IN RE: ALFRED P. DEREY,
Protest Decision 2001 EAD 192
Issued: February 26, 2001
OEA Case No. PR021514MI
Alfred Derey, secretary-treasurer of Local 372 and a delegate candidate, filed a pre-election protest pursuant to Article XIII, Section 2(b) of the Rules for the 2000-2001 IBT International Union Delegate and Officer Election ("Rules"). Derey alleges that his opponent in the delegate election, Dennis Nazelli, received prohibited support from non-members in connection with the mailing of candidate literature.
Election Administrator representative Jason Weidenfeld investigated the protest.
Findings of Fact and Analysis
Non-members, among others, helped Nazelli prepare his mailing of campaign literature. Specifically, Mildred Kenyon, a retiree, and Tom Bernak, a Local 2040 member currently on withdrawal, helped Nazelli. They provided their labor, but no supplies, in assisting Nazelli.
When Nazelli initially contacted Kenyon and Bernak, Nazelli indicated that as a thank-you for their help, he would take them out for meals. Nazelli took Bernak out for a meal on the night of the mailing and took Kenyon out for a meal three days later. The cost of these meals was not great.
We have provided guidance on permitted and prohibited campaign contributions. Advisory on Campaign Contributions and Disclosure, September 27, 2000. The Advisory reiterates the Rules' prohibition on contributions from non-members. Rules, Article XI, Section 1(b)(4); Advisory, Article III, Section B.
Article III, Section I of the Advisory discusses the treatment of donations. According to this section, non-members may provide personal services to a candidate if the non-members, among other things, receive no compensation for their services.
Nazelli's compensation of his helpers, regardless of its value, means that the personal services provided constituted prohibited campaign contributions. "Candidates are strictly liable for ensuring that each contribution received is permitted." Rules, Article XI, Section 1(b)(13)).
Accordingly, we GRANT the protest.
When the Election Administrator determines that the Rules have been violated, he "may take whatever remedial action is appropriate." Article XIII, Section 4. In fashioning the appropriate remedy, the Election Administrator views the nature and seriousness of the violation as well as its potential for interfering with the election process.
Based upon the foregoing, we order Nazelli to cease and desist from receiving any campaign contributions from non-members. A decision of the Election Administrator, unless otherwise stayed, takes immediate effect against a party found to be in violation of the Rules. Lopez, 96 EAM 73.
Any interested party not satisfied with this determination may request a hearing before the Election Appeals Master within two (2) working days of receipt of this decision. The parties are reminded that, absent extraordinary circumstances, no party may rely upon evidence that was not presented to the Office of the Election Administrator in any such appeal. Requests for a hearing shall be made in writing, shall specify the basis for the appeal, and shall be served upon:
Kenneth Conboy
Election Appeals Master
Latham & Watkins
Suite 1000
885 Third Avenue
New York, New York 10022
Fax: 212-751-4864
Copies of the request for hearing must be served upon all other parties, as well as upon the Election Administrator for the International Brotherhood of Teamsters, 727 15th Street NW, Tenth Floor, Washington, DC 20005, all within the time period prescribed above. A copy of the protest must accompany the request for hearing.
William A. Wertheimer, Jr.
William A. Wertheimer, Jr.
Election Administrator
cc: Kenneth Conboy
2001 EAD 192
DISTRIBUTION LIST VIA UPS NEXT DAY AIR:
Patrick Szymanski
IBT General Counsel
25 Louisiana Ave. NW
Washington, DC 20001
Bradley T. Raymond
Finkel, Whitefield, Selik,
Raymond, Ferrara & Feldman
32300 Northwestern Highway
Suite 200
Farmington Hills, MI 48334
J. Douglas Korney
Korney & Heldt
30700 Telegraph Road
Suite 1551
Bingham Farms, MI 48025
Barbara Harvey
Penobscot Building
Suite 1800
645 Griswold
Detroit, MI 48226
Betty Grdina
Yablonski, Both & Edelman
Suite 800
1140 Connecticut Ave. NW
Washington, D.C. 20036
Tom Leedham c/o Stefan Ostrach
110 Mayfair
Eugene, OR 97404
Alfred P. Derey
IBT Local 372
2741 Trumbull Avenue
Detroit, MI 48216
Dennis Nazelli
19785 Purling Brook
Livonia, MI 48152
Michael Nicholson
122 S. Main St.
Suite 210
Ann Arbor, MI 48104