Diana Frey to spend four years in prison for embezzlement

Former CODE leader took $750,000 in union funds

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Photographer: Terry Helmer
Copyright 2011 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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Diana Frey arrested 10/28_20111031080829_JPG

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Posted: 06/07/2012

CINCINNATI - Former Cincinnati union leader Diana Frey will spend 51 months in a federal prison for embezzling more than $750,000 from her members.

That was the sentence Thursday afternoon from U.S. District Judge Susan Dlott for the former President of CODE -- Cincinnati Organized and Dedicated Employees.

Frey ran the union from 2005 through 2011, representing 800 City of Cincinnati employees in contract negotiations.

Dues were deducted from their paychecks to fund union activities.

When a union official began questioning the organizations finances, a federal investigation began, resulting in Frey being found guilty of one count of wire fraud.

Federal prosecutors asked for a sentence of four years and three months, given what they said was the "brazen nature of the crime."  They also want her to repay the money she stole.

Frey worked for and was paid by the Metropolitan Sewer District (MSD), but spent the majority of her time on union activities, according to a sentencing memorandum filed with the court.

Documents indicate she took money from three different union checking and savings accounts and diverted it to her personal use to live a "lavish life style."

That included using union money to pay for property rental, a vacation condominium, pool maintenance, meals, travel, pet pampering and even providing $15,000 to a "male dancer" she knew.

Frey will surrender by Aug. 7.

Stay with 9 News and WCPO.com for updates on this breaking story.



 

Copyright 2012 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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