Copyright 1988 Newsday, Inc.  
Newsday (New York)August 10, 1988, Wednesday, CITY EDITION
SECTION: NEWS; Pg. 38

LENGTH: 502 words

HEADLINE: 5 Union Officials Charged in Scam

BYLINE: Pete Bowles

BODY:
Five union officials were charged in federal court in Brooklyn yesterday with extorting or soliciting payoffs from construction companies in the metropolitan area.

The charges against the five, contained in four indictments unsealed yesterday, stem from a four-year continuing investigation by the Organized Crime Strike Force of Brooklyn and the FBI. Thus far, 43 persons have been charged as a result of the investigation - dubbed CONRAX, for construction racketeering.

"Today's arrests are part of a top priority effort to stamp out widespread corruption and organized crime influence in the construction industry," said U.S. Attorney Andrew J. Maloney.

Charged were Robert Waller Jr., 38, of Seaford, L.I., the president of Local 531 of the United Brotherhood of Carpenters and Joiners; the principal officers of three locals of the International Union of Bricklayers and Allied Craftsmen, Jack Argila, 51, of Sea Cliff, L.I., Frank Alessi, 81, also of Sea Cliff, and Sebastian Scola, 71, of Huntington Station, L.I.; and Edward Annino, 43, of Ridgewood, Queens, a working Teamster foreman for Teamsters Local 282.

All but Alessi were arrested at their homes yesterday morning and later arraigned before U.S. Magistrate Allyne Ross. She released Waller, Argila and Scola on $ 100,000 bonds and Annino on a $ 75,000 bond. Alessi is scheduled to surrender for arraignment today.

Waller and Annino were charged in the first indictment with extorting $ 1,000 in 1985 from a non-union contractor who was performing scaffolding work during the construction of the International Design Center of New York in Long Island City, Queens. The indictment said they used threats of economic harm in collecting the money. They also were charged with conspiracy and face up to 40 years' imprisonment and $ 500,000 fines if convicted.

In a separate indictment, Argila, the business agent for Bricklayers Local 30, was charged with racketeering and eight counts of soliciting $ 8,000 in illegal payoffs from three masonry subcontractors in the New York area between 1984 and 1986. He faces a maximum of 30 years in prison and $ 625,000 in fines if convicted.

Alessi, the controlling officer of Bricklayers Local 41, was charged with racketeering and 18 counts of soliciting $ 12,000 in illegal payments from seven masonry subcontractors from 1982 to 1986. The indictment charged that Alessi was "aided and abetted" by Basil Robert Cervone, 76, the business agent of Mason Tenders Local 13, who was indicted a year ago on charges of racketeering, extortion, bribery, mail fraud, wire fraud conspiracy and obstruction of justice. Alessi faces up to 38 years in prison and $ 700,000 in fines if convicted.

In the fourth indictment, Scola, the controlling officer of Bricklayers Local 9, was charged with racketeering and five counts of soliciting $ 10,700 in illegal payoffs from four employers between 1983 and 1986. He could be sentenced to up to 33 years' imprisonment and $ 825,000 in fines if convicted.