The former president of a powerful construction union in the city pleaded guilty to bribery and fraud charges.
James Cahill, who led the New York State Building and Construction Trades Council, was among 11 to plead guilty to charges associated with accepting cash and bribes, the U.S. attorney for the Southern District of New York announced this week. https://www.justice.gov/usao-sdny/pr/former-president-new-york-building-and-construction-trades-council-and-10-other-union
Cahill was one of nine construction officials indicted in October 2020 on charges of racketeering, bribery and fraud. Two other officials were only charged with bribery and fraud. https://therealdeal.com/new-york/2020/10/02/head-of-ny-construction-union-accused-of-leading-bribery-scheme/
Cahill is facing up to 20 years in prison, along with Christopher Kraft and Patrick Hill. Most of the others who pleaded guilty are facing up to five years in prison.
From 2018 to 2020, the officials accepted illegal payments from a contractor, who hasn’t been named in the case. In exchange for the bribes, officials awarded the contractor with favorable projects and union agreements. Officials also claimed the contractor was using union workers when it was not.
The projects should have employed workers from Steamfitters Union Local 638 and Plumbers Union Local 200. Instead, the contractor used its own employees and the Building and Construction Trades Council looked the other way.
Cahill accepted more than $144,000 in bribes from the contractor, according to the U.S. attorney’s office. The other officials accepted thousands in bribes, which were generally stuffed into envelopes and exchanged in restaurant bathrooms.
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One of the officials in the case, Scott Roche, was sentenced last week to two years probation and a $10,000 fine for a misdemeanor violation of the Taft Hartley Act, which regulates union labor practices. All 11 of the officials will be sentenced by mid-March.
Cahill, known for towering influence in New York City, led the push for prevailing wage requirements on specific projects that receive public funds. He also helped negotiate the project labor agreement for his members at the $4 billion Tappan Zee Bridge replacement project. https://therealdeal.com/new-york/2019/06/26/prevailing-wage-didnt-happen-the-new-rent-law-may-be-to-blame/
Gary LaBarbera quietly ascended to the head role of the statewide building trades group after Cahill’s indictment. https://therealdeal.com/new-york/2021/04/14/gary-labarbera-quietly-takes-helm-of-building-trades-statewide/
— Holden Walter-Warner