Two American Maritime Officers Union Leaders Guilty of Racketeering
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Michael and Robert McKay, president and secretary-treasurer of American Maritime Officers (AMO), have been found guilty by a federal jury in Florida of racketeering conspiracy. AMO is a US-based national labor union. Michael McKay resigned as national president soon after the verdict was announced, ending a long history of control over the union by the McKay family. McKay’s father served as president of the union for more than 35 years.
AMO’s national executive committee moved almost immediately to name Thomas Bethel to complete McKay's term in office, which began January 1. Bethel had previously served as AMO national executive vice president and McKay’s resignation circumvented the almost certain impeachment proceedings against McKay by AMO’s national executive board, had McKay not resigned. That action, if successfully carried out, would have removed McKay from office and the AMO itself.
In addition to the racketeering charge, which carries a possible 20-year sentence, Michael McKay, 59, was convicted of three counts of mail fraud and two record-keeping offenses. He was found not guilty of embezzling from an employee benefit plan. Robert McKay, 56, was convicted of two counts of mail fraud, embezzlement, and two record-keeping offenses.
In a January 8th statement posted on AMO’s WEB site, the union announced McKay’s resignation in the wake of his January 5th conviction on multiple felony counts in U.S. District Court for the Southern District of Florida. The press release went on to say, “To fill the vacancy, the AMO national executive committee -- acting under its authority as provided in the American Maritime Officers National Constitution -- named Thomas Bethel to complete McKay’s term in office, which began January 1.”
The AMO national executive board also declared their intention to file suit against McKay and his brother and co-defendant, former AMO National Secretary-Treasurer Robert McKay, to recover money obtained from AMO illegally by Michael McKay and Robert McKay. During the course of the four-week trial, Robert McKay was voted out of office, but Michael McKay was narrowly reelected president. Federal labor laws, however, prevent convicted felons from holding any union office. Union officials immediately moved to deny both brothers any access to union offices.
The quick verdict from federal jurors finished off a six-year government investigation that started with allegations of illegal campaign donations; embezzlement and mismanagement of the union's benefit plans. Those allegations resulted in a 2005 racketeering indictment in the Southern District of Florida. A sentencing hearing is scheduled for March 29th, during which time both McKay brothers will remain free on bond.
The AMO union represents some 4,000 officers who work on US-flag commercial vessels, and is committed to long-term job and benefit security for AMO deep-sea, Great Lakes and inland waters members and their families. The guilty verdicts and the trials that preceded them have created deep divisions within the leadership structure at AMO. What steps that the union would take to prevent similar occurrences in the future was unclear as MarEx went on line with this edition, but the new union leadership has vowed to provide open, accessible and accountable leadership going forward.