November 3, 2000

  Subject: Request re Inspecting /copying Local 2 records

  Trustee Randy Dalton

Laborers Local 2 by fax 773-586-1938             November 03, 2000

  Dear Brother Randy:  

 Pursuant to your verbal request that I make a written request to obtain the federal Id Tax number of LIUNA , please consider this fax a written request for the following:  

1. A request to inspect and/or copy LIUNA's and local 2's IRS form 990 which under existing Federal regulation/code you are obligated to provide. I would like to inspect the copy on file in local 2's office next Thursday and will present myself at 9:00  or thereabouts at the offices of local 2 on November 9, 2000 to inspect and or copy the returns.
   see Public Disclosure of Material Relating to Tax-Exempt Organizations (Final Rules)
   http://www.thelaborers.net/irs/irs_public_disclosure.htm 
2. A request to peruse all the decisions of the LIUNA Independent hearing Officer and LIUNA Appellate Officer which by LIUNA policy should be in each local's office for members to read and/or copy.  This policy was implemented after I was denied the right to monitor  the hearings of the Chicago Laborers District Council Trusteeship hearings and lobbied for its implementation. See LIUNA magazine wherein policy officially announced.
   I want to read and/or copy all of the decisions of the IHO and Appellate Officer issued to date. Please obtain the books containing the decisions issued in 1995, 1996, 1997, 1998, 1999 and paper and/or electronic copies of decisions issued since 1999 that are not available in book form or electronic form on LIUNA's Internet site for LIUNA members. As of yesterday (Nov .2, 2000) , no 2000 decisions are available via the internet and not all decisions are electronically available- a clear indication to me that LIUNA does not want its members to be fully informed about its rules, policies, and procedures .
3. A request to examine and /or copy the labor management reports filed by local 2 since 1999. DOL-OLMS regulations provide as follows: 

Every person required to file any report under this part shall
maintain records on the matters required to be reported which will
provide in sufficient detail the necessary basic information and data
from which the documents filed with the Office of Labor-Management
Standards may be verified, explained or clarified, and checked for
accuracy and completeness, and shall include vouchers, worksheets,
receipts, and applicable resolutions, and shall keep such records
available for examination for a period of not less than five years after
the filing of the documents based on the information which they contain. 

I want to see the documents/agreements authorizing the salaries, powers, duties, terms of trustees so I can reconcile figures reported on the 1999 LM-2 report which I have reported to authorities as being fraudulent, i.e. the $6028 reported as disbursements for Official Union Business to John Burke, Mark Tomasik, Sean Ryan, Richard Cavins ( see on the internet schedule 10 of local 2's 1999
LM-2 http://www.thelaborers.net/locals/lu2/lm2s/lu2_1999.hot)
See local 2 LM-2 for 1999 http://www.thelaborers.net/locals/lu2/lm2s/lm2-1999p.htm

None of the above persons received the identical amount for official union business and I believe the figure to be bogus and fraudulent.  I would like to know how approximately $30,000 in local 2 assets were expended. I have never received nor has my pro bono client, John Burke, ever received an adequate explanation of this clearly bogus figure. That is my "just cause" as they say for my request to examine local 2's books and records.  

Additional "just cause" was provided by you at the last union meeting when you indicated that local 2's books were not accurate. I questioned your assessment of how bad the situation actually was and would like to examine the records myself to judge for myself, based on my experience, knowledge, skill, and education in automated record keeping systems. I believe you recorded the union meeting and specifically request that you not destroy the evidence of our discussion on the matter.  

I would also like to see the telephone records that Trustee Schippers had Ameritech provide for all the calls made by cell phones owned by local 2 in the summer of 1999. I have good reason to believe that the itemized telephone records for Trustee Schippers' phone will show multiple calls to the Washington D.C/ Virginia area  that were not related to LIUNA business. If this suspicion proves true, I will then be forced to report that local 2 money was used for personal business of the trustee, a violation of the LMRDA.   

I would like you to obtain from your telephone provider and for local 2's telephone provider an itemized record of the calls made in September from your cell phone and local 2's phones so I can verify the veracity of the claim that George Vaughn was contacted by you in September to ascertain his availability to replace Reggie Robinson despite your assertions to the members of local 2 that existing acting field reps would only be replaced for just cause. This will avoid the unnecessary expense of unnecessary lawsuits and will help  demonstrate to the members of local 2 that you are trustworthy and to be believed,  an assertion I make despite compelling evidence to the contrary.  

