King City Roofing Contractor Ordered to Pay over $159,000 in Restitution for Insurance Fraud

Salinas, California- Monterey County District Attorney Jeannine M. Pacioni announced on Friday, January 31 that 38-year-old Hector Hernandez of King City and owner of Hernandez Roofing, was sentenced by Judge Pamela Butler to 5 years of felony probation for insurance fraud and state tax evasion. As a term of probation, Hernandez was ordered to pay $159,059.03 in restitution to his workers’ compensation insurance carrier, State Compensation Insurance Fund.
Between 2013 and 2016, Hernandez secured a workers’ compensation insurance policy for his business through the State Compensation Insurance Fund (“SCIF”). In order to pay lower insurance premiums, he denied having any employees. The District Attorney’s Office opened an investigation in February 2016, obtaining building permits showing that Hernandez handled about 96 roofing jobs in a 4 year period. Interviews of workers and homeowners revealed that he used at least 3 employees for these jobs. Hernandez attempted to conceal the employees and wages by paying cash. Investigators calculated Hernandez defrauded SCIF of $159,059.00 in premiums.
The District Attorney filed felony charges on January 23, 2018. The charges included intentionally misrepresenting his payroll to SCIF to obtain a reduced premium – a violation of Insurance Code Section 11880(a). Hernandez was also charged with payroll tax violations of the Unemployment Insurance Code. Hernandez pled guilty to 3 felonies on August 23, 2019.
The case was investigated by Monterey County Workers’ Compensation Fraud Unit Investigators Martin Sanchez and George Costa.
Under California law, business owners and the public need to be aware that all employers are required to secure workers’ compensation insurance for their employees so that there is adequate medical coverage and other benefits for any work-related injury that may occur. Additionally, employers are required to register their business with the EDD and report their payroll on a quarterly basis. Failing to file payroll tax returns with intent to evade tax has a maximum penalty of three years and up to a $20,000 fine. Persons having information about suspected workers’ compensation fraud are encouraged to contact the District Attorney’s Office at (831) 755-3224.

Comments

Fatal 3 Vehicle Accident Involving Wrong Way Driver on Highway 101 Outside of King City on January 10

A fatal multi-vehicle collision happened on Saturday night, January 10 at 9:51 p.m. on northbound Highway 101 outside of King City. According to the King City CHP a 2016 Toyota Tacoma driven by 65-year-old Paul Lee Cooper of Otis, Oregon was heading the wrong way going southbound in the northbound lanes south of Jolon Road, while a 2006 Toyota Corolla driven by 33-year-old Dinora Maribel Gomez of Salinas was heading northbound on Highway 101 south of Jolon Road in the #1 lane and a Honda Accord driven by 36-year-old Ignacio Sangerman of King City was also traveling northbound on Highway 101 south of Jolon Road but was in the #2 lane. Due to Cooper's level of impairment his vehicle went the wrong way on Highway 101 going directly into the path of Gomez' vehicle causing the rear of her car to crash with the front of the vehicle driven by Sangerman. Cooper was arrested, sustaining major injuries and was transported to Natividad Medical Center in Salinas where as of January 12 is...

King City City Council Announces Selection of José Arreola as New City Manager

January 7, 2025-Following an extensive recruitment process, José Arreola has been selected by the King City City Council to be its next City Manager. Arreola will replace Steve Adams, who is retiring after serving in the position for the past 10 years. Arreola was selected from 31 applicants and 8 finalists for the position. The King City City Council will formally consider the proposed city manager contract at its meeting on Tuesday night, January 13. Arreola's first day on the job is scheduled to be February 23. José Arreola has a distinguished career of serving the community with a particular commitment to youth. He has worked for the City of Salinas for 12 years as their Community Safety Program Manager, Community Safety Administrator and Assistant to the City Manager. Among other responsibilities, Arreola has led several programs to eliminate gang violence which aligns well with the City of King’s efforts and priorities. Prior to that, Arreola worked as an Educa...

King City CHP is searching for person of interest who fled the scene of a fatal crash in Greenfield

On Monday, September 16 at approximately 3:50 pm, a fatal traffic collision occurred on Metz Road south of Elm Avenue in Greenfield. The driver who caused the collision fled on foot and is currently outstanding. The California Highway Patrol King City Area is currently seeking the whereabouts of 31-year-old Agustin Santana-Moncada of King City who has been identified as a person of interest in the case. The King City Area is requesting assistance from the public in locating Santana-Moncada. Anyone with information is asked to contact the King City Area office at (831) 385-3216.

KRKC COUNTRY

Search This Blog