STATEMENT OF RONALD M. FINO TO THE SUBCOMMITTEE ON CRIME
COMMITTEE ON THE JUDICIARY-HOUSE OF
REPRESENTATIVES
JULY 24 AND JULY 25, 1996
Mr. FINO. Thank
you, Mr. Chairman.
Honorable Chairman, honorable members of the committee my name is
Ronald Fino. From 1973 through 1988, I was the business manager of Laborers' Local 210 in
Buffalo, NY, and from 1980 to 1988, a trustee of the Laborers' International Union of
North America training fund. During this time, I witnessed the gripping control of the
union and its membership by the Cosa Nostra and the defilement of its workers' dues and
benefit funds. Constituents, relatives, associates, and cronies of the mob would be and are always first in line when plush working assignments were and are
handed out.
The son of a member of this arcane organization,
I became privy to the methods and procedures implemented to financially
and politically benefit from the victimized members and the unknowing public. As we
already know, the Cosa Nostra and its members will go to extreme lengths to avoid public
disclosures about its existence, and omerta, the code of silence, is paramount. You will
very seldom hear an LCN member discuss family activity in plain language; thus, signals
and hand language are used to discuss scores, mob activity, and, of
course, each other. You will hear them refer
to this guy or that guy with various nicknames or just maybe even
hand signals.
Even though my father was a member of the Cosa Nostra, I believe he instilled in me values that led to my eventual cooperation with the Federal Bureau of Investigation and provide them with an in-depth look at how labor unions are victimized by organized labor racketeering. No arm-twisting or potential prosecution was necessary. I willingly approached the Bureau and offered my insight and assistance.
Maybe I was a naive kid of 25-I don't know-and to
be honest, if I had to do it over again, I don't know if I would do that today. I guess I
kind of viewed life through rose-colored glasses and that problems such as the mob would
be swept away and viewed as a cancer that we found a cure for.
In fact, I wasn't in office 1 month at Laborers' Local 210 when I
approached an FBI agent that was a friend of mine and berated him and the Bureau for not
helping the working people, such as those I represented, in eliminating
Cosa Nostra domination. The agent responded that the Bureau could not do it alone, that it
takes the likes of me and the very witnesses to mob activity that can make a difference.
After assurances that I would never surface or ever have to discuss my family or my father, I agreed to readily provide whatever information I could
For over 16 years I communicated on a regular
basis with FBI agents and kept abreast of Cosa Nostra activity throughout the United
States and Canada. Much of that information pointed toward the Laborers' International
Union and its total dominance by the Cosa Nostra. As much as I learned
from my father, I learned even more about the mob's controls from the likes of the late
Arthur E. Coia, who was then general secretary-treasurer of the union, and Michael
Lorello, the vice president and regional manager for New York and New Jersey. Of course,
my education didn't stop there. I also learned from Cosa Nostra members and union officials from Chicago, Cleveland, Boston, Miami, Los Angeles,
Newark, St. Louis-I could go on and on.
You will hear my detractors, and those that I linked to the mob,
say that I am a hired gun for the FBI or a story for sale to the highest
bidding. I wish to point out that what I am reporting today, or what I
have reported to the Justice Department and the FBI, is not new. In fact, everything that
I have stated about the Laborers' International Union and the Cosa Nostra has been
well-documented prior to my being compromised by the Cosa Nostra in 1989, and is contained
in the voluminous 302's generated by me and located throughout the country in FBI vaults.
Of course, what can my detractors say? "Ronnie is
correct; I am a crook," or, "I like what Ronnie has to say about so-and-so, but
when it comes to me, he's a liar."
Let me also point out to those that level charges about my being
paid by the FBI to testify, this is in part true, but I
also had to work hard. Besides lecturing at Quantico, the Bureau treated me as one of
their own and allowed me to prepare investigation procedures and discovery techniques for
labor racketeering and environmental crime. For those critics that say I opted for a life
I now live, how do I answer them? Do I say I like seeing my children
once a year, if I'm lucky? Or, do I say I like being able to walk down the
page 83
street without having to worry about being
discovered? The only answer I can give is to consider the motivations, as
well as the source, when people talk about me like that.
It's hard to express or for me to even recall that cold, fateful
day in January 1989 when I learned from a Cosa Nostra member that the Buffalo organized
crime family had placed a price tag on my head because of my cooperation
with the FBI. Fleeing Buffalo, I had little choice but to turn to the FBI for assistance
and safety. Forced to uproot my life and leave my friends, my loved ones, and the only way
of life I knew, and to live on military bases, was not what I would call a normal living.
Months of depression and confusion were the norm, and I desperately
wanted and yearned for a new life.
I signed a personal service
agreement with the FBI and assisted them and the Justice Department in bringing about the
civil RICO complaint against the hierarchy of the Laborers' International Union and over
150 local union and district council officials. I also testified in four Federal court
cases against Cosa Nostra members and associates. I provided information
that led to the convictions of more than 50 Genovese family members, and it was that
information and body recordings that led to the criminal RICO takeover of the New York
City Mason Tenders by the U.S. Justice Department.
In May 1994, I was told by the FBI that my
services were no longer needed and that I should look for work elsewhere. A new name was
not good enough to find employment, and I had virtually no previous
history to rely upon. The limited background I was given proved too much to overcome, and
I was forced to grovel and beg for assistance to survive. As a result of what I had
learned about the Cosa Nostra and its control of the Laborers'
International Union, I went to work for the newly-created office of the inspector general.
I have pointed out Laborers' local district councils, regional offices, and officials and
business agents that are controlled by the Cosa Nostra.
I wish to strongly point out to this honorable committee that the
control of the policy making and the appointments throughout the infrastructure of the
Laborers' International Union lay with the Cosa Nostra. You could not become a general
president nor an international officer of LIUNA without mob approval. This
doesn't mean that each and every official is aware of the heavy hand that dictates that
official's each and every move. The Cosa Nostra in Chicago and New York City are the
bastions of mob strength, and even though families in Buffalo,
Cleveland, New England, and so on, do control their respective areas, they remain as
subordinates to the major families. In the cases of black and Hispanic
vice presidents and officials in LIUNA they are placed in office purely
to placate and fend off public an] membership scrutiny.
Even though the Cosa Nostra and its absolute control is not always
visible, it still remains ever present and ready. Having an unlimited pool of finances
available and the ability to hire high-caliber attorneys, this has created a perplexing
problem for jurisdictional and judicial prosecution. We sometimes do
succeed, and the types of John Gotti are incarcerated. Unfortunately, this is not always
the case, and we remain in the mob's clutches.
page 84
Many creative members and associates of the Cosa Nostra are no
longer adorned in the fedoras, and you will find that they are well educated and take full
advantage of that education and the moneys that they have accumulated. Today you will find
the mob is as reliant on public relations firms as it is with its high-powered attorneys
and accountants. Projecting an image of goodness and popping up at
charitable fundraising functions,
combined with a voice for social justice, the racketeer builds a formidable defense
against the Justice Department and prosecution.
As difficult as it has been to bring criminal indictments and
convictions against this stubborn and resilient brotherhood of crime, much has been
accomplished, but much is not good enough. Only when the total eradication of the Cosa
Nostra influence with our political system, labor unions, and due process is complete will
the common worker at last be free to raise his or her hands.
Now before I finish, I'd like to talk about one more thing. I understand
that I've been somewhat criticized about an article in the Globe magazine-I believe it was
2 years ago-and I'd like to point out how that came about. In May of that year I was let
go by the FBI. I was told my contract was up that September, but I was let go that May,
and I was told that "That's it."
Right after that, at some point, I was talking to a friend of mine
on the telephone, and I was explaining about O.J. Simpson and Buffalo and his connection
to mob associates and the mob. Later on, he got back to me and told me I
had gotten offered $200 from the AP for that story, or I got offered-I can't
recall the exact amount-I know $9,000 of it was mine-from Globe magazine. At that time I thought the Globe, at first, was not Globe
magazine, but the Boston Globe. Later on, I learned it was Globe magazine. I never talked
to Globe magazine. I am not an agent for Globe magazine or any other newspaper, tabloid,
or anything. I was a hungry man looking for money to survive. I had no employment. I had
no FBI to turn to anymore. I had no job. So I hope you understand. And I'll be more than
happy to discuss that later on with anybody, and the contents of that story.
