A member of an
embattled union that has been criticized for paying large fees to
consultants called Sunday on Ald. Patrick Levar (45th) to account
for $260,000 his firm was paid.
Martin Preib, a doorman at a Chicago hotel and leader of a rival
group within the Hotel Employees and Restaurant Employees
International Union's Local 1, said he would make a formal request
that union officials either explain the payments or recover money
paid to Levar's firm, Gateway Associates, between 1988 and 1996.
A court-appointed monitor
probing allegations of mismanagement within the union leadership has
said he found "no reports" explaining what work Levar's firm
performed for the union.
Levar, who is running for Cook County Circuit Court clerk, could
not be reached for comment. His campaign manager, Kathy Hayes, said
Levar's office had not received a request from Preib to account for
the fees and would not comment until then.
Under federal labor law, union officials must act within a
reasonable amount of time to address members' concerns about
financial management, either by explaining fees or suing to recover
them. Efforts to reach union officials were unsuccessful.
The powerful union once headed by the late Edward T. Hanley came
under renewed fire last week after investigators concluded a member
of the controversial Duff family cheated the organization out of
$172,000, and ran a Florida bookmaking operation while on union
payrolls.
Levar's involvement with the union first surfaced in August 1998,
in a report by federal monitor Kurt Muellenberg on corruption and
anti-democratic activities within union leadership. In that report,
investigators questioned millions of dollars in consulting contracts
to Hanley's friends and associates. Among the contracts cited were
$50,000 to former congressman Dan Rostenkowski for producing one
memo, and $213,700 to the son of reputed Chicago mobster Pat Marcy
for "public relations."
Under his contract, Levar's firm received $267,488 "for
consulting on state and federal matters" from October 1988 to
November 1996. According to Muellenberg's report, there is no
indication what Levar did.
"I am particularly concerned . . . that (Levar) took the money
during a time that the union was under federal investigation for
corruption and gross mismanagement," Preib said at a Sunday news
conference.
Muellenberg began monitoring the union's affairs in 1995 after
the U.S. Justice Department sued the union, charging a
quarter-century of influence from organized crime.