The CHAIRMAN. In other words, even though they are regular members and paid their dues, and kept in good standing, if they do not go along with the Griffins, apparently, they will take in outside men and let them pay permit fees and get the jobs rather than give it to their own union members.

Mr. DUFFY. Yes. This is also an interesting affidavit.
Mr. J. R. Longing states, in substance:

Our local union has no welfare or sick benefits. I personally have spoken up in union meetings and asked why we did not have such benefits. I have heard Earl Griffin answer that they could be too costly for the union. However, the union can afford an expensive airplane and other benefits for its officers. I have frequently spoken up at union meetings against the policies of the local union. As a result I have had trouble getting work. In 1956 I objected to the methods and policies of the local union, and the following day I was replaced on an instrument chemical job in El Dorado.

In 1956 and 1957 a petition was passed round to keep in office the local union officers. Earl Griffin, who controls local 706, said at a union meeting that if the election did not go as he wanted it, that he would cut this jurisdiction of the local back to the city limits of El Dorado.

The CHAIRMAN. By cutting, the jurisdiction back, that meant that they would only get work in El Dorado, if the job was in El Dorado? Mr. DUFFY. That is correct.

The CHAIRMAN. That was a threat that was made?

Mr. DUFFY. Yes, sir.

Here is another affidavit. Mr. O. H. Primm states, in substance:

During August of 1959, I signed a letter addressed to the president of our national union asking for an organizer of the national union to meet with a group of the local union members in order to investigate the finances of our local union. Within a week after I signed this letter I was in the lobby of the union hall when Earl Griffin appeared and made a statement so typical of him. In the presence of about 60 men, he said that the 6 individuals who had signed a letter to the president of our national union, requesting an investigation of our local union, would be suspended from the union or heavily fined, and put back in line. He went on to discuss a job where approximately 35 men would be used and then added that 6 additional men could have been used on the project if this letter had not been signed and sent to Washington.

Again, Senator, this theme runs through all of these affidavits.

The CHAIRMAN. I might ask you at this point, from your investigation down there, from the charges in these affidavits and from other information you may have gotten, are you pretty well convinced that this union is pretty well run by coercion and intimidation and reprisals?

Mr. DUFFY. I am convinced of that. Of course we didn't take depositions from every man we interviewed, but we interviewed 40 to 50 men down there and the theme that they had expressed to us on this subject matter was the same all along.

The CHAIRMAN. That is the thought I had in mind. The affidavits you procured are not the only ones you interviewed.

Mr. DUFFY. It represents the views of the many we interviewed. The CHAIRMAN. The affidavits are representative of the conditions you found there, but there were others who would verify substantially the same information contained in the affidavit?

Mr. DUFFY. That is correct, Senator.

Mr. MUNDIE. I might concur that I interviewed a lot of men that he did not talk to, and it was the same impression there. The majority of them stated that all the Griffins wanted from them is that $4.50 a month, whether they work or not, but they have to donate every month or their card will cancel out on them. Some of the men have worked 2 or 3 weeks in a year, hardly enough money to pay for the union dues.

The CHAIRMAN. Just enough to pay their union dues?

Mr. MUNDIE. That is right.

The CHAIRMAN. And they take all of it?

Mr. MUNDIE. That is right.

The CHAIRMAN. All right; let us go on to the next thing, which is the misuse of union funds.

Now, this morning we talked about the misuse of a joint venture fund or assessment or work fund that was intended to be a joint venture fund of three locals. It then all wound up in the hands of local 706 in its three accounts, or that is where any that could be traced wound up. There was $120,000 that apparently, or approximately that much, that you have been unable to trace?

Mr. MUNDIE. That is correct.

The CHAIRMAN. Now, let us go to the question of misuse of union funds; that is, dues money of local 706, funds that come in that category. What did you find with respect to that?

Mr. MUNDIE. We examined vouchers and the canceled checks that were available for us to observe. We found a number of items. The CHAIRMAN. Over what period of time?

Mr. MUNDIE. A period of time from 1951 through 1958.

Now, some of the records were not available, but the ones that were available we did examine. They were not complete.

The CHAIRMAN. How did they have records from 1951 to 1958? I thought all of those were lost?

Mr. MUNDIE. They had some canceled checks and old books and invoices.

The CHAIRMAN. You did not find a complete set of records prior to what date?

Mr. MUNDIE. Prior to 1955. For example, we would find an invoice that was marked "Paid” in an old box or something around in 1951. We checked the name of the firm in El Dorado to find out how that money was paid, and from their records, and we checked out a lot of items in that way.

The CHAIRMAN. Well, you were unable to make a thorough check that would accurately determine the situation because of lack of records to enable you to do it?

Mr. MUNDIE. That is right.

The CHAIRMAN. All right, go ahead.

Mr. MUNDIE. We found a number of purchases that were unauthorized from the membership at union meetings, and they were paid from union funds from local 706.

The CHAIRMAN. Give us the nature of those purchases.

