By Robert A. Jordan, Globe Columnist
Sept. 14, 1997
Perhaps the most interesting
document these days regarding organized labor is the Quindel Report,
named after the federal election officer who nullified the 1996
reelection of Ron Carey as president of the Teamsters union, and
ordered a new election.
The report, written by Barbara
Zack Quindel, involves allegations of a money-laundering scheme
in the Carey campaign, which eventually resulted in the call for
the new voting.
But there is also a local angle.
Much of the report involves people and companies in Massachusetts
that were key in Quindel's decision. And now the call for a second
election, which is under review, may lead to more woes for Carey.
Quindel has asked that a hearing
on her ruling, scheduled for tomorrow morning, be postponed in
light of new information that may determine whether Carey should
be allowed to run at all.
If Carey is barred from running
again, that may not be the end of his problems, either. A grand
jury investigation in Washington is ongoing.
A group of people and a Somerville
telemarketing company called Share Group have already been stung
by the Quindel report because of their alleged involvement in
the financial schemes that resulted in Quindel's voiding the election.
Quindel writes in her report,
''As the facts show, there were several schemes involved in the
Carey campaign's fund-raising.'' She wrote that one involved ''contributions
by spouses of Share Group executives.'' The contributions included
$1,250 from Barbara Arnold, the wife of Michael Ansara, a former
chief executive officer of Share Group. Ansara, who has since
stepped down, has already pleaded guilty to money-laundering charges
and said he would cooperate with the investigation.
In addition, Wendy Grossman,
the wife of Evan Grossman, then-president of Share Group, contributed
$1,000. And Susan Centofoni, wife of George Bachrach, then-vice
president of Share Group and later acting CEO, contributed $250.
These and other such contributions ''were prohibited because they
were the direct result of employer solicitations.''
Although Ansara used the name
Share Consulting, Quindel said that was'' just a name for his
personal outside consulting work.'' Despite efforts by some in
the Share Group to separate Ansara's Share Consulting from Share
Group in the investigation, Quindel lumped them together in her
The report said that Ansara,
''a key planner of the various schemes to funnel prohibited contributions
into the Carey campaign,'' had used his companies to pay fraudulent
invoices and transfer funds.
''Accordingly,'' her report
continues, ''Mr. Ansara individually and his companies, Share
Group and Share Consulting, are hereby barred from any further
participation of any kind in the 1996 IBT [International Brotherhood
of Teamsters] International officer election. '' Further, they
are barred ''from any further work on behalf of the IBT or any
These bars, the report goes
on, apply not only to Ansara, Share Group, and Share Consulting
''but to any corporation, partnership, other entity or person
in which Mr. Ansara has or will have any ownership interest or
which will make any payment of any kind, directly or indirectly,
to Mr. Ansara, Share Group or Share Consulting for any IBT-related
work.'' The ruling also said that their right to conduct any IBT
business in the future will be restored only after six years ''for
good cause shown.''
''Finally,'' the report said,
''a substantial fine is necessary to remedy the misconduct of
Mr. Ansara. While he eventually cooperated with the election officer
and the US attorney in the investigation, his central role in
the original scheme justifies further action.''
With that, Quindel jointly
ordered Ansara, Share Group, and Share Consulting ''to pay a fine
of $126,425 to an escrow account established by the election officer
for this purpose to help defray the costs of are run election.''
Since the federal monitoring
of the Teamsters election cost as much as $22 million, some observers
estimate the next election would cost that, if not more.
Reports are circulating that
if Carey is barred from running again, a state Teamsters official
and Carey supporter, George Cashman, who is president of Teamsters
Local 25 in Charlestown, may run against James Hoffa Jr
Even as the investigation into
the 1996 campaign continues, the Teamsters under Carey called
for a Massachusetts local to be placed under IBT trusteeship for
alleged mismanagement. Allegations were circulating that a majority
of the local supported Hoffa in the 1996 election, suggesting
this was the reason for Carey's move against the local.
While the presidency of the
Teamsters is at stake, the ongoing investigation suggests that
the future of the Teamsters union itself maybe on the line. The
Teamsters' future may be determined by the outcome of the intensifying
internal political battle for its very soul.
Copyright 1997 Globe