Skip to comments.NJ unemployment fraud scheme linked to trucking firm nets $180K
Posted on 07/01/2014 11:00:05 PM PDT by Citizen Zed
Stephen Pirrones former trucking company made him a lot of money, but not for moving freight. The 53-year-old Paramus man just released from federal prison in a $200,000 tax fraud that used the name of the firm to generate fake wage statements was charged today with three others in a $180,000 unemployment scam in the name of the same now-defunct transport company.
The scheme, also based on fraudulent wage statements, went on for more than six years continuing even after Pirrone was in prison, with some of the money wired to his commissary account, investigators said.
Charged with Pirrone was Wilfredo Sanchez, 37, and Jose Flores, 38, both of Newark, and Andre Brown, 36, of Woodland Park.
Pirrone, Sanchez and Flores were all arrested today and ordered held on $75,000 bail. Brown was not arrested but was ordered to appear in court when arraignment is set.
If convicted, they face five to 10 years in prison and fines up to $150,000.
(Excerpt) Read more at nj.com ...
Usually with unemployment the company has to pay in to the state fund and include the names of the employees on the return so not sure what they were doing. Maybe New Jersey is different.
In Texas we have a quarterly report on which is listed the name, SS# and amount each employee earned that quarter. Total wages paid as shown on the state report must match totals shown on the quarterly 941 Federal report. State of Texas is all over employers who don’t file timely and correctly.
Sounds like some state agency people in New Jersey weren’t doing their job.
No, that’s exactly how it works. I guess I could imagine a scam like this would work for a person here or there, but to go on for 6 years? That I don’t understand.
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