NCJ Number
46897
Date Published
1978
Length
18 pages
Annotation
THE MAGNITUDE OF ORGANIZED CRIME'S INVOLVEMENT IN LABOR-MANAGEMENT RACKETEERING AND THE REQUIREMENTS OF AN EFFECTIVE PROGRAM TO COMBAT THIS PROBLEM ARE DISCUSSED.
Abstract
THE ATTORNEY GENERAL HAS PUBLICLY IDENTIFIED LABOR-MANAGEMENT RACKETEERING AS A PRIORITY AREA FOR STRIKE FORCE INVESTIGATIONS BECAUSE OF ITS SERIOUSNESS NATIONWIDE. THE KINDS OF CRIMINAL ACTIVITY INCLUDED INVOLVE 'NO-SHOW' OR GHOST EMPLOYEES WHO ARE OFTEN ORGANIZED CRIME MEMBERS, KICKBACKS TO TRUSTEES OF PENSION FUNDS IN RETURN FOR BAD INVESTMENT LOANS, PAYOFFS TO UNION OFFICIALS BY EMPLOYERS, EMBEZZLEMENTS FROM UNION TREASURIES, AND CORRUPT BUSINESSMEN WHO CONSPIRE WITH CORRUPT UNION OFFICIALS TO DEPRIVE WORKERS OF THEIR JUST WAGES. SUCCESSFUL PROSECUTIONS OF 11 CASES INVOLVING MANAGEMENT-LABOR RACKETEERING ARE PRESENTED TO ILLUSTRATE THE EXTENT AND SERIOUSNESS OF THE PROBLEM. MANY OF THESE RESULTED IN MULTIPLE CHARGES AGAINST TOP UNION MEMBERS OFTEN COVERING WIDE REGIONS OF THE UNITED STATES. THE STRIKE FORCE PROGRAM INVOLVES COOPERATION BETWEEN DEPARTMENT OF JUSTICE ATTORNEYS AND INVESTIGATIVE PERSONNEL FROM 13 FEDERAL AGENCIES CHARGED WITH CONDUCTING CRIMINAL INVESTIGATIONS. THESE INCLUDE THE OFFICE OF LABOR-MANAGEMENT STANDARDS ENFORCEMENT AND THE DEPARTMENT OF LABOR. HOWEVER, FOR A NUMBER OF REASONS, MANPOWER SUPPLIED BY THE DEPARTMENT OF LABOR HAS BEEN BELOW THAT PROMISED. EFFORTS ARE BEING STEPPED UP TO INCREASE DEPARTMENT OF LABOR PERSONNEL ON THE STRIKE FORCE. THE LACK OF INVESTIGATIVE PERSONNEL FROM THE DEPARTMENT OF LABOR HAS BEEN A SERIOUS HANDICAP WHICH HAS NOT BEEN OVERCOME, EVEN BY FEDERAL BUREAU OF INVESTIGATION (FBI) ASSISTANCE. IN ADDITION, THE FBI HAS NEITHER THE AUTHORITY NOR THE RESOURCES TO TAKE OVER THE ENTIRE LABOR INVESTIGATIVE BURDEN. ALTHOUGH ORIGINALLY THE DEPARTMENT OF LABOR PLANNED TO LIMIT ITS STRIKE FORCE PARTICIPATION FOR FISCAL YEAR 1979 TO ONLY 15 LIAISON OFFICERS AND CONCENTRATE ON CIVIL INVESTIGATIONS UNDER THE EMPLOYEES RETIREMENT AND INCOME SECURITY ACT, A SERIES OF INTERDEPARTMENTAL MEETINGS HAS LED TO THE ESTABLISHMENT OF THE OFFICE OF SPECIAL INVESTIGATIONS WITHIN THE DEPARTMENT OF LABOR, WHICH WILL BE RESPONSIBLE FOR DEPARTMENT PARTICIPATION IN THE ORGANIZED CRIME PROGRAM. WHILE A NUMBER OF MANPOWER PROBLEMS STILL REMAIN UNRESOLVED, IT IS HOPED THAT BY FISCAL YEAR 1980 THERE WILL BE SUFFICIENT DEPARTMENT OF LABOR MANPOWER IN THE STRIKE FORCES TO CARRY OUT THE AMBITIOUS PROPOSED INVESTIGATIVE PLAN AGAINST LABOR-MANAGEMENT RACKETEERING.