Firefighter union leader, Biden 'confidant' faces allegations of improper financial activity, report

Harold Schaitberger, the president of a 300,000 member firefighters union, faces allegations of improper financial activity, including a dispute over whether he received funds from a pension prematurely.

The Wall Street Journal described the 74-year-old, who has served as the president of the International Association of Firefighters since 2000, as a backer and "confidant" of presumptive Democratic presidential nominee Joe Biden.

The union endorsed Biden during the Democratic presidential primary, and The Journal reported that in a Tuesday video conference with board members Schaitberger said that "we will have a key to the back door of the White House," should the Biden win the presidency.

Citing unnamed union officials and a memo that the treasurer sent to the board, The Journal also reported that Schaitberger did not pay roughly $1 million in taxes connected to more than $3 million of deferred compensation so far for leading the union. 

Schaitberger reportedly faults the labor union's treasurers for not informing about the tax liability but intends to pay the past due amount.

Union treasurer Edward Kelly alleges that over many years Schaitberger improperly drew a total sum surpassing $1 million from a union pension. 

When Schaitberger assumed the presidency of the union he joined a new pension plan for leadership, after having a separate pension for the two decades he worked as a union staffer, according to the Journal.

When he took the reins of the organization, the rules forbade receiving pension funds prior to retirement, but that restriction was lifted in the 2000's, the Journal noted, citing plan documents and union officials. The news outlet added that "the rules for years left the issue unaddressed."

Then in 2015 the rules reportedly were altered to clearly allow those working to receive pension money.

"Matthew Mellin, a specialist in employee-benefits law who was hired by Mr. Kelly, said in a March email to the pension trustees that the payments before 2016 'were not allowed,' according to a copy of the email reviewed by the Journal," the outlet reported.

During a period from 2000-2015, Schaitberger reportedly got more than $1 million out of his pension plan. The board ceased payments at one point, though the union president appealed and at least currently he and his ex-wife are getting payments. Kelly plans to report disputed payments to the IRS if the union leader loses the appeal, according to The Journal.

The Journal also reported that the union last year shelled out more than $37,000 at three restaurants in the nation's capital city and a sum exceeding $4,000 at a bar near the Capitol building.

"Union officials say that the expenditures were for business meals and that Mr. Schaitberger considers it his responsibility to maintain relationships with lawmakers, lobbyists and other power brokers," the Journal noted.

Citing union records, the news outlet reported that in 2017 and 2018 the group's president charged the purchase of iTunes content to a union credit card.

"A union official said Mr. Schaitberger was asked not to do so," the Journal also reported.

“These are internal matters being reviewed by the IAFF Board through its internal processes,” the firefighters union told the Journal in a statement.

"Mr. Schaitberger declined to comment on the allegations, but after The Wall Street Journal contacted the union last week, he sent an email to the board saying the Journal was preparing an article based on 'unfounded accusations,'" the outlet reported.