UAW training center sues to recover $4.4 million in embezzled funds

DETROIT — The UAW training center embroiled in a multimillion-dollar federal corruption scandal sued two former Fiat Chrysler Automobiles officials and a union leader’s widow Friday to recover more than $4.4 million in damages.

The UAW-Chrysler National Training Center, according to a lawsuit filed in a Michigan circuit court, accuses former FCA labor relations boss Alphons Iacobelli; Monica Morgan, widow of former UAW Vice President General Holiefield; and Jerome Durden, a former FCA financial analyst, of conspiracy to embezzle the money.

The 10-count civil suit accuses Iacobelli and Durden of fraud, fraudulent concealment, unjust enrichment, civil conspiracy and breach of fiduciary duty.

Each of the defendants has separately pleaded guilty to charges related to the federal conspiracy case and is awaiting sentencing.

The suit also names Iacobelli’s wife, Susanne, for allegedly benefiting from the conspiracy. She has not been subject to the ongoing federal probe. FCA officials are accused of paying union officials to take company-friendly positions during labor negotiations.

The training center, a joint training center funded by the automaker, is seeking more than $4.4 million: Nearly $2.7 million from Alphons Iacobelli; more than $1.1 million from Susanne Iacobelli; $539,219 from Holiefield; and $70,300 from Durden. However, some of the funds being sought could overlap, making the actual amount less.

“The NTC has zero tolerance for wrongdoing, and will work tirelessly to ensure that it operates to fulfill its intended purpose and to see that every dollar under its control is properly spent and accounted for,” Shawn Fain and Tom Rolands, co-directors of the center, said in a joint statement.



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