by Construction Citizen
May 27, 2019
A brother and sister who run a construction company in Paramount have admitted to their roles in a $6 million workers’ compensation fraud and labor theft scheme, the Los Angeles County District Attorney’s Office announced on April 24.
They both admitted an allegation of committing fraud and embezzlement that resulted in a loss of more than $500,000 to the State Compensation Insurance Fund (SCIF).
Sentencing is scheduled for Oct. 22, 2020, in Department 37 of the Foltz Criminal Justice Center.
Under the terms of a negotiated plea agreement, the defendants must pay restitution of $6.3 million and more than $5,000 in investigative costs to SCIF. They also are required to pay $30,000 in fines, have one year of electronic monitoring, complete 500 hours of community service, and comply with SCIF in future business dealings.