victions for violations of this section from January 1953, to July 11, 1957, is attached. At the latter date 29 defendants indicted for such violations were awaiting trial. Of these cases, only three involved employee welfare funds, as follows:

(1) U. S. v. Arroyo. The defendant in this case was found guilty by a jury of receiving money from employers whose employees he represented on February 27, 1957, in the United States District Court at Puerto Rico. Arroyo had negotiated a collective-bargaining agreement which provided that the employers would contribute to a welfare plan for their employees. Arroyo insisted upon the employers paying him, as the union agent, the initial contribution of $15,000 for the fund before the trust was created or the trustees appointed. Arroyo received the money and then converted it to his own use. This case is now pending on appeal.

(2) U. S. v. Gallagher and Charles J. Vokhoun. The defendants in this case are the president and counselor of Local No. 52, Painters, Cleaners and Caulkers Union, at Chicago. This local is affiliated with the Bricklayers, Masons and Plasterers Union of America, AFL-CIO. The defendants are charged with having received from employers whose employees Gallagher represented contributions to an employee-welfare fund which was not a trust under joint employeremployee management as required by section 302 (c) (5). These defendants were indicted at Chicago on October 20, 1955, and preliminary motions attacking the validity of the indictment having been ruled upon in the Government's favor, an early trial is expected.

(3) U. S. v. Angelo Inciso. This defendant was president of Local No. 286, United Industrial Workers of America (formerly United Automobile Workers, AFL), and was indicted at Chicago, October 23, 1956, charged with obtaining from employers, whose employees he represented, contributions for an employees' welfare fund that was not a trust under joint employer-employee control as required by section 302 (c) (5). This case is still pending trial.

There is also attached a list of convictions for violations of the Hobbs Act (18 U. S. C. 1951), from January 1953 to July 11, 1957. On the latter date the trials of 35 defendants were pending.

If we can be of any further assistance to your committee, please let us know. Sincerely,

WARREN OLNEY III,

Assistant Attorney General, Criminal Division.

By JOHN J. SCHAUER, Jr.,

Chief, Organized Crime and Racketeering Section.

Enclosure.

Hobbs Act (18 U. S. C. 1951) convictions since January 1953

Probation for 3 years and fine of $1,000.
Pending.

Probation for 3 years and fine of $3,000.

Imprisonment for 5 years and fine of $5,000.

Imprisonment for 5 years and fine of $5,000, con-
secutive with above.

Imprisonment for 4 years and fine of $10,000.

Imprisonment for 10 years.

Imprisonment for 5 years, concurrent with 27592.

Hobbs Act (18 U. S. C. 1951) convictions since January 1953-Continued

(Pursuant to the direction of the chairman, the following letters, prepared statements, etc., are submitted for the printed record :)

STATEMENT BY EARL W. JIMERSON AND PATRICK E. GORMAN, PRESIDENT AND SECRETARY-TREASURER, AMALGAMATED MEAT CUTTERS AND BUTCHER WORKMEN OF NORTH AMERICA, AFL-CIO

Our names are Earl W. Jimerson and Patrick E. Gorman. We are the two international executive officers-that is, president and secretary-treasurer of the Amalgamated Meat Cutters and Butcher Workmen of North America, AFL-CIO.

The AMCBW is a labor union with 350,000 members organized in more than 500 local unions throughout the United States and Canada. The AMCBW and its locals have contracts with thousands of employers in the meat, retail, poultry, egg, canning, leather, fish processing and fur industries.

We are grateful for the opportunity to present the views of the AMCBW on this vital legislation. Our union believes that a law for the registration, reporting and disclosure of health, welfare, and pension funds is long overdue.

On May 26, the AMCBW international executive board, at a meeting in New York, considered the progress of welfare fund disclosure legislation. It unanimously approved the following statement as the position of our union:

"The Amalgamated Meat Cutters and Butcher Workmen of North America, AFL-CIO, urges Congress to enact legislation providing public disclosure and accounting of funds in health, welfare, and pension programs.

We specifically support S. 1122, introduced in Congress by Senator Paul Douglas of Illinois, and its companion bills in the House of Representatives, concerning disclosure of activities of all health, welfare, and pension funds, both management and union administered. This measure is the strictest of any legislation now before Congress for this purpose. Our union will continue to work for the enactment of S. 1122, and its companion bills in the House of Representatives. But we urge that the Labor Department, rather than the Securities and Exchange Commission (as now proposed in S. 1122 and its companion bills in the House of Representatives), be made responsible for the administration of the disclosure law.

"We believe such legislation will benefit labor unions, as well as the entire Nation. The disclosures will prove what labor has maintained for so long-that dishonesty is, extremely rare among union-administered funds. We want this legislation because it will dissipate the cloud of suspicion, which some have attempted to cast on these funds and labor.

"We note that the National Association of Manufacturers is against S. 1122 because the bill would force accountings from management-administered funds. It is ironic that the NAM, which is crying so loudly for disclosure legislation for union-administered funds, is in violent opposition to scrutiny of managementadministered ones. This is fitting testimony to the sanctimonious hypocrisy of the NAM and other organized employer groups.”

In short, our union believes that it is in the public interest and in labor's interest that a public accounting of these funds should be made periodically. This is the best safeguard against mismanagement and dishonesty.

A registration, reporting and disclosure law will protect the millions of men and women covered by health and welfare and pension funds. It will also protect the thousands of administrators of these funds, who manage them ably and honestly, for disclosure will provide positive proof of their efficient and above-board operation.

We are shocked, Mr. Chairman, by the hypocrisy of organized management, which seeks to avoid public scrutiny of management-administered welfare funds. President George Meany has given four examples of unethical and even corrupt practices in the administration of such funds. There are, undoubtedly, many more examples.

It is rather strange that at the first instance when organized management has a chance to do something concrete about corruption, it spurns the opportunity with disdain. Apparently, corruption and crookedness within management does not bring concern to the gentlemen of the National Association of Manufacturers, chambers of commerce, and other organized management groups. As stated in our executive board's statement, our union believes that both union-administered, jointly administered, and management-administered funds should come under the disclosure legislation. In our opinion, H. R. 487, by Representative Thompson, and H. R. 4653, by Representative Green, are the best bills for that purpose.