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UPW Leader Pleads Not Guilty

Gary Rodrigues And Daughter Charged In Scheme

United Public Workers leader Gary Rodrigues and his daughter pleaded not guilty Tuesday morning to charges that they embezzled thousands of dollars from the union's medical and dental plans.

Rodrigues and Robin Haunani Rodrigues Sabatini are charged in a federal indictment with 43 counts of fraud, embezzlement and money laundering.

"I want to assure the members of the UPW and the public that I have never stole, embezzled or done anything illegal or involve my daughter in anything illegal," Rodrigues told reporters.

The two are accused of bilking the 15,000 members of the UPW out of at least $200,000 through two schemes of overcharging for medical and dental benefits. The overcharges were funneled to Sabatini, according to the indictment.

The alleged schemes involved UPW accounts with Hawaii Dental Service and the union's health benefit program, PGMA.

Mail fraud and embezzlement carry five-year prison terms. Defrauding a health care benefit program carries a 10-year sentence and money-laundering convictions could mean 20 years in prison.

Rodrigues and his daughter were released on a $50,000 unsecured bond. Trial has been scheduled for August 28.

Cedric Yamanaka will have complete details of this story on KITV4 News.

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