Home builder and general contractor Reynaldo Orozco has been sentenced to 18 months in prison and ordered to repay $504,047 in unpaid employment tax for filing a false tax return for his Miami business, Rock Construction Builders Inc.
According to a press release from the United States Attorney's Office for the Southern District of Florida, court documents state that from 2004 through 2007, Orozco issued corporate checks from his business to nonexistent subcontractors, then cashed those checks himself at local check cashing stores to generate large amounts of cash which he then used to pay his employees without reporting those wages on quarterly employment tax returns and without withholding taxes on behalf of those employees. It was estimated that during this time Rock Construction Builders Inc failed to report over $3.25 million in cash wages paid.
The US Attorney's Office for the Southern District of Florida commended the IRS special agents who investigated the case and the attorneys who prosecuted it.
Workers who believe that they are being paid “under the table” by employers who are not reporting cash wages are encouraged to contact their local office of the US Department of Labor’s Wage and Hour Division to find out what rights they have under the Fair Labor Standards Act.
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