UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
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UNITED STATES OF AMERICA
:
- v LOUIS MOSCATIELLO, SR.,
JAMES DELIO,
a/k/a “Jamie,”
CARMINE MINGOIA,
FRED NISALL,
a/k/a “Fred Nisalevich,”
a/k/a “Fred Buschel,”
a/k/a “Fred Bushell,”
a/k/a “Jack Miller,”
CARMINE SEDITA,
JOSEPH DELIO,
ROBERT ALVAREZ,
PAUL GHIRARDUZZI,
THOMAS BOVE,
FRANK MALANGONE,
a/k/a “Butch,”
FRED MENDOZA,
ROBERT CARBONE,
a/k/a “Bucky,”
LOUIS MOSCATIELLO, JR.,
JOHN CAMPANELLA, JR.,
JOSEPH SCELZO,
a/k/a “Fat Joey,”
JOHN BARONE,
SAMUEL DAZLE,
LEON THOMAS,
ALBERT POMETTO, JR.,
NICKY GALLO,
MARCO DURAND, and
JOSEPH RUGGIERO
a/k/a “Joe Black,”
Defendants.
:
INDICTMENT
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04 Cr.
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COUNT ONE
Racketeering Violation
The Grand Jury charges:
At all times relevant to this Indictment:
The Enterprise
1.
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” CARMINE MINGOIA, FRED NISALL, a/k/a “Fred Nisalevich,”
a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,”
CARMINE SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI,
THOMAS BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA,
the defendants, and Robert Carbone, a/k/a “Bucky,” together with
others known and unknown, were members and associates of the
Genovese Organized Crime Family of La Cosa Nostra (the “Genovese
Organized Crime Family”).
The Genovese Organized Crime Family is
a criminal organization whose members and associates have engaged
in numerous acts of violence and other criminal acts, including
murder, attempted murder, extortion, labor racketeering, employee
benefit plan embezzlement, the financing and making of
extortionate extensions of credit and the collection of
extensions of credit through extortionate means (commonly known
as “loansharking”), mail fraud, wire fraud, and money laundering.
2.
The Genovese Organized Crime Family, including its
leadership, membership, and associates, constituted an
“enterprise,” as that term is defined in Title 18, United States
Code, Section 1961(4) –- that is, a group of individuals
associated in fact, which was engaged in, and the activities of
which affected, interstate and foreign commerce.
2
The Genovese
Organized Crime Family was an organized criminal group based in
New York City that operated in the Southern District of New York
and elsewhere and constituted an ongoing organization whose
members functioned as a continuing unit for a common purpose of
achieving the objectives of the enterprise.
The Genovese
Organized Crime Family was referred to by its members and
associates in various ways, including as a “la cosa nostra,” a
“Family,” and “this thing of ours.”
3.
The Genovese Organized Crime Family was part of a
nationwide criminal organization known by various names,
including the “Mafia” and “La Cosa Nostra” (“LCN”), which
operated through entities known as “Families.”
In addition to
the Genovese Organized Crime Family, five other Families operated
in the New York City and New Jersey area, namely, the Gambino
Organized Crime Family of LCN, the Luchese Organized Crime Family
of LCN, the Colombo Organized Crime Family of LCN, the Bonanno
Organized Crime Family of LCN, and the Decavalcante Organized
Crime Family of LCN.
4.
The Genovese Organized Crime Family operated
through groups of individuals known as “crews” and “regimes,”
most of which were based in New York City.
Each “crew” had as
its leader a person known as a “Caporegime,” “Capo,” or
“Captain,” and consisted of “made” members, sometimes known as
“soldiers,” “wiseguys,” “friends of ours,” and “good fellows.”
3
Soldiers were aided in their criminal endeavors by other trusted
individuals, known as “associates,” who sometimes were referred
to as “connected” or identified as “with” a soldier.
Associates
participated in the various activities of the crew and its
members.
5.
Each Capo was responsible for supervising the
criminal activities of his crew and provided soldiers and
associates with support and protection.
In return, the Capo
typically received a share of the illegal earnings of each of his
crew's soldiers and associates, which was sometimes referred to
as “tribute.”
6.
Above the Capos were the highest-ranking members
of the Genovese Organized Crime Family.
The head of the Genovese
Organized Crime Family was known as the “Boss,” who was normally
assisted by an “Underboss” and a “Consigliere,” or counselor.
The Boss, Underboss, and Consigliere were responsible for, among
other things, setting policy, resolving disputes among members of
the Genovese Organized Crime Family, and resolving disputes
between members of the Genovese Organized Crime Family and
members of other criminal organizations.
At various times
relevant to this Indictment, members of the Genovese Organized
Crime Family were temporarily appointed to serve as Boss,
Underboss, Consigliere, or Capo in place of an incarcerated
member holding that position.
Whenever this occurred, the member
4
holding the temporary appointment would function in an “acting”
capacity for the incarcerated member, who continued to hold the
“official” position in the Family.
In addition, at various times
relevant to this Indictment, members of the Genovese Organized
Crime Family served on a committee or ruling panel, a group of
high-ranking members of the Family who assisted and, at times,
made decisions with or on behalf of the Boss and the Acting Boss
of the Family.
7.
The Boss, Underboss, and Consigliere, and, at
times, members of the ruling panel of the Genovese Organized
Crime Family supervised, supported, protected, and disciplined
the Capos, soldiers, and associates, and regularly received
reports regarding their various activities.
In return for their
supervision and protection, the Boss, Underboss, Consigliere, and
members of the ruling panel typically received part of the
illegal earnings of each crew.
The United Brotherhood of Carpenters and Joiners
8.
At all times relevant to this Indictment, the
United Brotherhood of Carpenters and Joiners (the “U.B.C.J.”) was
a national labor union that represented skilled workers on
construction sites.
These workers typically performed such jobs
as, among other things, hanging drywall, which is also known as
“sheetrock,” by affixing it to interior frames to form the indoor
walls of buildings.
5
9.
In New York City, the U.B.C.J. has approximately
23,000 members and is divided into locals that are associated
with the five boroughs.
These locals are Locals 608 (Manhattan -
Westside), 608 North (Bronx), 157 (Manhattan - Eastside), 45
(Queens), 926 (Brooklyn), and 20 (Staten Island) (collectively,
the “New York City Locals”).
10.
The District Council of New York City and Vicinity
of the U.B.C.J. (the “District Council”) is the administrative
body that oversees the New York City Locals.
11.
The District Council (on behalf of the New York
City Locals) has entered into numerous contracts, or collective
bargaining agreements (“CBAs”), with various construction
contractors and associations of construction contractors who
operate at jobsites in the five boroughs of New York City.
The
CBAs govern many aspects of the relationship between individual
contractors and individual members of the U.B.C.J. who are
employed by such contractors as carpenters at jobsites within New
York City.
12.
Among other things, the CBAs obligate the
contractors to employ only union labor on jobsites, to pay wages
according to a pre-defined scale set forth in the CBAs, and to
notify the District Council regarding new projects.
Furthermore,
the CBAs require the contractors to make contributions to the
Welfare Fund, Pension Fund, Vacation Fund, Annuity Fund,
6
Apprenticeship, Journeyman Retraining, Educational and Industry
Fund, Supplemental Funds, U.B.C. and J.A. Funds, and New York
City and Vicinity Carpenters Labor-Management Cooperation Fund
(collectively, the “District Council Benefit Funds”), in
specified amounts for each hour worked by union members employed
by the contractors.
Of these funds, the Welfare Fund, Pension
Fund, Vacation Fund, Annuity Fund, and Apprenticeship, Journeyman
Retraining, Educational and Industry Fund (collectively, the
“District Council ERISA Funds”) are subject to the provisions of
title I of the Employee Retirement Income Security Act of 1974
(“ERISA”).
The contributions to the District Council Benefit
Funds are made by each contractor through the purchase of
“stamps,” each of which represent the benefits due to a union
member for an hour worked.
The contractors must complete monthly
remittance reports which identify the union members who worked on
a jobsite and the hours they worked.
The monthly remittance
reports are filed with the District Council.
13.
From in or about 1996 until in or about 2002, the
District Council operated a Stamps Investigation Team, which was
responsible for ensuring that contractors purchased the
appropriate number of stamps for their union employees.
The
Stamps Investigation Team was also responsible for collecting
payments to the District Council Benefit Funds that were
delinquent.
7
14.
At all times relevant to this Indictment, the New
York City Locals were run by various union officers.
The
principal officer of each local is the Business Manager, who is
ultimately responsible for the day-to-day operations of the
local.
Depending upon the size of the local’s jurisdiction, the
Business Manager may be assisted by a Business Agent or Agents.
Collectively, the Business Manager and Business Agents are
responsible for ensuring that construction contractors comply
with the terms of the CBAs at jobsites within their respective
territories.
15.
The CBAs also required the appointment by the
District Council of a shop steward, also called a job steward, to
each construction project or jobsite.
The shop steward functions
as the “eyes and ears” of the District Council on the jobsite,
and is authorized to deal with employers on behalf of represented
employees at that site concerning such employees’ hours, wages,
and working conditions.
Shop stewards are appointed based on
their skills and their position on the out-of-work list, and,
according to District Council By-Laws, no steward may be referred
to a job from the out-of-work list out of turn.
The shop steward
is required to complete weekly reports which identify the union
members who were employed on the jobsite and the hours that they
worked.
When the shop steward has completed his/her union work
on behalf of the District Council, the shop steward is required
8
to work on the job like any other union member.
Local 530 of the Operative Plasters and Cement Masons Union
16.
At all times relevant to this Indictment, Local
530 of the Operative Plasters and Cement Masons Union (“Local
530") was a labor union that represented workers who performed
specialized taping and skimcoating work on construction sites in
New York City, Westchester County, Rockland County, and Long
Island.
Taping and skimcoating is one method by which interior
walls constructed of sheetrock are finished.
Taping refers to
the procedure by which the joints, or holes, between pieces of
hanging drywall are sealed using tape.
Skimcoating refers to the
application of a thin-layer of joint compound to the entirety of
the interior wall surface.
17.
Local 530 has entered into CBAs with various
construction contractors and associations of construction
contractors who operate at jobsites in the five boroughs of New
York City, Westchester County, Rockland County, and Long Island.
The CBAs govern many aspects of the relationship between
individual contractors and individual members of Local 530 who
are employed by such contractors at jobsites within Local 530's
jurisdiction.
18.
Among other things, the CBAs obligate the
contractors to employ only union labor on jobsites, to pay wages
according to a pre-defined scale set forth in the CBAs, and to
9
notify Local 530 regarding new projects.
Furthermore, the CBAs
require the contractors to make contributions to the Welfare
Fund, Annuity Fund, and Apprentice Fund (collectively, the “Local
530 Benefit Funds”), in specified amounts for each hour worked by
union members employed by the contractors.
The Local 530 Benefit
Funds are subject to the provisions of title I of ERISA.
The
contractors must complete monthly remittance reports which
identify the union members who worked on a jobsite and the hours
they worked.
The monthly remittance reports are filed with Local
530.
19.
At all times relevant to this Indictment, Local
530 was run by various union officers.
The principal officer of
Local 530 is the President and Business Manager (the
“President”), who is ultimately responsible for the day-to-day
operations of the local.
The President is assisted by Business
Agents, as well as by the Vice-President.
Collectively, the
President, Vice-President, and Business Agents are responsible
for ensuring that construction contractors comply with the terms
of the CBAs at jobsites within Local 530's jurisdiction.
20.
The CBAs also required the appointment by Local
530 of a shop steward, also called a job steward, to each
construction project or jobsite.
The shop steward functions as
the “eyes and ears” of the Local 530 officers on the jobsite, and
is authorized to deal with employers on behalf of represented
10
employees at that site concerning such employees’ hours, wages,
and working conditions.
The shop steward is required to complete
weekly reports which identify the union members who were employed
on the jobsite and the hours that they worked.
When the shop
steward has completed his/her union work on behalf of Local 530,
the shop steward is required to work on the job like any other
union member.
The Defendants
21.
At various times relevant to this Indictment,
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” CARMINE
MINGOIA, FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and Robert Carbone, a/k/a “Bucky,” Louis Moscatiello,
Jr., John Campanella, Jr., Joseph Scelzo, a/k/a “Fat Joey,” and
Joseph Ruggiero, a/k/a “Joe Black,” were members and associates
of the enterprise, the Genovese Organized Crime Family.
MOSCATIELLO, SR., JAMES DELIO, MINGOIA, NISALL, SEDITA, JOSEPH
DELIO, ALVAREZ, GHIRARDUZZI, BOVE, MALANGONE, and MENDOZA, as
well as Carbone, Moscatiello, Jr., Campanella, Jr., Scelzo, and
Ruggiero, participated in the operation and management of the
enterprise as follows:
11
a.
LOUIS MOSCATIELLO, SR. was at various times
relevant to this Indictment an associate, a soldier, and an
acting Capo in the Genovese Organized Crime Family.
MOSCATIELLO,
SR. was responsible for (among other things) supervising the
Genovese Organized Crime Family’s exercise of unlawful control
over the drywall industry and over certain labor unions engaged
in the construction industry, including, among other unions, the
District Council and the New York City Locals of the U.B.C.J. and
Local 530.
MOSCATIELLO, SR. was one of the founders of Local
530, and served as Local 530's president from in or about 1978
until in or about 1991, when he was forced to resign from his
position in Local 530 following a conviction for labor bribery.
MOSCATIELLO, SR. eventually re-asserted his unlawful control over
Local 530 in the mid-1990s.
Among MOSCATIELLO, SR.’s criminal
activities were labor racketeering, employee benefit plan
embezzlement, extortion, and fraud.
b.
JAMES DELIO, a/k/a “Jamie,” was at various
times relevant to this Indictment an associate and a soldier in
the Genovese Organized Crime Family.
JAMES DELIO assisted
MOSCATIELLO, SR. in exercising the Genovese Organized Crime
Family’s unlawful control over the drywall industry and certain
construction unions, including, among other unions, the District
Council and the New York City Locals of the U.B.C.J. and Local
530.
JAMES DELIO also owned or controlled various drywall and
12
taping companies that were parties to CBAs with the District
Council of the U.B.C.J. and Local 530, and which benefitted from
the Genovese Organized Crime Family’s unlawful control of the
District Council and the New York City Locals of the U.B.C.J. and
Local 530.
Among JAMES DELIO’s criminal activities were labor
racketeering, employee benefit plan embezzlement, extortion, and
fraud.
c.
CARMINE MINGOIA was an associate of the
Genovese Organized Crime Family, who was with Genovese Organized
Crime Family soldier MOSCATIELLO, SR.
Prior to his association
with MOSCATIELLO, SR., MINGOIA was with Genovese Organized Crime
Family capo Ralph Coppola, who disappeared in 1998.
1997, MINGOIA became the President of Local 530.
In or about
Among MINGOIA’s
criminal activities were labor racketeering, employee benefit
plan embezzlement, extortion, and fraud.
d.
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” was
an associate of the Genovese Organized Crime Family and was with
MOSCATIELLO, SR. and JAMES DELIO.
NISALL owned or controlled
various drywall companies that were parties to CBAs with the
District Council of the U.B.C.J. and which benefitted from the
Genovese Organized Crime Family’s unlawful control of the
District Council and the New York City Locals of the U.B.C.J and
Local 530.
Among NISALL’s criminal activities were participation
13
in labor racketeering, extortion, employee benefit plan
embezzlement, and fraud.
e.
CARMINE SEDITA was an associate of the
Genovese Organized Crime Family and was with MOSCATIELLO, SR.
SEDITA was also a member of the U.B.C.J. and a former officer of
one of the New York City Locals.
Among SEDITA’s criminal
activities were participation in labor racketeering, extortion,
employee benefit plan embezzlement, and fraud.
f.
JOSEPH DELIO was an associate of the Genovese
Organized Crime Family.
JOSEPH DELIO owned or controlled various
drywall and taping companies with his brother JAMES DELIO that
were parties to CBAs with the District Council of the U.B.C.J.
and Local 530, and which benefitted from the Genovese Organized
Crime Family’s unlawful control of the District Council and the
New York City Locals of the U.B.C.J. and Local 530.
Among JOSEPH
DELIO’s criminal activities were participation in labor
racketeering, extortion, employee benefit plan embezzlement, and
fraud.
g.
ROBERT ALVAREZ was an associate of the
Genovese Organized Crime Family.
From in or about 1996 until in
or about 2002, ALVAREZ was a member of the Stamps Investigation
Team of the District Council of the U.B.C.J.
Among ALVAREZ’s
criminal activities were participation in labor racketeering,
extortion, employee benefit plan embezzlement, and fraud.
14
h.
PAUL GHIRARDUZZI was an associate of the
Genovese Organized Crime Family and was with both MOSCATIELLO,
SR., and a Capo in the Genovese Organized Crime Family.
GHIRARDUZZI was also a member of the U.B.C.J. and served as a
shop steward at various jobsites throughout New York City,
including at a construction project involving the expansion of
the Kings County Hospital.
Among GHIRARDUZZI’s criminal
activities were labor racketeering, employee benefit plan
embezzlement, and fraud.
i.
THOMAS BOVE was an associate of the Genovese
Organized Crime Family.
THOMAS BOVE, together with FRANK
MALANGONE, a/k/a “Butch,” owned or controlled several taping
companies that were parties to CBAs with Local 530, and which
benefitted from the Genovese Organized Crime Family’s unlawful
control of Local 530.
Among BOVE’s criminal activities were
labor racketeering, employee benefit plan embezzlement,
extortion, and fraud.
j.
FRANK MALANGONE, a/k/a “Butch,” was an
associate of the Genovese Organized Crime Family.
MALANGONE,
together with BOVE, owned or controlled several taping companies
that were parties to CBAs with Local 530, and which benefitted
from the Genovese Organized Crime Family’s unlawful control of
Local 530.
Among MALANGONE’s criminal activities were labor
racketeering, employee benefit plan embezzlement, extortion, and
15
fraud.
k.
FRED MENDOZA was an associate of the Genovese
Organized Crime Family and was with MOSCATIELLO, SR.
MENDOZA
owned a taping company that was party to a CBA with Local 530,
and which benefitted from the Genovese Organized Crime Family’s
unlawful control of Local 530.
Among MENDOZA’s criminal
activities were labor racketeering, employee benefit plan
embezzlement, and fraud.
l.
Robert Carbone, a/k/a “Bucky,” was at various
times relevant to this Indictment an associate and a soldier in
the Genovese Organized Crime Family.
Among Carbone’s criminal
activities were extortion and labor racketeering.
m.
Louis Moscatiello, Jr. was an associate of
the Genovese Organized Crime Family and is the son of LOUIS
MOSCATIELLO, SR., the defendant.
Moscatiello, Jr. owned or
controlled at least one taping company, Improved Drywall, that
was party to a CBA with Local 530, and which benefitted from the
Genovese Organized Crime Family’s unlawful control of Local 530.
Among Moscatiello Jr.’s criminal activities were labor
racketeering, employee benefit plan embezzlement, extortion, and
fraud.
n.
John Campanella, Jr. was an associate of the
Genovese Organized Crime Family and was with MOSCATIELLO, SR.
Campanella, Jr. is MOSCATIELLO SR.’s brother-in-law, and acted as
16
the plan manager for the Local 530 Benefit Funds.
Among
Campanella’s criminal activities were employee benefit plan
embezzlement and fraud.
o.
Joseph Scelzo, a/k/a “Fat Joey,” was an
associate of the Genovese Organized Crime Family and was with a
soldier in the Genovese Organized Crime Family.
Among Scelzo’s
criminal activities was participation in an extortion.
p.
Joseph Ruggiero, a/k/a “Joe Black,” was a
soldier in the Genovese Organized Crime Family.
Among Ruggiero’s
criminal activities was participation in loansharking.
The Defendants’ Construction Companies
22.
At all times relevant to this Indictment, several
of the defendants owned, operated, or controlled drywall and
taping companies that operated in New York City and its vicinity.
Some of these companies were signatories to CBAs with either the
District Council of the U.B.C.J. or Local 530.
The following
companies were owned, operated or controlled by the following
defendants:
a.
Centre Interior Construction Corp. (“Centre
Interior”) was a drywall company that was controlled primarily by
JAMES DELIO and JOSEPH DELIO, the defendants.
Centre Interior
was not a party to a CBA with the District Council of the
U.B.C.J.
On projects which required the use of union labor,
Centre Interior subcontracted the drywall work to other companies
17
that were parties to CBAs.
b.
Luna Carpentry, Inc. (“Luna Carpentry”) was a
drywall company that was controlled by JAMES DELIO and FRED
NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” the defendants, and John
Barone, among others.
Luna Carpentry was owned by Samuel Dazle.
