National Education Association

Officials Sentenced

Office of Labor-Management Enforcement

The Office of Labor-Management Standards (OLMS) conducts both civil and criminal investigations of alleged violations of the Labor-Management Reporting and Disclosure Act (LMRDA) and related laws.

These investigations by OLMS District Offices involve issues such as embezzlements of union funds, union officer elections, the filing of required reports by unions and others with OLMS, and the imposition of trusteeships over subordinate unions by a parent body. These investigations may result in legal enforcement actions.

Date	Description
February 24th, 2011	On February 24, 2011, in the United States District Court, District of Maine, Bernadette Beal, former President of Teachers Local 5073, the Downeast Federation of Healthcare Professionals (located in Millbridge, Maine), was sentenced to eight months imprisonment and two years supervised release. She was also ordered to pay a $100 special assessment and restitution in the amount of $24,131.32. On August 27, 2010, Beal pled guilty to one count of embezzlement of union funds totaling $25,536.91, in violation of 29 U.S.C. 501(c). The sentencing follows an investigation by the OLMS Boston District Office.
November 30th, 2010	On November 30, 2010, in Dakota County District Court of Minnesota, Jonathan David Thompson, former Secretary-Treasurer of Locomotive Engineers and Trainmen (BLET) Division 333 (located in Rosemount, Minn.), was sentenced to 364 days in jail (361 were stayed and a credit of three days was given for three days served) and two years probation for financial transaction card fraud of over $2,500. Thompson was ordered to perform 40 hours of community service, pay $455 in court related fees, supply a DNA sample, and write a letter of apology to Division 333. Thompson was also ordered to pay restitution of $11,841.76 to Division 333 and to pay $9,650.93 to Fidelity and Deposit Company of Maryland. On September 17, 2010, Thompson pled guilty to one felony count of financial transaction card fraud of over $2,500. The sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
November 5th, 2010	On November 5, 2010, in the Mower County Minnesota District Court, Dustin Heichel, former General Chairman of the Brotherhood of Locomotive Engineers and Trainmen Regional and Shortline General Committee of Adjustment (BLET GCA) (located in Albert Lea, MN), was sentenced to four years probation for theft of $1,562.12, and he was ordered to pay restitution in the same amount, to write a letter of apology, and to not hold a position of financial responsibility. On September 30, 2010, Heichel pled guilty to gross misdemeanor theft by false representation in the amount of $1,562.12. The sentencing follows an investigation by the OLMS Milwaukee District Office and OLMS Minneapolis Resident Investigator Office.
September 13th, 2010	On September 13, 2010, in the United States District Court for the District of South Dakota, Paul Wyatt, former Financial Secretary-Treasurer of Stage and Picture Operators (IATSE) Local 220 (located in Sioux Falls, S.D.), was sentenced to six months incarceration followed by six months of home confinement, as well as three years supervised release, and was ordered to pay restitution in the amount of $35,023 and a special assessment of $100. On June 23, 2010, Wyatt pled guilty to one count of embezzling union funds in the amount of $35,023. The sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
July 20th, 2010	On July 20, 2010, in the United States District Court for the District of Minnesota, Edward Kobe, former General Chairman, United Transportation Union General Committee of Adjustment 325 (located in Duluth, Minn.), was sentenced to three months incarceration followed by two years supervised release, and ordered to pay restitution to the UTU GCA 325 in the amount of $16,200, restitution to the Railroad Retirement Board in the amount of $32,778.39, a fine of $30,000, and a $100 special assessment. On November 30, 2009, Kobe pled guilty to one count of embezzling union funds in the amount of $16,200. The sentencing follows a joint investigation by the OLMS Minneapolis Resident Investigator Office and the Railroad Retirement Boards Office of the Inspector General.
July 13th, 2010	On July 13, 2010, in the Hennepin County District Court of Minnesota, Lucy Irene Hastings, former Recording Secretary of the American Federation of Government Employees (AFGE) Local 1969 (located in Minneapolis, Minn.), pled guilty and received a stay of imposition of sentence, three years probation, and was ordered to pay restitution. On April 30, 2010, Hastings was charged with theft of union funds in the amount of $3,328.29. The plea and sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
July 8th, 2010	On July 8, 2010, in the United States District Court for the District of Minnesota, Steven McDeid, former President of National Association of Letter Carriers (NALC) Branch 388 (located in St. Cloud, Minn.), was sentenced to 90 days home confinement and five years probation, ordered to make restitution in the amount of $51,639.61, and pay a $100 special assessment. On March 24, 2010, McDeid pled guilty to embezzling union funds in the same amount. The sentencing follows an investigation by the OLMS Milwaukee District Office and Minneapolis Resident Investigator Office.
