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multimillion-dollar racketeering lawsuit against two developers and a bankrupt construction manager


Posted on Sep 22, 2011

 

The Metallic Lathers and Reinforcing Ironworkers Union Local 46 and the Mason Tenders District Council of New York City filed a multimillion-dollar racketeering lawsuit against two developers and a bankrupt construction manager, alleging that Lalezarian Developers and JMH Development conspired, with construction manager HRH Construction, to perform major construction contracts with non-union labor, even though HRH allegedly has a collective bargaining agreement requiring that all its projects use unionized labor. It is alleged that these companies created a ‘bogus' corporation, Leviathan Construction Management, to do the non-union work and skirt the collective bargaining agreement, the complaint alleges. Suit is filed in the U.S. Bankruptcy Court for the Southern District of New York. Such an arrangement, if true, would cost union construction workers millions of dollars in work.

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