Teamsters' Carey charged by review board, announces leave
November 26, 1997
Web posted at: 1:10 p.m. EST (1810 GMT)
NEW YORK (CNN) -- A government-appointed panel recommends that Teamsters president Ron Carey be charged with participating in an illegal scheme to indirectly funnel $885,000 in union funds toward his re-election campaign.
The Independent Review Board said Tuesday it did not believe Carey's statements that he had no memory of approving any of the money used in the alleged scheme.
Under a 1989 consent decree between the union and the Justice Department, the three-member review board recommends charges to the union's executive board, which is empowered to take internal disciplinary action against Carey.
The board's findings were released hours after Carey announced that he was taking an unpaid leave of absence to fight an election overseer's decision to bar Carey from running for re-election against James Hoffa, who he narrowly defeated in 1996.
The election officer also had found that Carey took part in the fund-raising scheme.
Tom Sever, the union's general secretary-treasurer, will assume the duties of the president, according to the Teamster's constitution.