An Irvine man was arraigned Wednesday for allegedly committing more than $120,000 in tax and insurance fraud and failing to pay employees of his heating and air conditioning business prevailing wage for work performed on two public works contracts.
Shamseddin Hashemi-Mousavi, who was held on $120,000 bail, faces 48 felony counts that could send the 61-year-old to state prison for up to 44 years and six months.
The owner of AAA-HVAC of Irvine applied for and received public works contracts from the City of Los Angeles between 2009 and 2012, but when it came to the actual work Hashemi-Mousavi fraudulently paid several of his employees less than prevailing wage in cash or by check, keeping the extra money owed to his employees for himself, alleges the Orange County District Attorney's office (OCDA).
Hashemi-Mousavi is also accused of forging, falsifying and submitting bank records to fraudulently show that his employees had been paid prevailing wage, and of willfully failing to pay his premium insurance tax and tax to the Employment Development Department.
In all, he allegedly committed more than $120,000 in insurance and tax fraud, according to the OCDA, which notes the City of Los Angeles Bureau of Contract Administration and the California Labor Commissioner's Office (Department of Industrial Relations) investigated. Orange County Deputy District Attorney Donde McCament of the Workers' Compensation Insurance Fraud Unit is the prosecutor.
The charges against Hashemi-Mousavi, who is due back in court Tuesday, include taking and receiving a portion of worker's wage on public works, attempted taking and receiving a portion of worker's wage on public works, forgery, recording false and forged instruments, willful failure to pay tax, and misrepresenting facts to workers' compensation insurance company.