Chicago Laborers Union Probe Moves
to Local Level
By John O'Brien,
Nov. 1, 1997
After finding alleged mob influence at the district level in the
Laborers Union in Chicago, union investigators are prepared to spotlight
more suspected corruption, this time at five Chicago union locals.
"The district council case is certainly not the last stop of our investigation in
Chicago," one lead reformer said Friday, referring to reform efforts that since July
have focused on the umbrella organization for the Chicago area's 19,000 laborers.
Beginning Monday, officials of Local 225, the first of five locals
targeted, are scheduled to undergo questioning under oath about a series of alleged social
and business links to known members of organized crime. Among those facing questioning are
John Galioto, the local union's top business manager, and its suspended president, Joseph
Abate, who is under indictment on a gambling charge. Neither could be
reached for comment. A refusal to submit to a sworn deposition is grounds for dismissal
from the union, which represents construction workers.
Investigators reportedly have uncovered evidence of disturbing
inroads by mob figures into the ranks and various welfare funds of the Laborers Union.
These investigators, mostly former FBI agents, are working for the international union as
part of an agreement with federal prosecutors to help cleanse the 700,000-member union of
unsavory types and restore democracy for the rank-and-file membership.
The other Chicago-area union locals under
scrutiny are Locals 1, 2, 5 and 1006. Altogether, they represent 9,000 of the
approximately 19,000 union members in the Chicago area; many of the 9,000
work for the City of Chicago. The start of depositions at the local level follows several
months of testimony given behind closed-door hearings into the activities of the Chicago
district council.
An independent hearing officer's decision is expected within 60
days on whether to grant a request by the union's general executive board attorney, Robert
Luskin, to oust its leadership and place the council in trusteeship. Also awaited is
Luskin's response to last week's statement by the union's general president, Arthur A.
Coia, that said Coia himself is under investigation and will be charged
with wrongdoing. Coia's vow to fight any charges, which he said have sullied his
reputation, came as a surprise, because union investigators haven't charged him with
wrongdoing. Sources said that could change next week.
Luskin's assistant, Dwight Bostwick, who conducted the Chicago
district council hearings, declined to comment on Coia's statement except to say that
wrongdoing, no matter where in the union, would be pursued. "There are matters under
consideration," he said in response to a question of whether Coia would be charged.
"Beyond that I am not at liberty to say."
(c) 1997, Chicago Tribune