[The prepared statement of Mr. FINO follows:]
PREPARED STATEMENT OF RONALD M. FINO
House Of Representatives Committee on Crime
Honorable Members of the committee,
From 1973 thru 1988 I was the Business Manager of Laborers local 210 in Buffalo, New York and from 1980 to 1988, a trustee of the Laborers International Union of North America Training Fund. During this time I witnessed the gripping control of the union and its membership by the Cosa Nostra the defilement of its workers, their dues and benefit funds. Constituents, relatives, associates and cronies of the mob would and are always first in line when plush working assignments were and are handed out. As the son of a member of this arcane organization, I became privy to the methods and procedures implemented to financially and politically benefit from the victimized membership and the unknowing public..
As we already know the Cosa Nostra and its members will go to extreme lengths to avoid public disclosures about its existence and omerta ( the code of silence) is paramount. You very seldom hear an LCN member discuss family activity in plain language, thus signals and hand gestures are used to discuss scores, mob activity and of course each other (you will hear this guy or the that guy but almost never the real name.)
Even though my father was a member of the Cosa Nostra, he instilled in me values that led to my eventual cooperation with the Federal Bureau of Investigation and provide them an in depth look at how labor unions are victims of organized racketeering. No arm twisting or potential prosecution was necessary. I willing approached the bureau and offered my insight and assistance. Maybe I was just a naive kid of 25. I don't know? and to be honest if I had to do it over again I don't know what I would do today. I guess I kind of viewed life thru rose colored glasses and that problems such as the mob would be swept away and viewed as a cancer that we found a cure for.
In fact I wasn't in office one month at Laborers local 210 when I approached an FBI Agent that was a friend of mine and berated him and the bureau for not helping the working people such those I represented in eliminating Cosa Nostra domination The agent responded that the bureau cannot do it alone, that it take the likes of me and the very witnesses to mob activity that can make a differences. After assurances that I would never surface or ever have to discuss my father or my family I agreed to readily provide what ever information I could.
For over 16 years I communicated on a regular basis with FBI and keep them abreast of Cosa Nostra activity throughout the United States and Canada. Much of that information pointed toward the Laborers International Union and its total dominance by the Cosa Nostra. As much as I learned from my father I learned even more about the mobs control from the likes of the late Arthur E. Coia who was the then General Secretary Treasurer of the Union and Michael Lorello the Vice President and Regional Manager for New York and New Jersey. Of course my education didn't stop there, I also learned from Cosa Nostra members and union officials from Chicago, Cleveland, Boston, Miami, Los Angeles, Newark, St. Lois, I could go on and on.
You will hear my detractors and those that I linked to the mob say
that I am a hired gun for the FBI or a story for sale to the highest bidding. I wish to point out that what I am reporting today, or what I have reported to the Justice Department and the FBI is not new. In fact everything I have stated about the Laborers International Union and the Cosa Nostra has been well documented prior to my being compromised by the Cosa Nostra in 1989 and is contained in the voluminous 302's generated by me and located throughout this country in FBI vaults. Of course what my detractors say: ( Ronnie is correct I am a crook, or I like what Ronnie has to say about so and so, but when it comes to me He is a liar!) Let me also point out to those that level charges about my being paid by the FBI to testify. This in part is true, but I also had to work and work hard. Besides lecturing at Quantico, the bureau treated me one of their own and allowed me to prepare investigative procedures and discovery techniques for labor racketeering and environment crime.
For those critics that say I opted for the life I now live, How do I answer them, do I say I like seeing my children once a year if I'm lucky, or do I say I like being able to walk down the street without worrying about discovery. The only answer I can give is consider the motivation as well as the source. It is hard to express or for me to even recall that cold fateful day in January of 1989 when I learned from a Cosa Nostra member that the Buffalo organized crime family had placed a price tag on my head because of my cooperation with the FBI. Fleeing Buffalo, I had little choice but to turn to the FBI for assistance and safety.
Forced to uproot my life and leave my friends, my love ones and the only way of life I knew and live on military bases was not what I would call normal living.. Months of depression and confusion were the norm and I desperately wanted and yearned for the past. But I knew I could never go home again and all I could do was try to start a new meaningful life. I signed a personal service agreement with the FBI and assisted them and the Justice Department in bringing about a Civil RICO complaint against the hierarchy of the Laborers International Union and over 150 local union and district council officials. I also testified in four Federal Court cases against Cosa Nostra members and associates. I provided information that led to the convictions of more than 50 Genovese family members. And it was that information and body recordings that led to the criminal RICO takeover of the New York city mason tenders by the United States Justice Department.
In May of 1994, I was told by the FBI that my services were no longer needed and that I should look for work elsewhere. A new name was not good enough to find employment and I had virtually no previous history to rely upon. The limited background I was given, proves too much to overcome and I was forced to grovel and beg for financial assistance to survive.. As a result of what I had learned about the Cosa Nostra and its control of the Laborers International Union I went to work for its newly created office of the Inspector General. I have pointed out Laborer local's, District councils, Regional offices and their officials and business agents that controlled by the Cosa Nostra.
I wish to strongly point out to this honorable
committee that the Control of the policy making and appointments throughout the infrastructure of the Laborers International Union lay with
the Cosa Nostra. You can not become a General President, nor an international officer of
LIUNA without mob approval. this doesn't mean that that each and every official is aware
of the heavy hand that dictates that officials every move. The Cosa Nostra in Chicago and
New York City are the bastions of mob strength and even though families in Buffalo,
Cleveland,, New England and so on do control their respective areas, they remain as
subordinates to the major families.. In the
case of the Black and Hispanic Vice presidents and officials in LIUNA they are placed in office purely to placate and fend off any public and membership scrutiny.. Even though the Cosa Nostra and its absolute control is not always visible it still remains ever present and ready. Having an unlimited pool of finances available and the ability to hire high caliber attorneys has created a perplexing problem for judicial prosecution. We sometimes do succeed and the types of John Gotti are incarcerated. unfortunately this is not always the case and we remain in the mobs clutches. Many creative members and associates of the Cosa Nostra are no longer adorned in Fedoras and you will find that they are well educated and take full advantage of that education and the moneys they have accumulated.
Today you will find the mob is as reliant on public relations
firms as it is with its high powered attorneys and accountants. Projecting an image of
goodness, popping up and chairing charitable fund raising functions combined with a voice
for social justice the racketeer builds a formidable defense against the justice
department and prosecution. As difficult as it has been to bring criminal indictments and
convictions against this stubborn ant resilient brotherhood of crime, much has been
accomplished. but much is, not good enough, only when the total eradication of Cosa Nostra
influence with our political system, labor unions and
due process is complete will the common worker at last be
able to raise his or her hands.
page 88
Mr. McCOLLUM. Thank you, Mr.
Fino
The way we're going to operate the questioning
will be under the 5-minute rule, and the way we want to do this is going to have to be by
hand because the light system requires
the main table, which we don't have, obviously, in this particular case.
I will recognize Mr. Buyer, first, for 5 minutes.
Mr. BUYER. Mr. Chairman, I'd
like to yield my 5 minutes to the Chair.
Mr. McCOLLUM.
I thank you, Mr. Buyer, and I appreciate your yielding.
Mr. FINO, can you tell me whether you've ever
been convicted of a crime?
Mr. FINO. Yes, I have a
misdemeanor that was the result of actually a coverup on the part of me and some people in
Justice to prevent me from surfacing on a case that involved some organized crime people.
In fact, I had to go to the judge and tell him to keep me in the
case-the Federal judge that was prosecuting me-and not to sever me because it would have
compromised me, and eventually I pled to a misdemeanor.
Mr. McCOLLUM. Now you mentioned your misdemeanor
conviction. On a more positive note, have you ever received any awards
or been publicly recognized for special achievements?
Mr. FINO. Yes, I have. In 1991, I was up for the
Attorney General's Citizen of the Year Award. I've received numerous
civic awards from the AFL-CIO, NAACP, and other minority groups for brotherhood.
Mr. McCOLLUM. You were the Man
of Year, not, for the AFL-CIO at one point?
Mr. FINO. Yes, I was.
Mr. McCOLLUM. And, Mr. Fino
, you mentioned the fact that you have been providing information regarding La
Cosa Nostra to the FBI for a number of years-until 1989, I believe-and then, of course,
you have subsequently. But in 1989 is when, I believe, you had to leave the union because
of that. Is that correct?
Mr. FINO. Well, I left in 1988.
In 1989 I was at a private business, and it was discovered that I was cooperating; based
on that, I had to leave.
