Posts tagged misappropriation of funds
Chapter leaders allegedly mishandled over $100,000 in major federal union’s funds
May 28, 2025 // When Bruce took two trips from San Diego to suburban Washington, D.C., with his labor union leaders, and submitted $3,500 in expense reports for a daily rate, hotel, taxis, and airfare. His union president, who traveled separately, got reimbursed for about $8,500. But after Bruce got elected to a leadership position within the union, he found irregularities in the chapter’s records. Two iPads and an iPad mini were purchased for the chapter president in a three-year period. A $12,000 storage unit was approved by the treasurer, who made checks out to someone with her own last name to clean it out. A man with no formal position in the union signed checks, including to himself. In total, Bruce alleges that more than $116,000 went missing from the National Treasury Employees Union Chapter 212 in San Francisco, which represents about 900 workers within the Department of Health and Human Services. No one has been charged with a crime in relation to the missing funds. The Department of Labor indicated it in April it had pending "investigative proceedings" related to the chapter.
Union bosses across the nation cut large paychecks to family
January 9, 2025 // Every year, millions of dollars in dues paid by rank-and-file union members are collected by labor organizations and passed off to the family members of union bosses in the form of lucrative salaries, a Washington Examiner review of public records has found. Union bosses regularly employ close family relatives, such as children and spouses, in high-paying roles within their unions. Some of these roles pay hundreds of thousands of dollars a year. While union leadership has splurged on handsome salaries for their family members, and political expenditures intended to boost the Democratic Party, private union membership has continued its downward trend in recent years.
How a Biden federal employee got paid for ‘teleworking’ while actually spending four DAYS in jail on a DUI charge
August 15, 2024 // Vargas was also arrested on three other occasions, including for multiple DUIs, between 2020 and 2022. During that time, she also served as the former president of the American Federation of Government Employees (AFGE) Local 3138. Read More EXCLUSIVE Social Security whistleblower reveals 'weeks to months' response time for 'simple requests' due to telework abuse article image In April 2023, Vargas allegedly 'confessed' to an AFGE staff member that she misappropriated $17,000. However, after a review, the federation found that the amount was actually closer to $20,500. In August 2023, she was 'suspended' from all AFGE affiliated offices.
Former Union President Admits Filing False Report to Hide Embezzlement; Agrees to Repay Union $36,000
June 21, 2023 // Felix Luciano, the former President of Local 2805 chapter of the American Federation of Government Employees and former Department of Homeland Security officer, pleaded guilty in federal court today, admitting he filed a false report to conceal his embezzlement of thousands of dollars in union dues. Local 2805 is a labor union which represents Department of Homeland Security, Immigration and Customs Enforcement employees in San Diego and Imperial Counties. Additionally, Luciano agreed to pay a $10,000 fine and repay Local 2805 $36,000 as money that he embezzled. According to court records, Luciano was president of Local 2805. From January of 2016 to December of 2018, Luciano used some of Local 2805’s money for a variety of personal expenses, including shopping, travel reimbursements, groceries, dining, dry cleaning, and paying for non-union accounts. He did this by writing checks from Local 2805’s checking account and using Local 2805’s debit and credit cards to directly pay personal expenses. As a result of Luciano’s actions, he caused a total loss of $36,000 to Local 2805.
Kansas City, KS-based union in turmoil as execs head to court over president’s ouster
June 15, 2023 // The Kansas City, Kansas-based union filed a civil suit against three of its executives, requesting a temporary restraining order to prohibit the removal of International President Newton Jones after they issued a finding that Jones misused union funds for personal gain. Jones is refusing to step down, denying any wrongdoing and contending the officers had no authority to remove him. A hearing on the restraining order is scheduled for 10 a.m. June 20 in the federal courthouse in Kansas City, Kansas. Chief Judge Eric F. Melgren, of the U.S. District Court for the District of Kansas, will hear the case. Jones, 69, also filed internal disciplinary charges against the three international vice presidents who removed him and another who brought forth the allegations, saying the four violated the union’s constitution. The remaining international vice president has sided with Jones against the others.