Probe found mob behind NYC school bus union

An independent probe of a 15,000-member school bus drivers union in New York City has uncovered evidence that "organized crime has infiltrated and controlled" it, according to a story by Steven Greenhouse of the New York Times.

A report written by independent counsel Richard W. Mark in January was made public yesterday by some members of Local 1181 of the Amalgamated Transit Union. That report indicated that top union officials were engaged in extortion, kickbacks and bribes.

Former president of the local, Salvatore Battaglia, is facing federal trial on extortion charges and bribery. Battaglia has pleaded not guity to the charges. Secretary-Treasurer Julius Bernstein was forced to resign as he pleaded guilty to obstructing justice.

Matthew "Matty the Horse" Ianniello (left), reputed ex-boss of the Genovese Crime Family, acknowledged a year ago that he arranged illegal payoffs for the union leadership. He pleaded guilty to obstruction of justice.

Schweihs trial expected in April

Frank "the German" Schweihs is expected to be brought to trial in April in a sequel to the current Chicago Family Secrets case, according to a report by John Drummond of CBS-2 in Chicago.

Schweihs, 77, a reputed mob enforcer, was removed from the list of defendants in the current case when he was reportedly diagnosed with cancer. Authorities note that he has since made a miraculous recovery.

Convicted of extortion in 1989, Schweihs is now charged with participating in the murder of government witness Daniel Seifert in September 1974.

Click for CBS2Chicago video report.