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Union paid firms with family ties

Nothing improper about payments, SEIU spokeswoman says.

September 26, 2008|Paul Pringle, Times Staff Writer

She said the expenditures comply with rules against nepotism and self-dealing that the union adopted in 2005. The officers had no input in the hiring of spouses or in their compensation, she said.

"They did not work for, nor were they retained by, their spouses, and they did a good job," Ringuette said.


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The SEIU represents about 2 million healthcare workers, government employees, janitors and others in the private and public sectors. Ringuette said the union received excellent services from Rosenthal's organizations, America Votes, the consulting firms and the individuals, Mullinax among them.

"She is a respected political consultant," Ringuette said.

She said the money paid to America Coming Together was particularly well spent, considering the group's widely applauded efforts to turn out Democratic voters in the 2004 presidential election. Ringuette added that Rosenthal more than earned the $520,000 that his consulting firm received for political work.

Rosenthal said any criticism of his relationship with the union would be "almost stunning." "I hold the work I do up to anybody's," he said.

And Richards, now president of Planned Parenthood, said in a statement that America Votes is a coalition of more than 40 groups, and that its financial records are "transparent."

Richards is the wife of former Stern chief of staff Kirk Adams, now a union director.

Attempts to reach other officers and their spouses were unsuccessful.

The SEIU's policies also require transparency in decisions to give union business to relatives. But the number and size of the SEIU payments were unusual, said a leader of a labor reform group.

"This is very uncommon in unions," said Ken Paff, national organizer of Teamsters for a Democratic Union. "We've had a lot of that in the Teamsters. . . . It's a bad indicator about a union when you have a pattern of husband and wife in that kind of role."

The SEIU has come under scrutiny recently by federal criminal authorities, following Times reports last month that its largest California local and a related charity paid hundreds of thousands of dollars to firms owned by the wife and mother-in-law of the local's president, Tyrone Freeman.

The local spent similar sums on a golfing resort, expensive restaurants and a Beverly Hills cigar lounge. According to the union, Freeman also spent union money on his Hawaiian wedding.

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