John Dougherty addresses reporters outside the courthouse following his arraignment, Feb. 1, 2019. (Photo: P.J. D'Annunzio/ALM)

Politically powerful Philadelphia union leader John Dougherty claimed in federal court today that he was innocent of allegations that he ripped off his own union and used a city councilman to advance his agenda.

At the U.S. District Courthouse in Center City Philadelphia on Friday afternoon, Dougherty pleaded not guilty to the charges against him in a grand jury indictment spanning from 2010 to 2016 in which prosecutors allege Dougherty and his co-conspirators cost International Brotherhood of Electrical Workers Local 98 members $600,000.

U.S. Magistrate Judge Elizabeth Hey released Dougherty on $50,000 bail and ordered him to surrender his passport.

After the arraignment, Dougherty offered a terse statement to reporters standing outside of the courthouse in flurries and below-freezing conditions. “I am very comfortable with the team of lawyers I have,” Dougherty said, hinting that he might have more to say as the case progresses.

“I'm not going to stop doing my job,” he told reporters. “You'll see me all over the city.”

Dougherty's court appearance comes the day after City Councilman Bobby Henon's arraignment. Henon, a member of IBEW 98 is accused of doing Dougherty's bidding, including allegedly delaying legislation and drafting a resolution proposing to investigate a company that had towed Dougherty's car.

Dougherty, widely know by the nickname “Johnny Doc,” has led IBEW 98 for more than 25 years. From that perch he has been a major political force in Philadelphia and throughout Pennsylvania, providing huge amounts of funding for countless political and judicial offices. His organization also provided significant amounts of funding for the campaigns of several Democratic candidates now sitting on the Pennsylvania Supreme Court, including that of his brother, Justice Kevin Dougherty.

The others who were indicted along with Dougherty and Henon are Brian Burrows, a business partner with Dougherty and president of the Local 98; Michael Neill, training director for the union's apprentice training fund; Dougherty's nephew, Brian Fiocca; Local 98 employee Niko Rodriguez; construction company owner Anthony Massa; and Marita Crawford, who has been Local 98's political director since 2011. All pleaded not guilty Friday.

The 153-page indictment outlines layers of alleged conspiracies that largely boil down to stealing money, goods and services from Local 98. Part of the conspiracy entails allegedly using union credit cards and bank accounts to buy goods for themselves—from frozen pizza to Taylor Swift concert tickets—and then falsely claiming the purchases were union-related. Another part of the indictment stems from allegations that members of Local 98's apprentice training program performed work on properties owned by Dougherty and others, including family members who were not named in the indictment, and then to again falsely claim the expenses were union-related.

The indictment also alleges that Dougherty directed union members to hire family members and close associates, and that on numerous occasions Henon acted to advance the union leader's interests.

U.S. Attorney William McSwain was recused from the investigation to avoid any potential conflicts stemming from his work at the law firm of Drinker Biddle & Reath. The case is assigned to Reading federal judge Jeffrey Schmehl.

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Grand Jury Indicts Labor, Political Powerhouse 'Johnny Doc,' Along With Phila. Councilman