member dues on Palm Springs villas, steakhouse dinners, 107 rounds of golf, golf gear, cigars and $400 bottles of Louis Roederer Cristal Champagne.

Posted by at September 14, 2019 10:21 AM

  

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