The president of a little-known New York City law enforcement union raided members’ retirement funds to pay for a second home, travel and a car, Manhattan federal prosecutors charged Monday.
Kenneth Wynder, the president of the Law Enforcement Employees Benevolent Association, was charged with running the fraud scheme since 2014. Authorities said he made more than $500,000 in bogus transfers out of retirement accounts, wiping out the entire balance for some members. The union represents members of the city’s Environmental Protection, Sanitation and Transportation departments.
Prosecutors also charged Steven Whittick, the union treasurer and an Environmental Protection Department police officer, with obstructing the investigation and lying to federal investigators.
“As alleged, both law enforcement and civilian members of multiple city agencies had their retirement savings compromised by two individuals who prioritized their own financial well-being over that of the hardworking men and women who dedicated their livelihood to serving the public. Most people only get one chance to put aside enough money to last them into retirement. To think the money these individuals worked so hard for could allegedly be swindled by the very people who play a role in managing it is disturbing beyond belief,” William Sweeney, head of the FBI’s New York field office, said.
Wynder, a former state trooper who retired on disability, allegedly used members’ money to cover personal expenses, including for personal automobiles, insurance benefits, a second residence and a football trip in 2018 to Dallas that included a college football game and a Giants-Cowboys game, prosecutors charged. Union money covered nearly $3,000 in hotel rooms for the football trip and six airline tickets, according to an 11-page complaint.
The charges come as the city’s powerful law enforcement unions have fallen under scrutiny amid protests following the police killing of George Floyd in Minneapolis. Mayor de Blasio has said the leadership of the Sergeants Benevolent Association has engaged in “racist” acts. De Blasio has also clashed with the Police Benevolent Association, which has been opposed to many NYPD reforms.
Members of the Law Enforcement Employees Benevolent Association filed a class-action lawsuit in 2015 against Wynder, accusing him of corruption and bungling contract negotiations with the city. Wynder has denied wrongdoing. The suit is ongoing.
