Sacramento cleaning company owner faces felony charges in workers’ compensation fraud case
The owner of a Sacramento cleaning company has been charged with three felony counts of insurance fraud, according to a news release issued by the California Department of Insurance.
Sacramento resident Jorge Gerardo Maldonado, owner of Pro-Care Building Maintenance, surrendered at Sacramento County Main Jail on Dec. 23 amid allegations that he under-reported payroll and employment numbers to save on workers’ compensation premiums.
Three insurance carriers have reported combined losses of $687,560 as a result, according to insurance officials, noting that the discrepancies in payment came to light after an employee filed a claim in 2016.
One of the three insurers asked the Department of Insurance to investigate after a worker filed a claim following a July 10, 2016, injury on the job. The regulatory review found that Pro-Care had under-reported payroll and failed to report the end of policy payroll to the insurance company as required.
Maldonado, 55, who has owned Pro-Care since 2014, also failed to report payroll of more than $5 million and employment numbers to three insurance carriers from 2017-2019, according to insurance regulators.
The Sacramento District Attorney’s Office will prosecute the case against Maldonado.
