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
October 23rd, 2015
On October 23, 2015, in the United States District Court for the District of Columbia, Anthony Frederick, former business manager of Laborers Local 657 (located in Washington, D.C.), Christopher Kwegan, co-owner of STS Construction, and Gary Cooper, co-owner of STS Construction, were indicted on embezzlement from a labor organization, in violation of 29 U.S.C. 501(c); conspiracy to embezzle from a labor organization, in violation of 18 U.S.C. 371; unlawful labor payments, in violation of 29 U.S.C. 186; conspiracy to commit unlawful labor payments, in violation of 18 U.S.C. 371; wire fraud, in violation of 18 U.S.C. 1343; honest services fraud, in violation of 18 U.S.C. 1346; money laundering, in violation of 18 U.S.C. 1957; and aiding and abetting, in violation of 18 U.S.C. 2. The indictment alleges, among other things, that Frederick paid nearly $1.1 million to STS Construction for minimal renovations done on the union administrative building and $580,000 to STS Construction, which was gross overpayment, for expediting permits on the union training center being worked on by another construction company. The indictment also alleges that STS Construction paid $225,000 for a down payment on a house for Frederick and more than $600,000 to a corporation owned in part by FrederickÕs wife. The indictment follows an investigation by the OLMS Washington District Office, the Department of LaborÕs Office of Inspector General, and the FBI.
