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NJ Union Leaders Accused Of Embezzlement

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NEWARK, N.J. (AP) — Federal authorities on Tuesday arrested two leaders of a New Jersey-based union local on charges of embezzling more than $375,000.

Authorities said Local 148 of the Production Workers Union president Stephen Arena of Nesconset, N.Y., and secretary-treasurer David Caivano of Bloomfield, N.J., gave themselves unauthorized raises, bonuses and paid vacations.

The union represents various trades including bus drivers, hotel workers and factory employees.

Federal prosecutors alleged the pair stacked the union’s executive board with people who provided no oversight.

Authorities said Caivano altered the minutes of meetings to create the illusion the raises and bonuses were approved by the board.

It was not known whether either has retained a lawyer.

They’re expected to have an initial court appearance on Tuesday afternoon.

(Copyright 2010 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

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