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The Honolulu Advertiser
Posted on: Thursday, February 12, 2009

Conviction may hinder former union official

By Curtis Lum
Advertiser Staff Writer

A federal judge ruled that a former official with the Laborers' International Union Local 368 could be barred from rejoining the union because of a 2002 money laundering conviction.

Oliver "Scuba" Kupau III last year filed a motion for a partial summary judgment with U.S. District Judge Helen Gillmor, arguing that the conviction should not prohibit him from being employed by the union. Federal law disqualifies a person with a federal conviction for certain crimes from holding a union position for 13 years after being released.

But Kupau contends money laundering isn't among the prohibited crimes and he should be allowed to work for the union. Kupau, 52, admitted running an illegal cockfighting operation while he was a union official and also admitted that he bribed an undercover police officer to protect him from being arrested.

Gillmor sentenced Kupau to four months in prison, three years of supervised release, and fined him $3,100. Under the law, he will not be eligible to work for the union until May 2016.

Despite his conviction, Kupau was rehired by the Local 368 as a business representative in 2002 and paid about $90,000 a year. Last year, he was elected as the union's business manager by an overwhelming margin. Kupau's opponent, William Naone Jr., challenged Kupau's eligibility because of his criminal history.

In June, the U.S. Department of Labor's Office of Labor-Management Standards ruled that Kupau was ineligible to run for office and could not be employed by the union for 13 years. Kupau appealed, saying he has been rehabilitated. He asked the court to overturn the ruling.

In a written ruling, Gillmor rejected Kupau's argument that money laundering was not an included offense. Gillmor wrote that Kupau's conviction under the money laundering statute "substantially covers bribery."

"The primary purpose of the act was to correct the abuses of union officials, and the exploitation of the union members the officials serve, by barring the employment of criminals convicted of specified crimes for a period of time," Gillmor wrote.

Although Gillmor said money laundering could disqualify Kupau from working for the union, she still must rule on Kupau's motion to exempt him from the law that restricts employment. The judge could grant the exemption, shorten the 13-year requirement, or reject the request.

"We're still hopeful that she's going to grant him some relief," said Reginald Minn, Kupau's attorney.

Reach Curtis Lum at culum@honoluluadvertiser.com.