Labor & Employment Law — 12/24/08

Labor Department's Office of Labor-Management Standards continues fiscal year with strong results

The Department of Labor's Office of Labor-Management Standards (OLMS) announced its criminal enforcement data for November 2008. During the month, OLMS obtained five convictions and eight indictments, and payments or orders of restitution totaled more than $891,000. The office's November results bring its totals for fiscal year 2009, which began on Oct. 1, 2008, to 18 indictments, 15 convictions and payments or orders of restitution of $1,516,522. The bulk of the cases involved the embezzlement of union funds.

"OLMS kept up its enforcement efforts in November to prevent embezzlements and other crimes. While conditions in the economy might cause hardship and lead to the temptation to steal, we stand as committed as ever to pursue those who might abuse their positions of trust in labor unions," said Deputy Assistant Secretary for Labor-Management Standards Don Todd. "OLMS's enforcement efforts last month yielded five convictions and payment or court orders for restitution approaching $900,000. These results ultimately benefit union members."

OLMS is the federal law enforcement agency responsible for administering most provisions of the Labor-Management Reporting and Disclosure Act of 1959 (LMRDA). The agency's criminal enforcement program includes investigations of embezzlement from labor organizations, extortionate picketing, deprivation of union members' rights by force or violence, and fraud in union officer elections. The agency's civil program receives and publicly discloses unions' annual financial reports, conducts compliance audits of labor unions and seeks civil remedies for violations of officer election procedures. In certain cases, OLMS also conducts joint investigations with other Labor Department agencies, including the Employee Benefits Security Administration and the Office of Inspector General, as well as other law enforcement agencies including the Federal Bureau of Investigation.

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