Daniel Vallee, ex-boss of Civil Service Employees Ass’n Local 316 in Albany, pled guilty Nov. 9 before U.S. Dist. Judge Thomas J. McAvoy (N.D.N.Y., Reagan) to embezzling $19,300.09 in union funds. Vallee admitted that from May 1988 until Jan. 2000 he wrote checks to himself drawn on the local’s account. As president, Vallee was one of two people authorized to sign the checks. The other person, Nancy Groome, ex-secretary-treasurer of the local, cosigned some of the checks but Vallee admitted he forged her name on a majority of them. In some instances, Vallee also received excess reimbursements and kept the funds. He spent the embezzled funds on personal expenses such as his mortgage, car repairs, credit card bills, and gifts for others.
In July, Groome pled guilty to embezzling nearly $111,476.48 in union funds herself. She wrote 310 unauthorized checks to herself and to vendors from union-related training trips she never took. McAvoy set sentencing for Mar. 11 for both embezzlers. In the plea, Vallee agreed to make restitution to the bonding firm that repaid the local and never to seek or hold a union office again. [USAO N.D.N.Y. 11/9/01; Times Union (Albany) 11/10/01]
Hawaiian Thief Avoids Prison Time
Confessed union embezzler Glenn A. Reys, Sr., was sentenced Nov. 5 to 5 years probation (including 6 months home detention) and ordered to make restitution of $10,011. Reys ex-secretary-treasurer of the Nat’l Ass’n of Letter Carriers Branch 4644 in Kahului, Haw., pled guilty May 14 to one count of embezzling $2,000 in union funds and one count of filing a false annual report. He was indicted on 5 counts of embezzling $5,000. The falsification charge result from his statement that the branch did not pay its officers from 1995-97. [DOL 11/5, 5/14/01; Pac. Employment Letter 5/01]
Mississippi Boss Allegedly Stole $2,400
On Nov. 6, Jessie McGee, ex-business agent for Int’l Bhd. of Teamsters Local 891 in Jackson. Miss., was indicted on one count of embezzling $2,492 in union funds. [DOL 11/6/01]
Finally, Mary Jo White to Go
Eleven and a half months too late, Bill Clinton’s U.S. Atty. for the S.D.N.Y., Mary Jo White, will resign at the end of the year. While earlier reports about her ousting were reversed, the Dep’t of Justice made her departure official on Nov. 15. She recently lost the important corruption case against ex-Teamsters boss Ron Carey. Union corruption watchdog, the Nat’l Legal & Pol’y Ctr. has repeated called for White’s removal due her poor handling of Teamsters money-laundering scandal including her failure to bring charges against AFL-CIO secretary-treasurer Richard L. Trumka for his alleged role in the scheme. “Good riddance. Despite slam-dunk cases against Trumka and others, White has repeatedly dropped the ball.” said NLPC Chairman Ken Boehm. Unfortunately, it’s unlikely that White’s missteps can be corrected by her successor because the 5-year statutes of limitations have apparently run in this 1996 scandal.