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UAW Corruption: Former Presidents and Officials Sentenced
Grimy Times has learned that two former UAW Presidents, Gary Jones and Dennis Williams, two UAW Vice Presidents, Joseph Ashton and Norwood Jewell, as well as seven other senior UAW officials, have been convicted of corruption and embezzlement charges.
The convictions stem from a lengthy investigation into the UAW’s leadership, which revealed widespread corruption and abuse of power. The probe found that UAW officials had been using union funds for personal gain, including luxury cars, jewelry, and travel.
Acting U.S. Attorney Saima S. Mohsin announced that progress has been made towards reforming the International Union, United Automobile, Aerospace, and Agricultural Workers of America (“UAW”). The UAW represents over 400,000 active members and over 580,000 retired members in more than 600 local unions across the United States.
As part of the reforms, the UAW has agreed to resolve a tax investigation by making a payment of $1.5 million to the Internal Revenue Service in connection with administrative fees that the union received from the three joint training centers that were operated with the three car manufacturers.
The UAW has also agreed to pay back over $15 million to the training centers for improper chargebacks that the union received from two of the training centers. This money will be used by the joint programs for the health and safety of auto workers.
The National Training Center, which was the mechanism whereby FCA US LLC executives corruptly funneled money and other things of value to UAW officials will be dissolved and replaced with an untainted entity.
The reforms are the result of a Consent Decree entered by the Honorable David M. Lawson, United States District Judge, on January 29, 2021. The Consent Decree governing the UAW was negotiated by the United States and the UAW, and it includes a six-year oversight period during which the UAW will be monitored by an independent Monitor appointed by the Court.
The Monitor, Neil M. Barofsky, is a partner at the law firm of Jenner & Block and has served as a monitor in other matters, including his appointment to monitor Credit Suisse Securities LLC and Credit Suisse AG following billion dollar settlements.
Key Facts
- State: Michigan
- Category: Public Corruption
- Source: DOJ Press Release â†â€â€
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