rs3-20-13 letter to rmb.pdf
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7/29/2019 rs3-20-13 Letter to RMB.pdf
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DemianD.Schroeder14MeadowStreetBrooklyn,NY
11206
March20,2013
BYHANDTheHonorableRichardM.BermanUnitedStatesDistrictJudgeDanielPatrickMoynihanUnitedStatesCourthouse500PearlStreetNewYork,NY10007-1312
Re:UnitedStatesofAmericav.DistrictCouncilofNewYorkCityandVicinityoftheUnited BrotherhoodofCarpentersandJoinersofAmerica,etal.,Case1:90-cv-05722-RMB-THKDearJudgeBerman:
InregardtotheexecutionoftheDistrictCouncil/Wall-Ceilingcontract(CBA)datedMarch12,2013assetforthbytheCourt'sMarch13,2013Order[Document1255]IsubmitforYourHonorsubsequentobservationsrelevanttotheCase:
DuringtheDistrictCouncilDelegateBodymeetingofMarch12,2013DelegateJohnMusumeciof
LocalUnion
157
brought
to
the
attention
of
EST
Michael
Bilello
two
discrepancies
within
the
Wall
-CeilingAgreement.
1) DelegateMusumeci'sidentifiedthenon-existentstampplan(referredtobyside-letterenclosureofDistrictCouncilattorneyMurphyinsubmission[Document1272]toYourHonorableCourtonMarch15,2013.)SaidlanguageneedstobestrickenfromtheCBA.
2) DelegateMusumecithenpresentedaseconddiscrepancytoESTBilellowithintheWall-CeilingAgreementregardinganhourly-allocationof$2.12totheWelfareFund.ThoughnotvestedbytheAugust5,2011DistrictCouncilBylawswithauthoritytodoso,and inabsenceofapprovalfromtheDelegateBodyunderitsinherentandcontrollingplenarypowerand
authority,
EST
Michael
Bilello
entered
into
an
illegal
agreement
on
behalf
of
the
District
CouncilwiththeWC&CandincreasedtheWelfareFundcontributionby$2.12perfrom$11.25to$13.37.
ESTBilellowasquestioneddirectlybyDelegateMusumeciwhyhewouldexecuteacontractallocatingwageratesandfringebenefitcontributionswithoutdebateorvotebytheDelegateBody.
TheESThasnoauthorityeitherexpressorimpliedwhichallowshimtosubvertandholduntohimselfapowernotreservedtohim,thushisillegalactionsrequireavetobytheReviewOfficer.
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EST
Bilello
refused
to
answer
questions
directly,
and
was
conspicuously
silent
to
the
extent
of
DelegateMusumeci'sremainingallottedtime.ThoughDistrictCounselattorneyJamesMurphyandtheReviewOfficerDennisWalshwerepresent,neitherofthemapproachedthedaistoprovideanexplanationforassembledDelegates,andattendingrank-and-fileMembershipinthebackgallery.
Contrarytothefalseclaimsstandtheallegedwage&benefitincreases"guaranteedthroughoutthetermofthisagreement,asitisimmediatelydestroyedbyExecutiveSecretary-Treasurers(EST)fraudulentuseoftheillegalreallocationclause.
ThereremainsanurgentneedtoinvestigatethelegitimacyoftheentireprocesswithintheDistrictCounciladministrationwithspecificregardtotheDistrictCouncilEST,Officers,andBenefitFund
Trustees
failure
to
acknowledge
or
abide
by
the
by
the
August
5,
2011
by-
laws
approved
by
this
HonorableCourt.
ThelackofoversightprovidedbytheUnitedStatesAttorneysOfficeandtheCourtappointedReviewOfficerforvettingcontractlanguage,orenforcingby-lawswhichtheyostensiblyauthoredisalarming.TheseconddiscrepancyDelegateMusumecifoundisparticularlydisturbingasitinvolvestheillegaltransferofapproximately$38,340,000dollarsofrankandfilememberpayraisestotheWelfareFundforoneyear.OvertheproposedlifeofthecontractexpiringJune30,2017thiswouldamounttoanillegalreallocationof$166,012,000dollars(4.33yearsx$38.34M)totheWelfareFundbeforetheinkisdryonarulingfromthisCourt.
TheDistrictCouncilsprogramofillegalexactionsandextortionofmembersVacationWages(BlueCardSeeAttachmentNo.1to7)areprimeexampleswhichpresenttheissueofanongoingpatternofcontinuedfraudandracketeering,noneofwhichshouldbesanctionedbytheU.S.A.O.ortheR.O.yet,inabsenceofyourintervention,correctionandaproperOrderfromthisHonorableCourt,itshallcontinueunabated.
