McLaughlin pleads guilty to embezzling

In the nearly year-and-a-half since being arrested on federal racketeering charges, former Assemblymember Brian McLaughlin has kept a low profile.
On Friday, March 7, the seven-term politician and former head of the New York City Central Labor Council (CLC) pleaded guilty to embezzling $2.2 million in funds from the organizations and people he worked for and served.
McLaughlin, 55, who is free on half a million dollars bail and has returned to his roots by working as an electrician, will be sentenced in September. He faces up to 10 years in prison.
On Tuesday, October 17, 2006, a 186-page federal indictment was filed, alleging that McLaughlin and his associates stole money from numerous organizations including the State of New York, non-profit organizations and labor unions under the CLC.
McLaughlin even allegedly stole from children, as the indictment charges that McLaughlin allegedly misappropriated nearly $100,000 from the Electchester Athletic League Association, a non-profit corporation that finances a Little League program.
As reported in The Queens Courier newspapers at the time, according to the indictment, in McLaughlin’s position as the highest-ranking official of the
J Division of Local 3 of the International Brotherhood of Electrical Workers (IBEW), he allegedly stole money from a J Division bank account, accepted payments from union contractors and directed the activities of the members for his own personal profit.
One of the largest money amounts detailed in the indictment charges McLaughlin with taking nearly $400,000 in illegal cash payments from J Division Contractors, who also provided three vehicles for McLaughlin and two other personal associates.
In addition, McLaughlin allegedly used J Division workers to perform private tasks for him including small construction projects, shoveling snow, searching for and capturing rodents in his basement, taking out trash and even changing a light bulb.
In his assembly position, McLaughlin allegedly created fake positions on his staff pocketing a share of the salary for that position and misappropriated more than $35,000 from the state, according to the indictment.
“For more than a year now, the Central Labor Council and its Executive Board have worked hard to strengthen our leadership structure and processes,” the CLC said in a statement issued on Friday, March 7. “We have made the necessary changes to reinvigorate our institution, increase the transparency of our operations and better manage the inclusiveness of our affiliates in Council business. Union members throughout this city can be assured that the Central Labor Council acted quickly to ensure a strong and accountable labor movement. That being said, we wish the McLaughlin family well at this difficult time.”
The new president of the CLC is Gary La Barbera, elected June 2007.