Luna Carpentry was a party to a CBA with the District Council of
the U.B.C.J.
c.
Sunrise Systems, Inc. (“Sunrise Systems”) was
a drywall company that was controlled by JAMES DELIO and NISALL,
although it was technically owned by a nominee third-party.
Sunrise System, Inc. was a party to a CBA with the District
Council of the U.B.C.J.
d.
W & J Industries, Inc. (“W & J Industries”)
was a drywall company that was controlled by JAMES DELIO and
NISALL.
W & J Industries was a party to a CBA with the District
Council of the U.B.C.J.
e.
Basic Drywall, Inc. (“Basic Drywall”) and O-
Kay Drywall, Inc. (“O-Kay Drywall”) were drywall companies that
were controlled, in part, by NISALL.
Basic Drywall and O-Kay
Drywall were parties to CBAs with the District Council of the
U.B.C.J.
f.
Verdico Industries and Elite Interiors were
drywall companies that were controlled, in part, by JAMES DELIO.
18
Verdico Industries and Elite Interiors were parties to CBAs with
the District Council of the U.B.C.J.
g.
J & El Associates, Inc. (“J & El
Associates”), Cadet Taping, and Pride Taping were taping
companies that were controlled by JAMES DELIO and JOSEPH DELIO.
Each of these companies was a party to a CBA with Local 530.
h.
M.N. Industries, Inc., Roman Industries,
Inc., Basic Associates, Inc., Luna Limited, Inc., and Hudson
Associates, Inc. were non-union drywall companies that were
controlled, in part, by JAMES DELIO and NISALL.
Specifically,
none of these companies was a party to a CBA with the District
Council of the U.B.C.J.
i.
Wall-tone, A & L Construction, and I.G.I.
Finishing, Inc. were taping companies that were controlled by
FRANK MALANGONE, a/k/a “Butch,” and THOMAS BOVE, the defendants.
Each of these companies was a party to a CBA with Local 530.
j.
F & M Taping was a taping company that was
controlled by FRED MENDOZA, the defendant.
F & M Taping was a
party to a CBA with Local 530.
The Genovese Organized Crime Family’s
Influence Over The Drywall Industry
23.
The Genovese Organized Crime Family, from the
1970s through January 2004, controlled significant aspects of the
drywall industry in New York City.
The Genovese Organized Crime
Family exercised its influence over the drywall industry
19
primarily through its ability to manipulate and control the
District Council of the U.B.C.J., the New York City Locals, and
Local 530, and was able to leverage this control to benefit
favored contractors and to extort and intimidate other
contractors.
In this way, the Genovese Organized Crime Family
received money and other things of value from both the favored
contractors and other contractors in the drywall industry.
24.
The District Council and the New York City Locals
of the U.B.C.J. have been subjected to the control of the
Genovese Organized Crime Family through a combination of
violence, threats, intimidation, and economic coercion, as well
as through a complicit leadership with ties to LCN.
Between the
mid-1970s through the early 1990s, numerous violent acts were
directed at those in the U.B.C.J. who opposed the status quo of
corruption and organized crime influence.
25.
Moreover, the District Council and the New York
City Locals of the U.B.C.J., and its membership, have been the
subject of several criminal and civil cases resulting, in part,
from the Genovese Organized Crime Family’s long-term influence
over the union’s operations.
LOUIS MOSCATIELLO, SR., who was
then an associate of the Genovese Organized Crime Family, was
himself convicted in 1991 of bribing a labor official,
specifically, a business agent of Local 135 of the U.B.C.J.
(which was then a local whose jurisdiction included Manhattan).
20
In 1990, the United States Attorney’s Office for the Southern
District of New York filed a civil action against the District
Council, certain of its officers, and members of La Cosa Nostra,
pursuant to the Racketeer Influenced and Corrupt Organizations
Act, seeking to eradicate organized crime’s control of the union.
On March 4, 1994, the District Council and others entered into a
consent decree (the “Consent Decree”) with the United States,
which included a permanent injunction against racketeering
activity, and prohibited all officers, employees, and members of
the District Council and the New York City Locals of the U.B.C.J.
from knowingly associating with any member or associate of any
LCN Family.
The Consent Decree was authorized and signed by the
Honorable Charles S. Haight, United States District Judge of the
United States District Court for the Southern District of New
York.
Nevertheless, despite the existence of the Consent Decree,
the Genovese Organized Crime Family, and in particular
MOSCATIELLO, SR., continued to maintain its influence over the
District Council and the New York City Locals of the U.B.C.J.
26.
Local 530 was created specifically to enhance the
Genovese Organized Crime Family’s control over the drywall
industry.
Prior to the creation of Local 530 in 1978, the
Drywall Tapers and Pointers of Greater New York, Local 1974,
provided tapers to finish the drywall process.
In or about 1978,
LOUIS MOSCATIELLO, SR., together with a Capo in the Genovese
21
Organized Crime Family, founded Local 530, which encroached on
the jurisdiction of Local 1974.
MOSCATIELLO, SR. thereafter
became the first President and Business Manager of Local 530.
During his tenure as President, MOSCATIELLO, SR. regularly
accepted unlawful payments from contractors in exchange for labor
peace.
27.
Following MOSCATIELLO, SR.’s bribery conviction in
1991, in which he agreed to a lifetime bar from the participation
in the affairs of a labor union, MOSCATIELLO, SR. stepped down as
President of Local 530.
Nevertheless, he and other members and
associates of the Genovese Organized Crime Family continued to
exercise influence over Local 530 through a complicit union
leadership.
For example, MOSCATIELLO SR.’s brother-in-law, John
Campanella, Jr., was the plan manager for the Local 530 Benefit
Funds.
In addition, MOSCATIELLO, SR. was able to exercise
influence through his son, Louis Moscatiello, Jr., who was also
involved with the affairs of Local 530, despite the fact that he
did not hold an official position within the union and owned
Improved Drywall, a taping company that was a party to a CBA with
Local 530.
For a period in the mid-1990s, the Genovese Organized
Crime Family’s control over Local 530 was exercised through Ralph
Coppola, a Capo in the Genovese Organized Crime Family who
disappeared in September 1998.
22
28.
Since his release from prison and Coppola’s
disappearance, MOSCATIELLO, SR. has exercised control over Local
530 on behalf of the Genovese Organized Crime Family.
He has
been able to do this, in part, through a handpicked leadership
complicit in his corrupt activities, including CARMINE MINGOIA,
the President of Local 530, and Campanella, Jr.
Purposes of the Enterprise
29.
The purposes of the enterprise included the
following:
a.
Enriching the leaders, members, and
associates of the enterprise through, among other things: (i) the
extortionate or otherwise unlawful control of businesses, labor
unions, persons, and property, including, among other things, the
District Council and New York City Locals of the U.B.C.J. and
Local 530, through (in the case of extortionate control over such
entities or persons) threats of physical and economic harm; (ii)
the operation of fraudulent schemes involving the use of the
mails through which drywall and taping companies that were owned,
operated, or controlled by members and associates of the
enterprise and that were parties to CBAs with the District
Council of the U.B.C.J. and Local 530 were permitted to violate
the CBAs by, among other things, employing workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, misrepresenting the number of workers on reports submitted
23
to the District Council, the District Council Benefit Funds,
Local 530, and the Local 530 Benefit Funds, not making
appropriate contributions to the District Council Benefit Funds
and the Local 530 Benefit Funds, and otherwise being permitted to
ignore the provisions of the CBAs; (iii) the bribery of union
officials to obtain benefits and business advantages for members
and associates of the enterprise to which those members and
associates were not otherwise entitled; (iv) the financing,
extension, and collection of extortionate extensions of credit,
commonly known as “loansharking”; and (v) money laundering;
b.
Preserving and augmenting the power,
territory, and financial profits of the enterprise through
murder, intimidation, violence, and threats of physical and
economic harm; and
c.
Keeping victims and citizens in fear of the
enterprise and its leaders, members and associates by: (i)
identifying the enterprise, its members and associates, with La
Cosa Nostra or the “Mafia”; (ii) causing and threatening to cause
economic harm; and (iii) committing and threatening to commit
physical violence.
Means and Methods of the Enterprise
30.
Among the means and methods by which the
defendants and other enterprise members and associates conducted
and participated in the conduct of the affairs of the enterprise
24
were the following:
a.
Members and associates of the enterprise
generated income and attempted to generate income for the
enterprise through the exercise of the enterprise’s unlawful
control over the drywall industry.
The enterprise was able to
exercise control over the drywall industry based, in part, on its
ability to influence the actions of the District Council and New
York City Locals of the U.B.C.J. and Local 530.
Through its
control over the drywall industry, including the District Council
and the New York City Locals of the U.B.C.J. and Local 530, the
enterprise ensured labor peace on jobsites for members or
associates of the enterprise who owned, operated, or controlled
drywall and taping companies that were parties to CBAs with the
District Council of the U.B.C.J. and Local 530.
As a result of
their connections to the enterprise, these favored contractors
were allowed to violate the terms of those CBAs in a number of
significant ways.
For example, the drywall and taping companies
that were owned, operated or controlled by members or associates
of the enterprise were able to hire workers off-the-books, to
employ non-union workers, not to pay workers union-scale wages,
and not to make the required contributions to the union benefit
funds.
In exchange for this assistance from the enterprise,
through which the contractors saved significant amounts of money
on certain construction projects, the contractors made payments,
25
usually calculated as a percentage of the value of the
construction contract, to other members and associates of the
enterprise.
The contractors also provided certain members and
associates of the enterprise with other payments or things of
value.
b.
Members and associates of the enterprise also
generated and attempted to generate income for the enterprise by
using the enterprise’s unlawful control over the District Council
and New York City Locals of the U.B.C.J. and Local 530 to extort
payments from contractors in the drywall industry.
Contractors
favored by the enterprise knew, prior to placing bids on certain
construction projects, that they would not receive interference
or challenges from the unions if they violated the CBAs by, for
example, not employing union workers, not paying union-scale
wages, and not making contributions to the union benefit plans.
Therefore, these contractors factored into their bids their
ability to violate the CBAs and, as a result, complete the
construction projects at a significantly lower cost than other
contractors who were not receiving similar assistance from the
enterprise.
This allowed the favored contractors to place lower
bids on construction projects and to obtain more work, which in
turn benefitted the enterprise.
In addition, because certain
contractors were receiving assurances of labor peace as a result
of their relationship with the enterprise, the enterprise was
26
able to extort payments from still other contractors, who
believed that they were forced to use non-union workers or to
violate the CBAs in other ways in order to compete against those
contractors who were able to violate the CBAs with relative
impunity.
c.
Members and associates of the enterprise
further generated and attempted to generate income for the
enterprise through a bid-rigging scheme, whereby favored taping
contractors, Local 530 officials, and other members and
associates of the enterprise colluded in submitting bids for
taping jobs from a particular drywall contractor (“Contractor1").
The taping contractors who participated in the bid-rigging
scheme agreed, in advance of the bidding for taping jobs on
Contractor-1's construction projects, (i) which taping job would
be assigned to each of the participating contractors and (ii)
what dollar amount each of the contractors would bid for each
job.
These taping contractors submitted their bids with the
understanding that the enterprise would ensure labor peace on
their jobsites even if the contractors violated the terms of the
CBAs by, for example, using workers who were paid off-the-books,
using non-union labor, and failing to pay union-scale wages or to
make the required contributions to the union benefit funds.
d.
Members and associates of the enterprise also
generated and attempted to generate income for the enterprise
27
through other means as well, including extortion and
loansharking.
For example, the enterprise generated and
attempted to generate income through extortion by forcing
contractors to provide jobs on construction projects to members
and associates of the enterprise.
e.
To protect and expand the enterprise's
criminal operations, members and associates of the enterprise
promoted a climate of fear through violence, threats of violence,
and economic harm.
To further protect and expand the
enterprise’s criminal operations, members and associates of the
enterprise attempted to influence and control union officials in
the District Council and the New York City Locals of the U.B.C.J.
through threats, intimidation and fear.
f.
To further maintain the enterprise’s control
over the District Council and the New York City Locals of the
U.B.C.J. and over Local 530, members and associates of the
enterprise placed handpicked individuals in leadership and
supervisory positions in those unions.
g.
To generate cash that was used, among other
purposes, to pay some of the workers who were hired off-the-books
in violation of the CBAs, members and associates of the
enterprise who owned, operated or controlled drywall and taping
companies cashed checks that were made payable to (i) entities
that never received the funds from those checks or (ii)
28
fictitious entities.
h.
Members and associates of the enterprise at
times engaged in criminal conduct or coordinated their criminal
activities with leaders, members, and associates of other LCN
Families.
i.
So as to avoid law enforcement scrutiny of
the enterprise’s criminal activities, members and associates of
the enterprise conducted meetings surreptitiously, typically
expressing reluctance to discuss criminal activities over the
telephone, using coded language during meetings, and engaging in
“walk and talks” or other methods designed to thwart law
enforcement scrutiny.
j.
Members and associates of the enterprise
attempted to identify and did identify individuals suspected of
providing, or deemed likely to provide, information to law
enforcement about the enterprise, its members and activities, and
about other LCN Families.
k.
To conceal their receipt of money generated
from their criminal activities, members and associates of the
enterprise concealed their ownership of various assets that
constituted or were purchased with proceeds of their criminal
activities.
29
The Racketeering Violation
31.
From at least in or about 1978, up through and
including in or about January 2004, in the Southern District of
New York and elsewhere, while LOUIS MOSCATIELLO, SR., was on
release pursuant to an order of the United States District Court
for the Southern District of New York, dated on or about February
26, 2003, issued pursuant to Title 18, United States Code,
Section 3142(c), LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” CARMINE MINGOIA, FRED NISALL, a/k/a “Fred Nisalevich,”
a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,”
CARMINE SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI,
THOMAS BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA,
the defendants, and Robert Carbone, a/k/a “Bucky,” and others
known and unknown, being persons employed by and associated with
the racketeering enterprise described in Paragraphs 1 through 30
above, namely, the Genovese Organized Crime Family, which
enterprise was engaged in, and the activities of which affected,
interstate and foreign commerce, unlawfully, willfully, and
knowingly conducted and participated, directly and indirectly, in
the conduct of the affairs of that enterprise through a pattern
of racketeering activity, as that term is defined in Title 18,
United States Code, Sections 1961(1) and 1961(5), that is,
through the commission of the following racketeering acts:
30
The Pattern of Racketeering
32.
The pattern of racketeering activity, as defined
in Title 18, United States Code, Sections 1961(1) and 1961(5),
consisted of the following acts:
Racketeering Act One: Labor Racketeering Regarding Local 530 At
A Construction Project At 500 West 56th Street
33.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act One:
Mail Fraud
a.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and CARMINE
MINGOIA, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby MOSCATIELLO, SR.
31
received secret payments from a contractor (“Contractor-2"), in
exchange for which MOSCATIELLO, SR. and MINGOIA used their
influence over Local 530 and the Local 530 Benefit Funds to allow
Contractor-2 to violate the terms of the CBA at 500 West 56th
Street, New York, New York, by, among other things, paying
workers off-the-books, employing non-union workers, not paying
workers union-scale wages, and misrepresenting the number of
workers on reports submitted to Local 530 and the Local 530
Benefit Funds pursuant to the CBA, in order to fraudulently
obtain money and property consisting of (i) economic benefits
such as wages and employee benefit credits to which union members
were entitled under the CBA; (ii) contributions which the Local
530 Benefit Funds and other union-affiliated funds were entitled
to receive under the CBA; (iii) monies collected from real estate
developers, owners, contractors, and others as payment for wages
and employee benefit contributions which Contractor-2 was
obligated to, but in fact did not, pay under the CBA; and (iv)
monies which Local 530 would have collected as membership dues
and agency shop fees under the CBA, had the CBA not been violated
on the 500 West 56th Street jobsite, in violation of Title 18,
United States Code, Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
32
New York and elsewhere, LOUIS MOSCATIELLO, SR. and CARMINE
MINGOIA, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did embezzle, steal,
abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby MOSCATIELLO, SR. received secret payments from
Contractor-2, in exchange for which MOSCATIELLO, SR. and MINGOIA
used their influence over Local 530 to allow Contractor-2 to
violate the terms of the CBA at Contractor-2's jobsite at 500
West 56th Street, New York, New York, by, among other things, not
making contributions to the Local 530 Benefit Funds, in violation
of Title 18, United States Code, Sections 664 and 2.
Mail Fraud
c.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and CARMINE
MINGOIA, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
33
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between Contractor-2 and Local
530 on a jobsite at 500 West 56th Street, New York, New York, in
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Two: Labor Racketeering Regarding The U.B.C.J.
At The Kings County Hospital Expansion Project
34.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Two:
Mail Fraud
a.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
34
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ and PAUL GHIRARDUZZI, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council, the New York City Locals and the District
Council Benefit Funds to allow JAMES DELIO, NISALL, and JOSEPH
DELIO to violate the terms of the CBA at the Kings County
Hospital expansion project, in Brooklyn, New York, by, among
other things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to the
District Council and the District Council Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
35
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the District Council Benefit Funds
and other union-affiliated funds were entitled to receive under
the CBA; (iii) monies collected from the Dormitory Authority of
the State of New York (“DASNY”), real estate developers,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO, NISALL, and JOSEPH DELIO were
obligated to, but in fact did not, pay under the CBA; and (iv)
monies which the District Council and the New York City Locals
would have collected as membership dues and agency shop fees
under the CBA, had the CBA not been violated on the Kings County
Hospital jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, and PAUL GHIRARDUZZI, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
36
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council and the New York City Locals of the U.B.C.J.
to allow JAMES DELIO, NISALL, and JOSEPH DELIO to violate the
terms of the CBA at the Kings County Hospital expansion project,
in Brooklyn, New York, by, among other things, not making
contributions to the District Council ERISA Funds, in violation
of Title 18, United States Code, Sections 664 and 2.
Racketeering Act Three:
35.
Extortion of Local 926 of the U.B.C.J.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Three:
Conspiracy To Commit Extortion
a.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE SEDITA, and
ROBERT ALVAREZ, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly combined, conspired,
confederated, and agreed together and with each other to commit
extortion, as that term is defined in Title 18, United States
Code, Section 1951(b)(2), by obtaining money and property from
and with the consent of another person, to wit, the members and
37
officers of Local 926 of the U.B.C.J., which consent would have
been, and was, induced by the wrongful use of actual and
threatened force, violence and fear, and thereby would and did
obstruct, delay and affect commerce, and the movement of articles
and commodities in commerce, as that term is defined in Title 18,
United States Code, Section 1951(b)(3), to wit, the defendants
used their corrupt influence over the District Council and New
York City Locals of the U.B.C.J. to obtain the consent of Local
926 of the U.B.C.J. for James Delio, Fred Nisall, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” and Joseph Delio to violate the terms of a CBA in
connection with the Kings County Hospital expansion project, in
Brooklyn, New York, and the defendants thereby obtained, among
other things, monies that should have been paid to the members of
the New York City Locals in the form of union-scale wages and
contributions to the District Council Benefit Funds, in violation
of Title 18, United States Code, Section 1951.
Extortion
b.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE SEDITA, and
ROBERT ALVAREZ, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly committed and attempted to
commit extortion, as that term is defined in Title 18, United
38
States Code, Section 1951(b)(2), by obtaining money and property
from and with the consent of another person, to wit, the members
and officers of Local 926 of the U.B.C.J., which consent would
have been, and was, induced by the wrongful use of actual and
threatened force, violence, and fear, and thereby would and did
obstruct, delay, and affect commerce, and the movement of
articles and commodities in commerce, as that term is defined in
Title 18, United States Code, Section 1951(b)(3), to wit, the
defendants used their corrupt influence over the District Council
and New York City Locals of the U.B.C.J. to obtain the consent of
Local 926 of the U.B.C.J. for James Delio, Fred Nisall, a/k/a
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” and Joseph Delio to violate the terms of a
CBA in connection with the Kings County Hospital expansion
project, in Brooklyn, New York, and the defendants thereby
obtained, among other things, monies that should have been paid
to the members of the New York City Locals in the form of unionscale wages and contributions to the District Council Benefit
Funds, in violation of Title 18, United States Code, Sections
1951 and 2.
Racketeering Act Four: Fraudulent Use of Minority Business
Enterprise Designation Relating To The Expansion of the Kings
County Hospital
36.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
39
York and elsewhere, JAMES DELIO, a/k/a “Jamie,” and JOSEPH DELIO,
the defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they falsely represented to
DASNY, real estate developers, contractors and others that their
company, Centre Interior, was a minority business enterprise
(“MBE”) registered with the State of New York, in connection with
bids submitted for the Kings County Hospital expansion project,
in violation of Title 18, United States Code, Sections 1341 and
2.
