Texas Mutual Insurance Co. reported that a Travis County Grand Jury indicted Stan and Cynthia Doze, operators of Doze Construction Co. Inc., on a second-degree felony charge related to workers’ compensation premium fraud. The Doze Construction Co. is located in Gun Barrel City, about 60 miles southeast of Dallas. Allegedly, the Dozes incorporated a second company in order to conceal employee payroll in an attempt to evade paying the legitimate insurance premium. Doze Construction then applied to Texas Mutual for workers’ compensation insurance, but reported only a fraction of its true payroll. Because workers’ compensation insurance premium is based in part on payroll, the scheme allowed Doze Construction to be charged much less than it actually owed. The Doze Construction investigation is part of the Texas Mutual’s Zero Tolerance for Fraud program.
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