NEWS RELEASE

UNITED STATES ATTORNEY�S OFFICE
WESTERN DISTRICT OF VIRGINIA


John L. Brownlee
United States Attorney

Patricia A. Grisetti
Media Contact

Thomas B. Mason Building
105 Franklin Rd., S.W.
Roanoke, Virginia 24011
(540) 857-2250
FAX (540) 857-2180

February 19, 2002

United States Attorney John L. Brownlee announced today that Joseph William Burress, age 42, of Pilot, VA; Rhonda Lorraine Creed, age 34, of Christiansburg, VA; William Edward Fricker, age 32, of Dublin, VA; Elizabeth Jane George, age 44, of Radford, VA; and Edward Alexander Ramsey, age 58, of Max Meadows, VA, were indicted by a federal Grand Jury sitting in Roanoke, Virginia.

Burress, Creed, Fricker, George, and Ramsey were charged in a 19-count indictment with conspiracy to embezzle funds from the United Steelworkers of America, AFL-CIO, Local Union No. 9336 and to make false entries in the books and records of the United Steelworkers of America, AFL-CIO, Local Union 9336. The defendants are also charged with embezzling funds belonging to the union and with making false entries in the books and records of the union.

The indictment charges that the defendants engaged in two primary schemes. The first involved false or excessive claims for �lost time� on union business in which the defendants double-billed the union for lost time for which they were also paid by the Internet New River Foundry. Burress, Creed, Fricker and Ramsey received over $10,000 in false or excessive lost time payments, according to the indictment.

The second scheme charged in the indictment involved a union disaster relief fund set up after an explosion at the plant on March 6, 2000. The fund was to provide financial assistance to union members in need as a result of the explosion, such as those facing foreclosure, repossession, or eviction. Approximately $22,500.47 was paid into the disaster relief fund. Although 121 union members were eligible to apply for benefits, approximately 50% of the disaster relief funds were paid to the five defendants in this Indictment, although various of the defendants had gone back to work or were on company-paid sick leave. Other applicants whose needs were greater never knew of the existence of the fund or were denied benefits by the defendants who were administering the disaster relief fund, according to the indictment.

If convicted on all counts, the maximum penalty faced by Burress, Creed, Fricker, and Ramsey is 17 years imprisonment and/or a fine of $950,000. If convicted on all counts, the maximum penalty faced by George is 11 years imprisonment and/or a fine of $600,000.

The investigation of the case was conducted by the United States Department of Labor, Office of Labor-Management Standards, Pittsburgh District Office, Phone # (412) 395-6825; Washington District Office, Phone # (202) 254-6510, and the Department of Labor, Office of Inspector General, in Roanoke, Virginia. Assistant United States Attorney Joseph W. H. Mott will prosecute the case.

A Grand Jury indictment is only a charge and not evidence of guilt. The defendant is entitled to a fair trial with the burden on the government to prove guilt beyond a reasonable doubt.

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