Mr. McCOLLUM. All right. But
prior to leaving the union, were you paid by the FBI for any of the information, or has
that just been subsequent to leaving?
Mr. FINO. No.
During those years that I worked with the FBI, I was never paid.
Mr. FINO. Yes, I have.
Mr. McCOLLUM. And he is the
current general president of the Laborers' International Union of North
America, right?
Mr. FINO That is correct, yes.
Mr. McCOLLUM. How did you first get to know him?
Mr. FINO I don't recall exactly how; I believe it
probably was at a convention around 1978-through his father and other people from the New
England area and Mike Lorello from New York.
Mr. McCOLLUM. How frequently did you have contact
with him after that?
Mr. FINO. At first it wasn't
that much. It wasn't until the middle eighties that we started making and having more
contact.
Mr. McCOLLUM. Were your meetings strictly
business, or did you meet with him socially as well?
Mr. FINO. It was business, but there were social
functions. We would go out to dinner and there was an occasion where we
did golf together.
Mr. McCOLLUM. Did you dine with him and that sort
of thing then?
Mr. FINO. Yes, we did; we did
that quite a lot.
Mr. McCOLLUM. Mr. Fino,
are you aware that the Department of Justice drafted a 212-page civil
RICO complaint against the Laborers' International Union?
Mr. FINO. Yes, I am.
Mr. McCOLLUM. In that complaint
it is stated that four consecutive general presidents of Laborers' International,
including Arthur A. Coia, the current general president, have associated with and been
controlled by organized crime figures. The complaint
also states that Mr. Coia has been associated with members of the New England La Cosa
Nostra family for a substantial period of time. Based upon your association with Mr. Coia
and your firsthand knowledge gained during the many years that you were in Laborers'
International Union, do you believe these statements to be true?
Mr. McCOLLUM.
Why do you believe them to be true?
Mr. FINO. Regarding Mr. Coia, because he told me,
and at talks with his father and at numerous other talks with Cosa Nostra people.
Mr. McCOLLUM. Can you elaborate
on those conversations?
Mr. FINO Well, the talks with Arthur Coia, Jr., the ones that I remember-and I
believe they're in my declaration-would be the ones at Toms River at the wake of Michael
Lorello, and at that time I was seeking office for vice president. In fact, Joe Todaro,
Sr., who was the boss of the Buffalo Cosa Nostra family, had me go to the wake early to
sit with John Riggi, the boss of the DeCavalcante family, which is actually the Genovese
family, but he was the boss of that as well as a union official. I went down and saw
Arthur Coia, Jr., who was staying at the same hotel with me, and I explained the fact that
I had just seen John Riggi and what Joe Todaro, Sr., had told me. Coia
stated that, whatever Joe Todaro tells you, you've got to listen to, and you know where
those decisions are going to be made, that they're not going to be made
here. Because I had asked-that was in response to
asking about his fa
Mr. McCOLLUM. So it's only after you had left
that you've been a paid informant for them.
Mr. FINO.
That is correct, yes.
Mr. McCOLLUM. And, Mr, Fino, because of your
testimony on behalf of the U.S. Government concerning your eyewitness accounts of criminal
activity within the union, organized crime figures are now in jail. Isn't that correct?
Mr. FINO. That is correct, yes.
Mr. McCOLLUM.
I am very much interested, Mr. Fino, in getting you into some questions
that I think are very pertinent to this particular matter. You have known Arthur A. Coia
for quite some time, have you not?
ther,, because his father was sick at the time. And he says,
"You know as well as I do,"-words to that effect, anyway; I don't remember the
exact words-that "You know as well as I do where those decisions are going to be made."
Mr. McCOLLUM. Mr. Fino, let me clearly understand
this. Are you telling us that Arthur A. Coia, the current general president of Laborers'
International Union of North America, told you that he answers to the mob?
Mr. FINO. Yes, he did.
Mr. McCOLLUM. Thank you. My
time is up.
Mr. SCHUMER, you're recognized for 5 minutes.
Mr. SCHUMER. Thank you, and we'll get into this
later, but it is true that there are two Todaros and he never specified to you which one
he was talking to? Did you know there was a union official named Todaro not related to
this?
Mr. FINO. I know very well; I had to put him in
the union.
Mr. SCHUMER. Good.
First, I have a few other questions for you, Mr. Fino. Isn't it a
fact that everything you have told us here today in your testimony about President Coia
and everything else, you have provided to the internal investigation?
Mr. SCHUMER. OK. Since when
have you been cooperating with the Laborers' in their investigation?
Mr. SCHUMER. OK. And you've provided this
information directly to Inspector General Gow?
Mr. SCHUMER. The same man who
we have heard our other FBI witnesses say that his integrity is unquestioned?
Mr. SCHUMER. And you also provided this to Robert
Luskin, the GEB attorney or prosecuting attorney in the investigation?
Mr. SCHUMER. OK. And is it your understanding
that they're using that investigation right now in an investigation of President Coia,
himself? Isn't that right?
Mr. SCHUMER. And about how many
hours have you spent providing information to Gow and his investigators in connection with
your cooperation?
Mr. SCHUMER. Over a thousand?
Mr. SCHUMER.
OK. Now let me ask you this question: you have some knowledge of Mr. Gow and Mr. Luskin.
Do you believe if you gave them information that would lead to criminal
wrongdoing that they would pursue it?
Mr. FINO. They would pursue it.
Mr. SCHUMER. And they would kick Mr. Coia out of
the union with the ability they have from the
agreement?
page 91
Mr. SCHUMER.
Why do you think they haven't until now?
Mr. FINO. Well, I think that's still under
investigation.
Mr. SCHUMER. OK. Now let me ask
you this; this is just about the screen. You requested this screen so that no one could
see you. Is that correct?
Mr. FINO. I requested that my picture not be on television or in the cameras. I
cannot afford that.
Mr. SCHUMER. Now I'm correct that you are not in
the witness protection program and have never been in the witness protection program?
Mr. SCHUMER.
Why has not the FBI put you in that program? Did you ask to be?
Mr. FINO. They've wanted to. It would have caused
very, very serious problems between me and my wife, as well as-the witness protection
program, it's pretty much-I've talked to the people
Mr. SCHUMER.
That's fine. It was your decision not to do that. Is that right?
Mr. FINO. That is correct.
Mr. SCHUMER. OK, but it is fair to say that
you've appeared on a number of repeated occasions in open court and were visible to the
public eye in each of those occasions?
Mr. SCHUMER. And it's fair to say that your
picture has appeared in newspapers?
Mr. SCHUMER. Yes, well, I have one right here. No
one can see the picture from this far away, but this
is in the Buffalo News right on the front page, and there you are,
Ronald Fino.
Mr. SCHUMER. And it looks just like you, except
the hair-do is a little different.
Mr. FINO. I was a little bit
younger.
Mr. SCHUMER. Isn't it a fact,
also, as you mentioned, that your picture appeared in the tabloid, the Globe, back in
1994?
Mr. FINO. That was an altered photograph.
Mr. SCHUMER. But your picture
was in there, correct?
Mr.
FINO. You couldn't recognize it. It was a picture, but I didn't even know if it
was me at first, myself.
Mr. SCHUMER. And let me ask you-you're aware that
this paper has a circulation of 1.3 million people?
Mr. FINO. That I do not know.
Mr. SCHUMER. OK. It does. Now the Globe did pay you for this story?
Mr. FINO. Yes, they did.
Mr. SCHUMER. And your share was
$9,000?
Mr. SCHUMER. And the basic
thrust of the story was-and let me just quote the headline here: "FBI Witness Charges
Simpson had Drug Links to the Mob."
Mr. FINO.. I didn't know what their headline was
going to be, but that's correct, yes, he did have drug links to the mob.
Mr. SCHUMER. He did? And who
were his mob connections? Who were O.J.'s mob connections that you revealed in this Globe
story?
Mr. FINO. Well, you had a few.
There was Michael Milatello, who was a mob associate. He is the one I believe-
Mr. SCHUMER. And what was their
relationship?
Mr. FINO. Michael Milatello was
in business with the mob for years. He was down in Florida in a health
center business with some mob associates, and he was kicked out because
of that drug deal.
Mr. SCHUMER. So you think-so Simpson was linked
to the mob this way?
Mr. FINO. No, because he was
lined to Milatello, and the story was about Milatello and what Milatello had told me.
