By JOSEPH G. LARIOSA

(© Journal Group Link International)

200 Filipino Teachers in Louisiana Win $1.8-Million from a Filipino Illegal Recruiter

C HICAGO (JGLi) – A Philippine-based recruiting company, Universal Placement International (UPI), with satellite office in Los Angeles, California, and its Filipino owner, Lourdes “Lulu” Navarro, were ordered last April 16 in Baton Rouge, Louisiana, to pay an “estimated $1.8-million in illegally-charged placement fees, a well as a $500 fine and $7,500 in attorney fees” for allegedly cheating 200 Filipino teachers of thousands of dollars in recruiting fees and held them in virtual servitude for keeping their visas.

Administrative Law Judge Shelly Dick of the Louisiana Workforce Commission ruled in favor of the Louisiana Federation of Teachers (LFT), the American Federation of Teachers (AFT) and the Filipino teachers and referred “the case to appropriate authorities for criminal sanctions against UPI and its owner, Lourdes “Lulu” Navarro.”

A press release sent to this reporter Friday (April 16) by Les Landon, director of public relations of the LFT, quoted LFT’s President Steve Monaghan as saying, “This is more than just a victory for the Filipino teachers who were abused by the company. It is a validation of the rule of law, and a commitment by the State of Louisiana to protect the rights of all working people.”

The allegations against the company and Navarro were filed last October on behalf of 360 Filipino nationals who were hired in Caddo Parish, East Baton Rouge Parish, Jefferson Parish and the State Recovery School.

Some of those teachers arrived in the U.S. only to find that the promised jobs were not available. Eventually, some wound up in Avoyelles Parish and other school districts around the state.

Each teacher was charged about $5,000 by Navarro in placement fees to obtain a job, and was then required to sign a contract obligating them to pay 10-percent of their second-year salaries to the company. This provision violates a Louisiana law (La. R.S. 23:111B(3)(a), which limits an employment services fees to the applicant’s first year’s gross earnings.

Teachers, who could not afford to pay the fees up front were directed to loan companies by Navarro, and were charged exorbitant interest rates. Shreveport Times reported last April 6 that the teachers testified that they were referred by UPI and PARS to “take out loans” from “FG (First Gentleman) Lending, owned by the husband of Filipino President Gloria Macapagal-Arroyo.”

More Violations of Louisiana State Labor Laws

A mong the violations of the UPI is for operating in Louisiana without “license to operate a private employment service in the State of Louisiana.”

UPI contends, “It operates an employment service in the State of California, the product of which is supplying foreign-teacher services to schools in various states.”

Jack Navarro, husband of UPI owner Lourdes "Lulu" Navarro, argued, "We are not an employment agency. We are a placement agency." However, he said he applied for a license but was rejected.

In addition to collecting the fee from teachers, Navarro was paid $47,500 to recruit 25 teachers by the State Department of Education to recruit teachers for the Recovery School District in New Orleans.

According to the ruling, each teacher is to be repaid the initial placement fees because they were collected “prior to actual commencement of work” in violation of Louisiana law.

“The LWC’s decision goes a long way in relieving these excellent teachers from an illegal and oppressive relationship,” according to AFT Attorney Dan McNeil, who argued the Federation’s case. “This ruling will allow them to freely pursue their personal-and-professional aspirations.”

Contracts call for the teachers to pay 10-percent of expected salaries each to UPI and PARS, the related company, before they come to the United States, as well as a $1,000 application fee, $3,900 in fees to secure a visa and pay an attorney and several hundred dollars to evaluate their transcripts.

LFT President Steve Monaghan said the company violated federal law by charging the teachers for visas,  which is the responsibility of the employer.

In 2000, Ms. Lourdes “Lulu” Navarro was convicted in California of health benefits (Medical) fraud, grand theft, identity theft, money laundering, forged identification and white collar crime, victimizing unsuspecting doctors, in the amount of more than $1-million and was originally sentenced to five years in prison and to pay $200,000 in restitution. She was also convicted of money laundering in New Jersey in 1993. (lariosa_jos@sbcglobal.net) # # #

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