Former office manager of local labor union pleads guilty to embezzling more than $190,000

Online Staff Report

Grace Rathke, 57, of Rockford, has pleaded guilty to embezzling more than $190,000 from Local 32 of the Laborers International Union of North America, including $1,352 Sept. 25, 2006.

The embezzlement occurred between November 2004 and March 2009. Rathke was the office manager for Local 32 and was responsible for entering the amounts of dues and initiation fees paid to the office. She also deposited the funds into the union’s bank account. Rathke, however, reportedly has said she took the money for her own use, failing to credit members and apprentices with paying their dues and fees.

Rathke was indicted on the embezzlement charges Aug. 2, 2011.

Posted Jan. 3, 2013