Texas Demolition Co. Owner Sentenced for Fraud

July 23, 2004

Texas Mutual Insurance Company reported that Quenton Durrett of Durrett Demolition in Manvel, Texas has received a one-year sentence, suspended for four years, for workers' compensation fraud-related charges. The 167th District Court of Travis County reduced the charges to a misdemeanor, and ordered Durrett to pay a $500 fine and $26,000 in restitution to Texas Mutual.

According to Texas Mutual investigators, Durrett repeatedly claimed that his company had no employees and no payroll records. An investigation uncovered evidence showing that Durrett maintained a company bank account from which employees were paid, and he used two payroll companies to pay the Durrett Demolition payroll.

Workers' comp insurance premiums are based, in part, on payroll. The fraud allowed Durrett to avoid paying the correct premium for his company, and it left Texas Mutual liable for injuries sustained by his employees.

The Durrett investigation was part of the Texas Mutual "Zero Tolerance for Fraud" program. Texas Mutual Insurance Company maintains three teams of fraud investigators permanently assigned to investigate every report of suspected fraud.