LIUNA ETHICS AND DISCIPLINARY PROCEDURE

    WHEREAS, by the imposition of certain trusteeships, internal union discipline, and other techniques, the General Executive Board and the General President have reduced corruption from certain entities within the Union, but have not eliminated all corruption from every entity within the Union; and

    WHEREAS, it is in the best interests of this organization to adopt an Ethics Code and a new system of disciplinary procedures designed to rid this Union of any corrupting influences

    NOW THEREFORE, the General Executive Board hereby adopts the following disciplinary procedure:

1. Ethical Practices Code

    The General President and General Executive Board are preparing an Ethical Practices Code for the Union, modeled after the Code adopted by the United Automobile Aerospace and Agricultural Implement Workers of America (hereinafter, the "UAW") at the UAW's Thirtieth Constitutional Convention in June 1992, which imposes or codifies standards of conduct for all financial practices relating to the handling of union, benefit and pension funds, the award and administration of contracts, conflicts of interest and similar issues. The General President is hereby authorized to draft and implement an Ethical Practices Code consistent herewith.

    In addition to the Ethical Practices Code to be adopted by LIUNA, this Disciplinary Procedure also prohibits all current and future officers, agents, representatives, employees, and members of the Union from engaging in "barred conduct." "Barred conduct" is defined to include: a) committing any act of racketeering, as defined in 18 U.S.C. 1961(1); b) knowingly associating with any member or associate of the organized crime syndicate known as La Cosa Nostra (LCN); c) knowingly permitting any member or associate of the LCN to exercise control or influence in the conduct of the affairs of the Union; or d) obstructing or interfering with the LIUNA Inspector General, the GEB Attorney, or the Independent Hearing Officer, as those parties are discussed below. For purposes of this Disciplinary Procedure and the Ethical Practices Code, the term "knowingly associate" shall mean that: a) an individual knew that the person with whom he or she was associating was a member or associate of the LCN, b) the association related directly or indirectly to the affairs of the Union; and c) the association was more than fleeting or casual. The definition of "knowingly associate" in the Ethical Practices Code also provides for, and incorporates by reference, certain additional exceptions as they appear and are defined in the Consent Decree entered in the case of United States v. District Council of New York City and Vicinity of The United Brotherhood of Carpenters and Joiners of America, 90 Civ. 5722.

    The General Executive Board, pursuant to the powers provided for in Article VIII, Section 2(b) of the Constitution of the Laborers' International Union of North America (hereinafter "the LIUNA Constitution) amends the LIUNA Constitution to incorporate fully the Ethical Practices Code

2. New Positions

    The General Executive Board hereby creates the following positions: the GEB Attorney, the LIUNA Inspector General, and the Independent Hearing Officer. LIUNA shall purchase a policy of insurance and/or bonds, in an appropriate amount, to protect each person holding one of these new positions, and any persons hired by or acting on his behalf, from personal liability for any of the actions under this Disciplinary Procedure. If such insurance is not available, or if the General Executive Board so elects, LIUNA shall indemnify these persons, and any persons hired by or acting on their behalf, from personal liability (and costs incurred to defend against any claim of liability) for any of their actions under this Disciplinary Procedure

3. The GEB Attorney

    LIUNA shall engage the services of an outside attorney, highly regarded for his or her integrity, intellect, and diligence, to serve as the GEB Attorney.

    For the purpose of fulfilling the mandate of the GEB and General President, all of the investigative and disciplinary powers described in the LIUNA Constitution, the Uniform Local Union Constitution, and the Uniform District Council Constitution (hereinafter the three constitutions are referred to together as "The Constitution") are delegated to the GEB Attorney.