On Monday of this week, October 30, 2000, Mark Tomasik had a conversation with George Vaughn. George did not know who Mark was and told him that he had been contacted 6-8 weeks prior by "International, Healy, and Dalton to come to Chicago ", Vaughn's words as reported to me by Tomasik. Tomasik has been vetted by FBI Professional Affairs personnel and by LIUNA IG agents. His testimony is reliable and truthful. He reported the conversation to me 10 minutes after it occurred.

George Vaughn's telephone records will show he spoke to someone in local 2 on Monday morning for approximately 15 minutes before he came back to Mark Tomasik and berated him for not telling George who he was. The cell phone conversation from George's car phone to local 2 will be reflected in the records next month. The identification of the cell phone tower nearest the Local 2 vehicle will be part of the internal phone company records. It will show the tower to be in the vicinity of Nash Construction company. Cell phone conversations can be easily monitored you know.

I would also appreciate receiving a copy of any communication you had with LIUNA regarding my transfer into local 2. LIUNA's Provisional General President Terence O'Sullivan in his letter to me of October 20, 2000 said the following in  apologizing for the delay in responding to your September 5, 2000 communication: (See http://www.thelaborers.net/transfers/osullivan_letter_2000-10-20.htm)  

"I apologize for the delay in responding , but given the serious nature of the concerns you  raise required a full and careful review of all of the relevant facts and of the prevailing law" (Emphasis added)

I have asked you verbally twice via telephone to provide me a copy of your communication. Twice you told me "no". The last time you told me to get it from the International. I am making a last request via this writing before I

·         ask the LIUNA Election Officer to order the release to me as "information relevant in the context of an election",

·         before I file internal union charges against you for your breach of fiduciary duties to keep the members of local 2 informed about serious matters affecting them.

·         before I file an LMRDA lawsuit against you for interfering with my rights as a union member to transfer into whatever local I want to transfer into without being required to state my reasons for the transfer or seeking the permission of the receiving local, a practice I deem arbitrary, capricious, undemocratic, illegal and "bad policy".   

Please be professional about the matter and do not subject local 2 to unnecessary legal expenses in defending your right to withhold the communication from me.  

Please provide me with a copy of Trustee Schippers letter to Bloch of June 8, 1999 that Bloch makes reference to in his June 10, 1999 letter see http://www.thelaborers.net/transfers/transfer_denied.htm  

I contend and will seek to prove in court that there was no long standing policy or practice in the Chicago District Council that transfers were only allowed with the consent of the receiving local or that this policy was created by individuals beholden to organized crime to thwart "union democracy", keep locals segregated by race and/or ethnicity and not specialization.  

I also contend that the practice/policy is unconstitutional, illegal, undemocratic and is not in effect in other jurisdictions. I contend it was "special legislation" designed to punish me for my actively criticizing the delegates to the Chicago who breached their fiduciary responsibilities and by the trustee to the District Council for actively criticizing his failure to inform the members why the trusteeship was imposed in the first place. "Special Legislation" is inherently unconstitutional in that it violates due process. I consider variances /allowances by LIUNA's general president to be "Special legislation" and will campaign to remove that power from his office.  

Please provide me with details on any communication you have had with the IRS, DOL, DOJ and/or the Chicago Laborers District Council on reporting the income tax evasion of Hamilton Construction Company that my sources tell me you were made aware of when the foreman told you in Reggie Robinson's presence that he did not want his kid to join the union, that the kid was "off the books", that joining the union would force the kid to be "on the books." 

In the event you have not reported this fraud perpetrated against the U.S. Internal Revenue System, the Illinois Unemployment Compensation system, the Social Security system, etc, (having had ample time to do so), I would like to file charges against you with the GEB Attorney, and report your aiding and abetting of income tax fraud to the IRS so I can collect the reward to finance an electoral challenge to LIUNA incumbent officers.

The LIUNA Code of Ethics and LIUNA Ethics and Disciplinary Procedure require the highest ethical behavior of elected/appointed LIUNA officials, especially those with fiduciary responsibilities such as you have as appointed local 2 trustee. I have a responsibility to report truthfully the facts and allegations reported to me. I have an obligation to examine the evidence and provide my best assessment of the truth of the matters investigated. Please assist me in these endeavors. Please remember that as trustee, you are "an officer of the court" and have a solemn obligation to promote the administration of Justice. Not complying with my legitimate requests will be deemed an obstruction of Justice.

Sincerely

James McGough, Local 2 member in good standing
Laborers for JUSTICE, Director www.thelaborers.net
773-878-1002 (tel)
773-409-1503(fax)
james.mcgough@comcast.net

 
 

cc: LIUNA GEB Attorney
LIUNA Inspector General
Court Monitor-Chicago District Council
US. Attorney-Chicago
FBI Chicago
DOL-OIG
Interested members of Congress
Concerned States Attorneys
Concerned District Attorneys