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UAW reaches federal settlement to limit multi-year corruption investigations

Members of the United Auto Workers will leave the Fiat Chrysler Automobiles Warren Truck Factory in Warren, Michigan in May.


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Paul Sancia / Associated Press

The Justice Department said on Monday that it reached a civil settlement with the United Auto Workers, marking a major turning point in a multi-year corruption investigation that sent several former worker leaders to jail.

Federal prosecutors will announce details of the settlement early Monday afternoon at a press conference in Detroit in collaboration with UAW President Rory Gamble. The Justice Department said the settlement agreement was intended to outline the union’s reforms, but declined to comment further.

The Federal Bureau of Investigation, first published in 2017, was one of the largest investigations involving the United Auto Workers in decades, leading to more than 12 convictions, including two former UAW presidents.

The UAW has previously said it has denounced the financial misconduct revealed in the investigation and has promised to reform.

According to people familiar with the investigation, the settlement reached on Monday does not rule out future criminal accusations against individuals, and criminal investigations are still underway. But it brings the UAW one step closer to solving difficult chapters in 85 years of history.

A vast investigation led by the U.S. Federal Attorney’s Office in Detroit has penetrated the top ranks of the UAW, a culture of corruption in federal prosecutors’ leadership built around kickback plans, embezzlement, and other illegal activities. Clarified that it is explained as. Fifteen convictions have been filed so far, and some union members say the prosecution and prosecution have undermined confidence in the UAW’s leadership.

Write to Ben.Foldy@wsj.com’s BenFoldy

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UAW reaches federal settlement to limit multi-year corruption investigations

Source link UAW reaches federal settlement to limit multi-year corruption investigations

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