The International Organization of Masters, Mates and Pilots has obtained a $1.7 million insurance settlement connected to a multimillion-dollar embezzlement scheme by one of its officials.
The settlement, made with National Union Fire Insurance Co. of Pittsburgh, means that the Linthicum Heights-based union has recovered $2.8 million of the $3.6 million it says was stolen over 15 years.
"This settlement brings closure to a sad and painful chapter in the otherwise proud history of the MM&P," said Timothy Brown, the union's president.
The union's former controller, Harry Seidman, and printing contractor Ronald Schoop are serving prison terms. Schoop pleaded guilty to conspiracy charges and testified for the prosecution at Seidman's federal embezzlement trial last fall.
Schoop said Seidman paid him union money for false or inflated billings, and he kicked most of the money back to Seidman. Seidman maintained his innocence.
Prosecutors said Seidman was receiving kickbacks at a time when job cuts in merchant fleets forced the union to raise dues and make financial sacrifices.
Pub Date: 6/05/97