A Jacksonville construction boss is in serious trouble after state investigators say he lowballed his company’s payroll to dodge roughly $300,000 in workers’ compensation premiums, leaving his crew and competitors holding the bag.
According to Tampa Free Press, the defendant, Carlos Antonio Maradiaga Garcia, is accused of running a construction firm with a real payroll close to $2 million while telling his insurer it was just $25,000. That is not a rounding error, and investigators say the alleged shortfall translated into nearly $300,000 in unpaid workers’ comp premiums. He was arrested by the Department of Financial Services’ Criminal Investigations Division and processed in Jacksonville, and is charged with workers’ compensation premium fraud and an organized scheme to defraud, the outlet reports.
State officials say Maradiaga is also in the country illegally and is under an active removal order from U.S. Immigration and Customs Enforcement, according to Tampa Free Press.
“I have made it abundantly clear that those who are committing fraud in the state of Florida will face the fullest extent of the law,” Chief Financial Officer Blaise Ingoglia told reporters, as quoted by Tampa Free Press.
State crackdown on premium fraud
Ingoglia has turned fraud enforcement into a marquee issue for the Department of Financial Services, with his office regularly rolling out press releases on arrests tied to workers’ compensation and contracting scams. In a statement highlighted by MyFloridaCFO, the department framed aggressive prosecutions as a way to protect taxpayers and give law-abiding contractors a fair shot at competing on price.
How these schemes typically work
Investigators say schemes like the one alleged here usually rely on underreporting payroll, using shell companies, or paying workers in cash so that the books make a big crew look like a tiny operation. That lets a business buy workers’ comp coverage priced for a much smaller staff, saving on premiums while the full workforce remains effectively uninsured. Florida has seen a string of similar cases in recent years, prompting criminal prosecutions and civil actions, as covered by Insurance Journal and prior Hoodline reporting such as Orlando Trio Admit Guilt.
Legal exposure and penalties
Under Florida law, an organized scheme to defraud is a serious felony, and once the loss amount crosses certain thresholds, prosecutors can charge it as a first degree felony. A first degree felony in Florida carries a statutory maximum of up to 30 years in prison, and courts can also order restitution and other civil remedies. The sentencing structure and elements of organized fraud are laid out in the relevant Florida Statutes.
Maradiaga’s arrest adds one more case to the list state officials point to as proof that their fraud push is catching contractors who they say undercut legitimate businesses and drive up costs for everyone else. He remains in custody while the case moves through the courts, where prosecutors will decide whether to pursue additional counts or seek enhanced penalties.
