According to Insurance Journal, Techdan LLC, has pleaded guilty to second degree theft by deception. The company failed to report the official number of employees and their pay to lower the cost of workers’ compensation premiums.
The sentence will be carried out in November, resulting in a payment of $75,000 after agreeing to the plea bargain.
Between March 12, 2004 and July 5, 2007, Techdan LLC deceived Liberty Mutual Insurance Company by claiming less workers and wages. The company officially admitted to reporting a lower number of employees, wages, and purposefully lying about employees’ occupational classes.
This investigation began with a simple, confidential, toll-free call to the insurance fraud hotline, which Ronald Chillemi, acting Insurance Fraud Prosecutor, states that anonymous tips have led to some important insurance fraud cases, often paying a reward.