Joseph Lampignano, co-owner of A Lamp Concrete Contractors Inc., in Schaumburg, IL, is charged with one count of mail fraud and is facing prison time if convicted.
Lampignano is accused of underpaying union employees and underfunding their pensions. Lampignano allegedly assigned workers to government-funded road construction projects without paying the union-negotiated wage rate. Lampignano allegedly unerpaid workers by more than $1.5 million between 2008 and 2013.
During that same time period, Lampignano allegedly submitted false reports to the union's pension and welfare funds underreporting the number of hours some of the laborers worked, lowering the amount of contributions the company was required to make to the funds by more than $1 million.
Lampignano faces up to 20 years in prison for the fraud charge.
Lampignano and his superintendent, Giovanni Traversa, are also accused of making employees repay part of settlements they received from a civil lawsuit over unpaid wages. Traversa was also charged with one count of making false statements to the FBI and U.S. labor department's inspector general's office, which is punishable by up to five years in prison.
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