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Fiat Chrysler Exec Pays off Union top Brass

posted by martyb on Saturday January 27 2018, @03:04PM   Printer-friendly
from the fat-dumb-and-happy dept.

Detroit News reports, http://www.detroitnews.com/story/business/autos/2018/01/22/iacobelli-fca-guilty-plea/109718250/

Fiat Chrysler Automobiles NV officials paid more than $1.5 million to United Auto Workers officers and employees to sway union contract negotiations, federal prosecutors said, part of a $4.5 million corruption scandal involving Detroit's No. 3 automaker.

The accusations made Monday in a plea agreement with former FCA labor negotiator Alphons Iacobelli say for the first time in the investigation that executives' actions were intended to corrupt UAW contract negotiations to favor Fiat Chrysler.

The plea deal suggests the corruption was more widespread than previously disclosed. It lasted for years as Fiat Chrysler officials lavished UAW labor leaders with cash payments and luxury items, including airfare, jewelry and secret $50,000 payments.

After a laundry list of other bribes and (of course) a denial by the CEO of FCA, the story continues

Iacobelli sanctioned the use of training center credit cards by UAW leaders for personal expenses in a bid to keep senior labor leaders "fat, dumb and happy," according to a court filing.

Iacobelli is also accused of spending more than $1 million of union funds on luxury items, including his house, pool, outdoor spa and kitchen, a Ferrari and the two limited-edition, gold Montblanc fountain pens.

Has anyone else (besides the Feds) noticed how easy the UAW contract negotiations have been going since the great recession?

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  • (Score: 3, Interesting) by Anonymous Coward on Saturday January 27 2018, @03:13PM (6 children)

    by Anonymous Coward on Saturday January 27 2018, @03:13PM (#628882)

    http://www.detroitnews.com/story/business/autos/2018/01/26/uaw-president-defends-negotiations/109849904/ [detroitnews.com]

    The president of the United Auto Workers is defending the sanctity of the union’s bargaining process four days after former Fiat Chrysler Automobiles NV labor negotiator Alphons Iacobelli’s plea agreement showed that officials paid more than $1.5 million to UAW officers and employees to sway contract negotiations.

    “Let me speak clearly. Al Iacobelli by his own admission is a crook and a liar,” UAW President Dennis Williams wrote in a letter to union members Friday. “While Mr. Iacobelli will have to answer for his criminal conduct, it appears that in an attempt to get lenient treatment from the government he is now falsely spinning his crimes as an effort to corrupt the collective bargaining process between the UAW and Fiat Chrysler. In reality, it is plain as day that his motivation was nothing more than outright greed.”
    ...
    ...
    In his letter, Williams refutes the $50,000 payments, which Iacobelli says were offered as retirement packages to select senior UAW officials: “What Iacobelli’s plea agreement fails to disclose is that these proposed retirement payments were reviewed by UAW legal counsel,” the union president wrote, “immediately rejected by me and never paid to anyone.”

    Iacobelli’s lawyer, David DuMouchel, declined comment Friday. The U.S. attorney’s office in Detroit did not immediately respond.

    After TFA, I jumped to the conclusion that the union officials were happy to take the bribes, but now with this story from yesterday, maybe not? Stranger things have happened...

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  • (Score: 3, Funny) by Anonymous Coward on Saturday January 27 2018, @03:30PM

    by Anonymous Coward on Saturday January 27 2018, @03:30PM (#628893)

    Googled further, the World Socialists chime into the debate,

    https://www.wsws.org/en/articles/2018/01/26/pers-j26.html [wsws.org]

    And claim that they led the fight against the last big round of UAW negotiations. Now of course they are saying, "I told you so" about the corruption settlement, and are calling for current contracts to be renegotiated.

    More popcorn anyone?

  • (Score: 2, Insightful) by Anonymous Coward on Saturday January 27 2018, @03:51PM (4 children)

    by Anonymous Coward on Saturday January 27 2018, @03:51PM (#628900)

    I guess the invisible hand of capitalism has indeed given the finger to the working class yet again.

    • (Score: 3, Informative) by frojack on Saturday January 27 2018, @08:43PM (3 children)

      by frojack (1554) on Saturday January 27 2018, @08:43PM (#629133) Journal

      Seems to me that finger is being hoisted by the Union Bosses towards their own membership.

      Union Bosses stuffing dollar bills in their garters like they were strippers in seedy club.

      --
      No, you are mistaken. I've always had this sig.

      • (Score: 2) by c0lo on Sunday January 28 2018, @01:54AM (2 children)

        by c0lo (156) Subscriber Badge on Sunday January 28 2018, @01:54AM (#629273) Journal

        Union Bosses stuffing dollar bills in their garters like they were strippers in seedy club.

        I suspect you have proof for it, no?

        --
        https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford

        • (Score: 1, Informative) by Anonymous Coward on Sunday January 28 2018, @01:58AM (1 child)

          by Anonymous Coward on Sunday January 28 2018, @01:58AM (#629277)

          "I suspect you have proof for it, no?"
          Umm:
          "Automobiles NV labor negotiator Alphons Iacobelli’s plea agreement showed that officials paid more than $1.5 million to UAW officers and employees to sway contract negotiations."

          • (Score: 2) by c0lo on Sunday January 28 2018, @02:08AM

            by c0lo (156) Subscriber Badge on Sunday January 28 2018, @02:08AM (#629285) Journal

            That's the testimony of a party with an interest, not proof.

            The other party denies and presents its own statement [soylentnews.org]

            --
            https://www.youtube.com/watch?v=aoFiw2jMy-0 https://soylentnews.org/~MichaelDavidCrawford