United Press International

Supreme Court Allows Racketeering Charges

DATELINE: WASHINGTON May 14, 1984, Monday

The Supreme Court Monday affirmed a lower court ruling allowing the government to pursue racketeering charges against four Florida labor bosses accused of bilking workers out of insurance premiums.

The justices, without comment, refused to review an appeal from Arthur A. Coia, Arthur E. Coia, Albert J. LePore and Joseph J. Vaccaro Jr.

The indictment against the men was thrown out by a federal judge, who said the statute of limitations on the alleged criminal violations had run out. But the 11th U.S. Circuit Court of Appeals in Atlanta overturned that ruling. The men appealed to the Supreme Court.

The four were indicted on Sept. 23, 1981, for using their influence in the Laborers International Union of North America to funnel union insurance business to a company they set up.

The indictment charges they ''looted the insurance premiums through the use of kickbacks, payoffs, unearned salaries and fees and improper personal expenses.''

It said that, between 1973 and 1977, the four men arranged with businessman Joseph Hauser to make sure his companies won all the insurance contracts from the union.

To facilitate the kickback scheme the men set up several companies to serve as ''conduits'' for kickbacks, including the Northeast Insurance Agency Inc. and the National Group Insurance Agency Inc., the indictment said.

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