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DOI Puts CheckMate Staffing in Check
By Robert Warne - November 5, 2003

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With the insurance commissioner eager to get his arms around insurance fraud, his department made its biggest sack of the year Nov. 4 when investigators and San Bernardino County officers raided Orange-based CheckMate Staffing.

The temporary staffing services company may have been rated by the Orange County Business Journal last year as the county’s fourth largest minority-owned firm, with revenue of $159.9 million, but the rising star of the company could now be blighted as a result of a work comp scandal.

According to the Los Angeles Times, search warrants for 22 of CheckMate’s offices in California, authorized by a Superior Court judge in San Bernardino County, where the complaints of fraud first originated were served yesterday by 100 law enforcement officers and investigators.

The carrier that triggered the investigation, whose name hasn’t been released, reportedly isn’t the only carrier that may have been defrauded by CheckMate.

The size of the raid reflects the scope of the investigation and the seriousness of the matter of misclassifying and misrepresenting payroll to lower premiums.

No charges were filed and no one was arrested yesterday, but after officials analyze the company’s records that could change.

CheckMate, which was founded in 1991 specializes in providing temporary workers for manufacturing and light-industrial firms.

 
 

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