Mr. SCHUMER. Right. Let me ask you this, Mr. Fino: I know that supermarket tabloids like
the Globe are certainly the source of interesting reading-I personally find the space
alien stories fascinating. Do you think space aliens are linked to organized crime?
Mr. FINO. It's nice to be specious, Mr.
SCHUMER, but I'm kind of surprised that-
Mr. SCHUMER. Let me ask you this: Have you ever
sold your story to any publications other than the
Globe?
Mr. FINO. No, I have not.
Mr. SCHUMER. Just the Globe, because you were
down and out?
Mr. SCHUMER. Just the Globe, because you were
down and out?
Mr. FINO. As I said, at that time that was it.
Mr. SCHUMER.
OK. Nothing in the National Enquirer or the Weekly World News or the Star?
Mr. FINO. No.
Mr. SCHUMER. Thank you, Mr.
Fino.
Mr. McCOLLUM. Thank you, Mr.
SCHUMER.
Mr. Schiff, you're recognized for 5 minutes.
Mr. Schiff. Thank you. I'm going to yield in a
moment.
First, Mr. SCHUMER, I didn't know
you were so interested in aliens. I'll be glad to take you to Roswell, NM, with me next
time I go back. [Laughter.]
Mr. SCHUMER. You're not referring to your
constituents? [Laughter.]
Mr. Schiff. No; it's not my district, as a matter
of fact.
Mr. FINO, I
just want to clarify one thing. You are now without a hood, but you're testifying behind
this screen so that your picture can't be taken, and, of course, that always creates some
kind of question: Is there something you want to hide? Is there an unfairness there? Because you're talking about someone who is not revealing
all of your identity. Is the reason for the screen because you're living under another
identity? Could you just explain that?
Mr. FINO. Yes, I am. I have spent, as well as the
FBI has spent, a lot of money creating a new identify for me, and to
show my face would compromise that new identity.
Mr. Schiff. All right. Thank
you, Mr. Fino.
Mr. Chairman, I yield the balance of my time to you.
Mr. McCOLLUM. I thank you, Mr.
Schiff.
A few minutes ago, when I was questioning you, Mr. Fino, I had
asked you particularly about your meetings and your
overhearing of a conversation with Mr. Coia, the current president general of the union. I
wondered if you can describe for us what was said to
you by Mr. Coia regarding his control by La Cosa Nostra. What
exactly did he say to you about that?
Mr. FINO. I can't recall my
exact words, but he had to answer, too-at least at the time that it
existed then-but he had to answer himself. We had discussed Riggi. We
had discussed the fact that we were having problems with Riggi on the training fund, that
he was not making contributions, and also the fact that I had talked to
Riggi, and John Riggi had told me that maybe it was true that they were going to allow me
to run because it usually flip-flopped between New York and New Jersey as to who would get
the vice president's position for that regional office.
Mr. McCOLLUM. Well, you also said in your opening
statement that La Cosa Nostra rarely ever used plain language and when,
I guess, they were referring to the mob they used something else. But what they referred
to in that conversation that Mr. Coia was having with you, it was clear to you that it was the mob that they were talking
about? Absolutely, unequivocally clear?
Mr. FINO. Absolutely clear.
Mr. McCOLLUM. Have you ever witnessed Arthur Coia
meeting with La Cosa Nostra members or associates?
Mr. McCOLLUM. Can you tell us about those
meetings and if Mr. Coia acknowledged to you that he knew he was meeting with organized
crime members?
Mr. FINO. We would have
meetings at the convention, of course. He would be together with-I would see him with
Vince Solano or Joey Mazza, who is an associate; or Ernie Kumerow, an
associate from Chicago; Gaspar Lupo, who is a made guy from New York City, he would be
with quite often; Sam Caivano, who, of course, was an associate; John
Riggi, who was a made guy.
Mr. McCOLLUM. Now, John Riggi was what-the
international vice president and regional manager of the New York-New Jersey region? What
is his title?
Mr. FINO. No, that was Sam
Caivano.
Mr. McCOLLUM. That was Sam
Caivano. What was John Riggi?
Mr. FINO. He was the boss of the DeCavalcante
faction of the Genovese family in New Jersey, as well as a union official in Elizabeth,
NJ.
Mr. McCOLLUM. Did you every overhear Mr. Coia
meeting with Gaspar Lupo, a capo with the Genovese LCN family?
Mr. McCOLLUM. What was that
discussion about, and how did you happen to overhear
it?
Mr. FINO. That was in regards to my remarks to
him down at Michael Lorello's wake. He wanted to talk to Gaspar because Gaspar was the
spokesman for the Genovese family.
Mr. McCOLLUM. Are you
testifying today that you personally witnessed Arthur A. Coia, the current general
president of the Laborers' International Union of North America, meet with known members
of the mob and that he acknowledged
to you that he knew they were mobsters?
Mr. FINO. He met with Gaspar Lupo, and I don't
recall if he acknowledged it except for the fact that he had to check with Gaspar because
Gaspar was getting the message, and I knew he knew
Gaspar was a made person; I don't know if we discussed the fact because it was an implied thing. It was common
knowledge that people such as Vince Solano and Gaspar Lupo were the messengers for the
Chicago and their respective areas in New York City.
Mr. McCOLLUM. What does a "made person"
mean?
Mr. FINO. That means they've
been inducted into the Cosa Nostra.
Mr. McCOLLUM. That's what Mr.
Moody was talking about earlier today with us, I suspect, where he said they had to go
through a formal process in becoming a member of La Cosa Nostra.
I thank you. My time-or Mr. Schiff's-has expired.
Ms. LOFGREN, you're recognized
for 5 minutes.
Ms. LOFGREN. Thank you, Mr. Chairman, and thank
you, Mr. Fino, for being here to testify.
Ms. LOFGREN.
As I was listening to you speak and your background and what you did at age 25 with some
idealism, I was thinking about what things had been like for you and some assumptions that
people could make. You mentioned that your father was in the mob or the leader of the mob
in Buffalo or high up?
Ms. LOFGREN. But that doesn't mean that you're in
the mob just because your dad was, does it?
Mr. FINO. No, it does not. Thank you.
Ms. LOFGREN. And we heard some people here say
that Mr. Coia, Sr., was connected to the mob. And the
fact that the senior was connected doesn't mean we should, you know, automatically assume
that the son is connected any more than you are. Isn't that correct?
Mr. FINO.
That is correct, yes.
Mr. FINO. I was interested in when the last time
was that you spoke to Mr. Coia junior. Do you remember what year that was?
Mr. FINO. I believe that was in
1987.
Ms. LOFGREN.
And that was about the time you became an informant for the FBI up in Buffalo; is that
right?
Mr. FINO. No, I go back to
1973 with the FBI.
Ms. LOFGREN. Oh, OK. So you were an informant
prior to that time?
Ms. LOFGREN. OK. And Mr.
Coia-when was he elected president of the Laborers' International? Do you know what year
that was?
Mr. FINO. It had to be 1992 or 1993.
Ms. LOFGREN.
I thought it was March 1993. Does that sound about right?
Mr. FINO. Yes. I was told
that; I don't have firsthand knowledge.
Ms. LOFGREN. You spoke earlier, in answer to
another question, about the amount of time you've been working now to clean up corruption
in the Laborers' International Union and that you've worked with the inspector general,
Mr. Gow, and also Mr. Luskin. I gathered from your comments that you had some respect for
them and their integrity; is that correct?
Ms. LOFGREN. Now if at the end of the
investigation of Mr. Gow and Mr. Luskin, with all the information they're able to gather-
and they have 50 FBI agents and they're going at it-if at the end of that they decide not to charge
Coia, would that be good enough for you?
Mr. FINO. I would accept that, yes, because I
understand the justice system; that it takes more than my testimony as an individual, and
that's the way the system operates and it should.
Ms. LOFGREN. Just a couple of
questions: you signed a personal service contract with Mr. Gow to be compensated to spend
time telling him what you knew about mob influence and the like; is that correct?
Mr. FINO. Yes, there was that, and to also help
him with other areas across the country.
Ms. LOFGREN. All right, and
you've been paid by the FBI also to-not at the beginning, but later
into the personal service contract-to provide information for them?
Mr. FINO. Well, most of the information was in.
What I was paid for by the FBI was to put that information to good use
in court, as well as
Ms. LOFGREN. Oh, so witness services?
Mr. FINO. Yes, speech and lecture, as well as
work on other matters for the FBI.
