By Rick Hornung
March 28, 1984
Tom Rossetti is not after small change, nor
is Dominick Lopreato. At stake is a huge piece of Gov. William
O'Neill's monstrous $5-billion program to rebuild the state's
roads and bridges. As members of the task force that developed
the exorbitant plan and as leaders of key construction union locals
in Fairfield and Hartford counties, Rossetti and Lopreato understand
the opportunities presented by the governor.
This is a big game and some of the Northeast's
biggest players are standing near Rossetti and Lopreato, eager
to seize the winnings if the General Assembly goes through with
a large scale road improvement plan as demanded by O'Neill.
Rossetti and Lopreato are under the scrutiny
of federal authorities who suspect their union locals are tainted
with corruption ranging from misuse of health and dental insurance
funds to extortion and beatings, stemming from leadership challenges.
With an estimated $5 billion worth of road and bridge construction
expected to be dished out across the state, union coffers will
be overflowing with dues, employer contributions to benefit funds
and other revenues.
As business agent for the Bridgeport- based
Local 191 of the Teamsters Union. Rossetti considers himself an
important man, driving around in a a late model Cadillac paid
for by his rank and file. As a member of the city's school board,
Rossetti is privy to much of the backroom dealing that surrounds
Bridgeport's Democrats. His years in the Teamsters union and with
the party have won him many friends. During the 1982 gubernatorial
campaign, Rossetti opened his house for a fundraiser to help out
Gov William O'Neill
As secretary-treasurer of the Hartford based
Local 230 of the Laborers' International Union, Lopreato also
considers himself an important man. His position entitles him
to a union-bought late-model luxury car. As labor representative
for thousands of construction workers, Lopreato works closely
with developers and roadbuilders who give generously to the Democratic
Party. When a construction magnate needs a crowd to stack a public
hearing, Lopreato is willing to oblige, cranking rank and file
to shout down those opposed to office towers, highways or shopping
centers.
Last year, when O'Neill needed construction
union representatives to serve on his task force to study rebuilding
the state's roads and bridges, Rossetti and Lopreato came to the
governor's attention as ideal candidates Apparently, no one in
O'Neill's office knew of their separate roles in allegations of
labor racketeering and extortion that is part of what authorities
believe to be 'turf wars" throughout the Northeast.
Though Rossetti and Lopreato work in different
unions that are not related authorities said each is caught up
in the attempts of New York and Providence based hoodlums to take
advantage of Connecticut's gargantuan road-building plans.
According to records filed in Bridgeport's
federal court, Rossetti's Local 191 is the larger of an ongoing
investigation by the U S. Justice Department's Organized Crime
Strike Force, which suspects the business agent and others siphoned
union funds to members of the Genovese crime family out of New
York. Though Rossetti's office said he is unavailable for comment
court records show Local 191 and the statewide umbrella organization
of Teamsters, Joint Council 64, throughout last year unsuccessfully
moved to quash grand jury subpoenas for checks, ledgers, account
books, insurance policies, premium payments, benefit payments
and office memos for the five-year period of May 1977 through
December 1982.
While U.S. Attorney Alan Nevas declined comment
on the investigation, the Teamsters' motions to quash subpoenas
show that prosecutors are concentrating on Rossetti's handling
of his local's disbursement of denial benefits and his role as
trustee of the Teamsters' Tri-State Health Plan, a multi-million
dollar fund involving 12 locals stretching across Connecticut,
Rhode Island and Massachusetts. The prosecutors are now presenting
evidence to a grand jury sitting in New Haven.
Court records show prosecutors and the Teamsters'
lawyers skirmished over the dental plan, which is run out of the
same building that houses the offices of Rossetti's Local 191.
This is also the location of the offices of another Bridgeport-based
Teamsters group, Local 145. According to the U.S. Labor Department,
Local 191 told authorities that the dental plan is administered
by an independently owned entity called Teamsters Dental Office
Co. Incorporation papers for that company are not on On file with
the Secretary of State's office.
Prosecutors subpoenaed the dental plan's
administrator Carol Rizzieri, who successfully invoked her Fifth
Amendmend privilege against self-incrimination in a dispule over
financial documents pertaining to the dental plan, according to
court records. Though the prosecutors eventually received more
than 200,000 checks. ledgers, memos and other office records pertaining
to the operation of Local 191, the denial plan and Rossetti's
involvement in the Tri-State Health Plan, the probe centers on
the relationship between Local 191's operations in Bridgeport
and John "Buster" Ardilo. identified as a high-ranking
member of the Genovese family. Ardito could not be reached for
comment.