TheAugust5,2011By-Laws,Section4(B)state:
(B)ThefullplenarypowerandauthorityoftheDistrictCouncilisherebyvested,withoutlimitation,intheDelegatestotheCouncilthatshallcollectivelyformtheCouncilDelegateBody.InaccordancewithSection7oftheseBylaws,theCouncilDelegateBodyshallbeelectedbytherankandfilemembersoftheUnitedBrotherhoodofeachaffiliated
Local
Union.
There
shall
be
atotal
of
One
Hundred
(100)
Delegates
to
the
District
CouncilfromtheLocalUnions,suchDelegatestocomprisetheCouncilDelegateBody.EachLocalUnionshallhaveatleastoneDelegatetotheDistrictCouncil,withtheremainingDelegatesallocatedproportionallyamongsttheLocalUnionsbaseduponthetotalmembershipofeachLocalUnionasapercentageoftheaggregatemembershipofallLocalUnionsoftheDistrictCouncil.TheCouncilDelegateBodyshallexercisetheauthoritygrantedtoitinSection5oftheseBylawsbymajorityvoteandeachDelegateshallbeelectedforatermofthree(3)years.Intheeventofatievote,thePresidentshallcastthetie-breakingvote.
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ThecontractproposalpresentedinCourtonFebruary27,2013andasexecutedMarch12,2013states:
WALL-CEILINGCBA -ARTICLEXII,Section8.Wages&Benefits - WageandBenefitincreasesarenottiedtoanybenchmarkssuchastotalhoursworkedandareguaranteedthroughoutthetermofthisagreement.Wageratesandfringebenefitcontributionswithinthebargainingunitshallbedeterminedand/orreallocatedby[the]Unionatitssolediscretion.
In direct contravention to NYCDCC By-Law Sec. 4(B) stands the continued fraudulent attempt bythe District Council EST, its Officers and Executive Committee members, and the Wall-Ceiling &Carpentry Industries of New York, Inc. and their joint desire to extinguish via collective bargainingagreement (CBA) the Council Delegate Bodys vested rights stated above, and thus negate its plenary
power and authority which are without limitation.
Given the United States Attorney and the Review Officer are well aware of these continued abusesof power and have failed to act, the only prospective remedy going forward is an Order from thisHonorable Court directing the District Council and the Wall-Ceiling & Carpentry Industries of NewYork, Inc. to expunge Article XII, Section 8 in its entirety from this CBA and to apply this Order toany/all successor agreements and/or Memorandums of Understanding (MOU) which the DistrictCouncil attempts to execute both now or in the future.
The thirty-eight million, three hundred & forty thousand dollar pay raise, totaling $166M over the4.33 year life of the contract, belongs in the rank & file member paychecks. The NYCDC andcontractor association cannot appropriate it to another use without proper motion, discussion, debateand the binding vote of the Council Delegate Body as vested and held unto them under By-lawSection 4(B).
To allow this to occur would in essence mandate Court approval of the conversion/misappropriationand sanction a plan of out and out extortion both of rights granted and of monies/raises duly owedand guaranteed throughout the term of this agreement.
We pray the Honorable Court remedy this situation once and for all times, less the Court loses itsinherent authority.
Respectfully,
Demian D. Schroeder
Enclosure
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cc: BY E-MAIL
Benjamin H. TorranceAssistant United States AttorneyCivil DivisionOffice of the United States Attorneyfor the Southern District of New York86 Chambers StreetNew York, NY 10007
Dennis M. Walsh, Esq.Review Officer
The Law Office of Dennis M. Walsh415 Madison Avenue, 11th FloorNew York, NY 10017
Bridget M. Rhode, Esq.Counsel to the Review OfficerMintz, Levitz, Cohn, Ferris, Glovsky & Popeo, P.C.666 Third AvenueNew York, NY 10017
New York City & Vicinity District Council of CarpentersExecutive Secretary-Treasurer Michael Bilello395 Hudson StreetNew York, NY 10014
James M. MurphyCounsel for the New York City & Vicinity District Council of CarpentersSpivak-Lipton, LLP1700 BroadwayNew York, NY 10019
John DeLollisExecutive DirectorAssociation of Wall-Ceiling & Carpentry Industries of New York, Inc.125 Jericho Turnpike, Suite 301Jericho, NY 11753-1022
Mark A. Rosen, Esq.Counsel for the Association of Wall-Ceiling & Carpentry Industries of New York, Inc.McElroy, Deutsch, Mulvaney, & Carpenter, LLP1300 Mount Kemble AvenueMorristown,NJ07962-2075
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ADDITIONALSERVICEviaE-Mail:
RobertF.Makowski,SterlingDadone,NormanSaul,RaynierGamboa,VeronicaSession
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