Defendants were officials of Local 39 of International Hod Carriers Building and Common Labor Union of America, which procured a closed shop agreement with certain contractors on a federal building project. Defendants were indicted for violation of the federal Kickback Act, the indictment charging that defendants had (1) collected five dollars weekly from nonunion employees on the project by threatening them with dismissal, (2) given receipts for payments collected and accepted employees as union members on presentation of receipts totalling the union initiation fee, (3) but had not kept a record of collection nor accounted to Local 39, as required by union regulations, for amounts collected. The Kickback Act provides: "Whoever shall induce any person employed in the construction, prosecution, or completion of any public building . . . to give up any part of the compensation to which he is entitled under his contract of employment, by force, intimidation, threat of procuring dismissal from such employment, or by any other manner whatsoever, shall be fined not more than $5,000 . . . . " On defendants' motion, the federal district court dismissed the indictment for failure to state an offense cognizable in law, holding that union officials were not within the scope of the act. On direct appeal to the United States Supreme Court, held, judgment affirmed. Three justices dissented. United States v. Carbone, (U.S. 1946) 66 S.Ct. 734.
James R. Bliss,
LABOR LAW-KICKBACK ACT-APPLICATION TO UNION OFFICIALS,
Mich. L. Rev.
Available at: https://repository.law.umich.edu/mlr/vol45/iss2/15