Lodi, Calif. Man Pleads Guilty

A Lodi, Calif. man was arrested on numerous felony charges as a result of a joint investigation by the CDI Criminal Investigation Branch’s Fraud Division, the San Joaquin County District Attorney’s Office, the Franchise Tax Board (FTB) and the Employment Development Department (EDD).

Joseph Charles Campbell, 36, self-surrendered on Dec. 18, 2002 on 13 felony counts of Insurance Code violations, seven counts of Unemployment Insurance Code violations and five counts of Revenue and Taxation Code violations. On Dec. 19, 2002, Campbell pled guilty to five counts of insurance fraud, two Unemployment Insurance, and two Revenue and Taxation Code violations.

According to investigators, Campbell filed a workers’ compensation claim on Dec. 11, 1999, while working for Stockton Roofing. During an investigation of Campbell’s claim, it was found that Campbell was working and running a business named Campbell Roofing during the same time he was collecting disability payments from the State Compensation Insurance Fund, to which both companies are insured.

Following an investigation, investigators discovered that Campbell allegedly underreported his payroll to SCIF for Campbell Roofing, which allowed Campbell to pay significantly less in workers’ comp premiums. In addition, investigators learned that Campbell reportedly had not filed state taxes or paid EDD taxes since 1996. Campbell admitted later that he worked while collecting Total Temporary Disability from SCIF and that he underreported his payroll in order to reduce the amount of workers’ comp premiums he would have to pay. Due to Campbell’s fraudulent activities, it is estimated that SCIF was defrauded up to $200,000 in workers’ comp premiums.

Topics California Workers' Compensation