    The GEB Attorney shall have the authority and duty to investigate and prosecute charges (or otherwise impose discipline, as provided for by The Constitution) against any officer, agent, representative, employee, or member of the Union for engaging in barred conduct. The GEB Attorney also shall have the authority to investigate and prosecute charges (or otherwise impose discipline, as provided for by The Constitution) against any officer, agent, representative, employee, or member of the Union for committing a felony violation under federal or state law; for violating any federal or state law relating to the conduct of the affairs of a labor organization or employee benefit or pension plan; or, for violating The Constitution, the Ethical Practices Code, or any other disciplinary rule, regulation, practice or procedure adopted by the General Executive Board.

    The GEB Attorney shall have the same authority, including the right to impose and review the imposition of trusteeships, over any district council, local, or other entity within the Union. All such disciplinary actions initiated by the GEB Attorney shall be heard by the Independent Hearing Officer, in accordance with the terms of Paragraph 5 below.

    The GEB Attorney may recommend discipline, including, but not limited to, suspension, removal from Union office, permanent expulsion from the Union, imposition of a trusteeship over a district council, local union, or other entity of the Union, or the revocation of the charter of a district council, local union, or other entity of the Union.

    As long as the offending conduct at issue is deemed to be relevant to an accused's current membership in, or service to, the Union, the GEB Attorney may bring charges, regardless of when the conduct at issue occurred.

    Any officer or member of this International Union, or any person or entity having a business or contractual relationship with this International Union, or any Trustee of any of the International Union's Taft-Hartley Benefit Funds, or the United States Departments of Labor and/or Justice may refer any individual or entity to the GEB Attorney for investigation and possible discipline. In making such referral, the referring party (to the extent lawful and appropriate) shall provide the GEB Attorney with information relating to misconduct by the individual or entity at issue. The GEB Attorney shall, thereafter, investigate the matter and, within the time period agreed to by the referring party and the GEB Attorney, file charges, or issue a report that no disciplinary action is warranted, or refer the matter to the LIUNA Inspector General for further action.

    LIUNA will provide the GEB Attorney with sufficient staff, funding, and office space to fulfill his mandate. The GEB Attorney shall have complete and unfettered access to, and the right to make copies of, all books, records, accounts, correspondence, files, and other documents of any individual or entity.

    The GEB Attorney shall have the right to take and require the sworn statement, or sworn oral deposition, of any officer, agent, representative, employee, or member of the Union. If any person refuses to testify or to provide evidence before the GEB Attorney on the basis of his privilege against self incrimination, discipline may be imposed on such person for that reason alone, consistent with the Code of Ethics of the American Federation of Labor-Congress of Industrial Organizations, as adopted by LIUNA in 1958.

    The GEB Attorney shall prepare and submit a report on the progress of his or her efforts to remove the influence of criminal elements from the Union to the General Executive Board on or before the fifteenth day of each month. The report shall discuss the status of all investigative and disciplinary proceedings and trusteeships, as well as contemplated future action, including the enforcement of any other lawfully adopted policies of the General Executive Board.

    The GEB Attorney also shall prepare reports concerning his or her activities, and the progress he or she is making towards achieving the objectives and purposes of this Disciplinary Procedure, to be published on a bimonthly basis in The Laborer.

    The GEB Attorney also shall report each instance in which he brings charges or declines to bring charges against any officer, agent, representative, employee, or member of the Union, or any entity within the Union, accompanied by a statement of the reasons, to the General Executive Board within five days after such action is taken.

The GEB Attorney, in conjunction with the LIUNA Inspector General, shall study the operations of the Union and recommend changes to the GEB to improve those operations in order to eliminate all corruption and racketeering activity, referred to hereinafter as the "Operations Study." The operations that the GEB Attorney and LIUNA Inspector General shall study include, but are not limited to, the following:

a. the procedures used by the Union to investigate and discipline misconduct by the officers, agents, representatives, employees, and members

b. the procedures used to fill vacancies in Union positions;

c. the procedures used to select service providers;

d. the procedures used to acquire and staff training sites;

e. the employment procedures; and

f. the practices relating to the imposition of trusteeships and other sanctions against subordinate organizations.