Racketeering Act Five: Unlawful Receipt Of Payments By Union
Representative At The Kings County Hospital Expansion Project
37.
From in or about October 1999, up through and
including in or about January 2001, in the Southern District of
New York and elsewhere, PAUL GHIRARDUZZI, the defendant, being an
officer and employee of a labor organization which represented,
40
sought to represent, and did admit to membership the employees of
employers who were employed in an industry affecting commerce,
and JAMES DELIO, a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” the defendants, unlawfully, willfully, and
knowingly, did request, demand, receive, and accept, and agree to
receive and accept, a payment, loan, and delivery of money and
other thing of value, from an employer and persons acting in the
interest of such an employer, to a representative of employees
who are employed in an industry affecting commerce, and did aid
and abet the same, to wit, GHIRARDUZZI received monies from JAMES
DELIO and NISALL as payment for hours that GHIRARDUZZI did not
work as an U.B.C.J. shop steward at the Kings County Hospital
expansion project jobsite, in violation of Title 29, United
States Code, Sections 186(a)(2), (b)(1) and (d)(2), and Title 18,
United States Code, Section 2.
Racketeering Act Six: Labor Racketeering Regarding Local 530 At
The Kings County Hospital Expansion Project
38.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Six:
Mail Fraud
a.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
41
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at the Kings County Hospital
expansion project, in Brooklyn, New York, by, among other things,
paying workers off-the-books, employing non-union workers, not
paying workers union-scale wages, and misrepresenting the number
of workers on reports submitted to Local 530 and the Local 530
Benefit Funds pursuant to the CBA, in order to fraudulently
obtain money and property consisting of (i) economic benefits
such as wages and employee benefit credits to which union members
were entitled under the CBA; (ii) contributions which the Local
530 Benefit Funds and other union-affiliated funds were entitled
42
to receive under the CBA; (iii) monies collected from DASNY, real
estate developers, contractors, and others as payment for wages
and employee benefit contributions which JAMES DELIO and JOSEPH
DELIO were obligated to, but in fact did not, pay under the CBA;
and (iv) monies which Local 530 would have collected as
membership dues and agency shop fees under the CBA, had the CBA
not been violated on the Kings County Hospital jobsite, in
violation of Title 18, United States Code, Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Kings County Hospital expansion project, in Brooklyn, New York,
by, among other things, not making contributions to the Local 530
43
Benefit Funds, in violation of Title 18, United States Code,
Sections 664 and 2.
Mail Fraud
c.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at the Kings
County Hospital expansion project, in Brooklyn, New York, in
44
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Seven: Labor Racketeering Regarding The
U.B.C.J. At A Construction Project At 124 Hudson Street
39.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Seven:
Mail Fraud
a.
From in or about 2000, up through and
including in or about December 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they used their influence over
45
the District Council, the New York City Locals and the District
Council Benefit Funds to allow JAMES DELIO and NISALL to violate
the terms of the CBA at a construction project at 124 Hudson
Street, New York, New York, by, among other things, paying
workers off-the-books, employing non-union workers, not paying
workers union-scale wages, and misrepresenting the number of
workers on reports submitted to the District Council and the
District Council Benefit Funds pursuant to the CBA, in order to
fraudulently obtain money and property consisting of (i) economic
benefits such as wages and employee benefit credits to which
union members were entitled under the CBA; (ii) contributions
which the District Council Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and NISALL were obligated to, but
in fact did not, pay under the CBA; and (iv) monies which the
District Council and the New York City Locals would have
collected as membership dues and agency shop fees under the CBA,
had the CBA not been violated on the 124 Hudson Street jobsite,
in violation of Title 18, United States Code, Sections 1341 and
2.
46
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about December 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council and the New York City Locals of the U.B.C.J.
to allow JAMES DELIO and NISALL to violate the terms of the CBA
at a construction project at 124 Hudson Street, in New York, New
York, by, among other things, not making contributions to the
District Council ERISA Funds, in violation of Title 18, United
States Code, Sections 664 and 2.
Racketeering Act Eight: Labor Racketeering Regarding Local 530
At A Construction Project At 124 Hudson Street
40.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Eight:
47
Mail Fraud
a.
From in or about 2000, up through and
including in or about December 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at a construction project at 124
Hudson Street, in New York, New York, by, among other things,
paying workers off-the-books, employing non-union workers, not
paying workers union-scale wages, and misrepresenting the number
of workers on reports submitted to Local 530 and the Local 530
Benefit Funds pursuant to the CBA, in order to fraudulently
48
obtain money and property consisting of (i) economic benefits
such as wages and employee benefit credits to which union members
were entitled under the CBA; (ii) contributions which the Local
530 Benefit Funds and other union-affiliated funds were entitled
to receive under the CBA; (iii) monies collected from real estate
developers, owners, contractors, and others as payment for wages
and employee benefit contributions which JAMES DELIO and JOSEPH
DELIO were obligated to, but in fact did not, pay under the CBA;
and (iv) monies which Local 530 would have collected as
membership dues and agency shop fees under the CBA, had the CBA
not been violated at the 124 Hudson Street jobsite, in New York,
New York, in violation of Title 18, United States Code, Sections
1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about December 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
49
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at a
construction project at 124 Hudson Street, in New York, New York,
by, among other things, not making contributions to the Local 530
Benefit Funds, in violation of Title 18, United States Code,
Sections 664 and 2.
Mail Fraud
c.
From in or about 2000, up through and
including in or about December 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
50
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at a
construction project at 124 Hudson Street, in New York, New York,
in violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Nine: Labor Racketeering Regarding The U.B.C.J.
At A Lord & Taylor Construction Project
41.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Nine:
Mail Fraud
a.
In or about 1998, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
51
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they used their influence over
the Long Island local of the U.B.C.J. to allow JAMES DELIO and
NISALL to violate the terms of the CBA at a Lord & Taylor
construction project on Long Island, New York, by, among other
things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to the
Long Island local of the U.B.C.J. pursuant to the CBA, in order
to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Long Island local’s benefit funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and NISALL were obligated to, but
in fact did not, pay under the CBA; and (iv) monies which the
Long Island local would have collected as membership dues and
agency shop fees under the CBA, had the CBA not been violated on
the Lord & Taylor jobsite, in violation of Title 18, United
States Code, Sections 1341 and 2.
52
Employee Benefit Plan Embezzlement
b.
In or about 1998, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby they used their influence over
the Long Island local of the U.B.C.J. to allow JAMES DELIO and
NISALL to violate the terms of the CBA at a Lord & Taylor
construction project on Long Island, New York, by, among other
things, not making contributions to the Local Island local’s
benefit funds, in violation of Title 18, United States Code,
Sections 664 and 2.
Racketeering Act Ten: Labor Racketeering Regarding Local 530 At
A Lord & Taylor Construction Project
42.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Ten:
53
Mail Fraud
a.
In or about 1998, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at a Lord & Taylor construction
project on Long Island, New York, by, among other things, paying
workers off-the-books, employing non-union workers, not paying
workers union-scale wages, and misrepresenting the number of
workers on reports submitted to Local 530 and the Local 530
Benefit Funds pursuant to the CBA, in order to fraudulently
obtain money and property consisting of (i) economic benefits
54
such as wages and employee benefit credits to which union members
were entitled under the CBA; (ii) contributions which the Local
530 Benefit Funds and other union-affiliated funds were entitled
to receive under the CBA; (iii) monies collected from real estate
developers, owners, contractors, and others as payment for wages
and employee benefit contributions which JAMES DELIO and JOSEPH
DELIO were obligated to, but in fact did not, pay under the CBA;
and (iv) monies which Local 530 would have collected as
membership dues and agency shop fees under the CBA, had the CBA
not been violated at the Lord & Taylor jobsite, in violation of
Title 18, United States Code, Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
In or about 1998, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at a Lord
55
& Taylor construction project on Long Island, New York, by, among
other things, paying workers off-the-books and not making
contributions to the Local 530 Benefit Funds, in violation of
Title 18, United States Code, Sections 664 and 2.
Mail Fraud
c.
In or about 1998, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and JOSEPH DELIO, the defendants, and others known
and unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at a Lord &
56
Taylor construction project on Long Island, New York, in
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Eleven: Labor Racketeering Regarding The
U.B.C.J. At The Public School 83 Construction Project
43.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Eleven:
Mail Fraud
a.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
57
participated in a scheme whereby they used their influence over
the District Council, the New York City Locals and the District
Council Benefit Funds to allow JAMES DELIO and NISALL to violate
the terms of the CBA at the Public School 83 construction project
in the Bronx, New York, by, among other things, paying workers
off-the-books, employing non-union workers, not paying workers
union-scale wages, and misrepresenting the number of workers on
reports submitted to the District Council and the District
Council Benefit Funds pursuant to the CBA, in order to
fraudulently obtain money and property consisting of (i) economic
benefits such as wages and employee benefit credits to which
union members were entitled under the CBA; (ii) contributions
which the District Council Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from the School Construction Authority (“SCA”),
real estate developers, contractors, and others as payment for
wages and employee benefit contributions which JAMES DELIO and
NISALL were obligated to, but in fact did not, pay under the CBA;
and (iv) monies which the District Council and the New York City
Locals would have collected as membership dues and agency shop
fees under the CBA, had the CBA not been violated on the Public
School 83 jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
58
Employee Benefit Plan Embezzlement
b.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council and the New York City Locals of the U.B.C.J.
to allow JAMES DELIO and NISALL to violate the terms of the CBA
at the Public School 83 construction project in the Bronx, New
York, by, among other things, not making contributions to the
District Council ERISA Funds, in violation of Title 18, United
States Code, Sections 664 and 2.
Racketeering Act Twelve: Labor Racketeering Regarding Local 530
At The Public School 83 Construction Project
44.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twelve:
59
Mail Fraud
a.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at a construction project at the
Public School 83 construction project in the Bronx, New York by,
among other things, paying workers off-the-books, employing nonunion workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
60
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from the SCA, real estate developers,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and JOSEPH DELIO were obligated
to, but in fact did not, pay under the CBA; and (iv) monies which
Local 530 would have collected as membership dues and agency shop
fees under the CBA, had the CBA not been violated at the Public
School 83 jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
61
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Public School 83 construction project in the Bronx, New York, by,
among other things, not making contributions to the Local 530
Benefit Funds, in violation of Title 18, United States Code,
Sections 664 and 2.
Mail Fraud
c.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
62
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at the Public
School 83 construction project in the Bronx, New York, in
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Thirteen: Labor Racketeering Regarding The
U.B.C.J. At The Public School 54 Construction Project
45.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Thirteen:
Mail Fraud
a.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
63
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council, the New York City Locals and the District
Council Benefit Funds to allow JAMES DELIO and NISALL, to violate
the terms of the CBA at the Public School 54 construction project
in the Bronx, New York, by, among other things, paying workers
off-the-books, employing non-union workers, not paying workers
union-scale wages, and misrepresenting the number of workers on
reports submitted to the District Council and the District
Council Benefit Funds pursuant to the CBA, in order to
fraudulently obtain money and property consisting of (i) economic
benefits such as wages and employee benefit credits to which
union members were entitled under the CBA; (ii) contributions
which the District Council Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from the SCA, real estate developers,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and NISALL were obligated to, but
in fact did not, pay under the CBA; and (iv) monies which the
District Council and the New York City Locals would have
collected as membership dues and agency shop fees under the CBA,
64
had the CBA not been violated on the Public School 54 jobsite, in
violation of Title 18, United States Code, Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council and the New York City Locals of the U.B.C.J.
to allow JAMES DELIO and NISALL to violate the terms of the CBA
at the Public School 54 construction project in the Bronx, New
York, by, among other things, paying workers off-the-books and
not making contributions to the District Council ERISA Funds, in
violation of Title 18, United States Code, Sections 664 and 2.
65
Racketeering Act Fourteen: Labor Racketeering Regarding Local
530 At The Public School 54 Construction Project
46.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Fourteen:
Mail Fraud
a.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at a construction project at the
Public School 54 construction project in the Bronx, New York by,
66
among other things, paying workers off-the-books, employing nonunion workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from the SCA, real estate developers,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and JOSEPH DELIO were obligated
to, but in fact did not, pay under the CBA; and (iv) monies which
Local 530 would have collected as membership dues and agency shop
fees under the CBA, had the CBA not been violated at the Public
School 54 jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
67
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Public School 54 construction project in the Bronx, New York, by,
among other things, not making contributions to the Local 530
Benefit Funds, in violation of Title 18, United States Code,
Sections 664 and 2.
Mail Fraud
c.
From in or about 1998, up through and
including in or about 1999, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
68
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at the Public
School 54 construction project in the Bronx, New York, in
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Fifteen:
47.
Extortion Of Local 530 Officers
In or about 1997, in the Southern District of New
York and elsewhere, JAMES DELIO, a/k/a “Jamie,” the defendant,
and Robert Carbone, a/k/a “Bucky,” unlawfully, willfully, and
knowingly took, obtained, and withheld another’s property
wrongfully, by extortion, as that term is defined in N.Y. Penal
Law Section 155.05(2)(e), to wit, JAMES DELIO and Carbone used
and attempted to use fear of economic harm to force officers of
Local 530 to pay JAMES DELIO and Carbone half of the officers’
salary, in violation of New York State Penal Law Sections
155.05(2), 155.35, and 110.00.
69
Racketeering Act Sixteen:
48.
Extortion Of Contractor-3
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Sixteen:
Conspiracy To Commit Extortion
a.
In or about 1996, in the Southern District of
New York and elsewhere, THOMAS BOVE and FRANK MALANGONE, a/k/a
“Butch,” the defendants, and others known and unknown,
unlawfully, willfully, and knowingly combined, conspired,
confederated, and agreed together and with each other to commit
extortion, as that term is defined in Title 18, United States
Code, Section 1951(b)(2), by obtaining money and property from
and with the consent of another person, to wit, a drywall
contractor (“Contractor-3"), which consent would have been, and
was, induced by the wrongful use of actual and threatened force,
violence and fear, and thereby would and did obstruct, delay and
affect commerce, and the movement of articles and commodities in
commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, BOVE and MALANGONE agreed to
use actual and threatened force, violence and fear to force
Contractor-3 to pay $30,000 that BOVE and MALANGONE claimed was
owed to their taping company, Wall-tone, in violation of Title
18, United States Code, Section 1951.
70
Extortion
b.
In or about 1996, in the Southern District of
New York and elsewhere, THOMAS BOVE and FRANK MALANGONE, a/k/a
“Butch,” the defendants, and others known and unknown,
unlawfully, willfully, and knowingly committed and attempted to
commit extortion, as that term is defined in Title 18, United
States Code, Section 1951(b)(2), by obtaining money and property
from and with the consent of another person, to wit, Contractor3, which consent would have been, and was, induced by the
wrongful use of actual and threatened force, violence, and fear,
and thereby would and did obstruct, delay, and affect commerce,
and the movement of articles and commodities in commerce, as that
term is defined in Title 18, United States Code, Section
1951(b)(3), to wit, BOVE and MALANGONE used and attempted to use
actual and threatened force, violence and fear to force
Contractor-3 to pay $30,000 that BOVE and MALANGONE claimed was
owed to their taping company, Wall-tone, in violation of Title
18, United States Code, Sections 1951 and 2.
Racketeering Act Seventeen:
49.
Extortion Of Contractor-4
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Seventeen:
71
Conspiracy To Commit Extortion
a.
From in or about 1999, up through and
including in or about November 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and JAMES DELIO,
a/k/a “Jamie,” the defendants, and others known and unknown,
unlawfully, willfully, and knowingly combined, conspired,
confederated, and agreed together and with each other to commit
extortion, as that term is defined in Title 18, United States
Code, Section 1951(b)(2), by obtaining money and property from
and with the consent of another person, to wit, a taping
contractor (“Contractor-4"), which consent would have been, and
was, induced by the wrongful use of actual and threatened force,
violence and fear, and thereby would and did obstruct, delay and
affect commerce, and the movement of articles and commodities in
commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, MOSCATIELLO, SR. and JAMES
DELIO agreed to use fear of economic harm to force Contractor-4
to make weekly payments to MOSCATIELLO, SR., in violation of
Title 18, United States Code, Section 1951.
Extortion
b.
From in or about 1999, up through and
including in or about November 2001, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and JAMES DELIO,
a/k/a “Jamie,” the defendants, and others known and unknown,
72
unlawfully, willfully, and knowingly committed and attempted to
commit extortion, as that term is defined in Title 18, United
States Code, Section 1951(b)(2), by obtaining money and property
from and with the consent of another person, to wit, Contractor4, which consent would have been, and was, induced by the
wrongful use of actual and threatened force, violence, and fear,
and thereby would and did obstruct, delay, and affect commerce,
and the movement of articles and commodities in commerce, as that
term is defined in Title 18, United States Code, Section
1951(b)(3), to wit, MOSCATIELLO, SR. and JAMES DELIO used and
attempted to use fear of economic harm to force Contractor-4 to
make weekly payments to MOSCATIELLO, SR., in violation of Title
18, United States Code, Sections 1951 and 2.
Racketeering Act Eighteen:
530 and Contractor-4
50.
Labor Racketeering Regarding Local
The defendant named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Eighteen:
Employee Benefit Plan Embezzlement
a.
In or about 2000, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., the defendant,
and others known and unknown, unlawfully, willfully, and
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
73
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, MOSCATIELLO, SR.
participated in a scheme whereby MOSCATIELLO, SR. and John
Campanella, Jr. used their influence over Local 530 to reduce an
approximately $77,800 debt owed by Contractor-4 to the Local 530
Benefit Funds to approximately $35,000, in violation of Title 18,
United States Code, Sections 664 and 2.
Mail Fraud
b.
In or about 2000, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR., the defendant,
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, MOSCATIELLO, SR.
participated in a scheme whereby MOSCATIELLO, SR. and John
Campanella, Jr. used their influence over Local 530 to reduce an
74
approximately $77,800 debt owed by Contractor-4 to the Local 530
Benefit Funds to approximately $35,000, in violation of Title 18,
United States Code, Sections 1341, 1346 and 2.
Racketeering Act Nineteen: Unlawful Labor Payments By
Contractor-4 To CARMINE MINGOIA
51.
From in or about December 1998, up through and
including in or about December 2000, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant,
unlawfully, willfully, and knowingly, being an officer and
employee of a labor organization which represented, sought to
represent, and did admit to membership the employees of employers
who were employed in an industry affecting commerce, did request,
demand, receive, and accept, and agree to receive and accept, a
payment, loan, and delivery of money and other thing of value,
from an employer and persons acting in the interest of such an
employer, to wit, MINGOIA improperly received cash payments from
Contractor-4, whose firm that had signed a CBA with Local 530, in
violation of Title 29, United States Code, Section 186(a)(2), and
Title 18, United States Code, Section 2.
Racketeering Act Twenty:
and Contractor-5
52.
Labor Racketeering Regarding Local 530
The defendant named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty:
75
Conspiracy To Commit Extortion
a.
In or about 1996, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant, and
others known and unknown, unlawfully, willfully, and knowingly
combined, conspired, confederated, and agreed together and with
each other to commit extortion, as that term is defined in Title
18, United States Code, Section 1951(b)(2), by obtaining money
and property from and with the consent of another person, to wit,
a taping contractor (“Contractor-5"), which consent would have
been, and was, induced by the wrongful use of actual and
threatened force, violence and fear, and thereby would and did
obstruct, delay and affect commerce, and the movement or articles
and commodities in commerce, as that term is defined in Title 18,
United States Code, Section 1951(b)(3), to wit, MINGOIA agreed
with an individual not named as a defendant herein to use fear of
economic harm to compel Contractor-5 to make a cash payment to
MINGOIA, in violation of Title 18, United States Code, Section
1951.
Extortion
b.
In or about 1996, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant, and
others known and unknown, unlawfully, willfully, and knowingly
committed and attempted to commit extortion, as that term is
defined in Title 18, United States Code, Section 1951(b)(2), by
76
obtaining money and property from and with the consent of another
person, to wit, Contractor-5, which consent would have been, and
was, induced by the wrongful use of actual and threatened force,
violence, and fear, and thereby would and did obstruct, delay,
and affect commerce, and the movement of articles and commodities
in commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, MINGOIA used and attempted to
use fear of economic harm to compel Contractor-5 to make a cash
payment to MINGOIA, in violation of Title 18, United States Code,
Sections 1951 and 2.
Unlawful Labor Payment
c.
