A Florida business owner is accused of evading paying nearly $200,000 in workers’ compensation insurance premiums over the course of a year, according to a statement from the Florida Department of Financial Services.
Chief Financial Officer (CFO) Jimmy Patronis announced the arrest Feb. 6 of Santos Y. Cardona, owner of YYCS Enterprises, Inc., for workers’ compensation fraud after his company allegedly conducted more than $1 million in payroll but reported $59,000 on their workers’ compensation insurance policy.
An investigation by the DFS Bureau of Insurance Fraud discovered Cardona allegedly concealed payroll information to avoid paying higher workers’ compensation premiums. Based on financial records from a check cashing store in Fort Myers, Fla., it was revealed that Cardona cashed over $1 million in payroll checks.
Cardona later reported payroll of only $59,000 which is less than what he original estimated to avoid paying $199,515 in workers’ compensation insurance premiums.
Cardona was booked into Lee County Jail on February 5 on charges of workers’ compensation fraud and scheme to defraud. If convicted, Cardona faces up to 25 years in prison. Individuals charged with a crime are presumed innocent until proven guilty.
“Workers’ compensation fraud is a serious crime that puts injured workers at risk and drives up insurance rates statewide for honest, hard-working businesses,” Patronis said. “My office is committed to cracking down on fraud. I applaud the great work of our dedicated insurance fraud detectives.”
Topics Florida Fraud Workers' Compensation
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