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Election Fundraising Fraud: Granite State Union Bosses Illegally Divert Worker's Dues Money to Union PAC

When Nashua, New Hampshire postal worker Philip Wakeman paid dues to the National Post Mail Handlers Union (NPMHU), a division of the Laborers' International Union, he had no idea that union bosses would illegally launder his money into their political coffers.

In July 2006, Mr. Wakeman gave a check to the NPMHU union for the full amount of his annual union dues. On the "Memo" line at the bottom of the check, he wrote "Union Dues."  A union official later acknowledged receipt of the dues and everything seemed fine – that is – until he received a bizarre phone call.

In October 2008, over two years after submitting the check to the NPMHU union, a stranger informed Wakeman that she found his information on the internet and suggested he do a "Google" internet search of his name. The search results were astounding:  Mr. Wakeman found his name disclosed as making a contribution in the exact amount of his annual NPMHU union membership dues to the NPMHU Political Action Committee (PAC) – all without his knowledge.

Apparently NPMHU union bosses had illegally diverted his dues payment to the union's PAC.  Wakeman contacted the National Right to Work Legal Defense Foundation and Foundation attorneys filed a complaint with the Federal Election Commission. 

It is illegal for union officials to fund union PACs using "dues, fees, or other moneys required as a condition of membership in a labor organization."  NPMHU union bosses are also accused of violating federal election law by making a political campaign contribution in another person's name and failing to inform Mr. Wakeman that his membership dues would be used for political purposes.

To read the Foundation's media release regarding the FEC complaint, click here.

To read the FEC complaint, click here.

The Shape of Things to Come?

Over the weekend, The Oregonian posted a genuinely disturbing piece on union political activism at the state and local level. According to the article, union officials poured massive amounts of money and resources into nearly every Oregon election this past May. The results were truly staggering (emphasis mine):

"Most candidates with union backing won . . . The net result was a monster victory for labor groups that helped solidify their role as one of the state's top power brokers.

Unions played key roles in statewide victories for secretary of state candidate Kate Brown attorney general candidate John Kroger and U.S. Senate candidate Jeff Merkley. But they also got involved locally, helping Sam Adams win the Portland mayoral contest, Democrat Michael Dembrow win the House District 45 primary in Northeast Portland, and Dennis Doyle oust Beaverton Mayor Rob Drake.

The outcome left Republicans grumbling about the increasing influence of unions in state government. And it left little doubt that labor's agenda will get red-carpet treatment when the 2009 Legislature meets in January."

Unfortunately, Big Labor's success at the state and local level foreshadows what could be an even more impressive showing in national elections this November. As the most recent issue of Foundation Action (subscribe now - it's free!) explains, unions are going for " . . . the trifecta: the House, the Senate, and the White House," according to American Federation of State, County and Municipal Employees (AFSCME) head Gerald McEntee.

From a recent Wall Street Journal article, the scope of union political activism is truly astounding, even for an election year (emphasis mine):

"The AFL-CIO has approved a record political budget of $53 million to help fund 200,000 union workers on the street. Its affiliated national and international unions have pledged another $200 million. The National Education Association will throw $40 million to $50 million at races. The Service Employees International Union has marked off $100 million for politics, and intends to pay 2,000 union members the equivalent of their salaries to work on Democratic campaigns. Add in union money for federal or state political action committees, for 527s, and for local and state races, and some astute members of the business community – those who have seen this coming “tsunami” (as one puts it) – estimate union political spending may top $1 billion in 2008."

Big Labor's political priorities include an even more pliant NLRB and passage of the misleadingly-titled "Employee Free Choice Act," a piece of legislation that would allow union bosses to bypass secret ballot elections in favor of shady "card-check" organizing drives. If Oregon is a harbinger of Big Labor's coming political ascendancy, America and particularly lovers of freedom will be facing a dark period.

 


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