The U.S. Attorney’s Office in Philadelphia released the below information this past Wednesday:
PHILADELPHIA
– United States Attorney Jacqueline C. Romero announced that Brian Burrows, 64,
of Mount Laurel, NJ, was sentenced today by United States District Court Judge
Jeffrey L. Schmehl to 48 months’ imprisonment, three years of supervised
release, forfeiture of $135,689.11, an $1,800 special assessment, and
restitution to be determined later, for crimes arising from his embezzlement of
funds belonging to Local 98 of the International Brotherhood of Electrical
Workers (“Local 98”).
Burrows had served as the President of Local 98 since 2008. The
only person who held a higher office in the union was his codefendant, Business
Manager John Dougherty. In January 2019, a federal grand jury indicted
Dougherty, Burrows, and other union officers and employees with conspiracy and
embezzlement arising from their theft and improper use of approximately
$600,000 in Local 98 funds from April of 2010 through August of 2016. The
indictment also charged Dougherty and Burrows with concealing the embezzlement
of Local 98’s funds by causing false labor management reports, known as LM-2s,
to be filed with the U.S. Department of Labor, and with filing false federal
income tax returns by failing to report the funds they stole on their tax
returns.
In December 2023, a federal jury convicted Dougherty and Burrows
of conspiracy to embezzle the funds of Local 98. Burrows was also convicted of
13 counts of embezzlement of funds from Local 98, two counts of causing false
statements to be made on the form LM-2 that Local 98 was required to file
annually with the Department of Labor for 2015 and 2016, two counts of causing
false information to be reflected in the books and records of Local 98 for
those years, and three counts of filing false federal income tax returns. The
charges of which Burrows was convicted included the illegal use of
approximately $391,000 in union funds to improve and repair his home, the homes
of codefendants Dougherty and Michael Neill, commercial properties owned by him
and his codefendants, and the homes of Dougherty’s relatives.
Dougherty was convicted of 33 counts of embezzlement of funds
from Local 98, 24 counts of wire fraud by participating in a scheme to defraud
Local 98 of its money, two counts of causing false statements to be made on the
form LM-2 that Local 98 was required to file annually with the Department of
Labor for 2015 and 2016, two counts of causing false information to be
reflected in the books and records of Local 98 for those years, and three
counts of filing false federal income tax returns.
The other officers and employees of Local 98 charged in the
indictment pleaded guilty in 2022 to charges related to their embezzlement of
Local 98’s funds and were sentenced earlier this year. They are Michael Neill,
former Director of Local 98’s Apprentice Training Fund; Marita Crawford, former
Political Director of Local 98; Niko Rodriguez, an employee of the Apprentice
Training Fund and Local 98; and Brian Fiocca, an employee of Local 98.
Dougherty is scheduled to be sentenced on July 11.
“The members of a union should be able to trust their
leadership,” said U.S. Attorney Romero. “They have every right to expect that
their officers will act in their best interests and that their dues will be
used for their benefit. That wasn’t the case at Local 98, where Brian Burrows
violated his duty to his members for his own benefit and allowed his
codefendants to do the same. Burrows stole from the hardworking electricians
whose dues paid his salary, took deliberate steps to conceal it, and is now being
held appropriately accountable.”
“In serving himself over the members of Local 98, Brian Burrows
abused his position as the president of the Union and breached the trust of
those whom he was elected to serve. Today's sentence makes it clear that this
kind of self-dealing at the expense of others will not be tolerated,” said
Wayne A. Jacobs, Special Agent in Charge of the FBI’s Philadelphia Division.
“The FBI and our law enforcement partners remain unwavering in our commitment
to upholding the integrity of labor unions for the members who rely on them,
and bringing to justice those who exploit them.”
“Anyone contemplating cheating on their taxes should know that
IRS Criminal Investigation Special Agents work tirelessly, year-round, to
investigate tax and financial crimes,” said IRS Criminal Investigation Acting
Special Agent in Charge Denise Leuenberger. “The outcome today is due to the
dedicated efforts of IRS Criminal Investigation special agents and our law
enforcement partners.”
"When a union official embezzles union funds, not only are
they violating the law, they are also betraying the trust of the union
membership who rightfully expect their officials to protect and safeguard their
union’s funds and assets," said U.S. Department of Labor Office of
Labor-Management Standards Acting District Director Nicole Spallino.
"There are consequences for union officials who breach their fiduciary
responsibilities to the members they represent. The Office of Labor-Management
Standards remains committed to working with our law enforcement partners to
protect the financial integrity of labor unions."
“The U.S. Department of Labor is committed to protecting
employee benefits for America's workers,” said Cristina O’Brien, Philadelphia
Regional Director of the U.S. Department of Labor Employee Benefits Security
Administration. “EBSA appreciates the collaborative work with our law
enforcement partners to hold Brian Burrows criminally accountable for violating
the law.”
“Brian Burrows, the former President of IBEW Local 98, conspired
with other former union officials to enrich himself at the expense of the
union’s dues-paying members by embezzling union funds. We will continue to work
with our law enforcement partners and the U.S. Department of Labor’s Office of
Labor-Management Standards and Employee Benefits Security Administration to
safeguard union assets,” said Syreeta Scott, Special Agent in Charge,
Mid-Atlantic Region, U.S. Department of Labor, Office of Inspector General.
The case was investigated by the Federal Bureau of Investigation; Internal Revenue Service Criminal Investigation; the U.S. Department of Labor Employee Benefits Security Administration; the U.S. Department of Labor Office of Labor Management Standards; the U.S. Department of Labor Office of Inspector General; and the Pennsylvania State Police, with assistance from the Pennsylvania Attorney General’s Office. The case is being prosecuted by Assistant United States Attorneys Frank Costello, Chief of the Corruption & Civil Rights Unit; Bea Witzleben, Co-Chief of Trials; Jason Grenell, and Anthony Carissimi.
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