Teamstergate
Encyclopedia
Teamstergate was the name the Kentucky
Kentucky
The Commonwealth of Kentucky is a state located in the East Central United States of America. As classified by the United States Census Bureau, Kentucky is a Southern state, more specifically in the East South Central region. Kentucky is one of four U.S. states constituted as a commonwealth...

 State Republican Party
Republican Party (United States)
The Republican Party is one of the two major contemporary political parties in the United States, along with the Democratic Party. Founded by anti-slavery expansion activists in 1854, it is often called the GOP . The party's platform generally reflects American conservatism in the U.S...

 Executive Director Randy Kammerdiener called an apparent money swap between the 1996 Bill Clinton
Bill Clinton
William Jefferson "Bill" Clinton is an American politician who served as the 42nd President of the United States from 1993 to 2001. Inaugurated at age 46, he was the third-youngest president. He took office at the end of the Cold War, and was the first president of the baby boomer generation...

 presidential campaign and the Ron Carey
Ron Carey (labor leader)
Ronald Robert Carey was an American labor leader who served as president of the International Brotherhood of Teamsters from 1991 to 1997. He was the first Teamster General President elected by a direct vote of the membership...

 campaign to be reelected as president of the International Brotherhood of Teamsters
Teamsters
The International Brotherhood of Teamsters is a labor union in the United States and Canada. Formed in 1903 by the merger of several local and regional locals of teamsters, the union now represents a diverse membership of blue-collar and professional workers in both the public and private sectors....

. Carey campaigned on a platform of cleaning up corruption within the Teamsters Union that had forced imposition of federal scrutiny. Nevertheless, Carey was implicated in a money laundering corruption scandal that would revoke his narrow election victory.

The case involved $885,000 given from union general treasury to the 1996 Clinton-Gore campaign
United States presidential election, 1996
The United States presidential election of 1996 was a contest between the Democratic national ticket of President Bill Clinton of Arkansas and Vice President Al Gore of Tennessee and the Republican national ticket of former Senator Bob Dole of Kansas for President and former Housing Secretary Jack...

 in exchange for the Clinton campaign's contributions to Ron Carey's re-election fund. Carey was running to keep the job of Teamsters union president. The exchange was an illegal swap that later resulted in a federal court's voiding of Carey's slim election victory against now Teamster President James P. Hoffa
James P. Hoffa
James Phillip Hoffa is an attorney and labor leader and the General President of the International Brotherhood of Teamsters. Hoffa was first elected during December 1998 and took office on March 19, 1999...

.

The swap occurred despite the Federal government's expenditure of $20 million on federal monitors led by the Clinton Administration Justice Department to ensure the union election would be above board. A 1988 lawsuit by the Bush Administration was settled in March 1989 with a consent decree
Consent decree
A consent decree is a final, binding judicial decree or judgment memorializing a voluntary agreement between parties to a suit in return for withdrawal of a criminal charge or an end to a civil litigation...

  signed by the union and the government that allowed the federal monitors. The lawsuit was brought under the civil provisions of the Organized Crime Control Act of 1970, known as Racketeer Influenced and Corrupt Organizations Act
Racketeer Influenced and Corrupt Organizations Act
The Racketeer Influenced and Corrupt Organizations Act, commonly referred to as the RICO Act or simply RICO, is a United States federal law that provides for extended criminal penalties and a civil cause of action for acts performed as part of an ongoing criminal organization...

 (RICO). On November 19, 1999, a federal jury found Teamsters political director William W. Hamilton guilty of embezzlement for his part in the deal.

Ron Carey was acquitted in 2001 of charges stemming from the scandal. Neither Clinton nor Carey have ever been convicted of any crime regarding the incident.

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