Besides his relationship to the Teamsters
in southwestern Connecticut, Ardito has drawn the attention of
prosecutors investigating gambling, extortion and loansharking
in Fairfield County. Acting on information gathered through wiretaps
and informants, the FBI in December conducted a number of raids
throughout Bridgeport, Derby, Shelton and Trumbull that netted
detailed gambling records, a cache of weapons and cash believed
to be part of a Genovese controlled network of illegal activities.
The Teamsters' health and denial plans offer
a constant flow of cash that authorities suspect was diverted
from the payments of benefits. While the Tri-State Health Plan
is run out of its own building in Milford and is accountable to
a board of trustees that include at least two members from each
of the 12 participating unions, the operations of the dental plan
are much less stringent.
According to defense lawyers familiar with
the probe, Local 191 in 1982 successfully negotiated an additional
50-cent per member, per-month contribution from employers to the
dental plan. That hike was retroactive to November 1981 and brought
in additional thousands of dollars to the Teamsters Dental Office
Co. located in the same building as Rossetti's local. When prosecutors
subpoenaed records of how those funds were received and spent,
the Teamsters resisted, claiming disclosure would involve turning
over medical information that was privileged.
Teamsters' lawyer William Barnes declined
to discuss the investigation of Local 191 and its related health
and dental plans. Though his motion to quash the subpoena was
available in court files available to the public, Barnes said
the secrecy of grand jury proceedings prevents him from discussing
the probe that is questioning Rossetti's relationship to organized
crime figures such as Ardito, defense lawyers said.
"Most of the records are under seal
because they pertain directly lo the grand jury investigation,"
Barnes said. Asked about allegations that union funds controlled
by Rossetti were misspent or diverted to people outside of Local
191, the lawyer replied, "I don't think it is proper for
me to make any statement at this time."
Barnes insisted that government claims about
Rossetti's relationship with organized crime figures like Ardito
are erroneous. The Teamsters' lawyer charged that prosecutors
are exaggerating and, in some instances, fabricating information
that gives the appearance of impropriety in Local 191's affairs
"Just because government and its agents put something in
a report doesn't mean it's true. It is often done to give legitimacy
to charges that frequently turn out to be false," Barnes
said
Despite the confidential nature of grand
jury proceedings, a partial picture of the Teamsters' operation
emerges from testimony before the National Labor Relations Board,
where opponents of Rossetti and his allies are challenging the
autocratic rule of the union. According to NLRB testimony, Teamsters
who challenge Rossetti or his slate for union of office often
find themselves out of a job. In another Teamsters unit-Local
145, situated in the same building as Rossetti's outfit, dissidents
also found that shop stewards openly run gambling operations at
Dresser Industries, according to testimony before the NLRB.
The Teamsters' relationship to Dresser management
is quite cozy since the Tri-State Health Plan loaned the firm
close to $250,000 000, according to financial statements provided
by Teamsters to the U.S. Labor Department. As a trustee of the
plan, Rossetti approved the loan.
The union's close relationship with Dresser
management extends to the Connecticut Bakery-Milk Industry Teamsters
Health Services and Insurance plan, which lists Local 145 president
William Kuba and Dresser executive Thomas Hockenga as trustees.
As business agent for Local 145, Kuba negotiates contracts and
arbitrates grievances on behalf of Dresser employees working under
Hoekenga A staunch ally of Rossetti, Kuba appoints the shop stewards'
who run the gambling activities at Dresser's plant in Stratford
Last year, when Gov. O'Neill needed construction
union representatives to serve on his task force to study rebuilding
the state's roads and bridges, Rossetti and Lopreato came to the
governor's attention as ideal candidates. Apparently, no one in
O'Neill's office knew of their separate roles in allegations of
labor racketeering that is part of what authorities believe to
be "turf wars" throughout the Northeast.
Bridgeport-based Teamsters are not alone
in drawing the attention of federal authorities. according IO
local police reports and FBI memoranda obtained by the Advocate.
In April 1983, less than three weeks after the Organized Crime
Strike Force served a critical subpoena in their probe of Rossetti,
Hartford-area Teamsters leader Richard Robidoux, secretary-treasurer
of Local 671, was beaten in the parking lot of Fast Hartford's
Marco Polo restaurant. Robidoux's attackers, described as three
men, cracked him over the head with a baseball bat and fractured
his legs. The $1,000 cash in Robidoux's pockets remained untouched.
