Father and Son Charged in $4.2M Premium Fraud Scheme

The father and son owners of two Northern California cleaning companies are accused of underreporting payroll as part of a scheme to fraudulently reduce their workers’ compensation premiums by about $4.2 million. The Department of Insurance announced that Edgardo Cabrales Sr., 61, and his son, Edgar Cabrales Jr., 36, each face five felony counts of insurance fraud. The younger Cabrales self-surrendered Tuesday and his father was arrested Sunday. The Cabraleses owned Pine Building Maintenance and Network Facility Management, two commercial cleaning companies based in San Jose. The depar...