2 Former Presidents of U.A.W. Investigated For Embezzlement
The embezzled amount is said to be an estimated $1 million that was allocated for expenses related to worker education.
The money was spent on lavish getaways in Palm Springs and other perks that are seemingly unrelated to the presidents’ respective roles, such as expensive cigars. Gary Jones and his predecessor, Dennis Williams, are the two individuals being investigated. They have not yet been officially charged, nor have they been officially named in investigation documents.
The two former presidents held major power as leaders of union that in turn dictated the economic success of the U.S. automobile industry. The U.A.W.’s 40-day strike cost General Motors approximately $3 billion.
Jones’ house was raided by federal agents. Agents left the raid with $30,000 in cash. This raid occurred during the 40-day strike.
“There was a culture of corrupt activities spanning years. That’s what we’re trying to turn around,” said Matthew Schneider, a lawyer and lead of the investigation into the U.A.W. “The purpose of the union is not to serve the leadership. It is to serve the members.”