Woman Charged With Fraud After Allegedly Underreporting Wages

Tuesday, November 1, 2016 | 0

A Miami woman has been charged with fraud after investigators said she severely underreported her company’s wages to her workers’ compensation insurer, the Palm Beach Post reported.

Carmen Montalvo-Rivera, 40, allegedly created a shell company called Enterprises Remodeling Group and paid uninsured employers to do construction work, and then used check-cashing stores to pay workers in cash.

Montalvo-Rivera allegedly told SUNZ Insurance Co. in Bradenton that her company’s wages were $26,665 when they were actually more than $4.3 million, the newspaper reported. Had she accurately reported wages, her insurance premium would have gone from $2,796 to between $327,000 and $525,000, the Post reported.