Passaic County Prosecutor Camelia M. Valdes announces the arrest of Pedro L. Carbajal, 43, of Watchung, on charges arising out of the fraudulent activities of Options Staffing, a New Jersey corporation that provides temporary workers for warehouse, loading dock and trucking jobs.
According to authorities, Pedro L. Carbajal principal and sole owner of Options Staffing - located at 1130 McBride Avenue, Woodland Park and 30 Howe Avenue Passaic - in 2013 began over-billing a trucking company for phantom employees, whose names were listed on invoices to the trucking company but who never appeared for work. Options Staffing overbilled the trucking company over $700,000.00 over a period of fourteen months.
In addition, Options Staffing also defrauded their employees by failing to turn over to the State payroll deductions withheld from employee paychecks. As a result Options Staffing employees were declined when they applied for Disability and Unemployment benefits, Options Staffing also failed to maintain Workers Compensation Insurance to protect employees injured during the course of employment.
Furthermore, Options Staffing failed to file Corporate Business tax returns and Pedro L. Carbajal failed to file a personal New Jersey income tax return for 2016.
As a result, authorities charged Pedro L. Carbajal by way of a warrant complaint with Theft by Deception in the second degree, Theft by Failure to Make Required Disposition, Misapplication of Entrusted Property, Misconduct by a Corporate Official, Failure to Pay Taxes and Failure to Carry Workers Compensation Insurance.
A second degree offense is punishable by a New Jersey State prison term of between five to ten years. A third degree offense is punishable by a New Jersey State prison term of between three and five years. A fourth degree offense is punishable by a New Jersey State prison term of up to eighteen months.
The investigation is continuing.
The investigation was conducted by the Financial Crimes Unit of the Passaic County Prosecutor’s Office with the assistance of Special Agents from the Department of the Treasury, Division of Taxation, and analysis performed by the Department of Labor and Workforce Development.
Acting State Treasurer Elizabeth Maher Muoio said “Our goal is to level the playing field and protect the taxpayers of the State who work hard and play by the rules. I commend everyone involved for their diligence and commitment to those principles.”
Central Judicial Processing was conducted on Feb. 27, 2017 in the Criminal Division, Superior Court of New Jersey, Passaic Vicinage. The Passaic County Prosecutor’s Office has filed a motion to detain the defendant, which is scheduled before the Honorable Donna Gallucio, a judge of the Superior Court of New Jersey, on March 5, 2018 at 9 am.
A criminal complaint is merely an accusation. Despite this accusation, the defendant is presumed innocent until proven guilty beyond a reasonable doubt.