Two unions say the company used shady practices to cheat them out of money.
Magic Johnson's real estate development company, Canyon-Johnson Urban Funds, is busy trying to dodge a major civil racketeering lawsuit that alleges the company plotted to avoid union contracts related to the construction of a condo in Brooklyn.
The suit alleges that Canyon-Johnson made a deal with with HRH Construction to use a fraudulent, non-union front company owned by HRH to avoid paying workers union mandated wages and benefits.
Canyon-Johnson is currently in negotiation with the unions to avoid litigation. The company said it is "proud of its track record with organized labor," according to the New York Daily News.
(Photo: AP Photo/Detroit News, David Coates)