United States Attorney's Office District of Connecticut
Press Release

FORMER UNION PRESIDENT INDICTED FOR EMBEZZLING FUNDS

Kevin J. O'Connor, United States Attorney for the District of Connecticut today announced the indictment and arrest of ALLEN CAHILL, age 40, formerly of 157 Bull Hill Lane, West Haven, Connecticut, on charges of embezzling union funds and willfully failing to keep union records.

The two-count indictment, filed by a Grand Jury sitting in New Haven on October 7, 2003, but kept sealed until CAHILL was arrested, alleges that while he was President of Local 745, Paper, Allied-Industrial, Chemical and Energy Workers International Union ("PACE") , CAHILL embezzled, stole, and converted to his own use approximately $42,047 in union funds by using the union's debit card to make cash withdrawals or to purchase items of a personal nature, by increasing his salary as union President without authorization, and by obtaining travel funds for trips he either never took or union trips on which he brought his family along with him. CAHILL was also charged with willfully failing to maintain records, such as receipts and vouchers needed to document the spending of union funds.

CAHILL turned himself in today to the United States Marshal in New Haven, Connecticut after learning of the arrest warrant. He was presented before United States Magistrate Judge Holly B. Fitzsimmons in Bridgeport, Connecticut. After being advised of the charges and entering a plea of not guilty to both counts of the indictment, he was released on a $25,000 bond. Trial has been scheduled for March 4, 2004, in Bridgeport before United States District Judge Janet C. Hall.

If convicted of Count One of the indictment, the embezzlement charge, CAHILL could be sentenced to five years' imprisonment and fined as much as $250,000. Count Two of the indictment, the failure to maintain union records charge, is punishable by one year in prison and a fine of $100,000.

"Union funds come from the pockets of hard-working members, and this Office will strive to protect these funds from theft by union insiders," United States Attorney O'Connor stated.

United States Attorney O'Connor stressed that an indictment is only an allegation of criminal conduct and is not evidence of guilt. The defendant is entitled to a fair trial in which it will be the Government's burden to prove his guilt beyond a reasonable doubt.

United States Attorney O'Connor commended the investigators of the United States Department of Labor, Office of Labor Management Standards, who investigated this case.

The case is to be prosecuted by Assistant United States Attorney Michael E. Runowicz.

CONTACT:

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov