Friday, September 12, 2008

Carpenters Union Leader Gets 5 Years For Fraud

NEW YORK—A former shop steward and executive delegate for the Carpenters Union was sentenced Friday to five years in prison.

Michael Annucci, also known as “Mickey” Annucci of Local 157 of the United Brotherhood of Carpenters and Joiners, was convicted following an eight-day trial in February for conspiracy, wire fraud, aiding and abetting the embezzlement of funds from employee benefit plans, and receipt of bribes by a labor representative.

Annuncci served as a shop steward for the District Council, an executive delegate to the District Council representing Local 157 of the United Brotherhood of Carpenters and Joiners, and a member of the District Council’s trial committee – which imposed discipline on carpenters who broke union rules.

U.S. Attorney Michael Garcia said for five years Annucci ripped off workers causing many to lose pension credits and health care coverage. Judge Barbara Jones said the 5-year sentence is meant to "send a message to other union members and executives that this type of conduct will not be tolerated."

From July 2001 through February 2006, Annucci was the shop steward for a Manhattan jobsite of L&D Installers, Inc., a furniture installation and construction contractor. L&D was a party to a collective bargaining agreement with the District Council, pursuant to which L&D was obligated to pay all of its workers at a specified hourly rate and to make contributions for each hour worked to District Council benefit funds, which provide life insurance, hospitalization, medical care, pension and vacation benefits to union members.

As a shop steward, Annucci was required to enforce the CBA by submitting weekly reports to the District Council setting forth the hours worked by each of carpenters assigned to the jobsite. The union’s auditors rely on the accuracy of shop steward reports in auditing contractors to ensure that all benefits contributions have been paid.

Annucci, however, omitted more than 22,000 hours from his shop steward reports, thereby enabling L&D to cheat the benefit funds out of hundreds of thousands of dollars it owed. Annucci submitted false shop steward reports to the union, on a weekly basis, for nearly five years. As a result, carpenters got paid lower wages and lost credit towards pension, vacation and retirement benefits, and some lost their health care coverage. At the same time, L&D paid Annucci for hundreds of overtime hours and at least 80 days that Annucci did not work.

In sentencing Annucci, Judge Barbara S. Jones stated that “this is a very serious offense,” and that the length of the sentence is necessary “to send a message to other union members and executives that this type of conduct will not be tolerated.”

In addition to the prison term, Annucci was sentenced to two years supervised release. He is to surrender to begin serving his sentence next month.

Related Articles:

Annucci Sentencing
Annucci Found Guilty

4 comments:

  1. Bye bye Mickey - looks like you were hung out to dry. Just leaves a bad taste in the mouth!

    ReplyDelete
  2. Bubba meet Mickey; Mickey, this is Bubba.

    ReplyDelete
  3. it is shameful only a parasite would allow this to happen. I hope L&D gave him enough to cover legal expenses ,pay his mortgage for 5years, support his family,and put some protection money in his commissary, and pay him a pension for the rest of his life.let this serve as an example to all of us.

    ReplyDelete

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