February 19th, 2010	On February 19, 2010, in Goodhue County (Minnesota) District Court, Michelle Lyn Adler, former treasurer of Government Security Officers Local 24 (located in Redwing, Minn.), pled guilty to theft of more than $1,000, but not more than $5,000. Adler was then sentenced to two years probation and ordered to pay $1,700 in restitution, a $200 fine, and an $83 surcharge. The plea and sentencing follows an investigation by the OLMS Minneapolis Resident Office.
August 20th, 2009	On August 20, 2009, in the United States District Court for the District of Minnesota, Daniel Fortier, former Secretary Treasurer of Teamsters Local 970 and former President of Teamsters Joint Council 32 (located in Minneapolis, Minn.), was sentenced to three years probation and ordered to pay restitution in the amount of $13,556.65, a $2,000 fine and 150 hours of community service. On April 17, 2009, Fortier pled guilty to a two-count information charging him with making false entries in union records. The sentencing follows an investigation by the OLMS Milwaukee District Office.
August 20th, 2009	On August 20, 2009, in the United States District Court for the District of Minnesota, Daniel Fortier, former Secretary Treasurer of Teamsters Local 970 and former President of Teamsters Joint Council 32 (located in Minneapolis, Minn.), was sentenced to three years probation and ordered to pay restitution in the amount of $13,556.65, a $2,000 fine and 150 hours of community service. On April 17, 2009, Fortier pled guilty to a two-count information charging him with making false entries in union records. The sentencing follows an investigation by the OLMS Milwaukee District Office.
April 2nd, 2009	On April 2, 2009, in the Hennepin County District Court of Minnesota, William Thomas Brown, former Financial Secretary-Treasurer of IBEW Local 886 (located in New Hope, Minn.), was convicted of one felony count of theft over $1,000 associated with the theft of union funds in the amount of $6,467.05. Brown was then sentenced to three years probation and 30 days of electronic home monitoring and ordered to make restitution in an amount yet to be determined. Brown was alleged to have taken union funds in the amount of $6,467.05.The charge follows an investigation by the OLMS Minneapolis Resident Investigator Office.
April 2nd, 2009	On April 2, 2009, in the Hennepin County District Court of Minnesota, William Thomas Brown, former Financial Secretary-Treasurer of IBEW Local 886 (located in New Hope, Minn.), was convicted of one felony count of theft over $1,000 associated with the theft of union funds in the amount of $6,467.05. Brown was then sentenced to three years probation and 30 days of electronic home monitoring and ordered to make restitution in an amount yet to be determined. Brown was alleged to have taken union funds in the amount of $6,467.05.The charge follows an investigation by the OLMS Minneapolis Resident Investigator Office.
November 26th, 2008	On November 26, 2008, in the District Court of St. Louis County, Minnesota, Kathleen Kordish, former Financial Secretary of Steelworkers Local 9349 (located in Hibbing, Minn.), was sentenced to incarceration for 1 year and 1 day (stayed for 3 years of probation) and 45 days of electronic monitoring and ordered to pay a $1,085 fine and $19, 926.15 in restitution.On October 22, 2008, Kordish had pled guilty to one felony count of theft by false representation in excess of $2,500.The sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
February 27th, 2007	On February 27, 2007, in Circuit Court, Burnett County, WI, James L. Turner, former Secretary-Treasurer for AFGE Council 33, Bureau of Prisons Locals, was convicted of theft in violation of a Burnett County ordinance. Turner was ordered to pay restitution in the amount of $6,600, and a forfeiture of $709. The sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
January 8th, 2007	On January 8, 2007, in United States District Court for the District of Minnesota, Kathryn Stark, former office manager for IBEW Local 31, was sentenced to six-month confinement followed by 150 days of home detention, and three-years supervised release. Stark was ordered to pay restitution in the amount of $50,376.89 plus an additional $26,783.64 in investigative costs incurred by the local. On September 7, 2006, Stark was charged with embezzling union funds in the same amount. The sentence follows an investigation by the OLMS Minneapolis Resident Investigator Office.
June 26th, 2006	On June 26, 2006, in the United States District Court for the District of South Dakota, David Pirrung, former Business Manager/Secretary-Treasurer for Bricklayers Local 1, was sentenced to one year probation and fined $1,000. On March 30, 2006, Pirrung pled guilty to concealing union records. The sentencing follows an investigation by the OLMS Minneapolis Resident Investigator Office.
