IAM CORRUPTION AND FEDERAL CONVICTIONS FOR
               STEALING MEMBERS FUNDS
  

IAM is regarded as one of the most corrupted unions in the country! Here in California and around the nation, IAM officials have been indicted, tried and convicted. Below are just a mere example of a few cases. There are far more convictions and federal indictments.

Guilty! On September 3, 2013, in the United States District Court, Bonnie Nixon, former Secretary Treasurer of International Association of Machinists and Aerospace Workers (IAMAW) Local Lodge W443, was sentenced to three years of probation, including six months of home confinement, for embezzling union funds, in violation of 29 U.S.C. 501(c). Nixon was also ordered to pay restitution in the amount of $16,368.

Guilty! On February 20, 2013, in the United States District Court, Robert Stephenson, former Secretary Treasurer of Machinists Local 2903, was sentenced to one year of supervised probation including six months of home confinement and was ordered to pay a $3,000 fine. On November 13, 2012, Stephenson pled guilty to one count of filing false reports, in violation of 29 U.S.C. 439(b), by failing to disclose over $18,000 of union funds that he disbursed for his personal use.

Guilty! On December 17, 2012, in the United States District Court, Mark Morgan, former Secretary-Treasurer of Machinists Lodge 2584, was sentenced to three years of probation including eight months of home detention with electronic monitoring. Morgan was also ordered to pay $17,616.70 in restitution and a $100 special assessment. On August 20, 2012, Morgan pled guilty to one count of embezzling union funds, in violation of 29 U.S.C. 501.

Guilty! On October 12, 2012, in the United States District Court, former office secretary, Rachel Lanham for Machinists District Lodge 34, was sentenced to six months of home confinement followed by three years of supervised release. Lanham was also ordered to make full restitution in the amount of $104,867.45 and pay a $100 special assessment. On June 30, 2012, Lanham pled guilty to one count of embezzlement, in violation of 29 U.S.C. 501.

Guilty! On September 20, 2012, in the United States District Court, Renita Dompier, former Secretary-Treasurer of Machinists Local Lodge 283, was sentenced to one year of probation including six months of home detention with electronic monitoring. Dompier was also ordered to pay $11,793.89 in restitution and a $100 special assessment. Dompier pled guilty to one count of embezzling union funds in the amount of $8,725.99, in violation of 29 U.S.C. 501.

Guilty! On September 20, 2012, in the United States District Court, Jeff Agee, former business representative for Machinists Lodge 10, was sentenced to 180 days of home confinement, three years of supervised release, and was ordered to pay a $2,000 fine and a $100 special assessment. Agee had previously paid full restitution of $26,139.13. On May 10, 2012, Agee pled guilty to one count of embezzling union funds, in violation of 29 U.S.C. 501.

Guilty! On January 23, 2012, in the United States District Court for the Eastern District of California, Tracy Ford, former Secretary-Treasurer of Machinists Lodge 1528 (located in Modesto, Calif.), was sentenced to five years of probation which includes 10 months of home detention with electronic monitoring (with the exception of work). Ford was ordered to pay $174,100 in restitution and a $125 special assessment. On September 2, 2011, Ford pled guilty to one count of embezzling union funds, in violation of 29 U.S.C. 501(c) and one count of 29 U.S.C. 439(b).

Guilty! On December 9, 2011, in the United States District Court, Stephen Koski, former Secretary-Treasurer of Machinists Lodge 1027, was sentenced to one year probation and was ordered to pay a $500 fine for embezzling union funds. On the day of sentencing, Koski paid full restitution of $1,517.04.

Guilty! On November 3, 2010, in the United States District Court for the District of Nevada, Hugo Vargas, former Secretary Treasurer of International Association of Machinists (IAM) Lodge 845, was sentenced to 13 months in prison followed by three years supervised release, and he was ordered to pay restitution in the amount of $106,293.59 and an assessment fee of $100. On August 2, 2010, Vargas pled guilty to one count of embezzling union funds. The sentencing follows an investigation by the OLMS San Francisco District Office.

   
 

IAM UNION VOTING ON PENSION REFORM - Thurs August 16, 2012 by Harry Saltzgaver, Exec Editor Long Bch, CA: Gazette Newspaper

City Manager Pat West said that if the new contract is approved, it would save $3.9 million in the city's general fund in the coming year, and $12 million over all funds...  Under the new contract, IAM members...

 

AFTER AGREEMENT, LONG BEACH BECOMES LARGEST CITY IN CALPERS TO ACHIEVE FULL PENSION REFORM
- October 18, 2013 Signal Tribune

With these final agreements, Long Beach has achieved full pension reform, with all City employees paying their full share of pension costs, making Long Beach the largest California Public Employees' Retirement System (CalPERS) city to achieve this milestone, according to a press release issued by the City.

 

STREET SWEEPERS TARGET FOR PRIVATE FIRM CONTRACT
- by Harry Saltzgaver, Exec Editor Long Bch, CA: Gazette Newspaper

Street sweeping was one of the city services targeted for potential privatization last year...  Also noted in the staff report is the fact that Athens handles trash and recycling pickup in 21 cities. While there is no comment in this report about contracting out either trash or recycle pickup...

 

CITY OF LONG BEACH LABOR DISPUTE WITH IAM CONTINUES
- December 4, 2012 by Joshua H. Silavent, Staff Writer, Long Beach Business Journal

"We're willing to give the city the pension reform that they're asking for, said IAM chief spokesperson Ray Rivera.
The Business Journal obtained a copy of the latest IAM proposal, which includes an agreement for members to pick up the full 8 percent of CalPERS retirement contributions. In addition, it proposes an adjusted compensation formula for new employees, which includes raising the retirement age to 62 from 55.

 

LONG BEACH SAYS IT HAS ACHIEVED TOTAL PENSION REFORM
- October 16, 2013 by Christine Mai-Duc, Los Angeles Times

"Since 2007, the city has eliminated 786 positions and slashed $134 million from its general fund...Employees covered under the new contracts will now contribute 8% of their salary into CalPERS, an increase from the 2%"

 

UNREST PUTS NATIONAL SPOTLIGHT ON MACHINISTS' LEADERSHIP
- December 10, 2012 by Lydia Depillis, The Washington Post

"The International Association of Machinists and Aerospace Workers (IAM) will have to rerun its elections.

The labor movement has a lot of challenges forced upon it by economic conditions. Rigid, entrenched leadership is one that it's brought upon itself.

 
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