The FBI raided the home of the United Auto Workers president on Aug. 28 in a "series of raids" across Michigan related to the federal corruption investigation linked to the union, The Detroit News reported.
Agents used search warrants to investigate UAW President Gary Jones' house as well as the UAW Black Lake Conference Center, the report said, adding that the 1,000-acre retreat is financed with interest from UAW's $721 million strike fund, bankrolled by worker dues. The California home of former UAW President Dennis Williams was also searched, the report said.
The UAW said in an Aug. 28 statement that the union and Jones have been fully cooperating with federal investigators and that the raid was unnecessary.
"As the leader of the UAW, President Jones is determined to uncover and address any and all wrongdoing, wherever it might lead," the union said. "There was absolutely no need for search warrants to be used by the government today — the UAW has voluntarily responded to every request the government has made throughout the course of its investigation, produced literally hundreds of thousands of documents and other materials to the government, and most importantly, when wrongdoing has been discovered, we have taken strong action to address it. The UAW will continue to cooperate with the government in its investigation, as we have been doing throughout."
The FBI did not respond to S&P Global Market Intelligence's request for comment.
The U.S. Justice Department has been investigating the union as part of a bribery scandal involving U.S. automakers. Eight people linked to either UAW or Fiat Chrysler Automobiles NV were found guilty of participating in a conspiracy to give or receive bribes to potentially influence the automaker's benefits in union bargaining negotiations.
On Aug. 9, another former UAW official was charged with conspiracy to commit wire fraud and money laundering related to the UAW-GM Center for Human Resources, marking the first connection to General Motors Co. in the investigation.
A new round of negotiations have begun among the UAW and Fiat Chrysler, GM and Ford Motor Co. as the current four-year contracts are set to expire Sept. 14.
"Trust in UAW leadership is never more important than during the bargaining process, when profit-laden auto companies stand to benefit from media leaks, false assumptions, and political grandstanding," the UAW said. "The sole focus of President Jones and his team will be winning at the bargaining table for our members."
