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Office of Labor-Management Standards (OLMS)

U.S. Department of Labor
Office of Labor-Management Standards
Atlanta District Office
Atlanta Federal Center
61 Forsyth Street, SW, Suite 8B85
Atlanta, GA 30303
(404) 562-2083 Fax: (404) 562-2087

July 28, 2011

Mr. Geraldo Burgos, President
Federacion Puertorriqueña de Trabajadores
Union Empleados de Auxilio Mutuo
Calle Dresde #516
Puerto Nuevo, PR 00920

Case Number:
LM Number: 056261

Dear Mr. Burgos:

This office has recently completed an audit of Federacion Puertorriqueña de Trabajadores, Union
Empleados de Auxilio Mutuo, 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). The following problem was disclosed during the CAP. The
matter listed below is not an exhaustive list of all possible problem areas since the audit
conducted was limited in scope.

1. No Bonding
The audit revealed a violation of LMRDA Section 502 (Bonding), which requires that
union officers and employees be bonded for no less than 10 percent of the total funds those
individuals or their predecessors handled during the preceding fiscal year. The audit
revealed the Local’s officers and employees were not bonded for the minimum amount
required at the time of the audit.

The provisions of Section 502(a) of the LMRDA require that union officers and employees of
labor organizations, with property and annual receipts exceeding $5,000, be bonded by an
approved surety company. Bonding information such as whom must be bonded, minimum and
maximum bond coverage requirements, authorized bonding companies, and applicable penalties
that may be assessed for bonding violations is available on the Internet at OLMS’ homepage,

The Local should obtain adequate bonding coverage for its officers and employees immediately.
Please provide proof of bonding coverage to this office as soon as possible, but not later than
September 1, 2011

Mr. Geraldo Burgos
August 2, 2011
Page 2 of 2

I want to extend my personal appreciation to Federacion Puertorriqueña de Trabajadores 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.

Supervisory Investigator