    Within twelve months from the date of adoption of this Disciplinary Procedure, the GEB Attorney and the LIUNA Inspector General will submit a report, making recommendations to the GEB, based upon this study.

    The GEB Attorney shall serve for a term of five years from the date of adoption of this Disciplinary Procedure, unless the GEB decides to terminate such services at a different date

4. The LIUNA Inspector General

    LIUNA shall hire an individual, highly regarded for his or her integrity and experience, to serve as a full time Inspector General on the staff of LIUNA. During the term of the GEB Attorney, the LIUNA Inspector General shall have the authority to resolve all disciplinary matters arising under the Constitution or Ethical Practices Code, and to investigate and prosecute all charges 1) not involving barred conduct, and 2) as to which the GEB Attorney has not exercised authority.

    Thereafter, the LIUNA Inspector General shall also acquire the disciplinary authority delegated hereunder to the GEB Attorney. As to any matter within the jurisdiction of the LIUNA Inspector General, the Inspector General may refer such matter to the appropriate constitutional authority for further proceedings. The LIUNA Inspector General also shall have the right to impose and defend any trusteeship, unless responsibility for the matter is assumed by the GEB Attorney.

    The LIUNA Inspector General also shall revise and supervise LIUNA's compliance and ethics training program, and LIUNA's audit program. The LIUNA Inspector General also shall supervise the implementation and operation of all other lawfully adopted procedures and policies of this International Union. Upon determining that there has been a violation of any such practice or policy, and unless the GEB Attorney has assumed jurisdiction of the matter, the LIUNA Inspector General may issue any direction to any officer, agent, representative, employee, or member of the Union, as may be appropriate to remedy the violation

    LIUNA will provide the LIUNA Inspector General with sufficient staff, funding, and office space, to fulfill his mandate. The LIUNA Inspector General shall have complete and unfettered access to, and right to make copies of, all books, records, accounts, correspondence, files, and other documents of any individual or entity.

    The LIUNA Inspector General shall have the right to take and require the sworn statement, or sworn oral deposition, of any officer, agent, representative, employee, or member of the Union. If any person refuses to testify, or to provide evidence, before the LIUNA Inspector General on the basis of his privilege against self-incrimination, discipline may be imposed on such person for that reason alone, consistent with the Code of Ethics of the American Federation of Labor-Congress of Industrial Organizations, as adopted by LIUNA in 1958.

    The LIUNA Inspector General also will assist the GEB Attorney in undertaking and reporting on the Operations Study, as delineated above. During the term of the GEB Attorney, the LIUNA Inspector General shall provide (at least) quarterly reports to the GEB and the GEB Attorney concerning his activities during the Previous quarter. Following the completion of such terms, the LIUNA Inspector General shall provide such quarterly reports to the GEB

5. The Independent Hearing and Appellate Officers

    Two former judges, hearing examiners, or attorneys of similar integrity, judgment, and experience shall be hired, with one to serve as an Independent Hearing Officer under this Disciplinary Procedure, and the other as the Appellate Officer. For a period of five years following the adoption of this Disciplinary Procedure, the General Executive Board, with the advice and consultation of the GEB Attorney and the LIUNA Inspector General, shall select (and, if necessary, replace) the Independent and Hearing and Appellate Officers. Thereafter, the GEB shall select future Independent Hearing and Appellate Officers, with the approval of the LIUNA Inspector General.