In or about 1996, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant,
unlawfully, willfully, and knowingly, being an officer and
employee of a labor organization which represented, sought to
represent, and did admit to membership the employees of employers
who were employed in an industry affecting commerce, did request,
demand, receive, and accept, and agree to receive and accept, a
payment, loan, and delivery of money and other thing of value,
from an employer and persons acting in the interest of such an
employer, to wit, MINGOIA improperly received a cash payment from
Contractor-5, in violation of Title 29, United States Code,
Sections 186(a)(2), (b)(1) and (d)(2), and Title 18, United
States Code, Section 2.
77
New York State Bribe Receiving By A Labor Official
d.
In or about 1996, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant,
unlawfully, willfully, and knowingly committed the offense of
bribe receiving by a labor official, to wit, MINGOIA improperly
received a cash payment from Contractor-5, in exchange for which
MINGOIA agreed not to enforce the CBA at a jobsite on which
Contractor-5 was performing taping work, in violation of New York
State Penal Law Sections 180.10, 180.25 and 20.00.
Racketeering Act Twenty-One: Bid-Rigging Scheme -- Labor
Racketeering Regarding Local 530 And A Construction Project At
400 East 66th Street
53.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty-One:
Mail Fraud
a.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
78
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 400 East
66th Street, New York, New York, which bid was awarded to, and
job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA used
their influence over Local 530 and the Local 530 Benefit Funds to
allow MENDOZA to violate the terms of the CBA at a construction
project at the 400 East 66th Street jobsite by, among other
things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
79
contractors, and others as payment for wages and employee benefit
contributions which MENDOZA was obligated to, but in fact did
not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
CBA, had the CBA not been violated at the 400 East 66th Street
jobsite, in violation of Title 18, United States Code, Sections
1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 400 East
66th Street, New York, New York, which bid was awarded to, and
the job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA
80
thereafter used their influence over Local 530 to allow MENDOZA
to violate the terms of the CBA at the 400 East 66th Street
jobsite by, among other things, not making contributions to the
Local 530 Benefit Funds, in violation of Title 18, United States
Code, Sections 664 and 2.
Mail Fraud
c.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, the defendant, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
81
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between MENDOZA and Local 530 on
a jobsite at 400 East 66th Street, New York, New York, at which
MENDOZA was performing taping work, in violation of Title 18,
United States Code, Sections 1341, 1346 and 2.
Racketeering Act Twenty-Two: Bid-Rigging Scheme -- Labor
Racketeering Regarding Local 530 And A Construction Project At
252 West 95th Street
54.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty-Two:
Mail Fraud
a.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
82
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 252 West
95th Street, New York, New York, which bid was awarded to, and
job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA used
their influence over Local 530 and the Local 530 Benefit Funds to
allow MENDOZA to violate the terms of the CBA at a construction
project at the 252 West 95th Street jobsite by, among other
things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which MENDOZA was obligated to, but in fact did
not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
83
CBA, had the CBA not been violated at the 252 West 95th Street
jobsite, in violation of Title 18, United States Code, Sections
1341 and 2.
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 252 West
95th Street, New York, New York, which bid was awarded to, and
the job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA
thereafter used their influence over Local 530 to allow MENDOZA
to violate the terms of the CBA at the 252 West 95th Street
jobsite by, among other things, not making contributions to the
Local 530 Benefit Funds, in violation of Title 18, United States
84
Code, Sections 664 and 2.
Mail Fraud
c.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, the defendant, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between MENDOZA and Local 530 on
a jobsite at 252 West 95th Street, New York, New York, at which
MENDOZA was performing taping work, in violation of Title 18,
85
United States Code, Sections 1341, 1346 and 2.
Racketeering Act Twenty-Three: Bid-Rigging Scheme -- Labor
Racketeering Regarding Local 530 And A Construction Project At 13
West 56th Street
55.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty-Three
Mail Fraud
a.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
86
submitting bids for a taping job from Contractor-1 at 13 West
56th Street, New York, New York, which bid was awarded to, and
job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow BOVE and MALANGONE to violate the terms of
the CBA at a construction project at the 13 West 56th Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which BOVE and MALANGONE were obligated to, but in
fact did not, pay under the CBA; and (iv) monies which Local 530
would have collected as membership dues and agency shop fees
under the CBA, had the CBA not been violated at the 13 West 56th
Street jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
87
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 13 West
56th Street, New York, New York, which bid was awarded to, and
the job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR.
and MINGOIA thereafter used their influence over Local 530 to
allow BOVE and MALANGONE to violate the terms of the CBA at the
13 West 56th Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds, in violation of
Title 18, United States Code, Sections 664 and 2.
88
Mail Fraud
c.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, the defendant, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between BOVE and MALANGONE and
Local 530 on a jobsite at 13 West 56th Street, New York, New
York, at which BOVE and MALANGONE were performing taping work, in
89
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Twenty-Four: Bid-Rigging Scheme -- Labor
Racketeering Regarding Local 530 And A Construction Project At
410 East 61st Street
56.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty-Four:
Mail Fraud
a.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
90
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 410 East
61st Street, New York, New York, which bid was awarded to, and
job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow BOVE and MALANGONE to violate the terms of
the CBA at a construction project at the 410 East 61st Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which BOVE and MALANGONE were obligated to, but in
fact did not, pay under the CBA; and (iv) monies which Local 530
would have collected as membership dues and agency shop fees
under the CBA, had the CBA not been violated at the 410 East 61st
Street jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
91
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 410 East
61st Street, New York, New York, which bid was awarded to, and
the job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR.
and MINGOIA thereafter used their influence over Local 530 to
allow BOVE and MALANGONE to violate the terms of the CBA at the
410 East 61st Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds, in violation of
Title 18, United States Code, Sections 664 and 2.
92
Mail Fraud
c.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, the defendant, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between BOVE and MALANGONE and
Local 530 on a jobsite at 410 East 61st Street, New York, New
York, at which BOVE and MALANGONE were performing taping work, in
93
violation of Title 18, United States Code, Sections 1341, 1346
and 2.
Racketeering Act Twenty-Five: Bid-Rigging Scheme -- Labor
Racketeering Regarding Local 530 And A Construction Project At
12th Avenue And 42nd Street
57.
The defendants named below committed the following
acts of racketeering, any one of which alone constitutes the
commission of Racketeering Act Twenty-Five:
Mail Fraud
a.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
94
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 12th Avenue
and 42nd Street, New York, New York, which bid was awarded to,
and job performed by, Contractor-4, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow Contractor-4 to violate the terms of the
CBA at a construction project at the 12th Avenue and 42nd Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which Contractor-4 was obligated to, but in fact
did not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
CBA, had the CBA not been violated at the 12th Avenue and 42nd
Street jobsite, in violation of Title 18, United States Code,
Sections 1341 and 2.
95
Employee Benefit Plan Embezzlement
b.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 12th Avenue
and 42nd Street, New York, New York, which bid was awarded to,
and the job performed by, Contractor-4, and MOSCATIELLO, SR. and
MINGOIA thereafter used their influence over Local 530 to allow
Contractor-4 to violate the terms of the CBA at the 12th Avenue
and 42nd Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds, in violation of
Title 18, United States Code, Sections 664 and 2.
96
Mail Fraud
c.
From in or about 2000, up through and
including in or about 2001, in the Southern District of New York
and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS
BOVE, FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the
defendants, the defendant, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between Contractor-4 and Local
530 on a jobsite at 12th Avenue and 42nd Street, New York, New
York, at which Contractor-4 was performing taping work, in
violation of Title 18, United States Code, Sections 1341, 1346
97
and 2.
(Title 18, United States Code, Sections 1962(c) and 3147(1).)
COUNT TWO
Racketeering Conspiracy
The Grand Jury further charges:
58.
Paragraphs 1 through 30 and 33 through 57 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
59.
From in or about 1978, up through and including in
or about January 2004, in the Southern District of New York and
elsewhere, while LOUIS MOSCATIELLO, SR., was on release pursuant
to an order of the United States District Court for the Southern
District of New York, dated on or about February 26, 2003, issued
pursuant to Title 18, United States Code, Section 3142(c), LOUIS
MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” CARMINE MINGOIA,
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” CARMINE SEDITA, JOSEPH
DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, THOMAS BOVE, FRANK
MALANGONE, a/k/a “Butch,” FRED MENDOZA and ROBERT CARBONE, a/k/a
“Bucky,” the defendants, and others known and unknown, being
persons employed by and associated with the racketeering
enterprise described in Paragraphs 1 through 30 above, namely,
the Genovese Organized Crime Family, which enterprise was engaged
in, and the activities of which affected, interstate and foreign
98
commerce, unlawfully, willfully, and knowingly combined,
conspired, confederated, and agreed together and with each other
to conduct and participate, directly and indirectly, in the
conduct of the affairs of that enterprise through a pattern of
racketeering activity, as that term is defined in Title 18,
United States Code, Sections 1961(1) and 1961(5), which pattern
is set forth more fully in paragraphs 33 through 57, above, as
Racketeering Acts One through Twenty-Five.
Each defendant agreed
that a conspirator would commit at least two acts of racketeering
activity in the conduct of the affairs of the enterprise.
(Title 18, United States Code, Sections 1962(d) and 3147(1).)
COUNT THREE
Conspiracy To Defraud Local 530
And The Local 530 Benefit Funds
The Grand Jury further charges:
60.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
61.
From in or about 1978, up through and including in
or about January 2004, in the Southern District of New York and
elsewhere, while LOUIS MOSCATIELLO, SR., was on release pursuant
to an order of the United States District Court for the Southern
District of New York, dated on or about February 26, 2003, issued
pursuant to Title 18, United States Code, Section 3142(c), LOUIS
MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” CARMINE MINGOIA,
99
JOSEPH DELIO, THOMAS BOVE, FRANK MALANGONE, a/k/a “Butch,” FRED
MENDOZA, LOUIS MOSCATIELLO, JR., and JOHN CAMPANELLA, JR., the
defendants, and others known and unknown, unlawfully, willfully
and knowingly did combine, conspire, confederate and agree
together and with each other to commit an offense against the
United States, to wit, to violate Title 18, United States Code,
Sections 664, 1027, 1341, and 1346.
62.
It was a part and an object of the conspiracy that
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” CARMINE
MINGOIA, JOSEPH DELIO, THOMAS BOVE, FRANK MALANGONE, a/k/a
“Butch,” FRED MENDOZA, LOUIS MOSCATIELLO, JR., and JOHN
CAMPANELLA, JR., the defendants, and others known and unknown,
unlawfully, willfully, and knowingly would and did embezzle,
steal, abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, in violation of Title 18, United States Code, Section
664.
63.
It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” CARMINE MINGOIA, JOSEPH DELIO, THOMAS BOVE, FRANK
MALANGONE, a/k/a “Butch,” FRED MENDOZA, LOUIS MOSCATIELLO, JR.,
100
and JOHN CAMPANELLA, JR., the defendants, and others known and
unknown, unlawfully, willfully, and knowingly would and did make
a false statement and representation of fact in a document
required by title I of ERISA to be published and kept as part of
the records of an employee welfare benefit plan and employee
benefit pension plan and certified to the administrator of such
plan, and would and did conceal, cover up, and fail to disclose a
fact the disclosure of which was required by such title, and was
necessary to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, in violation
of Title 18, United States Code, Section 1027.
64.
It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” CARMINE MINGOIA, JOSEPH DELIO, THOMAS BOVE, FRANK
MALANGONE, a/k/a “Butch,” FRED MENDOZA, LOUIS MOSCATIELLO, JR.,
and JOHN CAMPANELLA, JR., the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly would
and did place in a post office and authorized depository for mail
matter, matters and things to be sent and delivered by the Postal
101
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, in violation of Title 18, United States Code,
Sections 1341 and 1346.
Overt Acts
65.
In furtherance of the conspiracy and to effect the
illegal objects thereof, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” CARMINE MINGOIA, JOSEPH DELIO, THOMAS BOVE, FRANK
MALANGONE, a/k/a “Butch,” FRED MENDOZA, LOUIS MOSCATIELLO, JR.,
and JOHN CAMPANELLA, JR., the defendants, and others known and
unknown, committed the following overt acts, among others, in the
Southern District of New York and elsewhere:
a.
On or about September 23, 2003, in the
Southern District of New York, MOSCATIELLO, SR. accepted a
payment of $5,000 in exchange for using his influence over Local
530 and the Local 530 Benefit Funds to allow Contractor-2 to
violate the terms of the CBA at 500 West 56th Street, New York,
New York.
b.
On or about October 16, 2003, in the Southern
District of New York, MOSCATIELLO, SR. accepted a payment of
$5,000 in exchange for using his influence over Local 530 and the
102
Local 530 Benefit Funds to allow Contractor-2 to violate the
terms of the CBA at 500 West 56th Street, New York, New York.
(Title 18, United States Code, Sections 371 and 3147(1).)
COUNT FOUR
Mail Fraud -- Local 530
(500 West 56th Street Construction Project)
The Grand Jury further charges:
66.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
67.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
New York and elsewhere, while LOUIS MOSCATIELLO, SR., was on
release pursuant to an order of the United States District Court
for the Southern District of New York, dated on or about February
26, 2003, issued pursuant to Title 18, United States Code,
Section 3142(c), LOUIS MOSCATIELLO, SR. and CARMINE MINGOIA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
103
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby MOSCATIELLO, SR. received secret
payments from Contractor-2, in exchange for which MOSCATIELLO,
SR. and MINGOIA used their influence over Local 530 and the Local
530 Benefit Funds to allow Contractor-2 to violate the terms of
the CBA at 500 West 56th Street, New York, New York, by, among
other things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which Contractor-2 was obligated to, but in fact
did not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
104
CBA, had the CBA not been violated on the 500 West 56th Street
jobsite.
(Title 18, United States Code, Sections 1341, 3147(1), and 2.)
COUNT FIVE
Employee Benefit Plan Embezzlement -- Local 530
(500 West 56th Street Construction Project)
The Grand Jury further charges:
68.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
69.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
New York and elsewhere, while LOUIS MOSCATIELLO, SR., was on
release pursuant to an order of the United States District Court
for the Southern District of New York, dated on or about February
26, 2003, issued pursuant to Title 18, United States Code,
Section 3142(c), LOUIS MOSCATIELLO, SR. and CARMINE MINGOIA, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly did embezzle, steal, abstract, and convert to their
own use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
105
participated in a scheme whereby MOSCATIELLO, SR. received secret
payments from Contractor-2, in exchange for which MOSCATIELLO,
SR. and MINGOIA used their influence over Local 530 to allow
Contractor-2 to violate the terms of the CBA at Contractor-2's
jobsite at 500 West 56th Street, New York, New York, by, among
other things, not making contributions to the Local 530 Benefit
Funds.
(Title 18, United States Code, Sections 664, 3147(1) and 2.)
COUNT SIX
Mail Fraud -- Local 530
(500 West 56th Street Construction Project)
The Grand Jury further charges:
70.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
71.
From in or about January 2003, up through and
including in or about October 2003, in the Southern District of
New York and elsewhere, while LOUIS MOSCATIELLO, SR., was on
release pursuant to an order of the United States District Court
for the Southern District of New York, dated on or about February
26, 2003, issued pursuant to Title 18, United States Code,
Section 3142(c), LOUIS MOSCATIELLO, SR. and CARMINE MINGOIA, the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
106
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between Contractor-2 and Local
530 on a jobsite at 500 West 56th Street, New York, New York.
(Title 18, United States Code,
Sections 1341, 1346, 3147(1) and 2.)
COUNT SEVEN
Mail Fraud -- Local 530
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
72.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
107
73.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 and the Local
530 Benefit Funds to allow JAMES DELIO and JOSEPH DELIO to
violate the terms of the CBA at the Kings County Hospital
expansion project, in Brooklyn, New York, by, among other things,
paying workers off-the-books, employing non-union workers, not
paying workers union-scale wages, and misrepresenting the number
of workers on reports submitted to Local 530 and the Local 530
Benefit Funds pursuant to the CBA, in order to fraudulently
obtain money and property consisting of (i) economic benefits
108
such as wages and employee benefit credits to which union members
were entitled under the CBA; (ii) contributions which the Local
530 Benefit Funds and other union-affiliated funds were entitled
to receive under the CBA; (iii) monies collected from DASNY, real
estate developers, contractors, and others as payment for wages
and employee benefit contributions which JAMES DELIO and JOSEPH
DELIO were obligated to, but in fact did not, pay under the CBA;
and (iv) monies which Local 530 would have collected as
membership dues and agency shop fees under the CBA, had the CBA
not been violated on the Kings County Hospital jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT EIGHT
Employee Benefit Plan Embezzlement -- Local 530
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
74.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
75.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, unlawfully, willfully, and knowingly did embezzle,
steal, abstract, and convert to their own use, and to the use of
109
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Kings County Hospital expansion project, in Brooklyn, New York,
by, among other things, not making contributions to the Local 530
Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT NINE
Mail Fraud -- Local 530
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
76.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
77.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, having devised and intending to devise a scheme and
artifice to defraud and for obtaining money and property by means
110
of false and fraudulent pretenses, representations, and promises,
for the purpose of executing such scheme and artifice and
attempting so to do, unlawfully, willfully, and knowingly did
place in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, to wit, the defendants participated in a scheme
whereby the members of Local 530 were deprived of the intangible
right of honest services of Local 530’s officials, who acted at
the direction of members and associates of the Genovese Organized
Crime Family in connection with the enforcement of the CBA
between JAMES DELIO and JOSEPH DELIO and Local 530 at the Kings
County Hospital expansion project, in Brooklyn, New York.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT TEN
False Statements In ERISA Documents -- Local 530
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
78.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
111
79.
From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and JOSEPH DELIO, the defendants, and others known and
unknown, unlawfully, willfully, and knowingly did make a false
statement and representation of fact in a document required by
title I of ERISA to be published and kept as part of the records
of an employee welfare benefit plan and employee benefit pension
plan and certified to the administrator of such plan, and
concealed, covered up, and failed to disclose a fact the
disclosure of which was required by such title, and was necessary
to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, to wit,
employer remittance reports submitted to Local 530 and the Local
530 Benefit Funds regarding the Kings County Hospital expansion
project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT ELEVEN
Mail Fraud -- Local 530
(124 Hudson Street Construction Project)
The Grand Jury further charges:
80.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
112
fully set forth herein.
81.
From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
influence over Local 530 and the Local 530 Benefit Funds to allow
JAMES DELIO and JOSEPH DELIO to violate the terms of the CBA at a
construction project at 124 Hudson Street, in New York, New York,
by, among other things, paying workers off-the-books, employing
non-union workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
113
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and JOSEPH DELIO were obligated
to, but in fact did not, pay under the CBA; and (iv) monies which
Local 530 would have collected as membership dues and agency shop
fees under the CBA, had the CBA not been violated at the 124
Hudson Street jobsite, in New York, New York.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT TWELVE
Employee Benefit Plan Embezzlement -- Local 530
(124 Hudson Street Construction Project)
The Grand Jury further charges:
82.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
83.
From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did embezzle, steal,
114
abstract, and convert to their own use, and to the use of
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at a
construction project at 124 Hudson Street, in New York, New York,
by, among other things, not making contributions to the Local 530
Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT THIRTEEN
Mail Fraud -- Local 530
(124 Hudson Street Construction Project)
The Grand Jury further charges:
84.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
85.
From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
115
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between JAMES DELIO and JOSEPH
DELIO and Local 530 at a construction project at 124 Hudson
Street, in New York, New York.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT FOURTEEN
False Statements In ERISA Documents -- Local 530
(124 Hudson Street Construction Project)
The Grand Jury further charges:
86.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
116
87.
