U.S. Department of Labor
Employment Standards Administration
Office of Labor-Management Standards
New York District Office
201 Varick Street
Room 878
New York, NY 10014
(646)264-3190 Fax: (646)264-3191

December 3, 2008

Ms. Maryann Milligan, Secretary-Treasurer
New Jersey Health Professionals & Allied Employees
110 Kinderkamack Road
Emerson, New Jersey 07630
LM File Number: 509450

Dear Ms. Milligan:

This office has recently completed an audit of under the Compliance Audit Program (CAP) to determine your organization's compliance with the provisions of the Labor- Management Reporting and Disclosure Act of 1959 (LMRDA). As discussed during the exit interview with on September 29,2008, the following problems were disclosed during the CAP. The matters listed below are not an exhaustive list of all possible problem areas since the audit conducted was limited in scope.

The audit revealed a violation of LMRDA Section 502 (Bonding), which requires that the union's officers and employees be bonded for no less than ten percent of the total funds handled by those individuals or their predecessors during the preceding fiscal year. HPAE's were bonded during the audit period for $200,000 when they were required to be bonded for $500,000. Since the exit interview, proof of acquisition of adequate coverage with an approved surety has been provided. Consequently, this has been remedied and no further no further action is contemplated in this matter. The CAP disclosed a violation of LNIRDA Section 201(b), because the Labor Organization Annual Report (Form LM-2) filed by HPAE for fiscal year ended June 30, 2007 was deficient in the following areas:

Schedule 6 - FIXED ASSETS reports the possession of automobiles costing a total of $510,022 when inquiry, and examination of HPAE documents, reveal that your
labor organization does not own any autos. That figure was erroneously omitted from the line in that schedule for the recording of Furniture and Equipment.

It will be necessary for HPAE to file an amended LM-2 report for year ended June 30, 2007 to correct the deficient items discussed above. You may use the new electronic forms software available from OLMS to complete the amended reports. One copy of each amended report should be submitted to this office at the above address as soon as possible, but no later than November 25, 2008. Before mailing, review the reports thoroughly to be sure they are complete, accurate, and signed properly with original signatures.

I want to extend my personal appreciation to for the cooperation and courtesy extended during this compliance audit. I strongly recommend that you make sure this
letter and the compliance assistance materials provided to you are passed on to future officers. If we can provide any additional assistance, please do not hesitate to call.

Senior Investigator
cc: Ann Twomey, President
Carmine Minieri, CPA