    The Independent Hearing Officer shall preside over and provide rulings in a) all cases brought by the GEB Attorney, pursuant to this Disciplinary Procedure; and b) all trusteeships; and c) all election protests brought by any member, officer, or candidate for office within the Union. Following the termination of the role of the GEB Attorney, the Independent Hearing Officer shall preside over and rule in all disciplinary cases brought by the LIUNA Inspector General alleging the commission of barred conduct or reviewing the imposition of a trusteeship

    The Appellate Officer shall hear all appeals in all matters brought under The Constitution by the LIUNA Inspector General and, in the discretion of the LIUNA Inspector General, appeals from local union or district council trial boards. Such appeals shall be decided under appropriate appellate standards of review. To the extent any provisions relating to the Independent Hearing and Appellate Officers are inconsistent with the LIUNA Constitution, the General Executive Board, pursuant to Article VIII, Section 2, of the International Union Constitution, hereby amends said Constitution to incorporate the provisions herein.

    At any hearing conducted before the Independent Hearing Officer by the GEB Attorney (or, following the termination of the role of the GEB Attorney, by the LIUNA Inspector General), the following procedures shall apply:

a. Hearings shall be initiated by the filing of a written specific charge, which shall be served upon the charged party.

b. The charged party shall have at least thirty days, prior to the hearing, to prepare a defense

c. The party charged may be represented by counsel at the hearing.

d. A fair and impartial hearing shall be conducted before an Independent Hearing Officer.

e. The hearing shall be conducted under the rules and procedures generally applicable in labor arbitration proceedings, and decisions shall be made based on a "just cause" standard.

f. The Independent Hearing Officer may require any officer, agent, representative, member, or employee of, or entity within, the Union to produce any book, paper, document, record or other tangible object, for use in any hearing. Any failure to comply with the request of the Independent Hearing Officer shall be considered by the Independent Hearing Officer in assessing whether such individual or entity should be subject to the imposition of discipline.

g. All testimony and other evidence shall be received by the Independent Hearing Officer under oath.

h. If any person refuses to testify or to provide evidence before the Independent Hearing Officer on the basis of his privilege against self-incrimination, or for any other reason not supported by a valid claim of privilege, discipline may be imposed by the Independent Hearing Officer on such person for that reason alone, consistent with the Code of Ethics of the American Federation of Labor-Congress of Industrial Organizations, as adopted by LIUNA in 1958.

i. Any discipline imposed by the Independent Hearing Officer, or other final decision of the Independent Hearing Officer, shall be subject to appeal by the party disciplined to the Appellate Officer.

    Notwithstanding the above procedures, whenever the General President determines that an emergency situation exists in which the welfare or preservation of the Union is at stake, he may suspend without pay any officer or elected union official, at any level of the organization, including without limitation all officers and/or Executive Board members of any local union, any district council, or the International Union, including members of the General Executive Board, pending the filing of formal charges in or within ten days of the date of suspension, and a hearing thereon pursuant to the provisions of sections (a) through (i) of this paragraph.

6. Suspension of Indicted Officers

    Upon receipt of notice that any officer, agent, representative, or employee of any entity within the Union has been indicted for any felony violation of any federal or state law, or for violating any federal or state law, relating to the conduct of the affairs of a labor organization or employee benefit or pension plan, the GEB and/ or General President shall place the accused individual on a temporary leave of absence with pay. The GEB Attorney shall promptly institute a disciplinary hearing before the Independent Hearing Officer, who shall determine the appropriate discipline, if any (including whether and for how long to continue the suspension), pursuant to the procedures delineated herein.

    Upon the adoption of this Disciplinary Procedure, written notices, informing the Union membership of the signing and scope hereof will be sent to every local union, and will be printed in the first issue of The Laborer which is published after the date hereof.

Date Adopted: January 18th, 1995

The General Executive Board of The Laborers' International Union of North America, AFL-CIO

