US Department of Justice: Import/Export Tax Evasion, Income Tax Fraud, Personal IncomeTax Fraud, Mail Fraud and Employment Tax Fraud.
Allegations Include:
.1 Falsifying of Import/Export documents.
2. Falsifying Corporate Tax Records.
3. Non-Reporting of "Cash" sales to avoid taxation.
4. Solicitation of individuals, businesses and organizations by mail as Not For Profit enterprise as insturment of fraud to obtain goods to sell as for profit items under false pretense.
Department of Homeland Security:
1. Employment and sheltering of undocumented workers.
Allegations:
1. Company knowingly employs undocumented persons.
2. Company knowingly and actively seeks to employ and harbor undocumented persons.
State of California Employment Development Department : Employer Tax Fraud, Workers Compensation Fraud, Unemployment Insurance Fraud.
Allegations:
1. Company forces employees not qualified as 1099 workers to accept 1099 status to avoid paying California Employment Taxes.
2. Company forces employees to accept 1099 status to avoid paying workers compensation insurance which is based on payroll.
3. Company uses employee 1099 status to avoid paying SDI (State Disability Insurance) and Unemployment Insurance.
State of California DOJ : Fraud
Allegations:
Fraud, Failure to Comply with Regulatory Statutes