International Janitorial Cleaning Services Association   



CA Janitorial Co Owner Enters Guilty Plea in Multi-Million Dollar Premium and Tax Fraud Case

20 Mar 2017 7:57 AM | IJCSA - (Administrator)

SAN DIEGO, Calif. - San Diego County District Attorney Bonnie M. Dumanis announced today that a grand jury has indicted the owners of Good Neighbor Services as well as six accomplices for a massive, ongoing insurance fraud and tax evasion scheme. Two defendants, Hyok "Steven" and Woo "Stephanie" Kwon, own a janitorial company that provides cleaning staff to major hotels across San Diego, Los Angeles and Riverside Counties, including The Hotel Del Coronado, Loews Coronado, La Costa Resort and Spa, The Grand Del Marin La Jolla, L'Auberge Del Mar, The Ritz Carlton, Four Seasons, Hilton and Hyatt hotel chains.


The Kwons have been indicted on 11 counts of workers' compensation premium fraud, 18 counts of payroll tax evasion and one count of extortion. The investigation uncovered a methodical and systematic shell game involving six straw owners. These straw owners were used to conceal the existence of hundreds of hotel workers to avoid paying millions of dollars in insurance premiums and payroll taxes. If convicted of all charges, they each face up to 31 years in prison.

More at source: WorkersCompensation.com

Find A Janitorial Service Here 

Featured member

Featured member