Colonie Company Sentenced To Make $315,600 In Restitution

NEW YORK,NY (03/05/2010)(readMedia)-- A Colonie-based trucking company that pleaded guilty to underreporting its payroll to avoid paying workers' compensation premiums was sentenced in Albany County Court to make $315,600 in restitution to the State Insurance Fund.

Eagle River Inc., 6 Norman Dr., on Feb. 17 pleaded guilty to a misdemeanor charge of falsifying business records and has already paid $150,000 in restitution. The company has agreed to pay the balance over the next three years.

Prosecuted by Assistant District Attorney John Czaijka, the company was accused of underreporting its payroll by $2.2 million during a three-year period ending in November 2006.

The discrepancy was discovered during an audit of the corporation's records by investigators from the New York State Insurance Department's Frauds Bureau and the Insurance Fund. By underreporting wages, the company's workers' compensation premiums cost less than they would have had its payroll been reported correctly.

###