Ex-UAW boss Gary Jones was arraigned on charges of racketeering, embezzlement and tax fraud in Detroit federal court on Thursday.
Jones was ousted from his position as UAW president amid the FBI’s corruption investigation into the labor union. Jones and a number of his cohorts are accused of using union dues to fund a lavish lifestyle that included high-priced dinners, top-shelf booze, cigars, luxury villas, golf trips and golf equipment.
Magistrate Judge R. Steven Whalen entered a plea of not guilty on Jones’ behalf during the online hearing Thursday. The Detroit News reports Jones was released on an unsecured $10,000 bond until his plea hearing, which is scheduled for June.
In a statement released this week, the UAW said that if he is found guilty of the charges levied against him, Jones’ actions would be “an unforgivable violation of his oath of office and an utter betrayal of the hard-working men and women who elected him.”
GM CEO Mary Barra and Gary Jones
“Under the leadership of President Rory L. Gamble, the UAW is instituting and operating under a system of transparency that includes a comprehensive ethics program and enhanced systems of financial oversight and accountability,” the union also said.
Jones has agreed to co-operate with the FBI’s ongoing corruption investigation into the union, according to The Detroit News. Current union president Gamble is under the feds’ microscope as well, along with former UAW president Dennis Williams and retired Vice President Jimmy Settles. Among the investigations still being conducted by the FBI is a probe pertaining to “strip club payoffs in exchange for contracts to supply union branded merchandise,” the newspaper also said.
Ford CEO Jim Hackett (right), Rory Gamble (left) and Gary Jones (center)
In a statement released last year, General Motors said it is “outraged and deeply concerned by the conduct of union officials as uncovered by the government’s investigation,” and stated the allegations “represent a stunning abuse of power and trust.” GM lost billions last year as a result of a lengthy 40-day strike led by the UAW under Jones’ leadership.
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Comments
“High priced dinners”. It shows.
This guy is the poster child for fat lazy union workers.
So sad to see greed take over. The easy access to millions of Union funds, is an easy temptation. Seen this happen in our printers Union as well. These guys just think, it’s their money to play with. The hard working stiffs who pay their dues, don’t really get their money’s worth now days. The days of Unions are getting nearer to being done. The one hope, is to bring back jobs outsourced to China. This way we can all get back to an honest days work for an honest days pay. Just sayin’
Definitely an eater.
The guy needs an ass whooping for sure.
I’m retired IBEW union member just because you have some scum leading unions does not mean all unions are scum. You need unions to fight greed and without them you will get screwed over when you retire. How you going to fight orange baboon psychopaths in the White House read history over and over again unions are one of are only hopes. And I might add vote Democrat until something comes along better.
I’m a former shop chairman of local 1097 . I’ve worked personally with some of these disgusting so called leaders . And to hear Joe ashton is requesting to shorten his prison sentence because of his age let him rot .I’m disgusted and the damage they’ve done to the UAW hasn’t yet been realized .
Bill, I agree. The damage is yet to be fully seen. This type of activity is the exact thing, the “Anti-Union” folks just love. It’s true, Unions have been loosing their influence. But, if it weren’t for the Unions making things better for their members, the rest of the working class would most likely not also have it as good. “A rising tide, lifts all ships”. Lets hope this mess is cleared up, the guilty pay and the Unions stay strong. Just sayin’
A rising tide has sent a lot of manufacturing across the oceans and over the Rio Grande.