From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did make a false statement
and representation of fact in a document required by title I of
ERISA to be published and kept as part of the records of an
employee welfare benefit plan and employee benefit pension plan
and certified to the administrator of such plan, and concealed,
covered up, and failed to disclose a fact the disclosure of which
was required by such title, and was necessary to verify, explain,
clarify and check for accuracy and completeness a report required
by such title to be published and information required by such
title to be certified, to wit, employer remittance reports
submitted to Local 530 and the Local 530 Benefit Funds regarding
the 124 Hudson Street construction project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT FIFTEEN
Mail Fraud -- Local 530
(P.S. 83 Construction Project)
The Grand Jury further charges:
88.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
117
89.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
influence over Local 530 and the Local 530 Benefit Funds to allow
JAMES DELIO and JOSEPH DELIO to violate the terms of the CBA at a
construction project at the Public School 83 construction project
in the Bronx, New York, by, among other things, paying workers
off-the-books, employing non-union workers, not paying workers
union-scale wages, and misrepresenting the number of workers on
reports submitted to Local 530 and the Local 530 Benefit Funds
pursuant to the CBA, in order to fraudulently obtain money and
property consisting of (i) economic benefits such as wages and
118
employee benefit credits to which union members were entitled
under the CBA; (ii) contributions which the Local 530 Benefit
Funds and other union-affiliated funds were entitled to receive
under the CBA; (iii) monies collected from the SCA, real estate
developers, contractors, and others as payment for wages and
employee benefit contributions which JAMES DELIO and JOSEPH DELIO
were obligated to, but in fact did not, pay under the CBA; and
(iv) monies which Local 530 would have collected as membership
dues and agency shop fees under the CBA, had the CBA not been
violated at the Public School 83 jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT SIXTEEN
Employee Benefit Plan Embezzlement -- Local 530
(P.S. 83 Construction Project)
The Grand Jury further charges:
90.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
91.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did embezzle, steal,
abstract, and convert to their own use, and to the use of
119
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Public School 83 construction project in the Bronx, New York, by,
among other things, not making contributions to the Local 530
Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT SEVENTEEN
Mail Fraud -- Local 530
(P.S. 83 Construction Project)
The Grand Jury further charges:
92.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
93.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
120
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between JAMES DELIO and JOSEPH
DELIO and Local 530 at the Public School 83 construction project
in the Bronx, New York.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT EIGHTEEN
False Statements In ERISA Documents -- Local 530
(P.S. 83 Construction Project)
The Grand Jury further charges:
94.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
121
95.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did make a false statement
and representation of fact in a document required by title I of
ERISA to be published and kept as part of the records of an
employee welfare benefit plan and employee benefit pension plan
and certified to the administrator of such plan, and concealed,
covered up, and failed to disclose a fact the disclosure of which
was required by such title, and was necessary to verify, explain,
clarify and check for accuracy and completeness a report required
by such title to be published and
information required by such
title to be certified, to wit, employer remittance reports
submitted to Local 530 and the Local 530 Benefit Funds regarding
the P.S. 83 Construction Project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT NINETEEN
Mail Fraud -- Local 530
(P.S. 54 Construction Project)
The Grand Jury further charges:
96.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
122
97.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
influence over Local 530 and the Local 530 Benefit Funds to allow
JAMES DELIO and JOSEPH DELIO to violate the terms of the CBA at a
construction project at the Public School 54 construction project
in the Bronx, New York, by, among other things, paying workers
off-the-books, employing non-union workers, not paying workers
union-scale wages, and misrepresenting the number of workers on
reports submitted to Local 530 and the Local 530 Benefit Funds
pursuant to the CBA, in order to fraudulently obtain money and
property consisting of (i) economic benefits such as wages and
123
employee benefit credits to which union members were entitled
under the CBA; (ii) contributions which the Local 530 Benefit
Funds and other union-affiliated funds were entitled to receive
under the CBA; (iii) monies collected from the SCA, real estate
developers, contractors, and others as payment for wages and
employee benefit contributions which JAMES DELIO and JOSEPH DELIO
were obligated to, but in fact did not, pay under the CBA; and
(iv) monies which Local 530 would have collected as membership
dues and agency shop fees under the CBA, had the CBA not been
violated at the Public School 54 jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT TWENTY
Employee Benefit Plan Embezzlement -- Local 530
(P.S. 54 Construction Project)
The Grand Jury further charges:
98.
Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
99.
From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did embezzle, steal,
abstract, and convert to their own use, and to the use of
124
another, moneys, funds, securities, premiums, credits, property,
and other assets of “an employee welfare benefit plan or employee
pension benefit plan,” as that term is defined in Title 18,
United States Code, Section 664, and of a fund connected
therewith, to wit, the defendants participated in a scheme
whereby they used their influence over Local 530 to allow JAMES
DELIO and JOSEPH DELIO to violate the terms of the CBA at the
Public School 54 construction project in the Bronx, New York, by,
among other things, not making contributions to the Local 530
Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT TWENTY-ONE
Mail Fraud -- Local 530
(P.S. 54 Construction Project)
The Grand Jury further charges:
100. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
101. From in or about 1998, up though and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
125
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby the members of Local
530 were deprived of the intangible right of honest services of
Local 530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between JAMES DELIO and JOSEPH
DELIO and Local 530 at the Public School 54 construction project
in the Bronx, New York.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT TWENTY-TWO
False Statements In ERISA Documents -- Local 530
(P.S. 54 Construction Project)
The Grand Jury further charges:
102. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
126
103. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and JOSEPH DELIO, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did make a false statement
and representation of fact in a document required by title I of
ERISA to be published and kept as part of the records of an
employee welfare benefit plan and employee benefit pension plan
and certified to the administrator of such plan, and concealed,
covered up, and failed to disclose a fact the disclosure of which
was required by such title, and was necessary to verify, explain,
clarify and check for accuracy and completeness a report required
by such title to be published and
information required by such
title to be certified, to wit, employer remittance reports
submitted to Local 530 and the Local 530 Benefit Funds regarding
the P.S. 54 construction project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT TWENTY-THREE
Conspiracy To Commit Extortion -- Local 530
(Extortion Of Contractor-4)
The Grand Jury further charges:
104. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
127
105. From in or about 1999, up through and including in
or about November 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR. and JAMES DELIO, a/k/a “Jamie,”
the defendants, and others known and unknown, unlawfully,
willfully, and knowingly combined, conspired, confederated, and
agreed together and with each other to commit extortion, as that
term is defined in Title 18, United States Code, Section
1951(b)(2), by obtaining money and property from and with the
consent of another person, to wit, a taping contractor
(“Contractor-4"), which consent would have been, and was, induced
by the wrongful use of actual and threatened force, violence and
fear, and thereby would and did obstruct, delay and affect
commerce, and the movement of articles and commodities in
commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, MOSCATIELLO, SR. and JAMES
DELIO agreed to use fear of economic harm to force Contractor-4
to make weekly payments to MOSCATIELLO, SR.
(Title 18, United States Code, Section 1951.)
COUNT TWENTY-FOUR
Extortion -- Local 530
(Extortion Of Contractor-4)
The Grand Jury further charges:
106. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
128
fully set forth herein.
107. From in or about 1999, up through and including in
or about November 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR. and JAMES DELIO, a/k/a “Jamie,”
the defendants, and others known and unknown, unlawfully,
willfully, and knowingly committed and attempted to commit
extortion, as that term is defined in Title 18, United States
Code, Section 1951(b)(2), by obtaining money and property from
and with the consent of another person, to wit, Contractor-4,
which consent would have been, and was, induced by the wrongful
use of actual and threatened force, violence, and fear, and
thereby would and did obstruct, delay, and affect commerce, and
the movement of articles and commodities in commerce, as that
term is defined in Title 18, United States Code, Section
1951(b)(3), to wit, MOSCATIELLO, SR. and JAMES DELIO used and
attempted to use fear of economic harm to force Contractor-4 to
make weekly payments to MOSCATIELLO, SR.
(Title 18, United States Code, Sections 1951 and 2.)
COUNT TWENTY-FIVE
Employee Benefit Plan Embezzlement -- Local 530
(Reduction Of Contractor-4's Debt
To The Local 530 Benefit Funds)
The Grand Jury further charges:
108. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
129
fully set forth herein.
109. In or about 2000, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR. and JOHN CAMPANELLA,
JR., the defendants, and others known and unknown, unlawfully,
willfully, and knowingly did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, to wit,
MOSCATIELLO, SR. participated in a scheme whereby MOSCATIELLO,
SR. and CAMPANELLA, JR. used their influence over Local 530 to
reduce an approximately $77,800 debt owed by Contractor-4 to the
Local 530 Benefit Funds to approximately $35,000.
(Title 18, United States Code, Sections 664 and 2.)
COUNT TWENTY-SIX
Mail Fraud -- Local 530
(Reduction Of Contractor-4's Debt
To The Local 530 Benefit Funds)
The Grand Jury further charges:
110. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
111. In or about 2000, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR. and JOHN CAMPANELLA,
130
JR., the defendants, and others known and unknown, having devised
and intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, MOSCATIELLO, SR.
participated in a scheme whereby MOSCATIELLO, SR. and CAMPANELLA,
JR. used their influence over Local 530 to reduce an
approximately $77,800 debt owed by Contractor-4 to the Local 530
Benefit Funds to approximately $35,000.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT TWENTY-SEVEN
Unlawful Receipt Of Labor Payments -- Local 530
(Payments By Contractor-4 To MINGOIA)
The Grand Jury further charges:
112. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
131
113. From in or about December 1998, up through and
including in or about December 2000, in the Southern District of
New York and elsewhere, CARMINE MINGOIA, the defendant,
unlawfully, willfully, and knowingly, being an officer and
employee of a labor organization which represented, sought to
represent, and did admit to membership the employees of employers
who were employed in an industry affecting commerce, did request,
demand, receive, and accept, and agree to receive and accept, a
payment, loan, and delivery of money and other thing of value,
from an employer and persons acting in the interest of such an
employer, to wit, MINGOIA improperly received cash payments from
Contractor-4, whose firm that had signed a CBA with Local 530.
(Title 29, United States Code, Section 186(a)(2), and Title 18,
United States Code, Section 2.)
COUNT TWENTY-EIGHT
Mail Fraud -- Local 530 Bid-Rigging Scheme
(400 East 66th Street Construction Project)
The Grand Jury further charges:
114. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
115. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
132
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 400 East
66th Street, New York, New York, which bid was awarded to, and
job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA used
their influence over Local 530 and the Local 530 Benefit Funds to
allow MENDOZA to violate the terms of the CBA at a construction
project at the 400 East 66th Street jobsite by, among other
things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
133
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which MENDOZA was obligated to, but in fact did
not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
CBA, had the CBA not been violated at the 400 East 66th Street
jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT TWENTY-NINE
Employee Benefit Plan Embezzlement -Local 530 Bid-Rigging Scheme
(400 East 66th Street Construction Project)
The Grand Jury further charges:
116. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
117. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, unlawfully, willfully, and
134
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 400 East
66th Street, New York, New York, which bid was awarded to, and
the job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA
thereafter used their influence over Local 530 to allow MENDOZA
to violate the terms of the CBA at the 400 East 66th Street
jobsite by, among other things, not making contributions to the
Local 530 Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT THIRTY
Mail Fraud -- Local 530 Bid-Rigging Scheme
(400 East 66th Street Construction Project)
The Grand Jury further charges:
118. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
135
119. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
the defendant, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between MENDOZA and Local 530 on
a jobsite at 400 East 66th Street, New York, New York, at which
MENDOZA was performing taping work.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
136
COUNT THIRTY-ONE
Mail Fraud -- Local 530 Bid-Rigging Scheme
(252 West 95th Street Construction Project)
The Grand Jury further charges:
120. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
121. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
137
submitting bids for a taping job from Contractor-1 at 252 West
95th Street, New York, New York, which bid was awarded to, and
job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA used
their influence over Local 530 and the Local 530 Benefit Funds to
allow MENDOZA to violate the terms of the CBA at a construction
project at the 252 West 95th Street jobsite by, among other
things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to
Local 530 and the Local 530 Benefit Funds pursuant to the CBA, in
order to fraudulently obtain money and property consisting of (i)
economic benefits such as wages and employee benefit credits to
which union members were entitled under the CBA; (ii)
contributions which the Local 530 Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which MENDOZA was obligated to, but in fact did
not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
CBA, had the CBA not been violated at the 252 West 95th Street
jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
138
COUNT THIRTY-TWO
Employee Benefit Plan Embezzlement -Local 530 Bid-Rigging Scheme
(252 West 95th Street Construction Project)
The Grand Jury further charges:
122. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
123. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, unlawfully, willfully, and
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 252 West
95th Street, New York, New York, which bid was awarded to, and
the job performed by, MENDOZA, and MOSCATIELLO, SR. and MINGOIA
thereafter used their influence over Local 530 to allow MENDOZA
139
to violate the terms of the CBA at the 252 West 95th Street
jobsite by, among other things, not making contributions to the
Local 530 Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT THIRTY-THREE
Mail Fraud -- Local 530 Bid-Rigging Scheme
(252 West 95th Street Construction Project)
The Grand Jury further charges:
124. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
125. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
the defendant, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
140
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between MENDOZA and Local 530 on
a jobsite at 252 West 95th Street, New York, New York, at which
MENDOZA was performing taping work.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT THIRTY-FOUR
Mail Fraud -- Local 530 Bid-Rigging Scheme
(13 West 56th Street Construction Project)
The Grand Jury further charges:
126. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
127. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
141
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 13 West
56th Street, New York, New York, which bid was awarded to, and
job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow BOVE and MALANGONE to violate the terms of
the CBA at a construction project at the 13 West 56th Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
142
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which BOVE and MALANGONE were obligated to, but in
fact did not, pay under the CBA; and (iv) monies which Local 530
would have collected as membership dues and agency shop fees
under the CBA, had the CBA not been violated at the 13 West 56th
Street jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT THIRTY-FIVE
Employee Benefit Plan Embezzlement -Local 530 Bid-Rigging Scheme
(13 West 56th Street Construction Project)
The Grand Jury further charges:
128. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
129. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, unlawfully, willfully, and
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
143
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 13 West
56th Street, New York, New York, which bid was awarded to, and
the job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR.
and MINGOIA thereafter used their influence over Local 530 to
allow BOVE and MALANGONE to violate the terms of the CBA at the
13 West 56th Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT THIRTY-SIX
Mail Fraud -- Local 530 Bid-Rigging Scheme
(13 West 56th Street Construction Project)
The Grand Jury further charges:
130. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
131. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
144
the defendant, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between BOVE and MALANGONE and
Local 530 on a jobsite at 13 West 56th Street, New York, New
York, at which BOVE and MALANGONE were performing taping work.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT THIRTY-SEVEN
Mail Fraud -- Local 530 Bid-Rigging Scheme
(410 East 61st Street Construction Project)
The Grand Jury further charges:
132. Paragraphs 16 through 28 of this Indictment are
145
repeated and realleged and incorporated by reference as though
fully set forth herein.
133. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 410 East
61st Street, New York, New York, which bid was awarded to, and
job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow BOVE and MALANGONE to violate the terms of
146
the CBA at a construction project at the 410 East 61st Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which BOVE and MALANGONE were obligated to, but in
fact did not, pay under the CBA; and (iv) monies which Local 530
would have collected as membership dues and agency shop fees
under the CBA, had the CBA not been violated at the 410 East 61st
Street jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT THIRTY-EIGHT
Employee Benefit Plan Embezzlement -Local 530 Bid-Rigging Scheme
(410 East 61st Street Construction Project)
The Grand Jury further charges:
134. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
147
fully set forth herein.
135. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, unlawfully, willfully, and
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 410 East
61st Street, New York, New York, which bid was awarded to, and
the job performed by, BOVE and MALANGONE, and MOSCATIELLO, SR.
and MINGOIA thereafter used their influence over Local 530 to
allow BOVE and MALANGONE to violate the terms of the CBA at the
410 East 61st Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
148
COUNT THIRTY-NINE
Mail Fraud -- Local 530 Bid-Rigging Scheme
(410 East 61st Street Construction Project)
The Grand Jury further charges:
136. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
137. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
the defendant, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
149
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between BOVE and MALANGONE and
Local 530 on a jobsite at 410 East 61st Street, New York, New
York, at which BOVE and MALANGONE were performing taping work.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT FORTY
Mail Fraud -- Local 530 Bid-Rigging Scheme
(12th Avenue And 42nd Street Construction Project)
The Grand Jury further charges:
138. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
139. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, having devised and intending to
devise a scheme and artifice to defraud and for obtaining money
and property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
150
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
to MOSCATIELLO, SR., and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 12th Avenue
and 42nd Street, New York, New York, which bid was awarded to,
and job performed by, Contractor-4, and MOSCATIELLO, SR. and
MINGOIA used their influence over Local 530 and the Local 530
Benefit Funds to allow Contractor-4 to violate the terms of the
CBA at a construction project at the 12th Avenue and 42nd Street
jobsite by, among other things, paying workers off-the-books,
employing non-union workers, not paying workers union-scale
wages, and misrepresenting the number of workers on reports
submitted to Local 530 and the Local 530 Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the Local 530 Benefit Funds and
other union-affiliated funds were entitled to receive under the
CBA; (iii) monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which Contractor-4 was obligated to, but in fact
151
did not, pay under the CBA; and (iv) monies which Local 530 would
have collected as membership dues and agency shop fees under the
CBA, had the CBA not been violated at the 12th Avenue and 42nd
Street jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT FORTY-ONE
Employee Benefit Plan Embezzlement -Local 530 Bid-Rigging Scheme
(12th Avenue And 42nd Street Construction Project)
The Grand Jury further charges:
140. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
141. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
and others known and unknown, unlawfully, willfully, and
knowingly did embezzle, steal, abstract, and convert to their own
use, and to the use of another, moneys, funds, securities,
premiums, credits, property, and other assets of “an employee
welfare benefit plan or employee pension benefit plan,” as that
term is defined in Title 18, United States Code, Section 664, and
of a fund connected therewith, to wit, the defendants
participated in a scheme whereby, in exchange for cash payments
152
to MOSCATIELLO, SR. and MINGOIA, the defendants colluded in
submitting bids for a taping job from Contractor-1 at 12th Avenue
and 42nd Street, New York, New York, which bid was awarded to,
and the job performed by, Contractor-4, and MOSCATIELLO, SR. and
MINGOIA thereafter used their influence over Local 530 to allow
Contractor-4 to violate the terms of the CBA at the 12th Avenue
and 42nd Street jobsite by, among other things, not making
contributions to the Local 530 Benefit Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT FORTY-TWO
Mail Fraud -- Local 530 Bid-Rigging Scheme
(12th Avenue And 42nd Street Construction Project)
The Grand Jury further charges:
142. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
143. From in or about 2000, up through and including in
or about 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., CARMINE MINGOIA, THOMAS BOVE,
FRANK MALANGONE, a/k/a “Butch,” and FRED MENDOZA, the defendants,
the defendant, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
153
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby the members of Local 530 were
deprived of the intangible right of honest services of Local
530’s officials, who acted at the direction of members and
associates of the Genovese Organized Crime Family in connection
with the enforcement of the CBA between Contractor-4 and Local
530 on a jobsite at 12th Avenue and 42nd Street, New York, New
York, at which Contractor-4 was performing taping work.
(Title 18, United States Code, Sections 1341, 1346 and 2.)
COUNT FORTY-THREE
Conspiracy -- U.B.C.J
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
144. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
145. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
154
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, unlawfully,
willfully and knowingly did combine, conspire, confederate and
agree together and with each other to commit an offense against
the United States, to wit, to violate Title 18, United States
Code, Sections 664, 1027, and 1341.
146. It was a part and an object of the conspiracy that
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” FRED NISALL,
a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred
Buschell,” a/k/a “Jack Miller,” CARMINE SEDITA, JOSEPH DELIO,
ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON THOMAS, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly would and did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, in violation of
Title 18, United States Code, Section 664.
147. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
155
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, unlawfully,
willfully, and knowingly would and did make a false statement and
representation of fact in a document required by title I of ERISA
to be published and kept as part of the records of an employee
welfare benefit plan and employee benefit pension plan and
certified to the administrator of such plan, and would and did
conceal, cover up, and fail to disclose a fact the disclosure of
which was required by such title, and was necessary to verify,
explain, clarify and check for accuracy and completeness a report
required by such title to be published and information required
by such title to be certified, in violation of Title 18, United
States Code, Section 1027.
148. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
156
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly would and did place
in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, in violation of Title 18, United States Code,
Sections 1341.
Overt Acts
149. In furtherance of the conspiracy and to effect the
illegal objects thereof, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, committed
the following overt acts, among others, in the Southern District
of New York and elsewhere:
a.
On or about June 3, 1999, JAMES DELIO
submitted a bid on behalf of Centre Interior for the Kings County
Hospital expansion project.
b.
On or about October 26, 1999, NISALL caused
Sunrise Systems, Inc. to be incorporated as a New York State
corporation.
157
c.
On or about December 12, 2000, GHIRARDUZZI
met with representatives from the New York City and Vicinity
Carpenters Labor-Management Cooperation Trust Fund regarding
violations of the CBA on the Kings County Hospital jobsite.
(Title 18, United States Code, Section 371.)
COUNT FORTY-FOUR
Mail Fraud -- U.B.C.J.
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
150. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
151. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
158
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
influence over the District Council, the New York City Locals and
the District Council Benefit Funds to allow JAMES DELIO, NISALL,
and JOSEPH DELIO to violate the terms of the CBA at the Kings
County Hospital expansion project, in Brooklyn, New York, by,
among other things, paying workers off-the-books, employing nonunion workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to the
District Council and the District Council Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the District Council Benefit Funds
and other union-affiliated funds were entitled to receive under
the CBA; (iii) monies collected from DASNY, real estate
developers, contractors, and others as payment for wages and
employee benefit contributions which JAMES DELIO, NISALL, and
JOSEPH DELIO were obligated to, but in fact did not, pay under
the CBA; and (iv) monies which the District Council and the New
159
York City Locals would have collected as membership dues and
agency shop fees under the CBA, had the CBA not been violated on
the Kings County Hospital jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT FORTY-FIVE
Employee Benefit Plan Embezzlement -- U.B.C.J.
