Monterey County Contractor Accused Of Leaving Employees Without Workers' Comp

Insurance Commissioner Steve Poizner announced today a longtime Monterey County construction contractor faces charges after a California Department of Insurance (CDI) investigation showed he had been leaving his employees uninsured for on-the-job injuries. Herman L. Johnson, 64, of Marina, CA, is scheduled to appear in Monterey County Court January 23, 2007 to enter a plea.

"This kind of fraud is particularly unconscionable," said Insurance Commissioner Steve Poizner. "What Mr. Johnson did was put his own greed above the welfare of the people he employed. If any one of these workers had been injured on the job- and that's not uncommon in the construction industry- that employee and his family could have faced financial ruin."

Johnson had been doing business in Monterey County for approximately 26 years as Buzz's Drywall. He allegedly hired and employed staff, for many years, without providing workers' compensation insurance. Johnson has been charged by the Monterey County District Attorney's Office with four felony counts of committing perjury on a contractor's license application and several renewal applications for a partnership that never existed; four misdemeanor counts of failing to provide for workers' compensation; one misdemeanor count of fraudulent use of a contractor's license number; one misdemeanor count of contracting without a license; and one misdemeanor count of unlawful advertising. Read more at at insurance.ca.gov