The Special Investigative Unit of RJN Investigations, Inc. was recently notified of the successful prosecution in the case of People of California vs. L. Perez, owner of Baron HR and several other staffing subsidiaries. In the formal referral filed by the RJN SIU, it was revealed that Mr. Perez continued to operate the Baron HR Staffing Company without a valid workers’ compensation policy. When claims did come in, he diverted them to another one of his associated companies that did have insurance coverage. Upon a detailed criminal investigation by the Orange County District Attorney’s Office, they filed fifteen felony counts against Mr. Perez. After numerous criminal hearings, Mr. Perez entered into a plea-bargaining agreement in which he agreed to plead guilty to reduced misdemeanor charges and was sentenced to one year in jail. Moreover, he was ordered to pay restitution to the insurance carriers in the amount of $ 138,725.52 as well as $43,908.87 to California EDD. At the time of this plea, Mr. Perez was already serving an 8-year prison term based upon a Federal conviction and was ordered to pay back the IRS an excess of $ 30 million dollars. As part of the Federal case, various assets were seized to include a $340,000.00 Lamborghini, a $224,000.00 Rolls Royce Sedan, a private jet, a yacht, and a $10,000.00 square foot home.
ABOUT R.J.N. SIU:
Formed in 1996, the RJN SIU Division was created to assist California employers, governmental agencies, insurance carriers and TPA firms in securing professional assistance so as to detect, investigate and prosecute insurance fraud. To date, the unit has trained well over 4,000 examiners and the documented referrals by this unit have resulted in over 255 convictions for workers’ compensation insurance fraud in California. In just the last 4 years, we have secured $ 2,172,027.00 in court ordered restitution/savings on behalf of our valued clients.
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