I think it's funny that anyone is surprised that the longshoremen's local is under indictment for payroll fraud.
It's like getting Al Capone for tax evasion.
Unions can't help but be corrupt in some way. It's the nature of the beast really. Unions all suffer from the same affliction of greed that their union members are supposed to be protected from.
If the longshoremen union was honest, they would have reported the member who put his 2 year old son to work on the payroll. Because that is worker exploitation to the extreme.