Workers’ Comp Scam Leads to Arrest of Miami Construction Company Owner
Chief Financial Officer Jimmy Patronis today announced the recent arrest of Juan Jose Castro, owner of JACM Construction Corp., after his alleged attempt to operate a shell company with the sole intent of circumventing the state’s workers’ compensation laws. A “shell company” is an entity that conducts no significant business operations and can be used as vehicle to conduct fraudulent financial transactions, such as workers’ compensation fraud.
Castro obtained a workers' compensation policy for JACM Construction Corp. April 25, 2017. When obtaining the policy, Castro provided his business operated with an estimated annual payroll of $112,000.00 for work classified
under the description of wallboard installation and carpentry.