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
152. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
153. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” CARMINE
SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI, and LEON
THOMAS, the defendants, and others known and unknown, unlawfully,
willfully, and knowingly did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, to wit, the
160
defendants participated in a scheme whereby they used their
influence over the District Council and the New York City Locals
of the U.B.C.J. to allow JAMES DELIO, NISALL, and JOSEPH DELIO to
violate the terms of the CBA at the Kings County Hospital
expansion project, in Brooklyn, New York, by, among other things,
not making contributions to the District Council ERISA Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT FORTY-SIX
False Statements In ERISA Documents -- U.B.C.J.
(Kings County Hospital Expansion Project)
The Grand Jury further charges:
154. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
155. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” and PAUL
GHIRARDUZZI, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly did make a false statement
and representation of fact in a document required by title I of
ERISA to be published and kept as part of the records of an
employee welfare benefit plan and employee benefit pension plan
161
and certified to the administrator of such plan, and concealed,
covered up, and failed to disclose a fact the disclosure of which
was required by such title, and was necessary to verify, explain,
clarify and check for accuracy and completeness a report required
by such title to be published and information required by such
title to be certified, to wit, weekly shop stewards reports and
employer remittance reports submitted to the District Council of
the U.B.C.J. and the District Council Benefit Funds regarding the
Kings County Hospital expansion project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT FORTY-SEVEN
Conspiracy To Commit Extortion -- U.B.C.J.
(Extortion of Local 926 of the U.B.C.J.)
The Grand Jury further charges:
156. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
157. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE SEDITA, and
ROBERT ALVAREZ, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly combined, conspired,
confederated, and agreed together and with each other to commit
extortion, as that term is defined in Title 18, United States
162
Code, Section 1951(b)(2), by obtaining money and property from
and with the consent of another person, to wit, the members and
officers of Local 926 of the U.B.C.J., which consent would have
been, and was, induced by the wrongful use of actual and
threatened force, violence and fear, and thereby would and did
obstruct, delay and affect commerce, and the movement of articles
and commodities in commerce, as that term is defined in Title 18,
United States Code, Section 1951(b)(3), to wit, the defendants
used their corrupt influence over the District Council and New
York City Locals of the U.B.C.J. to obtain the consent of Local
926 of the U.B.C.J. for James Delio, Fred Nisall, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” and Joseph Delio to violate the terms of a CBA in
connection with the Kings County Hospital expansion project, in
Brooklyn, New York, and the defendants thereby obtained, among
other things, monies that should have been paid to the members of
the New York City Locals in the form of union-scale wages and
contributions to the District Council Benefit Funds.
(Title 18, United States Code, Section 1951.)
COUNT FORTY-EIGHT
Extortion -- U.B.C.J.
(Extortion of Local 926 of the U.B.C.J.)
The Grand Jury further charges:
158. Paragraphs 8 through 15, and 21 through 28 of this
163
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
159. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, LOUIS MOSCATIELLO, SR., CARMINE SEDITA, and
ROBERT ALVAREZ, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly committed and attempted to
commit extortion, as that term is defined in Title 18, United
States Code, Section 1951(b)(2), by obtaining money and property
from and with the consent of another person, to wit, the members
and officers of Local 926 of the U.B.C.J., which consent would
have been, and was, induced by the wrongful use of actual and
threatened force, violence, and fear, and thereby would and did
obstruct, delay, and affect commerce, and the movement of
articles and commodities in commerce, as that term is defined in
Title 18, United States Code, Section 1951(b)(3), to wit, the
defendants used their corrupt influence over the District Council
and New York City Locals of the U.B.C.J. to obtain the consent of
Local 926 of the U.B.C.J. for James Delio, Fred Nisall, a/k/a
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” and Joseph Delio to violate the terms of a
CBA in connection with the Kings County Hospital expansion
project, in Brooklyn, New York, and the defendants thereby
obtained, among other things, monies that should have been paid
164
to the members of the New York City Locals in the form of unionscale wages and contributions to the District Council Benefit
Funds.
(Title 18, United States Code, Sections 1951 and 2.)
COUNT FORTY-NINE
Mail Fraud
(Fraudulent Use Of MBE Designation)
The Grand Jury further charges:
160. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
161. From in or about October 1999, up through and
including in or about April 2001, in the Southern District of New
York and elsewhere, JAMES DELIO, a/k/a “Jamie,” and JOSEPH DELIO,
the defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly did place in a post office
and authorized depository for mail matter, matters and things to
be sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
165
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they falsely represented to
DASNY, real estate developers, contractors and others that their
company, Centre Interior, was a minority business enterprise
(“MBE”) registered with the State of New York, in connection with
bids submitted for the Kings County Hospital expansion project.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT FIFTY
Unlawful Receipt Of Labor Payments
(GHIRARDUZZI’s No-Show Job
At The Kings County Hospital Expansion Project)
The Grand Jury further charges:
162. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
163. From in or about October 1999, up through and
including in or about January 2001, in the Southern District of
New York and elsewhere, PAUL GHIRARDUZZI, the defendant, being an
officer and employee of a labor organization which represented,
sought to represent, and did admit to membership the employees of
employers who were employed in an industry affecting commerce,
and JAMES DELIO, a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” the defendants, unlawfully, willfully, and
knowingly, did request, demand, receive, and accept, and agree to
166
receive and accept, a payment, loan, and delivery of money and
other thing of value, from an employer and persons acting in the
interest of such an employer, to a representative of employees
who are employed in an industry affecting commerce, and did aid
and abet the same, to wit, GHIRARDUZZI received monies from JAMES
DELIO and NISALL as payment for hours that GHIRARDUZZI did not
work as an U.B.C.J. shop steward at the Kings County Hospital
expansion project jobsite.
(Title 29, United States Code, Sections 186(a)(2), (b)(1) and
(d)(2), and Title 18, United States Code, Section 2.)
COUNT FIFTY-ONE
Conspiracy -- U.B.C.J
(124 Hudson Street Construction Project)
The Grand Jury further charges:
164. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
165. From in or about 2000, up through and including in
or about April 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, unlawfully, willfully and knowingly did
combine, conspire, confederate and agree together and with each
other to commit an offense against the United States, to wit, to
167
violate Title 18, United States Code, Sections 664, 1027, and
1341.
166. It was a part and an object of the conspiracy that
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” and FRED
NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” the defendants, and others
known and unknown, unlawfully, willfully, and knowingly would and
did embezzle, steal, abstract, and convert to their own use, and
to the use of another, moneys, funds, securities, premiums,
credits, property, and other assets of “an employee welfare
benefit plan or employee pension benefit plan,” as that term is
defined in Title 18, United States Code, Section 664, and of a
fund connected therewith, in violation of Title 18, United States
Code, Section 664.
167. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly would and did make a false statement and
representation of fact in a document required by title I of ERISA
to be published and kept as part of the records of an employee
welfare benefit plan and employee benefit pension plan and
certified to the administrator of such plan, and would and did
168
conceal, cover up, and fail to disclose a fact the disclosure of
which was required by such title, and was necessary to verify,
explain, clarify and check for accuracy and completeness a report
required by such title to be published and information required
by such title to be certified, in violation of Title 18, United
States Code, Section 1027.
168. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, having devised and
intending to devise a scheme and artifice to defraud and for
obtaining money and property by means of false and fraudulent
pretenses, representations, and promises, for the purpose of
executing such scheme and artifice and attempting so to do,
unlawfully, willfully, and knowingly would and did place in a
post office and authorized depository for mail matter, matters
and things to be sent and delivered by the Postal Service, and
caused to be delivered by mail according to the direction
thereon, and at the place it was directed to be delivered by the
person to whom it was addressed, such matters and things, in
violation of Title 18, United States Code, Sections 1341.
169
Overt Acts
169. In furtherance of the conspiracy and to effect the
illegal objects thereof, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendants, and others known and unknown, committed the following
overt acts, among others, in the Southern District of New York
and elsewhere:
a.
In or about 2000, JAMES DELIO submitted a
revised bid to a general contractor for the 124 Hudson Street
job, reflecting the fact that the job required the employment of
union workers.
b.
On or about June 8, 2001, FRED NISALL
deposited a check for $150,000 in the W & J Industries, Inc. bank
account at the Bank of New York.
(Title 18, United States Code, Section 371.)
COUNT FIFTY-TWO
Mail Fraud -- U.B.C.J
(124 Hudson Street Construction Project)
The Grand Jury further charges:
170. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
170
171. From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, having devised and intending to devise
a scheme and artifice to defraud and for obtaining money and
property by means of false and fraudulent pretenses,
representations, and promises, for the purpose of executing such
scheme and artifice and attempting so to do, unlawfully,
willfully, and knowingly did place in a post office and
authorized depository for mail matter, matters and things to be
sent and delivered by the Postal Service, and caused to be
delivered by mail according to the direction thereon, and at the
place it was directed to be delivered by the person to whom it
was addressed, such matters and things, to wit, the defendants
participated in a scheme whereby they used their influence over
the District Council, the New York City Locals and the District
Council Benefit Funds to allow JAMES DELIO and NISALL to violate
the terms of the CBA at a construction project at 124 Hudson
Street, New York, New York, by, among other things, paying
workers off-the-books, employing non-union workers, not paying
workers union-scale wages, and misrepresenting the number of
workers on reports submitted to the District Council and the
171
District Council Benefit Funds pursuant to the CBA, in order to
fraudulently obtain money and property consisting of (i) economic
benefits such as wages and employee benefit credits to which
union members were entitled under the CBA; (ii) contributions
which the District Council Benefit Funds and other unionaffiliated funds were entitled to receive under the CBA; (iii)
monies collected from real estate developers, owners,
contractors, and others as payment for wages and employee benefit
contributions which JAMES DELIO and NISALL were obligated to, but
in fact did not, pay under the CBA; and (iv) monies which the
District Council and the New York City Locals would have
collected as membership dues and agency shop fees under the CBA,
had the CBA not been violated on the 124 Hudson Street jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT FIFTY-THREE
Employee Welfare Plan Embezzlement -- U.B.C.J
(124 Hudson Street Construction Project)
The Grand Jury further charges:
172. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
173. From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
172
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, unlawfully, willfully, and knowingly
did embezzle, steal, abstract, and convert to their own use, and
to the use of another, moneys, funds, securities, premiums,
credits, property, and other assets of “an employee welfare
benefit plan or employee pension benefit plan,” as that term is
defined in Title 18, United States Code, Section 664, and of a
fund connected therewith, to wit, the defendants participated in
a scheme whereby they used their influence over the District
Council and the New York City Locals of the U.B.C.J. to allow
JAMES DELIO and NISALL to violate the terms of the CBA at a
construction project at 124 Hudson Street, in New York, New York,
by, among other things, not making contributions to the District
Council ERISA Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT FIFTY-FOUR
False Statements In ERISA Documents -- U.B.C.J.
(124 Hudson Street Construction Project)
The Grand Jury further charges:
174. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
173
175. From in or about 2000, up through and including in
or about December 2001, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, unlawfully, willfully, and knowingly
did make a false statement and representation of fact in a
document required by title I of ERISA to be published and kept as
part of the records of an employee welfare benefit plan and
employee benefit pension plan and certified to the administrator
of such plan, and concealed, covered up, and failed to disclose a
fact the disclosure of which was required by such title, and was
necessary to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, to wit,
employer remittance reports submitted to the District Council of
the U.B.C.J. and the District Council Benefit Funds regarding the
124 Hudson Street construction project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT FIFTY-FIVE
Conspiracy -- U.B.C.J
(P.S. 83 Construction Project)
The Grand Jury further charges:
176. Paragraphs 8 through 15, and 21 through 28 of this
174
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
177. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, unlawfully,
willfully and knowingly did combine, conspire, confederate and
agree together and with each other to commit an offense against
the United States, to wit, to violate Title 18, United States
Code, Sections 664, 1027, and 1341.
178. It was a part and an object of the conspiracy that
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” FRED NISALL,
a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred
Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL DAZLE, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly would and did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, in violation of
Title 18, United States Code, Section 664.
175
179. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly would and did make a false
statement and representation of fact in a document required by
title I of ERISA to be published and kept as part of the records
of an employee welfare benefit plan and employee benefit pension
plan and certified to the administrator of such plan, and would
and did conceal, cover up, and fail to disclose a fact the
disclosure of which was required by such title, and was necessary
to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, in violation
of Title 18, United States Code, Section 1027.
180. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
176
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly would and did place
in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, in violation of Title 18, United States Code,
Sections 1341.
Overt Acts
181. In furtherance of the conspiracy and to effect the
illegal objects thereof, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
committed the following overt acts, among others, in the Southern
District of New York and elsewhere:
a.
In or about late 1998, JAMES DELIO informed
NISALL and a co-conspirator not named as a defendant herein that
the CBA would not be enforced at the Public School 83 jobsite.
b.
On or about April 14, 1999, a $150,000 check
from Arnell Construction was deposited in the Centre Interior
bank account at the State Bank of Long Island.
(Title 18, United States Code, Section 371.)
177
COUNT FIFTY-SIX
Mail Fraud -- U.B.C.J
(P.S. 83 Construction Project)
The Grand Jury further charges:
182. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
183. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
178
influence over the District Council, the New York City Locals and
the District Council Benefit Funds to allow JAMES DELIO, NISALL,
BARONE and DAZLE to violate the terms of the CBA at the Public
School 83 construction project in the Bronx, New York, by, among
other things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to the
District Council and the District Council Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the District Council Benefit Funds
and other union-affiliated funds were entitled to receive under
the CBA; (iii) monies collected from the SCA, real estate
developers, contractors, and others as payment for wages and
employee benefit contributions which JAMES DELIO, NISALL, BARONE
and DAZLE were obligated to, but in fact did not, pay under the
CBA; and (iv) monies which the District Council and the New York
City Locals would have collected as membership dues and agency
shop fees under the CBA, had the CBA not been violated on the
Public School 83 jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
179
COUNT FIFTY-SEVEN
Employee Benefit Plan Embezzlement -- U.B.C.J
(P.S. 83 Construction Project)
The Grand Jury further charges:
184. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
185. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, unlawfully,
willfully, and knowingly did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, to wit, the
defendants participated in a scheme whereby they used their
influence over the District Council and the New York City Locals
of the U.B.C.J. to allow JAMES DELIO, NISALL, BARONE and DAZLE to
violate the terms of the CBA at the Public School 83 construction
project in the Bronx, New York, by, among other things, not
180
making contributions to the District Council ERISA Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT FIFTY-EIGHT
False Statements In ERISA Documents -- U.B.C.J.
(P.S. 83 Construction Project)
The Grand Jury further charges:
186. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
187. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, unlawfully, willfully, and knowingly
did make a false statement and representation of fact in a
document required by title I of ERISA to be published and kept as
part of the records of an employee welfare benefit plan and
employee benefit pension plan and certified to the administrator
of such plan, and concealed, covered up, and failed to disclose a
fact the disclosure of which was required by such title, and was
necessary to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, to wit,
181
employer remittance reports submitted to the District Council of
the U.B.C.J. and the District Council Benefit Funds regarding the
P.S. 83 construction project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT FIFTY-NINE
Conspiracy -- U.B.C.J
(P.S. 54 Construction Project)
The Grand Jury further charges:
188. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
189. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, unlawfully,
willfully and knowingly did combine, conspire, confederate and
agree together and with each other to commit an offense against
the United States, to wit, to violate Title 18, United States
Code, Sections 664, 1027, and 1341.
190. It was a part and an object of the conspiracy that
LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,” FRED NISALL,
a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred
182
Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL DAZLE, the
defendants, and others known and unknown, unlawfully, willfully,
and knowingly would and did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, in violation of
Title 18, United States Code, Section 664.
191. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
unlawfully, willfully, and knowingly would and did make a false
statement and representation of fact in a document required by
title I of ERISA to be published and kept as part of the records
of an employee welfare benefit plan and employee benefit pension
plan and certified to the administrator of such plan, and would
and did conceal, cover up, and fail to disclose a fact the
disclosure of which was required by such title, and was necessary
to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, in violation
183
of Title 18, United States Code, Section 1027.
192. It was further a part and an object of the
conspiracy that LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a
“Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
having devised and intending to devise a scheme and artifice to
defraud and for obtaining money and property by means of false
and fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly would and did place
in a post office and authorized depository for mail matter,
matters and things to be sent and delivered by the Postal
Service, and caused to be delivered by mail according to the
direction thereon, and at the place it was directed to be
delivered by the person to whom it was addressed, such matters
and things, in violation of Title 18, United States Code,
Sections 1341.
Overt Acts
193. In furtherance of the conspiracy and to effect the
illegal objects thereof, LOUIS MOSCATIELLO, SR., JAMES DELIO,
a/k/a “Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE
and SAMUEL DAZLE, the defendants, and others known and unknown,
184
committed the following overt acts, among others, in the Southern
District of New York and elsewhere:
a.
On or about May 20, 1999, a $17,480 check
from Leon DeMatteis Construction Corp. was deposited in the Luna
Limited bank account at Staten Island Savings Bank.
(Title 18, United States Code, Section 371.)
COUNT SIXTY
Mail Fraud -- U.B.C.J
(P.S. 54 Construction Project)
The Grand Jury further charges:
194. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
195. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, having
devised and intending to devise a scheme and artifice to defraud
and for obtaining money and property by means of false and
fraudulent pretenses, representations, and promises, for the
purpose of executing such scheme and artifice and attempting so
to do, unlawfully, willfully, and knowingly did place in a post
185
office and authorized depository for mail matter, matters and
things to be sent and delivered by the Postal Service, and caused
to be delivered by mail according to the direction thereon, and
at the place it was directed to be delivered by the person to
whom it was addressed, such matters and things, to wit, the
defendants participated in a scheme whereby they used their
influence over the District Council, the New York City Locals and
the District Council Benefit Funds to allow JAMES DELIO, NISALL,
BARONE and DAZLE, to violate the terms of the CBA at the Public
School 54 construction project in the Bronx, New York, by, among
other things, paying workers off-the-books, employing non-union
workers, not paying workers union-scale wages, and
misrepresenting the number of workers on reports submitted to the
District Council and the District Council Benefit Funds pursuant
to the CBA, in order to fraudulently obtain money and property
consisting of (i) economic benefits such as wages and employee
benefit credits to which union members were entitled under the
CBA; (ii) contributions which the District Council Benefit Funds
and other union-affiliated funds were entitled to receive under
the CBA; (iii) monies collected from the SCA, real estate
developers, contractors, and others as payment for wages and
employee benefit contributions which JAMES DELIO, NISALL, BARONE
and DAZLE were obligated to, but in fact did not, pay under the
CBA; and (iv) monies which the District Council and the New York
186
City Locals would have collected as membership dues and agency
shop fees under the CBA, had the CBA not been violated on the
Public School 54 jobsite.
(Title 18, United States Code, Sections 1341 and 2.)
COUNT SIXTY-ONE
Employee Benefit Plan Embezzlement -- U.B.C.J
(P.S. 54 Construction Project)
The Grand Jury further charges:
196. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
197. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a
“Fred Buschell,” a/k/a “Jack Miller,” JOHN BARONE and SAMUEL
DAZLE, the defendants, and others known and unknown, unlawfully,
willfully, and knowingly did embezzle, steal, abstract, and
convert to their own use, and to the use of another, moneys,
funds, securities, premiums, credits, property, and other assets
of “an employee welfare benefit plan or employee pension benefit
plan,” as that term is defined in Title 18, United States Code,
Section 664, and of a fund connected therewith, to wit, the
defendants participated in a scheme whereby they used their
187
influence over the District Council and the New York City Locals
of the U.B.C.J. to allow JAMES DELIO, NISALL, BARONE and DAZLE to
violate the terms of the CBA at the Public School 54 construction
project in the Bronx, New York, by, among other things, paying
workers off-the-books and not making contributions to the
District Council ERISA Funds.
(Title 18, United States Code, Sections 664 and 2.)
COUNT SIXTY-TWO
False Statements In ERISA Documents -- U.B.C.J.