Ms. LOFGREN. So other than-you
haven't been involved as a laborer for many years-other than your current effort with the
Laborers' Union and your preceding efforts as a witness, what other
prospects do you have for employment at this point?
Mr. FINO. I've had some assurances from people in
the inspection of this thing, from the laborers, that they will help me with employment
after we have completed these investigations.
Ms. LOFGREN. So you're proving your integrity to
Gow and to others by what you're doing now?
Ms. LOFGREN. You're proving your integrity to Gow
and the inspector general by what you're doing now?
Mr. FINO. Oh, yes. It's not just integrity; they
needed my help. I received a phone call from Bob Luskin asking that I
help them, and I agreed to help them. At first I didn't
Ms. LOFGREN.
Thank you. I know my time has expired, and I don't want to take advantage of the chairman.
Thank you very much.
Mr. McCOLLUM. Thank you, Ms. LOFGREN.
Mr. HEINEMAN,
you're recognized.
Mr. HEINEMAN. Thank you, Mr.
Chairman.
Mr. FINO, you're a gutsy guy.
Mr. HEINEMAN. You're a gutsy
guy.
Mr. HEINEMAN. When did you tell the FBI that Coia
was meeting with the LCN and other made men?
Mr. FINO.
At the times of those meetings.
Mr. HEINEMAN. Can you put it in point of time?
Mr. FINO. Well, the meeting
with Gaspar Lupo at the Mike Lorello convention, and that would have been in 1987, January
1987, I believe. Other meetings with other people would have been other dates.
page 96
Mr. HEINEMAN. That's fine. Now, in your opinion,
are there unions that were not or are not controlled by the LCN?
Mr. FINO. The Laborers' International is totally
controlled by the laborers
Mr. FINO. Oh, yes. There are a number of good
unions.
Mr. HEINEMAN. There are good
unions that are not controlled by the LCN?
Mr. FINO. Yes, that's correct.
Mr. HEINEMAN. Could you name a few?
Mr. FINO. Yes, I think that the Electricians'
Union overall-and I knew Charlie Pallard and some of the other leaders up there- has never
been controlled. They have small locals around the country, but they're
not controlled.
Mr. HEINEMAN. How about the
AFL-CIO?
Mr. FINO. There have been links into the AFL-CIO
through the years, but, overall, George Meaney I knew was never controlled.
Mr. HEINEMAN. How about Sweeney?
Mr. FINO. I don't know Mr. Sweeney.
Mr. HEINEMAN. OK. Being a "made man" or
"making your bones," what does that mean?
Mr. FINO. Normally, in the old days, it would
mean to "make your bones," that you would have to go out and shoot somebody.
Mr. FINO. To kill, yes, or at least to go on a
hit. You'd have to be part of a hit.
Mr. HEINEMAN. Is that still correct today?
Mr. FINO. I don't know. I know
for a fact in certain families they've eased up on the rules a lot, and
they've allowed in people- maybe relatives or things like that-that
haven't whacked somebody. That's the expression they use-"whacking"-people that
haven't been in on a whack.
Mr. HEINEMAN. So any of the unions now controlled
by an LCN or a made man would mean that that union was controlled by someone that did kill
somebody.
Mr. HEINEMAN. OK. Tell me your impression of the
consent decree, if you know what that is.
Mr. FINO. Yes, I'm familiar with the consent
decree.
Mr. HEINEMAN. What's your impression of that?
Mr. FINO.
Well, actually, when the consent decree came down, I was in favor of it because I felt it
would be a good method to clean the Laborers' up with.
Mr. HEINEMAN.
And do you still feel that way?
Mr. FINO. Yes, if it's handled properly, I do.
Yes.
Mr. HEINEMAN. And what did you
think of the Teamsters' Union, the way that was handled?
Mr. FINO. I
have some misgivings on the Teamsters, but I worked on part of some Teamsters' areas with
Special Agent Stan Nye and a few other people, and I had some misgivings on some of the
moves made, but I understand the difficulty in cleaning a union; it's not easy and it's
not an overnight job. This is something that takes years.
Mr. HEINEMAN. Tell me about
the award the AFL-CIO gave you.
Mr. FINO. Yes, that was in Buffalo, NY; that was
for outstanding service to the AFL-CIO in organizing brotherhood.
Mr. HEINEMAN. I'd like to yield my time to the
chairman, Mr. McCOLLUM.
Mr. McCOLLUM.
Thank you very much, Mr. HEINEMAN.
At one point in time, did you have a conversation with Arthur A.
Coia about your becoming the international vice president for the New York-New Jersey
region of the Laborers' Union?
Mr. FINO.
That was the one at Mike Lorello's
Mr. McCOLLUM.
That's where that conversation took place at that point in time?
Mr. FINO. Yes.
Mr. McCOLLUM. And what did Mr.
Coia say to you about the election itself, about your running for it?
Did he give you any indication that there had to be approval for that?
Mr. FINO. Yes, that those
decisions would be made elsewhere; that our talking about it was not going to decide who's
going to make that person the vice president. And, of course, I'm using words today to
incorporate basically what we discussed, and that I had told him that Joe Todaro had sent
me down. I explained my meeting with Riggi, and that he had told me
that he thought it was going to be Caivano, that they were going to select Caivano. And I
told him I had talked to Riggi and that Riggi had said it might not be Caivano, now that
I'm throwing my hat into the ring. And he said, "Well, you know as
well as I do where those decisions are going to be made. Let's not talk
about it."
Mr. McCOLLUM. Are you saying that the current
general president of Laborers' International Union of North America
told you that you had to receive approval of a member of La Cosa Nostra's Buffalo crime family in order to be able to seek a position of international vice
president of the Laborers' Union?
Mr. FINO. Yes; that's correct.
Mr. McCOLLUM. My time has expired. Mr. WATT,
you're recognized for 5 minutes.
Mr. WATT.
Thank you, Mr. Chairman. I missed the intrigue with which this witness entered. Are these
panels bullet-proof? Mr. Chairman.
Mr. WATT. Are these panels bullet-proof?
Mr. McCOLLUM. I don't think
they're bullet-proof. They're designed to protect him from photographers.
Mr. WATT. Oh, OK. I just
wanted to make sure; if I was in any danger, I wanted to be prepared.
Mr. McCOLLUM. I hope that you
are not in this room, Mr. WATT, but the witness, I believe, is, and therefore we have the
panels to protect him from an identity question at his request.
Mr. WATT. I'm happy to
contribute to any safety that I can for this witness. I kind of missed the entrance and
the setting for this. It's kind of an unusual setting for a Judiciary
Committee hearing, even for this committee. I'll yield my time to Mr. SCHUMER, the ranking member.
Mr. SCHUMER. Thank you, Mr. Chairman. I just want
to go over two things again that I want to reiterate, because that's the focus of the
hearing.
No. 1, is that there is nothing new in what you're telling us today. Is that right, Mr. Fino?
Mr. FINO. That is correct, yes.
Mr. SCHUMER. Nothing at all?
Mr. SCHUMER. Nothing at all. It's all known and
it's known to the investigative officials.
Mr. FINO. That is correct; yes.
Mr. SCHUMER.
And, second, that you mentioned before that you thought the consent
decree was a good idea and is working. Once again, if you presented any information of
criminal activity or wrongdoing to Mr. Gow and to Mr. Luskin, do you
believe they would take the appropriate action and remove the appropriate officials?
Mr. FINO. Yes, he would.
Mr. SCHUMER.
Even if that official was Mr. Coia, the head of the union.
Mr. SCHUMER. And if they don't do that and the
investigation is still ongoing
Mr. FINO. I
know it's ongoing now.
Mr. SCHUMER. Right. And you would have faith in
that decision as well?
Mr. FINO. As I explained.
Mr. SCHUMER. So your basic
view is the way the setup works now, justice will be done. Is that fair
to say?
Mr. FINO. If followed through properly, yes.
We're having problems with finances and things like that, I know.
Mr. SCHUMER.
But there's no problem with Gow's or Luskin's integrity to do it?
Mr. SCHUMER. OK. Thank you very much. I yield
back to Mr. WATT.
Mr. WATT. I yield back the
balance of my time, Mr. Chairman.
Mr. McCOLLUM. Thank you. Mr.
Bryant, you're recognized for 5 minutes.
Mr. BRYANT of Tennessee. Thank you, Mr. Chairman,
and I want to thank the witness for being here today. I do appreciate your concern and the
sacrifice you've made in changing your entire life style and putting your family at risk.
