FCA execs paid UAW officials to take company-friendly positions, U.S. says

DETROIT -- Confidential retirement offers and a former union vice president being "scripted" to support company initiatives are among the newest allegations in the UAW-FCA corruption scandal.

The information was released as part of a plea deal between federal officials and former FCA labor relations chief Alphons Iacobelli, who pleaded guilty Monday to two of seven charges related to his role in siphoning more than $4.5 million in training center funds to union and company officials.

The details, for the first time since the investigation was made public in July, show federal officials saying company executives paid UAW officials in an attempt to influence union decisions and collective bargaining agreements, which were ratified in 2011 and 2015.

Iacobelli, 58, according to the plea, admitted he and other FCA executives or employees paid "senior UAW officials" more than $1.5 million in an effort to "obtain benefits, concessions, and advantages for FCA in the negotiation, implementation, and administration" of the agreements.

The investigation started with a training center jointly operated between the union and FCA but has since expanded to similar operations with Ford Motor Co. and General Motors, where Iacobelli was employed following FCA. No union or company officials with GM or Ford have been formally named or charged with any crimes.

Iacobelli has agreed to cooperate in the Justice Department's ongoing investigation into alleged misspending at union training centers funded by U.S. automakers, according to the plea deal.

The alleged payments included paying off a mortgage for $262,219, first-class airline travel, designer clothing, furniture, jewelry and custom-made watches.

Not previously detailed was a $30,000 party for a union official that included "ultra-premium liquor," more than $7,000 worth of cigars and more than $3,000 in wine with custom labels. The party allegedly occurred at an FCA training center in Warren, Mich.

UAW officials, including President Dennis Williams, have contended that the alleged activities could not have impacted negotiations, as union members have the final vote on the contracts, which are bargained between dozens, if not hundreds, of individuals.

The corruption of a few, the union and company have argued, could not influence all of the committees and members.

A UAW spokesman on Monday reiterated that the union is "appalled at these charges" and has taken measures to "reduce the risk of any future recurrence of these activities." He declined to comment directly on the newest allegations, referring to previous statements from Williams.