While the police reports and the FBI memoranda
do not directly connect the Robidoux attack to the strike force
probe of Rosseitti's relationship to the Genovese family, those
documents link the East Hartford assault to three similar incidence
involving known gambler Nicholas "Bonesy" Grano-owner
of Brother Bones Cafe on Franklin Avenue in Hartford-and Laborers'
union officials Leonard "Butch" Granell and Lopreato.
Neither Robidoux, Grano, nor Granell could be reached for comment.
The police reports note the similarity between
the Robidoux assault and a late 1982 beating of Granell. vice-president
of Laborers' Local 230. Police said Granell was jumped by three
men wielding a baseball bat and his legs were broken, like Robidoux's.
Local police reports also highlighted the similarity between the
Robidoux incident and the January 1983 attack on Nicholas Grano
outside the Piper Brook Cafe in West Hartford. A known gambler,
Grano was beaten and left on the sidewalk until police arrived.
According to federal court records, Grano's bar-Brother Bones'
Cafe-figured in several cocaine-related prosecutions, where undercover
agents scored the drug inside the establishment. The authorities
never charged Grano with a crime, but his bartender was convicted
of drug-relaled charges.
As for the third incident that police link
to the Robidoux attack, detectives' reports cite the February
1983 mauling of Lopreato outside the Casa Loma restaurant on Welhersfield
Avenue in Hartford. According to one report Lopreato was punched
in the mouth by William "Billy" Grasso, a New Haven-based
hood who is trying to muscle into the Hartford area. Grasso could
not be reached for comment.
Detectives' reports of the Lopreato incident
include a Jan. 10, 1983 memo prepared out of the FBI office in
New Haven describing a tip that Grasso is trying to muscle Lopreato's
union and share its widespread contracts throughout the Hartford
area construction industry. The FBI memo claims that Lopreato
appealed to Providence-based Laborers' union official Arthur Coia
for help in fighting off Grasso.
Coia is currently under indictment with Providence-based
Mafia kingpin Raymond Patriarca and two others for their alleged
skimming from Laborers' union insurance funds. Coia could not
be reached for comment. A Jan. 20, 1983 memo prepared in the New
Haven office described Coia's relationship with the wife of a
known bookmaker who at one time held a job on the payroll of Robidoux's
Local 671.
Asked about his connection to the activities
described in the reports of local detectives and the FBI memos,
Lopreato insisted he knew nothing about the people involved or
the reported wrongdoing. He said the incident outside the Casa
Loma was a minor scuffle. "I had an argument with a guy about
a job. It was that simple," he said. "I don't know anybody
named Billy Grasso. All I do is keep reading about him in the
papers. Pressed on the attack and his meetings with Coia, Lopreato
began to contradict himself, saying "I don't know how the
police even found out about all that." As for his relationship
with Coia, Lopreato said he knows the Providence based union officials
through their work on Laborers' business, insisting that there
is no wrongdoing in their frequent meetings. "I plan to see
him tomorrow and we are going to talk about a negotiation,"
Lopreato said.
The Laborers' union officials said that authorities
attempt to link him to organized crime figures are erroneous and
misleading. Lopreato claimed that he is only a union leader actively
standing up for his rank-and-file. "They're talking about
things that I have no knowledge about," he said of the police
and FBI.
Picking up on his activities as a key member
of the state's construction industry Lopreato talked about his
role on the governor's task force, which laid the foundation for
the $5 billion road and bridge program sitting before the General
Assembly. Lopreato immedialdy spoke of the work it will create
for the construction industry and members of his union, let alone
the employer contributions to pension, health and welfare funds
controlled by leaders like himself
"It's an important job that has to be
done and it should be done before the work gets too expensive,"
Lopreato said of the plan to fix highways and bridges. Asked how
he came to serve on the task force, Lopreato said he did not seek
O'Ncill's appointment, but was recommended for the slot by either
officials of other building trades unions or the state AFL-CIO.
O'Ncill's press secretary Larrye deBear said
the governor solicited the advice of statewide labor leaders when
looking for union members to be represented on the task force.
As for the appointment of Rossetti and Lopreato to the task force,
deBear said the governors' office had no knowledge of the information
gathered by law enforcement officials concerning Teamsters' and
Laborers' alleged links to organized crime figures
"We asked for some names of union leaders
because rebuiding the infrastructure involves labor, management,
capital as well as state officials," deBear said. We were
given some names and made the appointments because we felt the
building trades should be represented."