Washington Weekly

A Plot to Launder Union Money Through the DNC and Vice Versa

Aug. 25, 1997

Details of a plot that involved the Teamster's union and the Clinton White House laundering illegal money for each other began to emerge in Washington last week.

From the Teamster's perspective, the deal is quite clear. Union rules prohibit candidates for the Teamster presidency from using union money for their campaign.

But Teamster's President Ron Carey was in an extremely tight race with James P. Hoffa and desperately needed money.

So he arranged for payment of union money to Bill Clinton's campaign as well as State Democratic campaign coffers.

In return, the DNC donated money directly to Ron Carey's campaign.

He won the presidency, but his election was overturned by a federal official last week, after an investigation had found illegal campaign contributions.

From the White House perspective, the details are still sketchy. It is clear that the White House needed to launder money through the Teamster's Union, but the source of the illegal money has yet to be documented.

It could be money from the Chinese government or proceeds from an illegal operation.

The Washington Post on Saturday referenced notes by DNC finance director Richard Sullivan that mention $1 million of Teamster's money next to the name of then-White House political director Doug Sosnick.

The Washington Post also revealed that Ron Carey's campaign manager worked for the Clinton-Gore campaign.

This is not the first time that the Clinton administration has made illegal deals with unions.

Charges against mob-controlled union boss Arthur Coia were dropped by the Clinton Justice Department after Coia made generous contributions to the Clinton campaign.

And a former Union official, F.C. "Duke" Zeller, alleges that Mob lawyer Harold Ickes oversaw a $56 million slush fund set up by Union mobsters to elect Bill Clinton in 1992.

Harold Ickes later joined the White House and briefly became chief of staff.

Ickes came under fire for his suspected involvement in the Justice Department decision to drop the 212-count racketeering suit against the Laborers International Union where Arthur Coia was boss.

Published in the Aug. 25, 1997 issue of The Washington Weekly. Copyright © 1997 The Washington Weekly

(http://www.federal.com). Reposting permitted with this message intact.

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