February 27th, 2006	On February 27, 2006, in the United States District Court for the District of North Dakota, Robb Dutchuk, former Secretary-Treasurer for American Postal Workers Union Local 349, was sentenced to three years probation, which includes six months of home confinement with electronic monitoring and work release privileges. Dutchuk was also ordered to pay restitution of $18,812.18 to the local and a $125 assessment. The sentence follows an investigation by the Minneapolis Resident Investigator Office.
February 8th, 2006	On February 8, 2006, in the United States District Court for the District of Minnesota, Laura Booth, former Secretary-Treasurer for American Federation of Government Employees (AFGE) Local 3129, was sentenced to two years probation and assessed $100. On March 15, 2005, Booth pled guilty to an information charging her with embezzling $18,749.41 from the union. The sentence follows an investigation by the OLMS Minneapolis Resident Investigator Office.
August 25th, 2005	On August 25, 2005, in the United States District Court for the District of Minnesota, Dana Lockwood, former Treasurer of Asbestos Workers Local 49, was sentenced to five months in prison, five months home confinement, and ordered to make full restitution. Lockwood had previously been charged on March 23, 2005 with embezzling $64,255.55 in union funds. The guilty plea follows an investigation by the OLMS Minneapolis Resident Investigator Office.
April 16th, 2004	On April 16, 2004, in the United States District Court for the Southern District of California, Julie Palmi, former bookkeeper of United Food and Commercial Workers Local 1116, was sentenced to six months home confinement with work release privileges and three years probation. In addition, she was ordered to make full restitution. Palmi pled guilty on January 21, 2004, to one count of embezzling approximately $53,570 in union funds. An information charging Palmi with embezzlement was filed on October 16, 2003. This case was transferred from the District of Minnesota to the Southern District of California pursuant to the Federal Rules of Criminal Procedure and the consent of the parties. The charge, guilty plea, and sentence follow an investigation by the OLMS Minneapolis Resident Investigator Office.
March 5th, 2004	On March 5, 2004, in the United States District Court for the District of North Dakota, William Lane, former president of Machinists Lodge 2525, was sentenced to one year in prison followed by three years of probation and ordered to make restitution of $16,998, which includes $2,098 to a bank. On December 16, 2003, Lane pled guilty to one count of embezzlement. The guilty plea and sentence follow an investigation by the OLMS Minneapolis Resident Investigator Office.
October 28th, 2003	On October 28, 2003, in St. Louis County (Minnesota) District Court, Thomas J. Pender, former business manager and financial secretary of Laborers Local 1097, was sentenced to two years probation for theft and fraud. The conditions of the sentence require Pender to complete the following: serve a thirty-day work crew program, pay a fine of $1,000 plus court costs, refrain from using alcohol and mood altering chemicals (except as prescribed by a physician), submit to random urinalysis, submit to DNA testing, pay restitution if it is determined that additional restitution is owed, and show proof that a chemical dependency treatment program was completed. On April 7, 2003, Pender had been charged with one count of theft of $7,000 in union funds and one count of financial transaction card fraud involving $167 in union funds. The charges and sentence follow an investigation by the OLMS Minneapolis Resident Investigator Office.
September 5th, 2003	On September 5, 2003, in the United States District Court for the Southern District of Texas, Neil Babineaux, former assistant to the assistant vice president of the United Transportation Union, pled guilty to a charge of criminal contempt. He had been indicted on April 3, 2003, on charges of obstruction of justice and making false declarations to a federal grand jury. Following the guilty plea, Babineaux was sentenced to six months home confinement, two years probation and a $3,000 fine. These charges follow a joint investigation by the OLMS New Orleans District Office, the Department of Labor's Office of Inspector General and the FBI.
June 18th, 2003	On June 18, 2003, in the Tenth District Circuit Court of Bradley County (Arkansas), Tasha Renea Word, former office secretary for the Machinist Woodworkers Local W-484, was sentenced to 36 months supervised probation, ordered to make restitution of $2,772.15, and assessed $450.00 in court costs. Word pled guilty to five counts of second degree forgery, one count of credit card fraud and one count of theft of property following an investigation by the OLMS Dallas District Office.