I guess, again, I tend to look at these cases from the eyes of a former prosecutor and
knowing some of the things that folks like you go through. And usually they
are folks that we like to say in our closing arguments as defense
counsel-attack their credibility, or whatever-that they are bad guys,
that we don't normally get the kind of folks that are Boy Scout
leaders, Sunday school teachers, and Mother Teresa types. I mean, they are right down
there with them. But I think in your case you were young enough that you actually had
accumulated a very positive record. I know it's been mentioned that you were AFL-CIO man
of the year. You were man of the year for the NAACP. You received an award for human
rights achievements from the African-American Students' Association at the State
University of New York, and, additionally, an award for human rights work by the Southern
Baptist Leadership Forum in 1986. Is that correct?
Mr. FINO. Yes, it is, sir.
Mr. BRYANT of Tennessee. Probably more important
to your occasion here today, though, is the fact that you have consistently provided what
I believe to be accurate information to the FBI in regard to union and
mob activities, have you not?
Mr. BRYANT of Tennessee. And, in fact, you've
testified in at least four Federal trials across the country?
Mr. FINO. Yes; that's correct.
Mr. BRYANT of
Tennessee. And during that testimony, in preparing that testimony, you were put on the
witness chair by the U.S. attorney in four different districts: Ohio, two or three in New
York, and New Jersey, as I understand it.
Mr. BRYANT of Tennessee. And, additionally,
you've given testimony in a number of grand jury proceedings?
Mr. FINO. Yes, I have.
Mr. BRYANT of
Tennessee. As a result of your testimony, have mobsters been put in jail?
Mr. BRYANT of Tennessee. Mr.
Fino, to what extent is the La Cosa Nostra influence within the LIUNA? Does it pervade all
levels of the union, including locals, district offices,, regional
offices, and the international headquarters?
Mr. FINO. It's rule has always been absolute. I
mean, they may let a local out in California go ahead and do its daily activity-and that
union official may not even know he's being controlled-but they do control everything from
the top up. And even some of the vice presidents that are not
controlled, their approval is done by the Cosa Nostra; they will
approve that. If they don't want that person, they'll let that person go. But they do
control everything. They control the jobs, and, of course, as you know,
with the pensions and health and welfare and all of these various funds, millions upon
millions of dollars.
Mr. BRYANT of Tennessee. Mr.
Fino, would it would be likely that one would be selected as the president of LIUNA, such
as Mr. Coia has been, without the mob approval?
Mr. FINO.
No, that was definitely necessary. You could not be selected to be president without the
approval of the mob. They would not allow that.
Mr. BRYANT of Tennessee. Did you know Mr. Coia in
1981 during that time frame when he was charged with other Federal charges?
Mr. FINO. I knew his father
better than him, yes; I was talking to his father quite frequently about that case.
Mr. BRYANT of Tennessee. Do you have any
information as to Mr. Coia, Jr.'s guilt on those charges from the 1981 matter?
Mr. FINO. I could tell you that as far as the
father they were all involved and that he felt sorry that he got his son involved in it.
Mr. BRYANT of Tennessee. And
as I understand it, they got off on a legal technicality, a legal defense of statute of
limitations, nothing on the merits of the actual case.
Mr. FINO. No, some of them did. There were a
couple of guys that took the fall for Angelo Fosco on that. The Coias and Santo
Trafficante from Florida got off on a technicality, and I believe
it was a statute of limitations problem.
Mr. BRYANT of Tennessee. Thank you, Mr. Chairman.
Mr. McCOLLUM. Mr. BARR, you are
recognized for 5 minutes.
Mr. BARR. Thank you, Mr. Chairman.
Mr. FINO, in your experience
with the FBI, do they take their investigations of mobsters and the mob pretty seriously?
Mr. FINO. They do today; that's for sure.
Mr. BARR. And, based on information that they
receive, if they put that in writing in 302 reports or other sorts of reports, they don't
take that lightly, do they?
Mr. FINO. No, they do not.
Mr. BARR. If the FBI, in your
experience, of course, puts into a document that a certain individual
is known to them to be an associate of a particular mob family, that's pretty serious,
isn't it?
Mr. FINO. Yes; they've had more than one source.
Mr. BARR. And that, in your experience, if you
saw such a report, would it be your impression to just disregard it?
Mr. BARR. So in other words, let's say you really
didn't know Mr. Coia to the extent that you have testified that you have, and you were
considering becoming associated with him in some capacity- maybe appointing him to
something or what not-and you received a report from the FBI that Mr. Coia was a known associate of the Patriarca crime
family, would you continue to solicit his friendship or engage in an association with him
after that point?
Mr. FINO. If it came from the FBI, I would have a
problem.
Mr. BARR. Thank you, and Mr. Chairman, I yield
back the balance of my time.
Mr. McCOLLUM.
Thank you very much, Mr. BARR.
I've got a question that really is pregnant sitting out here to be
asked that I think needs to be, Mr. Fino. Mr. Coia, Arthur A., who is currently the
president-general of LIUNA, is staying in that office during the time of this current
operation to supposedly clean up the union. What do you think about his staying in office?
What do you think about his still being president during all of this?
Mr. FINO. As long as he has no
say-so on the cleanup until the cleanup is done, I have no opinion on it. If he has input
in the replacement of these people or any say-so
whatsoever in the cleanup, then I would have a problem with that.
Mr. McCOLLUM. You would have a problem with him
having a say-so of who the people are who take these positions, right?
Mr. McCOLLUM. And that may
very well be what's happening now. You don't know whether that's true
or not, right?
Mr. FINO. I have no knowledge of that.
Mr. McCOLLUM. Did you-I mean he certainly still
has the power of appointment as president. That's what presidents have, right?
Mr. McCOLLUM. He has the power
of appointment, as presidents have powers of appointment.
Mr. FINO. Well, I don't know under these
circumstances. I haven't discussed that with anybody.
page 101
Mr. McCOLLUM.
Let's go back to the beginnings of all of this, where you were again telling me about
Arthur A. Coia. Did you ever travel with him?
Mr. FINO. Did we ever travel together? I'm sure
we did. I know we were down in Florida together, and we were in other States together.
Mr. McCOLLUM. Yes, well, when
you went down to Florida with him, did he have anybody accompany him besides you?
Mr. FINO. Yes. We went to a golf match down
there, but he would always have his entourage with him: Dominique Lopietro, Jimmy Merloni,
some of the laborers around him.
Mr. McCOLLUM.
Were any of the people who accompanied you and Mr. Coia on that trip
organized crime members or associates?
Mr. FINO. They would go to dinner with us
sometimes, yes.
Mr. McCOLLUM. Were they organized crime members?
Mr. FINO. Yes. Joe Todaro,
Sr., went to dinner with us the night I had to
nominate Sam Caivano for his position as vice president.
Mr. McCOLLUM. So do you know if Arthur E. Coia,
the former general treasurer of Laborers' International Union of North America or his son,
Arthur A. Coia, the current general president of Laborers' International Union of North
America, were ever indicted?
Mr. FINO. They were indicted
on what we refer to as the Hauser case with the boss from Florida,
Santo Trafficante, and Carlos Marcello from New Orleans.
Mr. McCOLLUM. Do you recall the disposition of
those cases?
Mr. FINO. As I was stating earlier to someone,
the case against the Coias was tossed out because of the statute of limitations, but I
believe the case against Angelo Fosco, Sal Tricario, and John
Eppolito-Angelo used to be the president-that went
on, but I know that Bernie Rubin and a few other people took the fall for Angelo, they
took the rap.
Mr. McCOLLUM. And I think the record will show
that, with regard to Arthur A. Coia, his case was dismissed because the statute of
limitations had run out.
I will now yield the time on this round to Mr. Chabot for 5
minutes. Mr. Chabot, you're recognized.
Mr. CHABOT. Thank you, Mr. Chairman.
Mr. FINO, first of all, I want to thank you for
your courage and for your service to your country and to the rule of law by being here
today and doing what you've done. We've already heard at some length the great harm that
mob-connected union bosses can impose on honest rank-and-file union members, and I know
that your bravery in coming forward must be appreciated by all the rank-and-file. You've
described mob control over the Laborers' Union as pervasive. Could you
describe for us in more detail just how far down into the union the mob
reaches, and tell us the kinds of influence that the mob exercises at
the local level of LIUNA, if you would, please?