(P.S. 54 Construction Project)
The Grand Jury further charges:
198. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
199. From in or about 1998, up through and including in
or about 1999, in the Southern District of New York and
elsewhere, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
and FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,”
a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the defendants, and
others known and unknown, unlawfully, willfully, and knowingly
did make a false statement and representation of fact in a
document required by title I of ERISA to be published and kept as
part of the records of an employee welfare benefit plan and
employee benefit pension plan and certified to the administrator
188
of such plan, and concealed, covered up, and failed to disclose a
fact the disclosure of which was required by such title, and was
necessary to verify, explain, clarify and check for accuracy and
completeness a report required by such title to be published and
information required by such title to be certified, to wit,
employer remittance reports submitted to the District Council of
the U.B.C.J. and the District Council Benefit Funds regarding the
P.S. 54 construction project.
(Title 18, United States Code, Sections 1027 and 2.)
COUNT SIXTY-THREE
Conspiracy To Commit Extortion
(JOSEPH SCELZO’s Job At A
Greenwich Street Construction Project)
The Grand Jury further charges:
200. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
201. From in or about March 2000, up through and
including in or about August 2000, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and JOSEPH SCELZO,
a/k/a “Fat Joey,” the defendants, and others known and unknown,
unlawfully, willfully, and knowingly combined, conspired,
confederated, and agreed together and with each other to commit
extortion, as that term is defined in Title 18, United States
Code, Section 1951(b)(2), by obtaining money and property from
189
and with the consent of another person, to wit, the owners and
operators of Roman Industries, which consent would have been, and
was, induced by the wrongful use of actual and threatened force,
violence and fear, and thereby would and did obstruct, delay and
affect commerce, and the movement of articles and commodities in
commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, the defendants used fear of
economic harm to obtain the consent of the owners and operators
of Roman Industries to hire SCELZO at a construction project on
Greenwich Street, in New York, New York, and thereby obtained
monies from Roman Industries paid to SCELZO as wages.
(Title 18, United States Code, Section 1951.)
COUNT SIXTY-FOUR
Extortion
(JOSEPH SCELZO’s Job At A
Greenwich Street Construction Project)
The Grand Jury further charges:
202. Paragraphs 8 through 15, and 21 through 28 of this
Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
203. From in or about March 2000, up through and
including in or about August 2000, in the Southern District of
New York and elsewhere, LOUIS MOSCATIELLO, SR. and JOSEPH SCELZO
a/k/a “Fat Joey,” the defendants, and others known and unknown,
unlawfully, willfully, and knowingly committed and attempted to
190
commit extortion, as that term is defined in Title 18, United
States Code, Section 1951(b)(2), by obtaining money and property
from and with the consent of another person, to wit, the owners
and operators of Roman Industries, which consent would have been,
and was, induced by the wrongful use of actual and threatened
force, violence, and fear, and thereby would and did obstruct,
delay, and affect commerce, and the movement of articles and
commodities in commerce, as that term is defined in Title 18,
United States Code, Section 1951(b)(3), to wit, the defendants
used fear of economic harm to obtain the consent of the owners
and operators of Roman Industries to hire SCELZO at a
construction project on Greenwich Street, in New York, New York,
and thereby obtained monies from Roman Industries paid to SCELZO
as wages.
(Title 18, United States Code, Sections 1951 and 2.)
COUNT SIXTY-FIVE
(Tax Fraud Conspiracy)
The Grand Jury further charges:
Applicable Provisions of the Internal Revenue Code
204. At all times relevant to this indictment, the
Internal Revenue Code and associated regulations required an
individual taxpayer to report all income received in any given
calendar year on a U.S. Individual Income Tax Return, Form 1040
(“Form 1040"), which was required to be filed on or before April
15 of the year following the end of the calendar year.
191
205. The Internal Revenue Code and associated
regulations required an employer to issue to each employee, and
to file with the Internal Revenue Service (“IRS”), a Form W-2
(“Form W-2"), reporting, among other things, all wages and
compensation paid to that employee during the prior year.
The
employee was then required to report those wages and compensation
as income on the Form 1040.
206. The Internal Revenue Code and associated
regulations also required each employer to file with the IRS a
quarterly payroll tax return, Form 941 (“Form 941"), which
reported the total wages and compensation paid by the employer to
its employees during the relevant reporting period.
207. The Internal Revenue Code and associated
regulations further required an employer to withhold taxes from
each employee’s pay.
Specifically, an employer must withhold
each employee’s federal income tax, as well as each employee’s
social security and Medicare taxes (collectively, Federal
Insurance Contribution Act contributions, or “FICA
contributions”).
The employer must remit the federal income tax
and FICA contributions withheld from an employee’s pay to the
IRS.
In addition, the employer must pay to the IRS a FICA
contribution equal to that of each employee.
208. The Internal Revenue Code and associated
regulations required each business to issue to each
192
subcontractor, to which the business had paid $600 or more in a
year, a Form 1099 (“Form 1099") reporting all payments for
services rendered.
The Defendants And The Defendants’ Companies
209. Paragraphs 21 and 22 of this indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
210. JAMES DELIO, a/k/a “Jamie,” FRED NISALL, a/k/a
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” JOSEPH DELIO, JOHN BARONE, and SAMUEL DAZLE
owned, operated or controlled various entities set forth in
Paragraph 22 of this indictment.
As owners, operators, and
controllers of those entities, JAMES DELIO, NISALL, JOSEPH DELIO,
BARONE, and DAZLE were responsible for, among other things,
ensuring that: appropriate wage and tax reporting documents -such as Forms W-2 and 1099 -- were issued to officers, employees,
and contractors of the entities set forth in Paragraph 22; timely
tax returns were filed for those entities; federal income taxes
and FICA contributions were withheld from employees’ wages;
monies withheld from employees’ wages were remitted to the IRS;
and appropriate books and records were maintained.
211. ALBERT POMETTO, JR. was the accountant for various
entities set forth in Paragraph 22 of the indictment, including,
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among others, Basic Associates, Inc., O-Kay Drywall, Luna
Carpentry, M.N. Industries, Inc., and Roman Industries, Inc.
As
an accountant, POMETTO, JR. was responsible for, among other
things: ensuring that timely tax returns were filed for the
entities for which he served as the accountant: maintaining books
and records for those entities; completing wage and tax reporting
documents, such as Forms W-2 and 1099; and ensuring that all
reportable income was reflected on those wage reporting
documents.
The Conspiracy
212. From in or about 1997, up through and including in
or about 2002, in the Southern District of New York and
elsewhere, JAMES DELIO, a/k/a “Jamie,” FRED NISALL, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” JOSEPH DELIO, JOHN BARONE, SAMUEL DAZLE, and
ALBERT POMETTO, JR., the defendants, and others known and
unknown, unlawfully, willfully and knowingly, did combine,
conspire, confederate, and agree together and with each other to
defraud the United States and an agency thereof, to wit, the IRS
of the United States Department of Treasury, and to commit an
offense against the United States, to wit, a violation of Title
26, United States Code, Section 7201.
213. It was a part and an object of the conspiracy that
JAMES DELIO, a/k/a “Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,”
194
a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,”
JOSEPH DELIO, JOHN BARONE, SAMUEL DAZLE, and ALBERT POMETTO, JR.,
the defendants, and others known and unknown, unlawfully,
willfully and knowingly, would and did defraud the United States
of America and the IRS by impeding, impairing, defeating and
obstructing the lawful governmental functions of the IRS in the
ascertainment, evaluation, assessment, and collection of income
and employment taxes.
214. It was further a part and an object of the
conspiracy that JAMES DELIO, a/k/a “Jamie,” FRED NISALL, a/k/a
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” JOSEPH DELIO, JOHN BARONE, SAMUEL DAZLE, and
ALBERT POMETTO, JR., the defendants, and others known and
unknown, unlawfully, willfully and knowingly, would and did
attempt to evade and defeat income and employment taxes due and
owing to the United States of America, and the payment thereof,
in violation of Title 26, United States Code, Section 7201.
Means And Methods Of The Conspiracy
215. Paragraph 30 of this Indictment is repeated and
realleged and incorporated by reference as though fully set forth
herein.
216. Among the means and methods by which JAMES DELIO,
a/k/a “Jamie,” FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
195
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” JOSEPH
DELIO, JOHN BARONE, SAMUEL DAZLE, and ALBERT POMETTO, JR., and
others known and unknown, would and did carry out the conspiracy
were the following:
a.
Members of the conspiracy owned, operated or
controlled various drywall and taping companies that, among other
things, obtained construction jobs from DASNY and SCA.
During
the construction work on these jobs, members of the conspiracy
hired and paid certain employees and contractors off-the-books,
that is, the employees and contractors were paid by cash and/or
checks, and that compensation was not recorded on the books and
records of the companies for which the employees and contractors
performed the work.
In addition, members of the conspiracy
failed to withhold Federal income tax and FICA contributions with
respect to the off-the-books wages paid to the employees, and
failed to file with the IRS accurate wage reporting documents
relating to the compensation paid to the employees and
contractors.
The off-the-books wages that members of the
conspiracy paid to employees were below union-scale, and they
failed to make the required contributions to the union benefit
funds.
b.
Further, in some instances, when the members
of the conspiracy paid employees on-the-books, the members of the
196
conspiracy failed to remit to the IRS Federal income tax and FICA
contributions that had been withheld from their employees’ wages.
In addition, the members of the conspiracy either failed to file
Forms 941, or falsely under-reported on the Forms 941 that were
filed the salaries and wages paid to various employees.
c.
In order to evade the imposition, assessment,
and payment of taxes, members of the conspiracy used a variety of
methods to deceive the IRS, including, among other things:
(i)
incorporating drywall and taping entities that they owned,
operated and controlled in the names of nominee owners; (ii)
using multiple identities and social security numbers; (iii)
incorporating multiple companies with similar names; (iv) failing
to maintain accurate and complete books and records for the
entities that they owned, operated, and controlled, and, in some
cases, failing to maintain any books and records; (v) making
payments in cash; and (vi) opening multiple bank accounts at
different banks.
d.
To generate cash that was used, among other
purposes, to pay some of the employees who were hired off-thebooks and to enrich the members of the conspiracy, members of the
conspiracy who owned, operated or controlled drywall and taping
companies cashed checks that were made payable to entities that
never received the funds from those checks, or to fictitious
entities.
In some instances, the members of the conspiracy then
197
used fraudulent invoices to make these checks appear to be
legitimate business expenses.
e.
Members of the conspiracy also failed to file
timely corporation tax returns, such as Forms 1120, 1120S, and
941, for various entities that they owned, operated, and
controlled.
f.
Members of the conspiracy also caused
themselves and others to be paid various forms of compensation
that was not reflected on any wage or other reporting documents.
More particularly, this compensation was: (i) not reflected on
wage or other reporting documents, such as Forms W-2 or 1099,
that were filed with the IRS; (ii) not accurately reflected on
the books and records of the entities owned, operated, or
controlled by the members of the conspiracy; and (iii) not
reported to the IRS.
The unreported compensation consisted of,
among other things, wages, cash payments, payments of credit card
bills, payments for cars, and payments for other personal
expenses.
Overt Acts
217. In furtherance of the conspiracy and to effect the
illegal objects thereof, JAMES DELIO, a/k/a “Jamie,” FRED NISALL,
a/k/a “Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred
Buschell,” a/k/a “Jack Miller,” JOSEPH DELIO, JOHN BARONE, SAMUEL
DAZLE, and ALBERT POMETTO, JR., the defendants, and others known
198
and unknown, committed the following overt acts, among others, in
the Southern District of New York and elsewhere:
a.
On or about June 24, 1997, a co-conspirator
not named as a defendant herein opened a checking account at the
Staten Island Savings Bank in the name of Basic Drywall, Inc.,
listing a nominee owner as the president of the corporation.
b.
On or about July 7, 1997, a certificate of
incorporation was filed in Kings County, New York, for Basic
Associates, Inc., providing an address for service of process of
1442 86th Street, Brooklyn, New York, which was the address for
POMETTO, JR.’s office.
c.
On or about July 15, 1997, a co-conspirator
not named a defendant herein opened a checking account in the
name of Basic Associates, Inc., at the Staten Island Savings
Bank.
d.
On or about August 15, 1997, a certificate of
incorporation was filed in the Bronx, New York, for Luna
Carpentry, Inc.
e.
On or about September 11, 1997, DAZLE opened
an account at the Chase Manhattan Bank in the name of Luna
Carpentry, Inc., listing himself as the President and authorized
signer.
f.
On or about October 17, 1997, DAZLE signed a
Subcontractor Questionnaire listing himself as president and
199
owner of Luna Carpentry, Inc., which was notarized by POMETTO,
JR. and submitted to the SCA.
g.
On or about December 2, 1997, a certificate
of incorporation was filed in Nassau County, New York, for Centre
Interior Construction Corp. which listed a nominee owner as the
chief executive officer for the corporation, with JAMES DELIO’s
home address.
h.
On or about January 20, 1998, a signature
stamp bearing DAZLE’s name was used to sign a Form 941 for the
quarter ending December 31, 1997, for Luna Carpentry, Inc.
i.
On or about February 9, 1998, DAZLE filed
with SCA a one page affidavit, which was notarized by POMETTO,
JR.
j.
On or about June 19, 1998, NISALL cashed a
$9,500 check drawn on the account of M.N. Industries, Inc. that
was made payable to an entity that never received the funds from
that check.
k.
On or about June 26, 1998, NISALL cashed a
$9,500 check drawn on the account of M.N. Industries, Inc. that
was made payable to an entity that never received the funds from
that check.
l.
In or about November 1998, POMETTO, JR.
prepared, but did not sign as a preparer, Luna Carpentry, Inc.’s
200
U.S. Corporation Income Tax Return, Form 1120, for the fiscal
year ending July 31, 1998.
m.
On or about September 2, 1998, DAZLE signed
documents opening a checking account at the Staten Island Savings
Bank in the name of Luna Carpentry, Inc., listing DAZLE as the
President and only authorized signatory on the account.
n.
In or about October 1998, a signature stamp
bearing DAZLE’s name was used to sign a Form 941 for the quarter
ending September 30, 1998 for Luna Carpentry, Inc.
o.
On or about October 23, 1998, a certificate
of incorporation was filed in the State of Florida for Roman
Industries, Inc., listing a nominee as the registered agent.
p.
On or about November 3, 1998, a checking
account was opened in the name of Roman Industries, Inc., at the
Staten Island Savings Bank, listing a nominee owner as the
president and signatory on the account with NISALL’s home address
as the mailing address.
q.
On or about November 13, 1998, a certificate
of incorporation was filed in the State of Florida for Luna
Limited, Inc., listing DAZLE as the registered agent with
NISALL’s home address as the mailing address.
r.
On or about November 23, 1998, a checking
account was opened at the Staten Island Savings Bank in the name
201
of Luna Limited, Inc. with DAZLE listed as the corporate
president.
s.
On or about January 21, 1999, a signature
stamp bearing DAZLE’s name was used to sign a Form 941 for the
quarter ending December 31, 1998 for Luna Carpentry, Inc.
t.
On or about January 29, 1999, NISALL, using
the alias “Fred Buschel,” submitted a vehicle lease application
to lease a 1999 BMW 328i for a family member.
NISALL signed the
application and claimed to be a Vice President of M.N.
Industries, and listed POMETTO, JR.’s office address (one number
off) as the mailing address.
u.
On or about February 19, 1999, NISALL, using
the alias “Fred Buschel,” submitted a vehicle lease application
to lease a 1999 BMW 740i for JAMES DELIO.
NISALL signed the
application claiming to be the President of Luna Carpentry, Inc.,
and DELIO signed as secretary of Luna Carpentry, Inc.
NISALL
used POMETTO, JR.’s office address and business telephone number
as his address and telephone number.
v.
On or about March 9, 1999, a certificate of
incorporation was filed in New York State for W & J Industries,
Inc., listing two nominees as directors, and using as a mailing
address PALMETTO, JR.’s office address.
w.
On or about March 17, 1999, DAZLE submitted
to SCA an application, notarized by POMETTO, JR., for Luna
202
Carpentry, Inc., seeking certification as an MBE.
x.
On or about April 21, 1999, JOSEPH DELIO
cashed two $9,000 checks drawn on the account of Centre Interior
Construction Corporation that were made payable to entities that
never received the funds from those checks.
y.
On or about April 22, 1999, JOSEPH DELIO
cashed two $9,000 checks drawn on the account of Centre Interior
Construction Corporation that were made payable to made payable
to entities that never received the funds from those checks.
z.
On or about April 25, 1999, a signature stamp
bearing DAZLE’s name was used to sign a Form 941 for the quarter
ending March 31, 1999 for Luna Carpentry, Inc.
aa.
On or about April 26, 1999, a facsimile stamp
in the name of Roman Industries, Inc.’s nominee owner was used to
sign a Form 941 for Roman Industries, Inc., for the quarter
ending March 31, 1999.
bb.
On or about May 24, 1999, JOSEPH DELIO cashed
two $9,000 checks drawn on the account of Centre Interior
Construction Corporation that were made payable to entities that
never received the funds from those checks.
cc.
On or about June 3, 1999, JAMES DELIO, on
behalf of Centre Interior, submitted a resume for Centre Interior
and a letter from the SCA to Luna Carpentry, Inc. in support of
bid for a DASNY construction project at the Kings County
203
Hospital.
dd.
In or about July 1999, a signature stamp
bearing DAZLE’s name was used to sign a Form 941 for the quarter
ending June 30, 1999 for Luna Carpentry, Inc.
ee.
On or about July 16, 1999, JOSEPH DELIO
cashed two $9,000 checks drawn on the account of Cadet Taping
Systems, Inc. that were made payable to entities that never
received the funds from those checks.
ff.
On or about July 29, 1999, JOSEPH DELIO
cashed a $9,000 check and a $9,500 check drawn on the account of
Cadet Taping Systems, Inc. that were made payable to an entity
that never received the funds from those checks.
gg.
On or about July 30, 1999, a signature stamp
in the name of Roman Industries, Inc.’s nominee owner was used to
sign a Form 941 for Roman Industries, Inc., for the quarter
ending June 30, 1999.
hh.
On or about October 21, 1999, DAZLE signed,
as president, a Form 941 for the quarter ending September 30,
1999, for Luna Carpentry, Inc.
ii.
On or about October 26, 1999, a certificate
of incorporation was filed in Nassau County, New York, for
Sunrise Systems, Inc.
jj.
On or about November 2, 1999, a checking
account was opened in the name of Sunrise Systems, Inc., at the
204
Staten Island Savings Bank, listing a nominee owner as the
president.
kk.
On or about November 24, 1999, NISALL signed
a “Limited Power of Attorney and Tax Information Authorization”
as controller of Sunrise Systems, Inc.
ll.
On or about December 13, 1999, JAMES DELIO
signed, as president, a U.S. Corporation Income Tax Return, Form
1120, for the fiscal year ending September 30, 1999 for Centre
Interior.
mm.
On or about March 8, 2000, JOSEPH DELIO
signed, as president, a U.S. Corporation Income Tax Return, Form
1120, for the calendar year 1999 for Pride Taping Co., Inc.
nn.
On or about July 19, 2000, a checking account
was opened in the name of W & J Industries, Inc. at the Staten
Island Savings Bank, listing NISALL as the president and
secretary.
oo.
On or about August 15, 2000, NISALL filed a
certificate of incorporation in the State of Florida for Hudson
Associates, Inc. using the name “Fred Buschel” as the registered
agent.
pp.
On or about September 12, 2000, NISALL signed
an IRS Form SS-4 “Application For Employer Identification Number”
in the name of “Fred Buschel,” listing “Buschel” as the president
of Hudson Associates, Inc., and which listed a fraudulently-
205
obtained Social Security number for “Buschel.”
qq.
On or about October 24, 2000, NISALL signed,
as president of Sunrise Systems, Inc., an authorization for
Paychex, Inc. to sign and electronically file federal and state
tax returns and to make federal and state tax deposits on behalf
of Sunrise Systems, Inc.
rr.
On or about October 24, 2000, NISALL signed
an agreement for weekly payroll services with Paychex, Inc.,
listing the telephone number for Centre Interior.
ss.
On or about December 14, 2000, a Form 941
bearing the signature of Roman Industries, Inc.’s nominee owner
was filed with the IRS for Roman Industries, Inc., for the
quarter ending September 30, 1999.
tt.
On or about December 14, 2000, a Form 941
bearing the signature of Roman Industries, Inc.’s nominee owner
was filed with the IRS for Roman Industries, Inc., for the
quarter ending December 31, 1999.
uu.
On or about December 14, 2000, a Form 941
bearing the signature of Roman Industries, Inc.’s nominee owner
was filed with the IRS for Roman Industries, Inc., for the
quarter ending March 31, 2000.
vv.
On or about December 14, 2000, a Form 941
bearing the signature of Roman Industries, Inc.’s nominee owner
206
was filed with the IRS for Roman Industries, Inc., for the
quarter ending June 30, 2000.
ww.
