Another ABC Contractor Busted For Prevailing Wage Violations

January 30, 2012 - The latest ABC Contractor to be charged with cheating workers out of prevailing wage is Doherty Restoration of San Francisco. At its website (http://dohertyrestoration.com/), Doherty prominently displays the ABC logo. ABC contractors flouting the law is becoming a commonplace pattern. Last year, ABC Contractor Monica Mui Ung of Oakland admitted fraudulent activity on 27 public works contracts. In San Diego, Contractor Henry Amigable of ABC-affiliated Echo Construction was recently charged with bribing school district officials to win construction contracts.  An analysis of data at the department of Labor Standards Enforcement website found that ABC, with only 0.4% of California’s contractors, accounts for 24 percent of wage and hour violations.

 

Here is the San Francisco Chronicle’s report on the Doherty case:

S.F. contractor accused of cheating workers

Michael Cabanatuan, Chronicle Staff Writer

Saturday, January 28, 2012

A San Francisco painting contractor has been charged with 57 felonies for allegedly cheating workers out of more than $600,000 by failing to pay the prevailing wage on city jobs, as she had promised.

Frances Ann Doherty, 51, of Millbrae was arrested Thursday at the offices of her company, Doherty Restoration, formerly Doherty Painting and Contracting, in Hunters Point, prosecutors said. She was released Friday on $750,000 bail.

Doherty has done extensive work with the city, San Francisco Unified School District and other public agencies on projects that require employees to be paid the prevailing wage for such jobs, prosecutors said.

Doherty reported paying prevailing wages to workers on 23 public projects while allegedly giving them "only a fraction of the wages to which they were entitled," the district attorney's office said Friday. She is also accused of providing false payroll information to two workers' compensation insurance companies, depriving them of $108,000.

"This conduct not only victimizes workers who are desperately trying to make a living in a very tough economy," District Attorney George Gascón said in a statement. "It also hurts the honest businesses that were unable to successfully compete for these projects, which the defendant was able to underbid and win as a result of this scheme."

Doherty is charged with 23 counts of filing false records with a public agency, 23 counts of wage theft on a public contract, eight counts of providing fraudulent documents in an investigation, and three counts of making false statements to reduce insurance rates.

She could not be reached for comment Friday.

Here is the Los Angeles Times’ coverage of the Amigable matter.

Five at Chula Vista school district charged in corruption

Trustees, a former trustee and a former superintendent are accused of receiving thousands of dollars in restaurant meals, airline tickets and admission to sporting events from a contractor.

January 05, 2012

By Tony Perry, Los Angeles Times

Reporting from San Diego -- Corruption charges were announced Wednesday against two trustees of a suburban school district, a former trustee, a former superintendent and a building contractor in what San Diego County Dist. Atty. Bonnie Dumanis called a "pay for play" culture involving contracts for school construction projects.

"The widespread corruption we uncovered during our investigation of this case is outrageous and shameful," Dumanis said in announcing 26 charges against the five defendants.

Charged were Sweetwater Union High School Trustees Arlie Ricasa and Pearl Quinones, former Trustee Greg Sandoval, former Supt. Jesus Gandara and contractor Henry Amigable.

Amigable allegedly provided school officials with thousands of dollars in restaurant meals, airline tickets, and admission to a Rose Bowl game, the Los Angeles Lakers playoffs, concerts and theater performances. Some of the officials solicited cash for their children's beauty pageants and field trips, according to the charges.

The charges include bribery, perjury, filing a false statement and influencing an elected official.

In exchange for the favors, the board members allegedly voted to award contracts to firms associated with Amigable. The money came from a $644-million bond issue approved by voters in the sprawling district in 2006.

"The corruption was nothing short of systemic," Dumanis said.

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