Former Juneau Carpenters Union Official Sentenced

Anchorage, Alaska - U.S. Attorney Karen L. Loeffler announced today that a former union financial secretary was sentenced in federal court in Juneau for embezzling funds from Carpenters Local Union 2247.

Jonathan H. Smith, 42, of Juneau, was sentenced by United States District Court Judge Timothy M. Burgess to five years of probation with the condition that he serve four months in community confinement, perform 250 hours of community work service and pay full restitution of $41,770.47.

Assistant U.S. Attorney Kevin Feldis, who prosecuted the case, stated that between June 2006 and May 2012, Smith held the elected position of Financial Secretary for Carpenters Local Union 2247 (LU 2247) in Juneau, which is a labor union representing approximately 150 members.  As Financial Secretary, Smith was an officer of LU 2247, and responsible for making deposits in the union bank account, paying bills, co-signing checks and managing the day-to-day business of the union.  This was an elected unpaid position.  During this time period, Smith was also employed by the Alaska Regional Council of Carpenters as Business Agent from 2004 until 2012, earning an annual salary ranging from $66,000 to $93,000.

Beginning in approximately April 2007, and continuing until May 2012, Smith improperly used the union’s ATM/debit card and the union checkbook to steal money from LU 2247.  Smith used the ATM/debit card and union checks to make cash withdrawals and to use union money to pay for personal expenditures including personal travel, meals at restaurants, purchasing alcohol, eating and drinking at bars and to buy consumer goods throughout Alaska and elsewhere in the country.

Smith also withdrew thousands of dollars in union funds from the union’s First National Bank of Alaska account that he used to gamble at several casinos in Las Vegas and Washington State.  He was not authorized to make any of these non-union purchases and cash withdrawals.  In total, Smith knowingly and willfully embezzled, stole and illegally converted union funds to his own personal use in the amount of $41,770.47.    

Judge Burgess noted that Smith had abused a position of trust, and that his sentence should deter others from engaging in similar crimes.

This case was investigated by the U.S. Department of Labor, Office of Labor Management Standards.