Mr. MUNDIE. For example, in January 3, 1958, for Christmas gifts, the purchased Christmas gifts for general organizers: 20 diplomat briefcases at $57.50 each; 20 men's two-suiter suitcases at $79.50 each; 4 ladies' wardrobe cases at $82.50 each; 4 ladies' hat and shoe cases at $92.50 each; and 2 pilot flight cases at $69.50 each. The total amount for this-I should have given the figures after each item. I think I have the total.

The CHAIRMAN. You have the total of those figures, Mr. Mundie?
Mr. MUNDIE. I have the total of those items that he read.
The CHAIRMAN. That was January of what year?

The two men's

Mr. MUNDIE. This is January 1958, for the Christmas gifts of 1957, and I might say 20 diplomat briefcases cost $1,150. two-suiter suitcases cost $1,590.

The total of that was $3,870.02, which was paid to the Star Clothing House.

The CHAIRMAN. Do you have a copy of that invoice?

Mr. DUFFY. I made an exhibit here from these invoices.

The CHAIRMAN. You have prepared an exhibit to submit for the record?

Mr. MUNDIE. Setting forth the date the purchases were made, the item involved, and the amount, and who it was purchased from. The CHAIRMAN. Do you have other items?

Mr. MUNDIE. I have a number of other items I would like to refer to. I might add to all of the items that Mr. Duffy has on this, there are photostatic copies of the vouchers and the checks in the files.

The CHAIRMAN. Then you will arrange these in the order of the vouchers and the canceled checks and photostatic copies, whatever you have, in one bundle for each year?

Mr. DUFFY. We have all of those downstairs.

The CHAIRMAN. They will be made an exhibit in bulk of all of these documents to which you referred. They will be marked "Exhibit No. 15" for the record.

That will include the totals, and for all documents in support of these expenditures as per Mr. Duffy's exhibit.

Now, if there is anything specific, we can as we go along make a separate exhibit of it.

Mr. DUFFY. I won't go through all of these items. The exhibit will be inserted in the record.

The CHAIRMAN. You do have a list of them?

Mr. DUFFY. Yes, sir.

The CHAIRMAN. The list will be printed in the record at this point, and the supporting documents will be contained in exhibit No. 15.

(The document referred to was marked "Exhibit No. 15" and may be found in the files of the committee.)

(The list is as follows:)

Purchases—Unauthorized by the membership and paid for by check from union funds of local 706

Mr. DUFFY. In December of 1956 there were Christmas gifts for $1,594. It doesn't state exactly who those gifts went to. They were just Christmas gifts. There is nothing in the minutes to indicate these were authorized by the membership.

The CHAIRMAN. Who examined the minutes of the meetings?
Mr. DUFFY. Both of us.

The CHAIRMAN. Both of you examined the minutes of the union meetings. Was there anything in the minutes, at any period of time, authorizing these expenditures to be covered by this exhibit, that is, by your list and exhibit 15?

Mr. DUFFY. No, sir.

Mr. MUNDIE. No, sir.

The CHAIRMAN. You examined all of the minutes that were available?

Mr. MUNDIE. I might add that the minutes run all of the way back to 1951 and 1952.

The CHAIRMAN. They have all of the minutes, and so you examined all of the minutes back to 1951 ?

Mr. MUNDIE. That is right.

The CHAIRMAN. There is nothing in the minutes authorizing these expenditures?

Mr. MUNDIE. That is right.

On some of these, I might add, on some of the notations we found in the file, these items were approved as of such-and-such minutes, but there was nothing in the minutes approving these items.

The CHAIRMAN. There was nothing in the minutes to show it, although the items may have been marked "Approved"?

Mr. MUNDIE. That is right.

The CHAIRMAN. Were there any minutes of the meeting of the board of directors or board of trustees or whatever other governing arm they have besides the regular union meetings.

Mr. MUNDIE. Of the regular meetings, I discussed the problem of minutes with a couple of the members of the executive board, and they just had a round table discussion of the affairs, and no record was made of them.

The CHAIRMAN. The board keeps no minutes?

Mr. MUNDIE. Well, talking to Mr. Longing, there was one; he was denied the privilege of any and all records of the union.

The CHAIRMAN. I understand, but could you find and were you able to examine any records or, rather, minutes of the board of directors or board of trustees or whatever the name was?

Mr. MUNDIE. It was the executive board, and there were no records. The CHAIRMAN. They have no minutes of the executive meetings? Mr. MUNDIE. No, sir; if they have them, they were not produced for our inspection.

The CHAIRMAN. Did you ask for them?

Mr. MUNDIE. Yes, sir.

The CHAIRMAN. And they did not produce any for your inspection?

Mr. MUNDIE. That is right.

The CHAIRMAN. No record was made available to you showing the authorization of the expenditure of moneys for these items that are of extraordinary or unusual nature?

Mr. MUNDIE. That is correct.

The CHAIRMAN. And apparently, from the list that has been read there, what he has read so far clearly indicates that they just went out and bought all of the officers and their wives some presents.

Mr. MUNDIE. Their officers and friends were bought fishing rods and outboard motors and boats.

The CHAIRMAN. That is shown on the list, is it?

Mr. MUNDIE. Yes, sir; and their wives would go to certain cafes and lunchrooms around there and sign the tickets for meals and everything else.