Officials Sentenced

Office of Labor-Management Enforcement

The Office of Labor-Management Standards (OLMS) conducts both civil and criminal investigations of alleged violations of the Labor-Management Reporting and Disclosure Act (LMRDA) and related laws.

These investigations by OLMS District Offices involve issues such as embezzlements of union funds, union officer elections, the filing of required reports by unions and others with OLMS, and the imposition of trusteeships over subordinate unions by a parent body. These investigations may result in legal enforcement actions.

Date	Description
July 27th, 2006	On July 27, 2006, in the United States District Court for the Eastern District of New York, Anthony DeGennaro, former representative for Elevator Constructors, Local 1, and primary witness in the trial against Local 1 Executive Vice President Charles Novak, and Susan DeGennaro, wife of Anthony DeGennaro, were each sentenced to three years probation and ordered to make restitution to defrauded contractors and employee benefit plans affiliated with the local for their roles in the no-show job scheme concerning the New York City Metropolitan Transit Authority's building at 2 Broadway. Anthony DeGennaro was ordered to pay $924,428 in restitution to the defrauded contractors, $398,000 in forfeiture payments to affiliated benefit plans, and a $400 special assessment. Additionally, Anthony DeGennaro was barred from holding union office or other similar positions identified in the LMRDA for a period of up to 13 years. Susan DeGennaro was ordered to pay $44,694 in restitution to the defrauded contractors, $189,000 in forfeiture payments to affiliated benefit plans, and a $200 special assessment. The sentencings follow a joint investigation by the OLMS New York District Office, the Employee Benefits Security Administration, the FBI, and the IRS.
July 27th, 2006	On July 27, 2006, in the United States District Court for the Eastern District of New York, Edward Lynch and Richard Brady, members of Elevator Constructors, Local 1, were each sentenced to three years probation and ordered to make restitution to defrauded contractors and employee benefit plans affiliated with the local for their roles in the no-show job scheme. Lynch was ordered to pay $197,256 in restitution to the defrauded contractors, $65,401 in forfeiture payments to affiliated benefit plans, and a $200 special assessment. Brady was ordered to pay $67,165 in restitution to the defrauded contractors, $19,000 in forfeiture payments to affiliated benefit plans, and a $200 special assessment. Both Lynch and Brady were barred from holding union office or other similar positions identified in the LMRDA for a period of up to 13 years. The sentencings follow a joint investigation by the OLMS New York District Office, the Employee Benefits Security Administration, the FBI, and the IRS.
July 25th, 2006	On July 25, 2006, in the United States District Court for the Eastern District of New York, Robert Dunbar, member of Elevator Constructors, Local 1, was sentenced to three years probation for making false statements in the course of the investigation of the no-show job scheme. The sentencing follow a joint investigation by the OLMS New York District Office, the Employee Benefits Security Administration, the FBI, and the IRS.
July 19th, 2006	On July 19, 2006, in the United States District Court for the Eastern District of New York, Robert Bull, Edward Connelly, John Quinn, and John Mills, members of Elevator Constructors, Local 1, were each sentenced for their parts in an operator no-show scheme concerning numerous contractors throughout New York City. The four defendants were each sentenced to three years probation and ordered to pay a $200 special assessment. Additionally, Mills and Connelly were barred from holding union office or other similar positions identified in the LMRDA for a period of up to 13 years following the date of sentencing or release from imprisonment, whichever is later. The sentencing follows a joint investigation by the OLMS New York District Office, the Employee Benefits Security Administration, the FBI, and the IRS.
July 17th, 2006	On July 17, 2006, and on July 6, 2006, in the United States District Court for the Eastern District of New York, Timothy Grimm and Thomas Harrington, members of Elevator Constructors, Local 1, were each sentenced for their parts in an operator no-show job scheme involving the local. On July 17, 2006, Grimm, who previously pled guilty to conspiracy, making false ERISA statements, money laundering, and unlawful labor payments, was sentenced to three years probation, ordered to make restitution to defrauded contractors affiliated with the project in the amount of $44,694.97, pay an order of forfeiture to benefit plans affiliated with the local in the amount of $26,829, pay a $200 assessment, and provide 200 hours of community service. On July 6, 2006, Thomas Harrington, who previously pled guilty to an information charging him with conspiracy to extort, was sentenced to three years probation and ordered to make restitution to defrauded contractors in the amount of $50,000. The sentencings follow a joint investigation by the OLMS New York District Office, the Employee Benefits Security Administration, the FBI, and the IRS.