Arthur A. Coia
General President

Rollin P. Vinall
General Secretary-Treasurer

Mason M. Warren
First Vice-President

John Serpico* Did not sign
Second Vice-President

Vere 0. Haynes
Third Vice-President

Samuel J. Caivano *Did not sign
Fourth Vice-President

Enrico Mancinelli
Fifth Vice-President

Chuck Barnes
Sixth Vice-President

Jack Wilkinson
Seventh Vice-President

George R. Gudger
Eighth Vice-President

Mike Quevedo, Jr
Ninth Vice-President

Armand E. Sabitoni
Tenth Vice-President

Appendix A

"Racketeering activity" means (A) any act or threat involving murder, kidnapping, gambling, arson, robbery, bribery, extortion, dealing in obscene matter, or dealing in narcotic or other dangerous drugs, which is chargeable under State law and punishable by imprisonment for more than one year, (B) any act which is indictable under any of the following provisions of title 18, United States Code; Section 201 (relating to bribery), section 224 (relating to sports bribery), sections 471, 472, and 473 (relating to counterfeiting), section 659 (relating to theft from interstate shipment) if the act indictable under section 659 is felonious, section 664 (relating to embezzlement from pension and welfare funds), sections 891-894 (relating to extortionate credit transactions), section 1029 (relating to fraud and related activity in connection with access devices), section 1084 (relating to the transmission of gambling information), section 1341 (relating to mail fraud), section 1343 (relating to wire fraud), section 1344 (relating to financial institution fraud) sections 1461-1465 (relating to obscene matter), section 1503 (relating to obstruction of justice), section 1510 (relating to obstruction of criminal investigations), section 1511 (relating to the obstruction of State or local law enforcement), section 1512 (relating to tampering with a witness, victim, or an informant), section 1513 (relating to retaliating against a witness, victim, or an informant), section 1951(relating to interference with commerce, robbery, or extortion), section 1952 (relating to racketeering), section 1953 (relating to interstate transportation of wagering paraphernalia), section 1954 (relating to unlawful welfare fund payments), section 1955 (relating to the prohibition of illegal gambling businesses), section 1956 (relating to the laundering of monetary instruments), section 1957 (relating to engaging in monetary transactions in property derived from specified unlawful activity), section 1958 (relating to use of interstate commerce facilities in the commission of murder-for-hire), sections 2312 and 2313 (relating to interstate transportation of stolen motor vehicles), sections 2314 and 2315 (relating to interstate transportation of stolen property), section 2321 (relating to trafficking in certain motor vehicles or motor vehicle parts), sections 2341-2346 (relating to trafficking in contraband cigarettes), sections 2421-24 (relating to white slave traffic), (C) any act which is indictable under title 29, United States Code, section 186 (dealing with restrictions on payments and loans to labor organizations) or section 501 (c) (relating to embezzlement from union funds). (D) any offense involving fraud connected with a case under title 11, fraud in the sale of securities, or the felonious manufacture, importation, receiving, concealment, buying, selling, or otherwise dealing in narcotic or other dangerous drugs, punishable under any law of the United States, or (E) any act which is indictable under the Currency and Foreign Transactions Reporting Act

Appendix B

A "barred person" is (1) any member or associate of any La Cosa Nostra crime family or any other criminal group, or(2) any person prohibited from participating in Union affairs. "Knowingly associating" does not include (a) a Union member, representative or official meeting or communicating with a "barred person" who is an employer to discuss the negotiation, execution or management of a collective bargaining agreement, or a labor dispute, when the Union member, representative or official represents, or seeks to represent or would admit to membership the employees of that employer; (b) a Union member, representative or official meeting or communicating with a "barred person" who is a representative of a labor organization to discuss Union matters; (c) a Union member, representative or official meeting or communicating with an officer, employee or member of LIUNA and its affiliated entities, and (d) a Union member, representative or official meeting or communicating with a relative by blood or marriage solely for social purposes. As used in this paragraph, the term "relative" shall mean a lineal descendent, stepchild, ancestor, sibling or spouse or child of a lineal descendent, stepchild, ancestor, or sibling.


Copyright Laborers for JUSTICE 1998. All rights reserved.

Laborers for JUSTICE
Attn: Jim McGough, Director
55 S. Northwest Highway
Palatine, Il 60067
847-202-3838 (tel)
630-604-4496 (fax)