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