DATE: April 25, 2024
CASE: Jorge Maldonado (Case #20FE019976)
PROSECUTOR: Deputy District Attorney John MacKenzie, Insurance Fraud Unit
On April 18, 2023, Jorge Maldonado was convicted of felony workers' compensation insurance fraud. At a restitution hearing today, the Honorable Tami Bogert ordered Maldonado to pay $687,560.96 in restitution to the victims.
Jorge Maldonado is the owner of Pro-Care Building Maintenance. The California Department of Insurance (CDI) received a suspected fraud referral on Maldonado. An investigation by CDI determined that between 2015 and 2017, Maldonado significantly under-reported the number of employees working for Pro-Care Building Maintenance to three insurance carriers - Employers Preferred Insurance Company, Markel Corporation and Atlas General Insurance Services. This resulted in the insurance companies losing a total of $687,560.96 in workers' compensation insurance premiums for the under-reported number of employees.
Insurance fraud of this nature puts employees of the company at risk if they are injured on the job. It also illegally reduces costs for the fraudster, allowing them to undercut honest employers on job bids. This results in unfair competition and hurts not only other companies within the industry, but also consumers who have fewer choices and less reputable companies to choose from.
