Fraud Roundup

Roofer To Pay Calif. State Fund $117,000

A San Joaquin County, Calif., Superior Court Judge has ordered Lodi,Calif., resident Joseph C. Campbell, 39, to pay $117,000 in restitution to California’s State Compensation Insurance Fund, as a result of his conviction on felony workers’ compensation fraud.

The restitution order caps a workers’ compensation case that first surfaced in 1999, when Campbell, an employee of Stockton Roofing, filed a claim for a back injury. State Fund provided workers’ compensation coverage to Stockton Roofing. State Fund said its fraud investigators later discovered Campbell was operating his own roofing business, called Campbell Roofing, while collecting workers’ compensation benefits. State Fund also insured the roofing company owned and operated by Joseph C. Campbell.

State Fund referred the case to the San Joaquin County District Attorney’s Office and California Department of Insurance for review. San Joaquin County District Attorney investigators confirmed that Campbell was operating a contracting business and had several employees. In addition to collecting workers’ compensation benefits, Campbell did not report payroll for his own company to State Fund, nor report payroll deductions to the Employment Development Department or to the California Franchise Tax Board. Campbell’s restitution order also included a payment of $23, 933 to EDD and $88, 828 to FTB.

Campbell was charged with one misdemeanor and 26 felony counts, which included insurance, premium, unemployment, revenue and tax code violations. Campbell later pleaded guilty to one misdemeanor and eight felony counts.

Topics California