Investigation Reveals Chicago Local 714 Corruption

October 29, 2007: The Independent Review Board (IRB) has recommended that Chicago Local 714 be placed into trusteeship. The move is an opportunity to root out corruption and allow the 8,000 members to have a local run for the members, and not for the Hogan family. The 250 page investigative report was sent to James Hoffa for action to be taken.

The scathing report states that secretary treasurer Robert Hogan and president James Hogan allowed Billy Hogan (Robert Hogan’s father, James Hogan’s brother) to continue to have contact with the local through a business representative and family friend, Robert Riley. Billy Hogan was banned from the Teamsters Union in 2002, after he was found guilty of trying to execute a sweetheart trade show contract in Las Vegas with a company partially owned by a family member.

The report also alleges that Local 714 maintained sham contracts with some employers, and allowed non-union workers at others, and refused to police contracts so that Local 714 members were denied wages guaranteed by contract. The report asserts that some contracts provided for wages less than the minimum wage, dues were illegally paid by the employer, and no contract votes were taken.

The report finally charges that the movie division of Local 714 routinely places relatives of officials on lucrative movie jobs ahead of more senior union members.

Local 714, long a Hogan family dynasty, was placed in trusteeship in 1996 by then Teamster president Ron Carey, and reforms were made, including in the movie referral system. But the local came back under control of the Hogans, and old ways returned.

The IRB’s report calls on Hoffa to act, and report back to the IRB on actions taken. The IRB is the three-person panel charged with cleaning up corruption in our union. IRB members are jointly appointed by the union leadership and the U.S. Justice Department.

Charges Brought against John Clancy

The IRB also brought a charge dated Oct. 23 against Chicago International Organizer John Clancy for associating with Dane Passo, who was banned from the Teamsters in 2002 along with Billy Hogan. Clancy maintained contact with Passo, and held at least two meetings with him. Clancy told the IRB in his deposition that International Reps William Cooper and William Moore were present, and that Moore planned the meetings. No charges have yet issued against Cooper or Moore.

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