Former DTU Leaders Plead Guilty to $2.4 Million Union Fund Theft

Ex-union leaders Brady and George pleaded guilty to stealing $2.4M through a leave time scam.
The seal of the US Department of Justice placed on a bed of assorted US dollar banknotes. The seal of the US Department of Justice placed on a bed of assorted US dollar banknotes.
A close-up of the official Department of Justice seal resting on a background of US dollar bills. By Mehaniq / Shutterstock.com.

Executive Summary

  • Teresa Brady, former President, and Ruby George, former Executive Vice President of the Duval Teachers United (DTU) union, pleaded guilty to a multi-million dollar scheme to steal union funds.
  • The former officials defrauded the DTU of more than $2.4 million between 2013 and 2022 through a fraudulent leave time scam and various concealment methods.
  • As part of their plea agreements, Brady and George face potential federal prison sentences and have agreed to forfeit at least $2.6 million.
  • Laws and Precedent

  • The defendants pleaded guilty to federal charges of conspiracy to commit wire and mail fraud, and aiding and abetting, with one also admitting to money laundering. These federal statutes impose significant maximum penalties and underscore the U.S. government’s commitment to prosecuting financial misconduct by individuals in positions of trust, further reinforced by the agreement to forfeit illicitly gained funds as part of the plea agreements.
  • Two former top officials of the Duval Teachers United (DTU) union in Jacksonville, Florida, have pleaded guilty to orchestrating a multi-million dollar scheme to steal union funds through a fraudulent leave time scam. Teresa Brady, 70, the former President, and Ruby George, 82, the former Executive Vice President, admitted to conspiracy to commit wire and mail fraud, and aiding and abetting these crimes, with Brady also pleading guilty to money laundering. The pair collectively defrauded the union of more than $2.4 million between 2013 and 2022.

    The Embezzlement Scheme

    Brady and George leveraged their leadership positions to sell unaccrued and unearned leave time back to the DTU. The union represents approximately 6,500 teachers, paraprofessionals, and office personnel within Duval County Public Schools, operating with an annual revenue of about $5 million derived from member dues.

    To conceal their illicit activities, the former officials provided false information to the union’s auditor. They also signed each other’s checks, a method used to hide the unearned payments from the DTU Secretary/Treasurer. Furthermore, they failed to disclose this unearned compensation to the Florida Public Employee Relations Commission (PERC) in required annual financial statement filings.

    The stolen funds were diverted for personal use, with Brady specifically admitting to using over $10,000 of the fraud proceeds to pay down personal credit card debt. The Federal Bureau of Investigation and the Internal Revenue Service Criminal Investigation conducted the investigation into the scheme.

    Legal Consequences

    Each count of conspiracy to commit wire and mail fraud, as well as aiding and abetting, carries a maximum penalty of 20 years in federal prison. The money laundering charge against Brady carries an additional maximum penalty of 10 years in federal prison.

    As part of their plea agreements, Brady and George have also agreed to forfeit at least $2.6 million. This amount represents the proceeds directly traceable to their criminal offenses, aiming to recover the funds stolen from the union.

    Accountability for Union Misconduct

    The guilty pleas underscore the federal government’s commitment to holding individuals in positions of trust accountable for financial misconduct. This outcome ensures that former union leaders face justice for misusing their authority to embezzle substantial funds intended for the benefit of their members.

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