Labor union officer sentenced to 30 months in prison for embezzlement

FOR IMMEDIATE RELEASE

May 10, 2012

 

TRENTON, N.J. – The former secretary treasurer of a New Jersey ironworkers’ union was sentenced today to 30 months in prison for embezzling more than $560,000 from the union, U.S. Attorney Paul J. Fishman announced.

James J. Kearney Jr., 44, of Bayonne, N.J., previously pleaded guilty before U.S. District Judge Anne E. Thompson to an Information charging him with one count of embezzlement. Judge Thompson imposed the sentence today in Trenton federal court.

According to documents filed in this case and statements made in court:

Kearney was the secretary treasurer and an employee of the International Association Of Bridge, Structural, Ornamental and Reinforcing Ironworkers (Local 45) headquartered in Jersey City, N.J. The local has approximately 280 active members. As secretary treasurer, Kearney was responsible for maintaining all of the local’s financial books and records, which included the depositing of receipts and the disbursement of funds. Kearney occupied a position of trust in relation to Local 45 and its members as a group. He held the position from June 2007 through September 2010.

From January 2009 through September 2010, Kearney withdrew approximately $471,000 in cash directly from the local’s Bank of America general fund account. During the same period, he also failed to deposit approximately $90,365 in receipts from membership dues, other fees and monies received from the union’s annual dinner dance. The money he stole, a total of $561,365, was all for personal use.

In addition to the prison term, Judge Thompson sentenced Kearney to three years of supervised release and ordered him to pay $561,000 in restitution.

U.S. Attorney Fishman credited investigators of the U.S. Department of Labor, Office of Labor Management Standards, New York District Office, under the direction of Acting District Director Andriana Vamvakas, with the investigation that led to today’s sentence.

The government is represented by Assistant U.S. Attorney V. Grady O’Malley, Senior Litigation Counsel of the Organized Crime/Gangs Unit in Newark.

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Defense Attorney: Andrew J. Weinstein Esq., New York

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