Father and Son in California Sentenced in $400K Workers’ Comp Scheme
Jaime Rosario Del Real, 61, and son Israel Del Real, 37, have both pleaded guilty to four felony counts for their role in a $400,000 insurance fraud scheme denying workers’ compensation insurance and medical care for injured workers.
The father and son were sentenced to 250 days in jail, 10 years of felony probation and ordered to pay $382,951 in restitution. This case was prosecuted by the Monterey County District Attorney’s Office.
Doing business as Del Real Produce and Packing and Del Real Packing LLC, the Del Reals worked as farm labor contractors providing laborers for picking and packing lettuce for growers in Monterey County and Yuma, Arizona.
After receiving information from an insurer, California Department of Insurance detectives found the Del Reals had concealed injuries their workers sustained and refused to pay for medical treatment or provide other benefits the injured workers were entitled to.
The investigation also revealed that over a five-year period, the Del Reals lied more than 20 times in order to obtain reduced insurance premiums.
As part of their premium theft. the Del Reals reportedly kept two sets of Employment Development Division forms, with different employees and a different number of employees listed, which allowed them to evade paying payroll taxes.