A Miami-based construction company owner is facing serious criminal charges, including grand theft and workers’ compensation fraud, following allegations that he systematically underreported his company’s payroll by nearly $1 million.
According to investigators, the deceptive practice allowed the contractor, identified as Israel Carballo, to defraud NorGuard Insurance out of more than $100,000 in required insurance premiums.
The case highlights ongoing scrutiny within the construction sector regarding accurate payroll reporting and insurance compliance. Investigators allege that the significant discrepancy between actual payroll figures and those reported to the insurer was intentional, designed to unlawfully reduce operational costs at the expense of proper coverage.
Authorities have not yet released details regarding a scheduled court appearance or potential restitution agreements. The investigation remains active as state officials continue to crack down on commercial insurance fraud in the region.