TRUSTEES OF HOWARD BEACH, NEW YORK TEAMSTERS UNION PENSION AND BENEFIT PLANS AND EMPLOYER SETTLE LABOR DEPARTMENT LAWSUIT OVER IMPROPER PAYMENT OF EXPENSES

Archived News Release — Caution: Information may be out of date.

The U. S. Department of Labor has obtained a consent order requiring the trustees of the pension, annuity, education and welfare funds of Local 363 of the International Brotherhood of Teamsters located in Howard Beach, N.Y., and TAP Electrical Contracting Service, Inc., a contributing employer to the plans, to pay more than $1.4 million to the funds as restitution for improper reimbursements made to contributing employers for legal expenses and back wages.

Under the court order, trustees Anthony Cardillo and Eugene Iovine have been removed from their positions with the plan and along with trustees Patrick Bellantoni and Joseph Canizio are barred for 10 years from serving as fiduciaries of employee benefit plans governed by the Employee Retirement Income Security Act (ERISA).

In earlier court actions, Thomas J. Carlough was removed from his position with the plan and Douglas Windle was permanently barred from serving as trustee to any plan covered by ERISA.

These court actions resolve a lawsuit filed by the Labor Department in November 1992 against five fund trustees for allegedly transferring money to several contributing employers, including the TAP Electrical Contracting Services, Inc., to compensate them for legal expenses and back wages. Fund director Carlough, who allegedly received excessive reimbursement for conference and restaurant expenses, previously agreed to have a consent judgment entered against him.

The consent order, entered in federal district court in Brooklyn, New York, resulted from an investigation conducted by the New York Regional Office of the department’s Pension and Welfare Benefits Administration into alleged violations of ERISA.

(Herman v. Cardillo)
Civil Action No. CV-92-5358

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Archived News Release — Caution: Information may be out of date.

Contact Name: GLORIA DELLA
Phone Number: (202) 219-8921