Contractor Convicted Of CompIns/Unemp Fraud

slickshift

Just a heads up for those not quite on the up & up-
Courtesy Cape Cod Times
-name edited for consideration

The state attorney general yesterday announced the conviction of a local businessman and his construction company on fraud charges.

John Q. Doe, 57, of Hyannis and his company, J.Q.DoeCorp., pleaded guilty in Barnstable Superior Court Thursday to workers compensation fraud, conspiracy to commit workers compensation fraud, larceny, and conspiracy to commit larceny, according to a statement from Attorney General Martha Coakley's office.

The company also pleaded guilty to unemployment fraud and failure to provide workers compensation insurance for its employees.

"There's a maximum penalty of five years for each count," said Harry Pierre, a Coakley spokesman.

Doe lied and withheld information from insurance agents and the state Division of Unemployment Assistance to avoid paying workers compensation insurance premiums and unemployment contributions, according to the attorney general.

Between July 1998 and May 2000, J.Q.DoeCorp. did not provide workers compensation insurance for its employees as required by law.

The company also "seriously underreported" its payroll to the unemployment office. By understating the payroll and the nature of the firm's business as a commercial contractor, the company failed to pay accurate contributions to the unemployment office.

The company also defrauded its insurance company, Associated Industries of Massachusetts, and the Workers Compensation Rating Inspection Board of more than $100,000 in insurance premiums, according to the attorney general.

When Doe was arraigned Oct. 25, 2005, he pleaded not guilty to the charges. But he changed his plea Thursday, Pierre said.

Pierre would not comment on any deal the attorney general may have struck to secure the guilty plea. Such fraud is common, Pierre said, but he would not say whether the amount was unusual. "All fraud is bad," he said.

Barnstable Superior Court Judge Richard Connon scheduled a sentencing and restitution hearing in the case for Feb. 28.

Doe did not return a message left at his Hyannis office yesterday and nobody answered the door there.

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Floordude

He misclassified his employees as subcontractors

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tnt specialty

Kool.......Go Mass.!!!!!!!

Extinguish the vermin in this biz....Let's get the const. biz back on-track as a respected profession, as it used to be.

Wish other states would take note. I always pass this type of events/info on to Colorado legislators.

L. B. Condulet

His name isStephen V. Raleigh

http://tinyurl.com/2u4xd4

"Company benefited by avoiding payment of more than $100,000 in workers’ compensation insurance over two years"

Probably the truth is his customers benefited, not him.

buildenterprise

Sounds like a po'ed employee got their revenge.....