Employer Criminally Prosecuted for Under-reporting Wages and for Immigration Violations
By Greg Berk and Suzanne Brummett
The U.S. Attorney in Boulder, Colorado has filed a criminal indictment against the owner of several Thai restaurants for various employment tax and immigration violations.
The owner brought in workers from Thailand on employment visas to work at his restaurants. However, he denied them overtime pay and insisted on paying part of their wages in cash. He then intentionally under-reported their pay to the IRS to avoid paying increased payroll taxes. If convicted, he faces up to 20 years in prison and $250,000 in fines for each criminal count.
Foreign nationals working in the U.S. are entitled to the same statutory employment protections as U.S. workers. Any conduct by an employer to exploit an individual based on immigration status is a violation of both federal and state employment and criminal laws.
Carlton DiSante & Freudenberger's immigration practice group is available to assist employers with questions that may arise regarding the employment of foreign nationals on work visas as well as I-9 compliance. In addition, our employment law attorneys are available to assist employers in making sure that their compensation practices can withstand state and federal scrutiny. Employers who are uncertain whether their employment practices are fully compliant with all federal and state laws may want to consider having an audit conducted by counsel. The consequences of non-compliance can be enormous.
To see the full press release regarding the indictment of the restaurant owner by the U.S. Attorneys Office, click here.