April 30th, 2003	On April 30, 2003, in the United States District Court for the District of Minnesota, Joseph Biernat, Minneapolis City Councilman, was sentenced to 21 months imprisonment and two years probation. He was also ordered to make restitution of $2,700 (to be paid jointly with co-defendant Thomas Martin, former business manager of Plumbers Local 15) and pay a fine of $10,000. He was found guilty on November 21, 2002 of one count of aiding and abetting an embezzlement of $2,700 from Plumbers Local 15, three counts of mail fraud, and one count of making a false statement. The charges were brought following an investigation by the OLMS Minneapolis Resident Investigator Office and the FBI.
April 1st, 2003	On April 1, 2003, in the United States District Court for the District of Minnesota, Thomas Martin, former business manager of Plumbers Local 15, was sentenced to 24 months imprisonment and three years probation. He was ordered to make restitution of $43,323 and was fined $5,000. He had pled guilty on November 25, 2002 to one count of embezzling approximately $3,175 in union funds and one count of mail fraud. The charges had been brought following an investigation by the OLMS Minneapolis Resident Investigator Office.
March 28th, 2003	On March 28, 2003, in the United States District Court for the District of North Dakota, Gary Halvorson, former financial secretary and business manager of Bricklayers Local 3, pled guilty to one count of embezzling $9,975 in union funds. After acceptance of his plea, he was sentenced to three years probation and 100 hours of community service and was ordered to make full restitution of $9,975. He had been indicted on February 11, 2003 following an investigation by the OLMS Minneapolis Resident Investigator Office.
March 11th, 2003	On March 11, 2003, in the United States District Court for the District of South Dakota, Jo Ann Vaughn, former treasurer of Stage and Picture Operators Local 220, was sentenced to six months home confinement and five years probation. She was also ordered to make restitution of $29,175 to Local 220 and to pay $1,375 to Local 220 officers to reimburse them for costs incurred in the investigation. She had pled guilty to one count of embezzling approximately $29,000 in union funds following an investigation by the OLMS Minneapolis Resident Investigator Office.
February 18th, 2003	On February 18, 2003, in the United States District Court for the District of Minnesota, Jerome Dube, former financial secretary of Carpenters Local 1865, was sentenced to three years probation with the first 120 days to be served in community confinement with work release followed by 60 days in home detention with work release. Dube was ordered to pay restitution in the total amount of $14,176. Dube pled guilty to embezzling union funds on November 27, 2002, following an investigation by the OLMS Minneapolis Resident Investigator Office.
December 9th, 2002	On December 9, 2002, in Winona County (Minnesota) District Court, Jeffrey J. Schueler, former trustee of Glass, Molders, Pottery Plastics & Allied Workers Local 63B, and former chairman of the Badger Foundry unit of Local 63B, was sentenced to 96 hours of community service, fined $300, ordered to make restitution totaling $9,422.82 to Local 63B and other parties, and placed on 10 years probation. Schueler pled guilty on October 28, 2002, to one count of check forgery in excess of $2,500 after being charged on June 14, 2002, with two counts of check forgery and one count of theft in relation to the embezzlement of $7,743 in union funds. The charges were brought following an investigation by the OLMS Minneapolis Resident Investigator Office.
June 4th, 2002	On June 4, 2002, in Dunn County (Wisconsin) Circuit Court, Joanne M. Hase, former secretary-treasurer of American Federation of State, County and Municipal Employees Local 727-D, entered a plea of no contest to theft of $1,000 or less in a business setting. She was placed on probation for one year, and imposition of sentence was withheld. The charges had been brought on April 10, 2002 following an investigation by the OLMS Minneapolis Resident Investigator Office.
February 25th, 2002	On February 25, 2002, in the United States District Court for the District of Minnesota, Judy Domning, former executive director of the Minnesota Licensed Practical Nurses Association and former executive director of the Technical Employees Association of Minnesota, was convicted of making a false statement by making false entries in union records. She was sentenced to two years probation and barred from employment by unions "for life." She had pled guilty on August 24, 2001, and had previously made restitution of $18,772. The sentence was a downward departure for her substantial assistance in the prosecution of Elliot Cohn who had pled guilty to mail fraud on March 8, 2001. The charges had been brought following an investigation by the OLMS Minneapolis Resident Investigator Office.
October 26th, 2001	On October 26, 2001, in the United States District Court for the Eastern District of Wisconsin, Shawn Drake, former secretary-treasurer of Local 736 of the Paper, Allied-Industrial Chemical and Energy Workers International Union (PACE), pled guilty to one count of embezzlement of union funds. He was sentenced to 21 months in jail, three years probation, and was ordered to make restitution of $21,376. He had been indicted on February 14, 2001 following an investigation by the OLMS Minneapolis Resident Investigator Office.

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