On or about December 14, 2000, a Form 941
bearing the signature of Roman Industries, Inc.’s nominee owner
was filed with the IRS for Roman Industries, Inc., for the
quarter ending September 30, 2000.
xx.
On or about January 8, 2001, NISALL opened a
checking account in the name of W & J Industries, Inc. at the
Bank of New York, which listed NISALL as the president and
secretary for the corporation.
yy.
On or about February 18, 2001, a Form 941
with illegible signature was filed with the IRS for Roman
Industries, Inc., for the quarter ending December 31, 2000.
zz.
On or about March 13, 2001, JOSEPH DELIO
signed, as secretary, a U.S. Corporation Income Tax Return, Form
1120, for the calendar year 2000 for Pride Taping Co., Inc.
aaa. On or about April 18, 2001, NISALL signed an
ADP Sales Order for W & J Industries, Inc., which provided a
mailing address which was the same as the address for Centre
Interior.
bbb. On or about August 23, 2001, a name appearing
to read “J. Delio” signed as vice-president a U.S. Corporation
Income Tax Return, Form 1120, for the fiscal year ending
September 30, 2000 for Centre Interior.
207
ccc. On or about June 14, 2002, JAMES DELIO
signed, as president, a U.S. Corporation Income Tax Return, Form
1120, for the fiscal year ending September 30, 2001 for Centre
Interior.
(Title 18, United States Code, Section 371.)
COUNT SIXTY-SIX
(Tax Evasion — FRED NISALL, Classic Drywall, Inc.)
The Grand Jury further charges:
218. Paragraphs 204 through 211 and 215 through 217 of
this Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
219. In or about 1990, FRED NISALL, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” the defendant, owned and controlled Classic
Drywall, Inc., a New York corporation through which NISALL and
others performed drywall construction work.
As the owner of
Classic Drywall, Inc., NISALL was the party responsible for
assuring the company’s compliance with its employment tax
obligations pursuant to Title 26, United States Code, Section
6772.
220. During 1990 and after, Classic Drywall, Inc.
failed to remit to the IRS approximately $126,132.11 in
employment taxes that were due.
Consequently, the IRS sought to
collect those past due employment taxes from FRED NISALL, a/k/a
208
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” the defendant, the responsible party for
Classic Drywall’s employment tax obligations.
Rather than paying
those employment taxes, however, NISALL took steps to evade the
tax obligations by attempting to conceal from the IRS the nature
and extent of his income and assets by, among other things: (a)
using assumed names and addresses and other forms of fraudulent
identification; (b) filing tax returns with the IRS that employed
assumed names; and (c) using fraudulently-obtained Social
Security numbers to conceal his identity from the IRS.
Statutory Allegations
221. From on or about August 14, 1991, up through and
including in or about April 2004, in the Southern District of New
York and elsewhere, FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendant, unlawfully, wilfully and knowingly did attempt to
evade and defeat the payment of a substantial part of the
employment tax due and owing to the United States by NISALL for
various periods in 1990, to wit, the payment of $126,132.11 in
employment tax due and owing to the United States of America by
NISALL as responsible party for Classic Drywall, Inc.’s
employment tax obligations for the quarters ending June 30, 1990,
September 30, 1990, and December 31, 1990, by various means,
including, among others, concealing and attempting to conceal
209
from the IRS the nature and extent of his income and assets by:
(a) using assumed names and addresses and other forms of
fraudulent identification; (b) filing tax returns with the IRS
that employed assumed names; and (c) using fraudulently-obtained
Social Security numbers to conceal his identity from the IRS.
(Title 26, United States Code, Section 7201.)
COUNT SIXTY-SEVEN
(Tax Evasion — FRED NISALL, N.F. Drywall, Inc.)
The Grand Jury further charges:
222. Paragraphs 204 through 211 and 215 through 220 of
this Indictment are repeated and realleged and incorporated by
reference as though fully set forth herein.
223. From in or about 1988, up through and including in
or about 2001, FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a “Fred
Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendant, owned and controlled N.F. Drywall, Inc., a New York
corporation through which NISALL and others performed drywall
construction work.
As the owner of N.F. Drywall, Inc., NISALL
was the party responsible for assuring the company’s compliance
with its employment tax obligations pursuant to Title 26, United
States Code, Section 6772.
224. During 1988 and after, N.F. Drywall, Inc. failed
to remit to the IRS approximately $26,288.75 in employment taxes
210
that were due.
Consequently, the IRS sought to collect those
past due employment taxes from FRED NISALL, a/k/a “Fred
Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,” a/k/a
“Jack Miller,” the defendant, the responsible party for N.F.
Drywall, Inc.’s employment tax obligations.
Rather than paying
those employment taxes, however, NISALL took steps to evade the
tax obligations by attempting to conceal from the IRS the nature
and extent of his income and assets by, among other things: (a)
using assumed names and addresses and other forms of fraudulent
identification; (b) filing tax returns with the IRS that employed
assumed names; and (c) using fraudulently-obtained Social
Security numbers to conceal his identity from the IRS.
Statutory Allegations
225. From on or about March 10, 1992, up through and
including in or about April 2004, in the Southern District of New
York and elsewhere, FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,” the
defendant, unlawfully, wilfully and knowingly did attempt to
evade and defeat the payment of a substantial part of the tax due
and owing to the United States by NISALL for various periods in
1988, 1990, and 1991, to wit, the payment of $26,288.75 in
employment tax due and owing to the United States of America by
NISALL as responsible party for N.F. Drywall, Inc.’s employment
tax obligations for the quarters ending December 31, 1988,
211
September 30, 1990, December 31, 1990, and March 31, 1991, by
various means, including, among others, concealing and attempting
to conceal from the IRS the nature and extent of his income and
assets by: (a) using assumed names and addresses and other forms
of fraudulent identification; (b) filing tax returns with the IRS
that employed assumed names; and (c) using fraudulently-obtained
Social Security numbers to conceal his identity from the IRS.
(Title 26, United States Code, Section 7201.)
COUNTS SIXTY-EIGHT THROUGH SEVENTY-TWO
(Tax Evasion — FRED NISALL)
The Grand Jury further charges:
226. Paragraphs 204 through 211, 215 through 220, and
222 through 224 of this Indictment are repeated and realleged and
incorporated by reference as though fully set forth herein.
227. From on or about January 1 of each of the calendar
years set forth below, up through and including on or about the
filing dates set forth below for each said calendar year, in the
Southern District of New York and elsewhere, FRED NISALL, a/k/a
“Fred Nisalevich,” a/k/a “Fred Buschel,” a/k/a “Fred Buschell,”
a/k/a “Jack Miller,” the defendant, unlawfully, wilfully and
knowingly did attempt to evade and defeat a substantial part of
the income tax due and owing by NISALL to the United States of
America for the calendar years 1998 through 2002 by various
means, including, among others: (a) by failing to make an income
tax return for each said calendar year on or about the date
212
required by law to any proper officer of the IRS, stating
specifically the items of his gross income and any deductions and
credits to which he was entitled; (b) by causing entities that he
controlled and that paid him fees not to file wage and
compensation documents with the IRS; (c) by causing personal
expenditures to be paid by various entities he owned, operated,
or controlled, and which expenses should have been reported by
NISALL as taxable income; and (d) using various identities and
Social Security numbers to conceal his income from the IRS,
whereas, as NISALL then and there well knew and believed, in each
said calendar year he had substantial taxable income, upon which
taxable income there was a substantial amount of tax due and
owing to the United States of America:
COUNT
CALENDAR YEAR
DUE DATE OF INCOME TAX RETURN
68
1998
04/15/1999
69
1999
04/17/2000
70
2000
04/16/2001
71
2001
04/15/2002
72
2002
04/15/2003
(Title 26, United States Code, Section 7201.)
COUNT SEVENTY-THREE
Conspiracy To Make Extortionate
Extension Of Credit
213
The Grand Jury further charges:
228. From in or about 1992, up through and including at
least in or about 2002, in the Southern District of New York and
elsewhere, JOSEPH RUGGIERO, a/k/a “Joe Black,” the defendant, and
others known and unknown, through RUGGIERO’s membership in the
Genovese Organized Crime Family of LCN, unlawfully, willfully,
and knowingly combined, conspired, confederated, and agreed
together and with each other to make an extortionate extension of
credit, as that term is defined in Title 18, United States Code,
Section 891, in the amount of approximately $160,000 to Fred
Nisall.
(Title 18, United States Code, Section 892.)
COUNT SEVENTY-FOUR
Extortionate Extension Of Credit
The Grand Jury further charges:
229. From in or about 1992, up through and including at
least in or about 2002, in the Southern District of New York and
elsewhere, JOSEPH RUGGIERO, a/k/a “Joe Black,” the defendant, and
others known and unknown, through RUGGIERO’s membership in the
Genovese Organized Crime Family of LCN, unlawfully, willfully,
and knowingly did make an extortionate extension of credit, as
that term is defined in Title 18, United States Code, Section
891, in the amount of approximately $160,000 to Fred Nisall.
(Title 18, United States Code, Sections 892 and 2.)
214
COUNT SEVENTY-FIVE
Conspiracy To Collect Extension Of
Credit By Extortionate Means
The Grand Jury further charges:
230. From in or about 1992, up through and including at
least in or about 2002, in the Southern District of New York and
elsewhere, JOSEPH RUGGIERO, a/k/a “Joe Black,” the defendant, and
others known and unknown, through RUGGIERO’s membership in the
Genovese Organized Crime Family of LCN, unlawfully, wilfully and
knowingly combined, conspired, confederated and agreed together
and with each other to participate in the use of extortionate
means to collect an extension of credit, as that term is defined
in Title 18, United States Code, Section 891, to wit, RUGGIERO
and another co-conspirator not named as a defendant herein
conspired to use extortionate means in order to collect an
extension of credit of approximately $160,000 from Fred Nisall.
(Title 18, United States Code, Section 894.)
COUNT SEVENTY-SIX
Use of Extortionate Means
To Collect Extension Of Credit
The Grand Jury further charges:
231. From in or about 1992, up through and including at
least in or about 2002, in the Southern District of New York and
elsewhere, JOSEPH RUGGIERO, a/k/a “Joe Black,” the defendant, and
others known and unknown, through RUGGIERO’s membership in the
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Genovese Organized Crime Family of LCN, unlawfully, wilfully and
knowingly did participate in the use of extortionate means to
collect and attempt to collect an extension of credit, as that
term is defined in Title 18, United States Code, Section 891, to
wit, RUGGIERO and a co-conspirator not named as a defendant
herein used extortionate means in order to collect and attempt to
collect an extension of credit of approximately $160,000 from
Fred Nisall.
(Title 18, United States Code, Sections 894 and 2.)
COUNT SEVENTY-SEVEN
False Statements To A Federal Officer
The Grand Jury further charges:
232. On or about January 14, 2004, in the Southern
District of New York, CARMINE MINGOIA, the defendant, in a matter
within the jurisdiction of the Federal Bureau of Investigation, a
department and agency of the executive branch of the Government
of the United States, unlawfully, willfully, and knowingly
falsified, concealed, and covered up by trick, scheme and device
material facts, and made materially false, fictitious, and
fraudulent statements and representations, to wit, MINGOIA
falsely informed agents of the Federal Bureau of Investigation
that he had not met Ralph Coppola, a capo in the Genovese
Organized Crime Family, and that he did not discuss matters
relating to Local 530 with Louis Moscatiello, Sr.
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(Title 18, United States Code, Section 1001.)
COUNT SEVENTY-EIGHT
False Statements To A Federal Officer
The Grand Jury further charges:
233. On or about January 14, 2004, in the Southern
District of New York, JOHN CAMPANELLA, JR., the defendant, in a
matter within the jurisdiction of the Federal Bureau of
Investigation, a department and agency of the executive branch of
the Government of the United States, unlawfully, willfully, and
knowingly falsified, concealed, and covered up by trick, scheme
and device material facts, and made materially false, fictitious,
and fraudulent statements and representations, to wit,
CAMPANELLA, JR. falsely informed agents of the Federal Bureau of
Investigation that he did not discuss matters relating to Local
530 with Louis Moscatiello, Sr.
(Title 18, United States Code, Section 1001.)
COUNT SEVENTY-NINE
Structuring
(JAMES DELIO and JOSEPH DELIO)
The Grand Jury further charges:
234. Paragraphs 21, 22 and 30 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
235. Title 31, United States Code, Section 5313(a), and
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the regulations prescribed thereunder, require every financial
institution, as defined in Title 31, United States Code, Section
5312(a), and the regulations prescribed thereunder, to file a
Currency Transaction Report (“CTR”) with the Internal Revenue
Service for each cash transaction in excess of $10,000.
CTRs are
intended to reveal the identity of both the person who conducted
the transaction and the person for whom the transaction was
conducted.
Title 31, United States Code, Section 5324(a)(3), and
the regulations prescribed thereunder, prohibit conduct causing a
financial institution to fail to file CTRs, and the structuring
of transactions for the purpose of evading the filing of CTRs.
"Structuring" includes the practice of subdividing an amount of
currency in excess of $10,000 into amounts of $10,000 or less and
then conducting separate transactions in currency with those
amounts to evade the filing of a CTR.
236. From in or about December 1998, up through and
including in or about May 2001, in the Southern District of New
York and elsewhere, JAMES DELIO, a/k/a “Jamie,” and JOSEPH DELIO,
the defendants, and others known and unknown, unlawfully,
willfully, and knowingly, and for the purpose of evading the
reporting requirements of Title 31, United States Code, Section
5313(a), and the regulations prescribed thereunder, and as part
of a pattern of illegal activity involving more than $100,000 in
a 12-month period, did structure and assist in structuring, and
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attempt to structure and assist in structuring, transactions with
a domestic “financial institution,” as that term is defined in
Title 31, United States Code, Section 5312(a)(2), to wit, over an
approximately thirty-month period, the defendants cashed more
than $700,000 in checks at a check cashing facility located in
New York, New York, which checks were made payable (i) in amounts
designed to evade the filing of CTRs, and (ii) to entities that
never received the funds from those checks or fictitious
entities.
(Title 31, United States Code, Sections 5324(a)(3) and (d)(2)
and Title 18, United States Code, Section 2.)
COUNT EIGHTY
Structuring
(FRED MENDOZA)
The Grand Jury further charges:
237. Paragraphs 21, 22, 30 and 235 of this Indictment
are repeated and realleged and incorporated by reference as
though fully set forth herein.
238. From in or about February 2001, up through and
including in or about January 2002, in the Southern District of
New York and elsewhere, FRED MENDOZA, the defendant, and others
known and unknown, unlawfully, willfully, and knowingly, and for
the purpose of evading the reporting requirements of Title 31,
United States Code, Section 5313(a), and the regulations
prescribed thereunder, did structure and assist in structuring,
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and attempt to structure and assist in structuring, transactions
with a domestic “financial institution,” as that term is defined
in Title 31, United States Code, Section 5312(a)(2), to wit, over
an approximately twelve-month period, MENDOZA cashed
approximately ten checks totaling $84,850 at a check cashing
facility located in New York, New York, which checks were made
payable in amounts designed to evade the filing of CTRs, and (ii)
to entities that never received the funds from those checks.
(Title 31, United States Code, Sections 5324(a)(3) and (d)(2)
and Title 18, United States Code, Section 2.)
COUNT EIGHTY-ONE
Extortion
(NICKY GALLO At The
500 West 56th Street Construction Project)
The Grand Jury further charges:
239. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
240. From in or about April 2003, up through and
including in or about September 2003, in the Southern District of
New York and elsewhere, NICKY GALLO, the defendant, and others
known and unknown, unlawfully, willfully, and knowingly committed
and attempted to commit extortion, as that term is defined in
Title 18, United States Code, Section 1951(b)(2), by obtaining
money and property from and with the consent of another person,
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to wit, Contractor-2, which consent would have been, and was,
induced by the wrongful use of actual and threatened force,
violence, and fear, and thereby would and did obstruct, delay,
and affect commerce, and the movement of articles and commodities
in commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, GALLO used fear of economic
harm to obtain the consent of Contractor-2 to make cash payments
to GALLO on the 500 West 56th Street job.
(Title 18, United States Code, Sections 1951 and 2.)
COUNT EIGHTY-TWO
Unlawful Receipt Of Labor Payments
(NICKY GALLO At The
500 West 56th Street Construction Project)
The Grand Jury further charges:
241. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
242. From in or about April 2003, up through and
including in or about September 2003, in the Southern District of
New York and elsewhere, NICKY GALLO, the defendant, and others
known and unknown, unlawfully, willfully, and knowingly, being an
officer and employee of a labor organization which represented,
sought to represent, and did admit to membership the employees of
employers who were employed in an industry affecting commerce,
did request, demand, receive, and accept, and agree to receive
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and accept, a payment, loan, and delivery of money and other
thing of value, from an employer and persons acting in the
interest of such an employer, to wit, GALLO, a shop steward for
Local 530, improperly demanded and received cash payments from
Contractor-2 regarding the 500 West 56th Street jobsite.
(Title 29, United States Code, Sections 186(a)(2), (b)(1), and
(d)(2), and Title 18, United States Code, Section 2.)
COUNT EIGHTY-THREE
Extortion
(MARCO DURAND At The
500 West 56th Street Construction Project)
The Grand Jury further charges:
243. Paragraphs 16 through 28 of this Indictment are
repeated and realleged and incorporated by reference as though
fully set forth herein.
244. In or about October 2003, in the Southern District
of New York and elsewhere, MARCO DURAND, the defendant, and
others known and unknown, unlawfully, willfully, and knowingly
committed and attempted to commit extortion, as that term is
defined in Title 18, United States Code, Section 1951(b)(2), by
obtaining money and property from and with the consent of another
person, to wit, Contractor-2, which consent would have been, and
was, induced by the wrongful use of actual and threatened force,
violence, and fear, and thereby would and did obstruct, delay,
and affect commerce, and the movement of articles and commodities
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in commerce, as that term is defined in Title 18, United States
Code, Section 1951(b)(3), to wit, DURAND used threats of economic
harm to obtain the consent of Contractor-2 to make cash payments
to DURAND on the 500 West 56th Street job.
(Title 18, United States Code, Sections 1951 and 2.)
FORFEITURE ALLEGATION
245. As the result of committing one or more of the
offenses in violation of Title 18, United States Code, Sections
664, 1341, and 1951, alleged in Counts Three through Nine,
Eleven, Twelve, Thirteen, Fifteen, Sixteen, Seventeen, Nineteen,
Twenty, Twenty-One, Twenty-Three through Twenty-Six, Twenty-Eight
through Forty-Five, Forty-Seven, Forty-Eight, Forty-Nine, FiftyOne, Fifty-Two, Fifty-Three, Fifty-Five, Fifty-Six, Fifty-Seven,
Fifty-Nine, Sixty, Sixty-One, Sixty-Three, and Sixty-Four of this
Indictment, LOUIS MOSCATIELLO, SR., JAMES DELIO, a/k/a “Jamie,”
CARMINE MINGOIA, FRED NISALL, a/k/a “Fred Nisalevich,” a/k/a
“Fred Buschel,” a/k/a “Fred Buschell,” a/k/a “Jack Miller,”
CARMINE SEDITA, JOSEPH DELIO, ROBERT ALVAREZ, PAUL GHIRARDUZZI,
THOMAS BOVE, FRANK MALANGONE, a/k/a “Butch,” FRED MENDOZA, ROBERT
CARBONE, a/k/a “Bucky,” LOUIS MOSCATIELLO, JR., and JOHN
CAMPANELLA, JR., the defendants, shall forfeit to the United
States pursuant to Title 18, United States Code, Section
981(a)(1)(C) and Title 28, United States Code, Section 2461, all
property, real and personal, that constitutes or is derived from
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proceeds traceable to the commission of the offenses, including
but not limited to the following:
A sum of money equal to
approximately $ 5,200,000 in United States currency, representing
the amount of proceeds obtained as a result of the foregoing
offenses, for which the defendants are jointly and severally
liable.
Substitute Asset Provision
i.
If any of the above-described forfeitable property, as
a result of any act or omission of the defendants:
(1) cannot be located upon the exercise of due
diligence;
(2) has been transferred or sold to, or deposited with,
a third person;
(3) has been placed beyond the jurisdiction of the
Court;
(4) has been substantially diminished in value; or
(5) has been commingled with other property which
cannot be subdivided without difficulty;
it is the intent of the United States, pursuant to 21 U.S.C. §
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853(p), to seek forfeiture of any other property of said
defendants up to the value of the above forfeitable property.
(Title 18, United States Code, Section 981 and Title 28, United
States Code, Section 2461).
_________________________
FOREPERSON
__________________________
DAVID N. KELLEY
United States Attorney
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