California limo company owner charged with workers’ compensation fraud – InsuranceNewsNet
Gamlet Abramian, 47, of Porter Ranch, Calif., was arrested last week on charges of workers’ compensation fraud after a California Department of Insurance investigation found he allegedly underreported the corporate payroll to save more than $210,000 in insurance premiums.
Abramian owns or is involved in the management of three limo companies in the Los Angeles area: D&D Limo, Superior Enterprise and On Time Coach Executive. The Department’s investigation began after the California Public Utilities Commission’s licensing unit noticed that Abramian had reported between five and 12 drivers, but did not have a motor vehicle accident insurance policy. work or had not reported any employees to the insurance company.
The investigation found Abramian failed to report any payroll to the insurance company, allegedly in an effort to save on workers’ compensation premiums. As part of the investigation, a search warrant was served on the companies’ banks, which showed unreported payroll between June 2018 and September 2020. The unreported payroll resulted in $212,667 in unpaid premiums to the company insurance and left the employees uninsured.
Abramian surrendered and was arraigned on Monday, June 13, 2022. The Los Angeles County District Attorney’s Office is pursuing the case.