Dockworkers 'Shamefully Abuse' Benefits For Sexual Services, ILWU Says

LONG BEACH, CA — The International Longshore and Warehouse Union said the actions of seven Long Beach dockworkers were "shameful abuse of critical and hard-earned benefits" after the workers were involved in a conspiracy to defraud their ILWU insurance plan in exchange for sexual services.

On Sept. 14 a Southern California woman and the dockworkers agreed to plead guilty for their roles in a conspiracy to bill an insurance company for more than $2 million in sexual services, according to the Department of Justice.

In some instances, the dockworkers paid for sex by authorizing ILWU-Pacific Maritime Association to be fraudulently billed for chiropractic services for their children and spouses, according to federal prosecutors.

“Our union is proud to have negotiated health benefits with our employer that we believe all Americans should have," said Frank Ponce De Leon, ILWU Coast Committeeman. "We will not tolerate fraudulent use of the benefits in our contract that longshore workers have fought for, and sometimes died for, over the past 90 years.”

Leadership in the ILWU said they denounced the actions of the 1o people involved in the conspiracy. From January 2017 to August 2021 Sara Victoria, 46, of San Pedro operated three businesses that offered chiropractic services, acupuncture treatments and also sexual services, according to the indictment.

Victoria agreed to pay cash kickbacks to the International Longshore and Warehouse Union – Pacific Maritime Association (ILWU-PMA) benefit plan members in exchange for authorization to submit the claims, according to prosecutors. In total, approximately $2,110,920 was submitted to the insurance plan and Victoria was paid approximately $551,810 from the plan, the indictment states.

“The ILWU-PMA Welfare Plan benefits counteract the difficult work that longshore workers do on the docks every day, and they are vitally important to tens of thousands of people working at ports in California, Oregon and Washington,” said Cam Williams, ILWU Coast Committeeman. “The Officers of the ILWU take any fraudulent acts against the plan seriously and want such abuse rooted out.”

The actions of the dockworkers and Victoria will not affect the relationship or health coverage for ILWU-PMA plan holders, the union said in a statement.

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