Michael Lackey, 44, of Bremen, Ga., has pleaded guilty to stealing more than $69,000 from the Communications Workers of America, Local 3901, in Oxford, Ala. The former union president admitted to a years-long scheme involving bank fraud and the theft of union funds, marking a betrayal of the members who elected him to lead.
Lackey entered his guilty plea to five counts of bank fraud and one count of embezzlement in federal court in Birmingham. U.S. District Judge Virginia Emerson Hopkins accepted the plea. A federal grand jury originally indicted Lackey in November. As part of the agreement, he must repay $69,193 to the union and forfeit the same amount to the federal government as proceeds of illegal activity.
From October 2008 to October 2014, Lackey served as president of Local 3901, wielding control over its Wells Fargo and Regions Bank accounts. During that time, he funneled union money into his personal pockets through unauthorized checks, cash withdrawals, and personal debit card use. He wrote checks to himself totaling $26,519 for fake or inflated travel expenses and drained $14,095 via debit card abuse.
Additional thefts included $16,032 in counter cash withdrawals, $3,092 applied to his power bills, and $7,201 used to pay off personal loans. Bank fees tied to the fraud amounted to $2,251—every dollar taken from workers’ dues and union reserves. The total: $69,193 siphoned from the organization he was sworn to protect.
Lackey concealed the theft by shredding accountability. He kept no records of unauthorized transactions and dodged required approvals, violating both federal law and Local 3901’s constitution. The fraud unraveled in summer 2014 when a union check bounced. Around the same time, Lackey confessed to a national CWA AFL-CIO representative that he’d used union assets as collateral for a personal loan—and defaulted, triggering bank seizures from union accounts.
Each count of bank fraud carries a maximum 30-year prison term and a $250,000 fine. The embezzlement charge alone could bring five years and a $10,000 fine. The U.S. Department of Labor, Office of Labor-Management Standards, led the investigation. Assistant U.S. Attorney Xavier O. Carter Sr. is prosecuting. Lackey is scheduled for sentencing on April 25.
Key Facts
- State: Alabama
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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