Posts tagged fraud
Watchdogs say federal unemployment fraud likely topped $191 billion
February 9, 2023 // Michael Horowitz, chairman of the Pandemic Response Accountability Committee, told the House Ways and Means Committee that the fraud was not limited to U.S. residents. "One of the biggest challenges we have is following the fraud through overseas gang activity and fraudsters," Horowitz said. "The Secret Service has reported that they've seen that occur through entities in Nigeria, China, Russia. That will be our biggest challenge." U.S. Rep. Vern Buchanan, R-Florida, asked for an estimate of how much that type of fraud cost U.S. taxpayers. Horowitz said no such estimate was available.
Former union leader found guilty of fraud, other crimes
December 5, 2022 // Hawaii is the Aloha State, but union members of IBEW Local 1260 are not singing a happy tune: A jury found a former union leader guilty of fraud, money laundering, and embezzlement by misusing union dues. Brian Ahakuelo, a former union business manager and financial secretary, was found guilty of 68 charges to fund an extravagant and lavish lifestyle for himself and his family members. Marilyn Ahakuelo, Brian’s wife, was found guilty of 46 similar charges. Brian Ahakuelo placed five of his family members on union payroll, where each earned a six-figure salary, and used $80,000 in union dues to fund travel to Japan.
$11 billion was stolen from taxpayers in a massive fraud — will officials just ignore it?
November 28, 2022 // The Labor Department repeatedly blamed identity theft for its fraud problems — but the audit revealed it didn’t implement a system that could meaningfully curb identify theft until February 2021. Labor Department officials still can’t say how many fraudulent claims were paid or how long it took to detect them. Audits revealing incompetence and bad decisions aren’t uncommon. But DiNapoli’s team, to its lasting credit, found something worse: Labor Department officials had gone rogue, repeatedly misleading legislators and the public. When Labor Commissioner Roberta Reardon addressed lawmakers in January 2022, she said the department had “prevented over $36 billion from falling into the hands of criminals.” Auditors, however, found that claim couldn’t be substantiated.
Former President of Massachusetts State Police Union and Former Lobbyist Convicted of RICO, Fraud, Obstruction and Tax Charges
November 17, 2022 // Dana A. Pullman, 60, of Worcester, and Anne M. Lynch, 71, of Hull, were convicted following a 20-day jury trial of one count of racketeering conspiracy, one count of honest services wire fraud, three counts of wire fraud, one count of obstruction of justice and one count of conspiracy to defraud the Internal Revenue Service. Pullman was also convicted of two additional counts of wire fraud and two counts of aiding and assisting the filing of a false tax return. Lynch was convicted of an additional count of obstruction of justice and four counts of aiding and assisting in the filing of a false tax return. U.S. Senior District Court Judge Douglas P. Woodlock scheduled sentencing for March 8, 2023. Pullman and Lynch were arrested and charged in August 2019 and subsequently indicted by a federal grand jury in September 2019.
SBA OFFICIALS PLEAD IGNORANCE OF UNION RELATED COVID RELIEF FRAUD
October 19, 2022 // SBA’s Office of the Inspector General (OIG) released a report on Sept. 26, the stated objective of which was to “determine whether PPP loans to nonprofit organizations were made in accordance with eligibility requirements.” Since unions were categorically excluded from the program as 501(c)(5) nonprofits, and since the Freedom Foundation filed a formal complaint with the SBA OIG back in February based on its findings, the report would have been an excellent opportunity to address the issue. Unfortunately, the OIG report only analyzed more traditional 501(c)(3) nonprofits that may have been too large to qualify for PPP funds, leaving unions out of the analysis
Fighting For Workers Or Fleecing Them? An Ousted Honolulu Union Boss Faces His Reckoning
October 13, 2022 // In court filings, prosecutors describe a brazen abuse of power by a union leader and a stunning display of greed by a man accused of using union funds as a piggy bank for himself and his family. The feds say the family charged numerous personal expenses to the union and, when funds started to dwindle, rigged a union vote to raise dues against the wishes of the members. Ahakuelo and his family members have pleaded not guilty, and he said they all plan to take the stand. “It’s not true,” Ahakuelo said of the criminal charges in an interview with Civil Beat last week. “Some of the stuff will be, maybe, morally incorrect … However, it’s not criminal.”
Should Union-Backed Fraud Be Legal?
October 11, 2022 // Last week, the Ninth U.S. Circuit Court of Appeals issued rulings in cases brought by the Freedom Foundation alleging that government unions forged public employees’ signatures on membership agreements in order to continue deducting dues from their pay. Perhaps the most egregious of the decisions is found in Zielinski v. SEIU 503, in which SEIU forged Mr. Zielinski’s signature twice on two separate dues authorizations. These decisions essentially authorize government-employee unions to ignore the U.S. Supreme Court’s landmark 2018 ruling in Janus v. AFSCME by engaging in state-sanctioned fraud.
CDW ISSUES REPORT ON THE DANGERS OF ONLINE VOTING IN UNION REPRESENTATION ELECTIONS
July 12, 2022 // “Electronic voting is a system ripe for coercion, intimidation, and harassment. It violates workers’ privacy and makes it impossible for the NLRB to safeguard the election. Moreover, as the report notes, the National Mediation Board, several states, and various foreign countries have all shelved online voting programs because of costs and cybersecurity concerns. For these reasons, the Supreme Court, other federal courts, and the NLRB itself have all recognized that secret ballots are the best method for determining the will of the workers. Online Voting in Union Representation Elections: The Latest Attempt to Eliminate Workers’ Right to Secret Ballots, online voting,
Ex-Detroit Firefighter of the Year sentenced for embezzling $200K in union funds
May 26, 2022 // Verdine Day, 62, was sentenced to one year in prison and $220,043.65 in restitution to the DFFA, as well as two years of supervised release on her conviction for bank fraud as charged in an information filed by the U.S. Attorney’s Office.
Op-Ed: Big Labor fights dirty over control of Southeast port jobs
May 20, 2022 // Daggett and Co. are counting on pro-forced unionism bureaucrat Lauren McFerran, whom President Joe Biden elevated to the NLRB chairmanship last year, and two other NLRB members selected by Biden last year to sit on this case while they continue to break the law. If top ILA union bosses turn out to be right about the NLRB, then the hybrid work model that has greatly enhanced the competitiveness of the major North Carolina, South Carolina, and Georgia ports will be in grave jeopardy.