A New Paltz contractor plead guilty to shorting his workers close to $1,000,000 in wages.

Attorney General Eric T. Schneiderman announced the guilty pleas of Sergio Raymundo, 28, and his New Paltz-based construction company Lalo Drywall, Inc.

According to the Attorney General’s Office, Raymundo and Lalo Drywall, Inc. cheated eight workers at a Harlem housing project out of approximately $800,000.00 in wages during a 17-month period. The illegal activity was attempted to be hidden by signing false checks. Those checks were not given to workers, officials say.

Both defendants must pay $793,509.60 in restitution and $83,143.76 in unpaid unemployment contributions due to the New York State Department of Labor, Unemployment Insurance Division.

In Manhattan Supreme Court Raymundo pleaded guilty to falsifying business records, a felony, and one count of failure to pay wages, a misdemeanor. His company pleaded guilty to falsifying business records, a felony

As part of the plea deal Raymundo will not serve jail time. His company is not allowed to bid or be awarded public work contracts in New York State for the next 5 years.

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