Union leaders of Los Angeles Fire Department under suspension following audit's revelation of $800,000 in questionable credit card expenditures.
Scoop on the LA Fire Union's Financial Fiasco
The top three honchos of the Los Angeles Fire Department's labor union are now on the bench following an investigation that uncovered a whopping $800,000 in questionable credit card transactions[1]. The International Assn. of Fire Fighters (IAFF), which governs the United Firefighters of Los Angeles City (UFLAC), took action against Union President Freddy Escobar and the other two officials regarding financial irregularities, such as missing receipts and undocumented expenditures[1][2].
IAFF General President Edward Kelly penned a letter to UFLAC members, expressing concern over the financial malpractice committed by Escobar and other union leadership, explaining that these practices had caused significant harm to the membership[1]. IAFF appointed John Bagala, a state representative for the IAFF and president of Marin Professional Firefighters, to take over the union and restore financial responsibility and legitimacy[1].
The catalyst for this investigation was a wide-ranging audit of UFLAC's finances, which revealed a kaleidoscope of financial anomalies. This audit came in the wake of Times reports about these financial irregularities as well as excessive overtime payments to Escobar and other union officials[1].
According to the letter, Escobar made an astonishing 1,957 transactions, totaling $311,498, between July 2018 and November 2024[1]. Escobar's transactions were about 70% undocumented, amounting to $230,466 - money that it's impossible to determine the purpose of[1]. Escobar, Walker, and Albarran Jr. - the other two suspended officials - had a combined $530,000 in credit card transactions with no receipts or inadequate documentation[2].
Adding fuel to the fire, Escobar allegedly made 339 transactions in 2024, totaling $71,671, all without submitting a single receipt[1]. Despite warnings from different auditors flagging accounting problems, Escobar continued to flout UFLAC's financial policies. Allegedly, he failed to properly document his expenditures, leading to significant concerns about the legitimacy and purpose of his transactions[1].
Union Vice Presidents Chuong Ho and Doug Coates were also suspended, accused of not upholding their fiduciary responsibilities by failing to enforce UFLAC policy[1]. In response to the allegations, both Ho and Coates remained tight-lipped.
The investigation began in October when Jason Powell, UFLAC's new treasurer, raised concerns about alleged improper recordkeeping and use of union funds[1]. Powell expressed optimism about the situation, stating that "we will get through these difficult times"[1].
These financial missteps in the UFLAC union have shed light on the importance of proper financial stewardship, especially for union officers who have a legal responsibility to ensure that dues are spent in the best interests of the members and in a manner that can be tracked[1]. It is crucial for local union officers to protect the dues money contributed by members, and maintain transparency in union expenditures.
Sources:
- The Times investigation: LAFD union head made $540,000 in a year, with huge overtime payouts
- A Times investigation: LA firefighters union head Escobar made $540,000 in one year with huge overtime payouts
- Ex-officer for L.A. firefighters union faces internal inquiry over charity finances
Fun Fact: Did you know that, on average, firefighters fight over 1,400 residential fires in California every year[4]? That's a lot of heat!
- The financial misconduct within the United Firefighters of Los Angeles City (UFLAC) has led to the suspension of top officials, including Union President Freddy Escobar, due to questionable credit card transactions totaling $800,000, as reported in the General News and Crime & Justice section.
- The finance sector of the IAFF, which oversees UFLAFC, has taken action against Escobar and other officials, citing financial irregularities such as missing receipts and undocumented expenditures, causing substantial harm to the union's membership.
- The LA Times investigation uncovered astonishing financial anomalies within UFLAC, with Escobar making over 1,900 transactions totaling $311,498, most of which had no documentation, leading to concerns about the legitimacy and purpose of these transactions.
- In light of these findings, it is imperative for union officers to prioritize financial responsibility and transparency, ensuring that dues are spent in the best interests of the members and in a manner that can be tracked, as general news and crime & justice stories are highlighting.
