Treasurer of Michigan Union Charged with Embezzlement

Missouri isn’t the only state where union office employees have misused funds to cover casino losses.  Take a look at Michigan.  On Wednesday, July 29, Karen Rae Pakkola, was arrested for embezzlement of between $20,000 and $50,000 from the Traverse City Clerical Assistants, Paraprofessionals and Secretaries Association, which represents public school employees in Traverse City, Mich., in the western portion of that state’s Lower Peninsula.  Pakkola, a resident of Williamsburg, Mich., had served as union treasurer.


Prosecutors allege that during May 2007-May 2008, Pakkola, 57, diverted funds from union accounts to which she had access.  She issued debit checks and withdrew cash with a debit card, on several occasions doing so from an ATM machine at the Turtle Creek Casino in Williamsburg.  The arrest took place following a two-month investigation by local authorities.  (Traverse City Record-Eagle, 7/30/08).