International Janitorial Cleaning Services Association

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Owners of Good Neighbors Janitorial Service to Hotels Indicted on Worker’s Comp,

23 Dec 2015 11:57 AM | IJCSA - (Administrator)



The owners of a Southern California janitorial company that provides cleaning staff to major hotels in San Diego, Los Angeles and Riverside counties were indicted on charges of workers’ compensation fraud, payroll tax evasion and extortion, authorities announced Monday.

Hyok “Steven Kwon and his wife, Woo “Stephanie” Kwon — the owners of Good Neighbor Services — each face up to 31 years in prison if convicted.

Good Neighbor Services provides cleaning staff to major hotels such as the Hotel Del Coronado, Loews Coronado, La Costa Resort and Spa, the Ritz Carlton, Four Seasons and the Hilton and Hyatt hotel chains.

The investigation — which began 2 1/2 to three years ago — allegedly uncovered a methodical and systematic shell game involving six straw owners. Those 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, the government alleges.

“These defendants lied on the backs of their employees, who were cleaning rooms in some of the most prestigious hotels in California,” said San Diego County District Attorney Bonnie Dumanis. “If employees got hurt on the job, they were threatened with being fired.”

More at source: San Diego Times

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