Mr. FINO. Well, the mob
controls the Laborers' International Union and its locals through the international and
choke points, such as the families from Chicago, the families in New York City, New
England, Buffalo, and Cleveland, with New York and Chicago, of course, being the most
powerful, and other families across the country would also get
involved, and from there they would spread
out. They would manipulate the national agreements,
things like that, to favor favored contractors, and you could very easily through
insurance scams and things like that, help that contractor get a job. And maybe all you
want from that job is just to put some people to work.
Other times maybe there's a piece of the
action. It depends, because the first rule of the Cosa Nostra is not to make money; it's
the perpetuation of the family. And that's what they use the laborers for. This is where
they were going to put their people to work. And then the second, of course, is money, and
I've never seen them refuse money. And they've made quite a few millions of dollars on
those pension funds, health and welfare, union dues, political action
funds-you name it and they make money on it.
And as far as the local union, the big way they control the local
union is the jobs. If you don't go along with their bidding, you're going to end up at a
very dangerous job, if you get a job at all. The plum jobs go to the
Cosa Nostra associates, cronies, sometimes to political friends. It depends; police
friends, judges-I've seen everything. They're much more powerful than the public can ever
possibly imagine.
Mr. CHABOT. Have you ever seen that influence at
the local level extend to the
award of particular jobs? Are there particular ones you could point to?
Mr. FINO. Oh, sure. That would
happen all the time. I know, for example-this is something I've never gone into with
anybody; I don't believe we even went into it with the FBI-but with the Laborers'
International, we would not allow national contractors in New England or New York or New
Jersey because of the families. We did not want Chicago having any influence. Because most
of the agreements were controlled by Chicago or Chicago affiliates, we did not want them
having any influence into those areas. And so through national agreements, you could
manipulate pretty much who you got a contract for.
I know so many different ways that we could make a contractor get
a job and make a lot of money. It's very simple and in areas that
you're never going to get caught at, because it's done through insurance companies with
bonding and a lot of other ways. It could be through labor. They may have a Davis-Bacon
job for those that understand the wage-and-hour law; they'll Pay the Davis-Bacon rate for
20-some hours. In the meantime, the inspector's on the take; everybody else is on the
take. So they show the Davis-Bacon rate; in the meantime, the guy is working some 50
hours-the guy or the girl. I mean, there are a lot of scams that go on
every day, every single day. It's constant.
Mr. CHABOT. IS it accurate to say, then, that the guys who aren't connected, the ones that aren't directly involved
with the mob, the ones that are just hard-working guys in the union or women in the union,
as the case may be, they're the ones that probably suffer the most because they're the
ones carrying the weight for the ones that aren't pulling their weight?
Mr. FINO. No question about it. They're the ones
that burned in this situation more than anybody.
Mr. CHABOT.
Thank you very much.
Mr. FINO. You're welcome, sir.
page 103
Mr. McCOLLUM. Let's see,
everybody's had a round. Mr. BARR has not. Mr. BARR has, have you not?
Yes, he has. I think I'm the only one left who hasn't, so I recognize myself for 5
minutes. It sounds strange, I know, Mr. FINO, but everybody else has
yielded time to me; I have not had my own 5 minutes, and we'll try to
wrap this up for your very quickly.
In terms of Mr. Arthur A. Coia, the current general president, do
you know if he has obtained copies of FBI 302's, which are the written documents that
reflect interview information, those that reflect statements made my you to the FBI
concerning criminal activity on his part?
Mr. FINO. I don't have any knowledge-I don't
think that he would have them unless they were public documents.
Mr. McCOLLUM. Would it surprise you if he did?
Mr. FINO. I understand there are some public
302's available in New York City, but those are the only ones I know of.
Mr. McCOLLUM. Well, if he
tried to do that, it shouldn't be too surprising to me, but it might be to you. I'd like
for you to tell us a little bit about your actual job with the union in some detail. You
were at one time the local union business manager of Local 210 in
Buffalo, right?
Mr. FINO. That is correct, yes.
Mr. McCOLLUM.
Could you tell us what your hiring authority was?
Mr. McCOLLUM. Hiring authority.
Mr. FINO. Ours was absolutely
controlled by the family. We had a legal hiring hall, but the good jobs
would go out the back window.
Mr. McCOLLUM. What was your experience with
regard to the district councils and the La Cosa Nostra influence?
Mr. FINO. That I had testified about because that
was being set up for Joseph Todaro, Jr.'s brother-in-law. Joseph Todaro, Jr., wanted his
brother-in-law out of Local 210; plus, Local 210 had no money, so they wanted to expand
the area and bring in other areas, Jamestown and other areas.
Mr. McCOLLUM.
And what about the regional offices in La Cosa Nostra? What can you tell us about them?
Mr. FINO. The regional office
was Sam Caivano, which was answering to the Genovese family even though we had Gambinos
and a lot of other
Mr. McCOLLUM. So we've gone from the local, to
the district councils, to the regional offices. What about the general executive board?
Mr. FINO. The general executive board-you have a
lot of good people on the general executive board, but, unfortunately, the general
president has the say-so and people are afraid to come forth. I know
good people on the executive board, but they're afraid to come forth and they go along
with things.
Mr. McCOLLUM. Now you knew Arthur E. Coia, the
father of the current president, even better than you know the current
president, you've told us. Did he-did the father-ever acknowledge or discuss with you mob influence at Laborers' International Union?
Mr. FINO. All the time. We had numerous
conversations.
Mr. McCOLLUM. Could you tell me a little bit of
the nature of that?
Mr. FINO. Well, we had a big
problem going back with the Coias. The Coias were fighting the Foscos. Arthur did not
believe in Angelo's ability; Angelo did not believe in Arthur, and there was a lot of
power struggle going on. And a number of the Chicago family actually
supported Arthur Coia because Angelo was drunk all the time and he was a loose cannon. His
son wasn't always listening to the mob to make decisions-his son,
Peter-and so there was a battle going back and forth. So Arthur would be in Buffalo,
constantly, with me-we traveled together quite a lot-discussing all the different people
that are supporting him, and, of course, I would-in fact, he met with
Joe Todaro, Sr., about being supported by Chicago.
Mr. McCOLLUM. Did Angelo Fosco
later become the general president of LIUNA?
Mr. FINO. He was the president at the time.
Mr. McCOLLUM. Right. And did
Arthur, Sr., the father, discuss with you his expectations regarding how the money in the
international training fund was to be used?
Mr. FINO. Well, the training
fund was Coia's pet; that was Coia's. Angelo had no
say-so, even though he was allowed some people
Mr. McCOLLUM. Was La Cosa Nostra involved in the
use of those funds?
Mr. FINO. The Cosa Nostra people benefited from
employment on those funds, and possibly some contractors.
Mr. McCOLLUM. What you've
basically described for us today is that you've got
a union that is severely mobbed-up, and it has been for some time. And there's no doubt in
your mind whatsoever, from what you've said to me, that Arthur A. Coia, the current
general president of that union, could not have been elected in the first place if he was not given the blessing of the mob, and there's no doubt in your
mind that he has been involved with the mob and associated with mob-related figures
throughout the time that you were acquainted with him. Is that not correct?
Mr. McCOLLUM.
Thank you very much.
Ms. JACKSON LEE, I see you've come in. You may be
recognized for 5 minutes.
Ms. JACKSON LEE. Mr. Chairman,
thank you very much, and let me apologize for being delayed on the floor, dealing with
matters of promoting children and, hopefully, creating opportunities that are justified by
these hearings that are here today, which is to find out facts, and I appreciate the
gentleman's courage for being here.
I started my remarks this
morning by indicating that we should all join together against organized crime and join
together to determine the facts. And let me apologize for not hearing all of your
testimony, but as I was reviewing some of the notes, it comes to my attention that you
were in the union in what location?
Mr. FINO. In Buffalo, NY.
Ms. JACKSON LEE. You were in
Buffalo. So you were not in Providence, RI?
Mr. FINO. Later on, not then; I was never in
Providence as an official.
Ms. JACKSON LEE. You made visits? Is that what I
understand?
Mr. FINO.
Later on I was there quite often, yes.
Ms. JACKSON LEE. All right, but your home base
was in Buffalo?
Mr. FINO. Yes, it was.
Ms. JACKSON LEE.
And, likewise, you left the union in what year?
Mr. FINO. I left the union in
1988.
