CA Insurance Commissioner Announces Lodge Owner's Conviction For Fraud
Santa Cruz, CA (WorkersCompensation.com) - Insurance Commissioner Dave Jones today announced that Brookdale Lodge owner, Sanjiv Kakkar, 52, was sentenced to 364 days in jail and three years probation after pleading no contest for two felony counts including insurance premium fraud and failing to maintain workers' compensation insurance. Kakkar paid restitution of over $52,000 toward unpaid insurance premiums.
"Detectives from my department along with investigators and the prosecutors from the Santa Cruz District Attorney's Office worked together to bring Kakkar to justice," Commissioner Jones said. "Their tireless efforts have stopped him from ripping off insurers and leaving employees at risk."
Over the course of four years, in a joint effort with the Santa Cruz County District Attorney's Office and multiple agencies, the California Department of Insurance discovered unreported employee payroll totaling an insurance premium loss of over $52,000 as well as underreported workers' compensation policy premiums. The investigation began with a complaint from an employee reporting his medical bills associated with work related injuries were unpaid.
Assistant District Attorney Kelly Walker who prosecuted the case stated that these prosecutions are extremely important to our community. "We see too often employees put at extreme risk doing difficult labor with no recourse if they are hurt," said Walker.
According to the Santa Cruz County District Attorney's Office, an investigation by the Monterey Bay Unified Air Pollution Control District uncovered multiple health and safety code violations for air-borne asbestos resulting in an additional $10,000 fine.