Tag Archives: Fraud

by | March 9, 2012 · 7:15 am

Hospitality Industry Legal Risks: California Hotel Owner Charged With "Insurance Fraud" Over False Workers' Compensation Records

“…accusations that he dissuaded an employee from seeking workers’ compensation after a work injury and making false claims. The charges against him include two counts of insurance fraud, failure to maintain workers’ compensation insurance and passing bad checks…”

“…accused of paying approximately $890,000 less than he should have over a four-year period,,,”

The trial date for the owner of the troubled Brookdale Inn & Spa has been postponed because the District Attorney’s Office has filed more charges. Sanjiv Kakkar originally was scheduled to begin trial March 12 on accusations that he dissuaded an employee from seeking workers’ compensation after a work injury and making false claims. The charges against him include two counts of insurance fraud, failure to maintain workers’ compensation insurance and passing bad checks, according to Kelly Walker, a prosecutor with the Santa Cruz County District Attorney’s Office.

Walker has just filed new insurance fraud charges against Kakkar and his wife, Neelam Kakkar, pertaining to insurance premiums. Kakkar is accused of providing false wage information to insurance companies to obtain lower premiums. In other words, he “grossly understated” the amount of payroll he was paying to his employees. He stands accused of paying approximately $890,000 less than he should have over a four-year period, according to Walker.

For more:  http://www.mercurynews.com/breaking-news/ci_20133381/das-office-files-more-insurance-fraud-charges-against

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Filed under Crime, Insurance, Labor Issues, Liability, Management And Ownership

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by | November 19, 2011 · 6:22 am

Hospitality Industry Employee Risks: Police Arrest New York Restaurant Waiters Who Were "Equipped With Electronic Skimmers" To Steal Credit Card Information

“… the crooks equipped waiters at Smith & Wollensky, The Capital Grille, Wolfgang’s Steakhouse and JoJo — and at two restaurants outside the city — with electronic skimmers to steal the info from at least 50 customers…”

Waiters at some of New York’s swankiest eateries were part of a criminal crew that stole credit card information to create counterfeit cards — and then racked up some $600,000 in purchases, prosecutors revealed Friday.

Then Jacas used a “network of shoppers” to go on shopping sprees at high-end Manhattan stores like Chanel, Neiman Marcus, Cartier, Hermes of Paris, Bloomingdales, Bergdorf Goodman, Waldmann’s, London Jewelers, Burberry, Jimmy Choo, Lord & Taylor, prosecutors said.

One of them was Gregory Portacio, who infamously dragged a Queens mom to her death in 1980 by grabbing her neck chain and hanging on while an accomplice drove their getaway car down a block.

“Anybody who thinks credit card fraud brings out high class criminals should think again,” said Police Commissioner Ray Kelly, whose men were still searching for the 51-year-old career criminal and sex offender.

The crooks even used the phony American Express cards to refuel at Starbucks and also hit stores in Westchester County, Long Island, Boston, Chicago and Florida.

The ill-gotten goods were then fenced to “complicit customers” for cash, prosecutors said.

Read more: http://www.nydailynews.com/news/crime/smith-wollensky-steakhouse-waiters-busted-600-000-credit-card-scam-article-1.979766#ixzz1eA1lm2Y2

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Filed under Crime, Guest Issues, Labor Issues, Liability, Management And Ownership, Privacy, Risk Management, Theft

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by | November 14, 2011 · 6:44 am

Hospitality Inudustry Employment Risks: Woman At Florida Staffing Company Convicted Of "Alien Smuggling And Worker Visa Fraud" In Supplying Workers To Hotels

 “…a large temporary labor staffing company based in Orlando, which supplied temporary labor to numerous businesses in the hotel and hospitality industries throughout Florida and the United States…”

“… They also submitted fake hotel contract agreements to conceal their activities and falsely reported that U.S. workers had been hired when they had not…”

A federal jury found a Brazilian woman residing in Orlando guilty of alien smuggling and conspiracy to commit alien smuggling and worker visa fraud on Monday, following an investigation that began with U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI).

Rafaela Dutra Toro, 30, faces a maximum penalty of 10 years in federal prison. She was indicted on Jan. 26. Her sentencing hearing has not yet been scheduled.

 “The individuals involved in this case orchestrated a very large and very complex visa fraud ring. They took jobs away from U.S. citizens and others who are legally allowed to work in this country by knowingly employing people who were not authorized to work in the United States,” said Susan McCormick, special agent in charge of HSI in Tampa. “Through cases like this one, HSI is helping to protect our economy and preserve job opportunities from being lost due to fraud.”

Toro is a citizen of Brazil and will be subject to removal from the United States after serving her sentence. According to evidence presented at trial, Toro worked for VR Services, a large temporary labor staffing company based in Orlando, which supplied temporary labor to numerous businesses in the hotel and hospitality industries throughout Florida and the United States. The scheme allowed Toro and her co-conspirators to set up a permanent foreign labor pool that hired illegal alien workers across the United States in jobs that would normally have been filled by United States citizens. As part of the conspiracy, Toro and her co-conspirators submitted false documentation to the government and manipulated the H-2B foreign worker visa process. They also submitted fake hotel contract agreements to conceal their activities and falsely reported that U.S. workers had been hired when they had not.

For more:  http://www.laht.com/article.asp?ArticleId=443603&CategoryId=14090

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by | October 22, 2011 · 5:20 am

Hospitality Industry Insurance Risks: California Hotel Owner Charged With Workers' Compensation Violations And Fraud

“…accused of dissuading an employee from seeking workers’ compensation after a work injury, fraud and making false claims. He is charged with two counts of insurance fraud, failure to maintain workers’ compensation insurance …”

The owner of a long-troubled Santa Cruz area inn is headed to trial on charges that he mishandled workers’ compensation and committed insurance fraud.

Sanjiv Kakkar, owner of Brookdale Inn and Spa, is accused of dissuading an employee from seeking workers’ compensation after a work injury, fraud and making false claims. He is charged with two counts of insurance fraud, failure to maintain workers’ compensation insurance and passing off bad checks, according to Kelly Walker, a prosecutor with the Santa Cruz District Attorney’s Office.

Kakkar appeared in court Friday with his attorney, Peter Leeming, to set a date of March 12 for a jury trial. A court date was also scheduled for December for a motion to consolidate the case with a second criminal case involving Kakkar. The latter case involves misdemeanor violations of health and safety codes.

Leeming said he is looking forward to finally taking the case to trial after multiple delays.

For more:  http://www.mercurynews.com/central-coast/ci_19167190

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Filed under Claims, Crime, Injuries, Insurance, Labor Issues, Liability, Management And Ownership, Risk Management

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