Ms. JACKSON LEE. You can understand, then, a
certain line of questioning that I might offer. We're talking about 1996, and we're
talking about trying to get as broad an understanding of accusations or questions being
raised about the mob influence in labor. You seem to be really more
focused in the Buffalo area, and, yet, you are expanding
on mob involvement across the Nation. How can that be? Do you have firsthand knowledge?
Mr. FINO. Yes, I do. I was
also a national trustee for the Laborers' International Union training fund.
Ms. JACKSON LEE. And in being the national
trustee, would that give you the ability to have the innerworkings of every single local?
Mr. FINO. Oh, not every single
local, but I knew every single vice president and they talked to me, and I knew every
single regional manager and I talked to them.
Ms. JACKSON LEE. Well,
certainly, with that in mind in particular then, I would suggest that you may not have all
of the information that you are seemingly offering in terms of the wide net that you're
casting.
Mr. FINO. I thought the net
was rather narrow, actually.
Ms. JACKSON LEE. Well, and I was hoping that it
would be, but it seems that you are casting a rather wide net, and I was just trying to
determine whether you had direct knowledge of each and every aspect of what
you are seemingly to allege.
Mr. FINO. Well, if it's in my
declaration, it's spelled out. If I have direct knowledge-and that's what my declaration
is-then, yes, I do.
Ms. JACKSON LEE. But nothing after the time that
you left the union in 1987-88.
Mr. FINO. No, I didn't think my net was cast that
far.
Ms. JACKSON LEE. Well, I wanted to just at least
qualify that you did leave in 1987-88.
With that, Mr. Chairman, I would like to yield the balance of my
time to Mr. SCHUMER. Thank you.
Mr. SCHUMER. So, again, just
to reiterate what Ms. JACKSON LEE said, your knowledge extends up until 1987?
Mr. FINO. I have additional knowledge, but those
matters are under investigation now.
Mr. SCHUMER. So you haven't talked about those
yet?
Mr. SCHUMER. Everything you've
talked about is at least 8 or 9 years old, and maybe older.
Mr. SCHUMER. And if things have changed since
then, you're not telling us about it or you are telling us about it?
Mr. FINO.
Well, I can't-if things have changed regarding other areas, excluding areas under
investigation, I would tell you.
Mr. SCHUMER. OK. Let me ask you this: you talked
about Mr. FOSCO before. You've made it clear that Mr. Fosco was
mob-connected?
Mr. SCHUMER.
I just want to make sure. Is this the Mr. FOSCO that you're talking about?
Mr. FINO. That's him.
Mr. SCHUMER. Do you know who
is next to him?
Mr. FINO. I don't know who's in the middle, but I
recognize Mr. Bush's picture.
Mr. SCHUMER. President Bush?
Mr. FINO. President Bush, yes.
Mr. SCHUMER.
OK. And one final question just to reiterate, and I'm sorry to do this, but I think we
have to. And that is, if you have given everything you know to Gow and
to Luskin
Mr. SCHUMER [continuing]. And you have faith in
their integrity that if they find evidence of wrongdoing, they will pursue it?
Mr. SCHUMER. Even if it
involves Mr. Coia?
Mr. FINO. Yes, they will.
Mr. SCHUMER. No further questions, Mr. Chairman.
Mr. McCOLLUM. Mr. Coble,
you're recognized for 5 minutes.
Mr. COBLE. Mr. Chairman, I thank this witness for
his appearance today. I apologize that I missed it because I was attending another hearing
that was simultaneously conducted. With that in mind, I will yield 1 minute to the
gentleman from North Carolina, Mr. HEINEMAN.
Mr. HEINEMAN.
I thank the gentleman.
Mr. FINO, did you ever know of Coia being close
to Bush?
Mr. FINO. Did I ever know of Coia being close to
Bush? Not that I know of.
Mr. HEINEMAN. OK. You mentioned Davis-Bacon scam.
Was that a one-shot deal, or is
this a routine-type scam?
Mr. FINO. It's a routine-type
scam.
Mr. HEINEMAN. All over the country?
Mr. FINO. Well, there are a lot of right-to-work
States where it wouldn't take place because of the
work rules; I mean it may because they have the same Davis-Bacon law,
but usually Davis Bacon, when it was set up, followed the union structure. So, I would say
a good portion, yes, because we would have contractors- even going down to your State-we
would have contractors, and they could manipulate the local market to
make sure that that contractor had an advantage, even at the very least with the insurance
rates-bonding and liability.
Mr. HEINEMAN. I thank you, and I yield back to
Mr. Coble.
Mr. COBLE. Mr. Chairman, I
yield the balance of my time to the Chair.
Mr. McCOLLUM. I want to thank you for yielding.
And, Mr. Fino, we want to thank you, particularly, for being a
witness today. I want to recapitulate a couple of things and make
sure my understanding of all of this is right. It's my impression
that you are probably about as forceful and as a knowledgeable a witness about Laborers'
International Union and racketeering as there is-period-anywhere. One of the reasons I can say that is because of what you've said to us today. You've
testified, as I understand it, in four major mob trials, three of which
led to convictions, and the fourth ended up being a plea bargain. And I gather you're so
reliable from the FBI'S standpoint that they've retained you to teach
at service classes on mob activity at the FBI Service Academy. Isn't all of that true?
Mr. McCOLLUM. And, further, isn't it true that
the Department of Justice has asked the executive board attorney to seek assistance from
you in investigating crimes within LIUNA? Isn't that
true, too?
Mr. FINO. Yes, that is.
Mr. McCOLLUM. It seems to me,
also, that you've told us the reason why you got involved in all of this, going back to
knowledge of your father being a member of La Cosa Nostra, is because of the rank-and-file
workers that you perceive are the real victims in this. This is why you
were a witness, why you came forward and cooperated with the FBI for years before it
became public knowledge and for years before you ever left the union and took any kind of
compensation from the FBI. IS that not correct?
Mr. FINO. I hope it is, because I don't know what
motivated me, but I used to hear laborers come up and say, "Ronnie, I can't buy a dress for my daughter's graduation," or "I have to go out and
steal tonight to get milk." And here I could have gotten them work, but I couldn't.
So, obviously, that played a major part. I don't know what the catalyst
was that pushed me over. I mean, I grew up with the Cosa Nostra. I saw it; I could never
understand it. I couldn't ever understand the rationale of why somebody would want to be
in this arcane organization. These are things I couldn't accept.
Mr. McCOLLUM. And you were concerned about
minorities, too. As I recall, you got an NAACP award, did you not?
Mr. FINO. Yes, I did. Mr.
Chairman, it was all the members, members across this country that I've seen. And there
were a lot of abused people, and there are a lot of abused people out there.
Mr. McCOLLUM. Well, what we've
seen from your testimony and your personal experiences today is that Arthur A. Coia, the
current president general, not only knew about mob involvement with
Laborers' International Union, but through his association with the mob furthered their
control of Laborers' International Union. Isn't that a fair representation of what you
told us today?
Mr. FINO. I explained that he was controlled by
the mob; that's how he got his job.
Mr. McCOLLUM. And, obviously, the mob controls
Laborers' International through their control of key officer positions, including the
presidency, and they control who works for the union through their control
of the hiring hall. That's what you've told us today, right?
Mr. FINO. Yes, it is; that's
correct.
Mr. McCOLLUM. I think it
pretty well sums up the status of what is there and why we're so concerned with Laborers'
International
Union and whether or not the Department of
Justice is doing the right thing in the way it's trying to clean it up. It also expresses
the concern we have about why Mr. Coia is still the president of that union. You've said
you could understand maybe why-we're going to get into that more.
But there is no doubt after your testimony today, Mr. Fino, and we
really appreciate your putting forth the time and exposing yourself-even though protected
from photography, still exposing yourself-to be this witness today, to
lay all of this out for the public, so we can understand better what this is all about and
how the mob really works and how it still works in unions where they're not cleaned up,
and how we've got a job to do as an oversight committee to try to make
sure at every stage that workers, the everyday person that's got his
money in that revolving fund, is protected. I want to thank you again for coming.
Now I'd like everybody to stay in place until Mr. Fino puts back
on his cover for this and leaves the room. We don't need any
photography.
You need to put that on before you get up. All right, fair
enough-almost. Thank you again, Mr. Fino.
The subcommittee is
adjourned.
[Whereupon, at 2:16 p.m., the subcommittee adjourned, to reconvene
at 9:30 a.m., Thursday, July 25, 1996.]