D.A. Bragg Announces Indictment in $20M Off-the-Books Compensation Scheme

Manhattan District Attorney's Office Press Release

“Manhattan District Attorney Alvin Bragg, Jr., today announced the indictment of four interior construction companies, their owners, and a manager, for a conspiracy to evade more than $1.7 million in workers’ compensation insurance premiums over five years by creating a $20 million, off-the-books, cash payroll. As alleged, SOLOMON FEDER, 35, CHAIM LEIFER, 43, their companies BIG APPLE DESIGNERS, INC., and VELOCITY FRAMERS USA, INC., and manager MOSHE “MOSES” WEINBERGER, 31, colluded with CARLOS SANTANDER, 46, and others, to issue checks made payable to SANTANDER’s two companies, CIS ENTERPRISES CORP and CIS CONSTRUCTION LLC. SANTANDER then cashed the checks at commercial check cashing businesses, and paid BIG APPLE and VELOCITY workers with envelopes of cash – enabling the companies to underreport their true payrolls to the New York State Insurance Fund (“NYSIF”), and avoid paying required premiums.”