Southwest Ohio man guilty of ‘failure to comply’
A Hamilton bar owner who refused to cooperate with the Ohio Bureau of Workers’ Compensation (BWC) over his lapsed coverage entered a repayment plan with BWC after state liquor control agents raided his bar in early April and seized cash and liquor.
The workers’ compensation coverage for Alleys on the River in Hamilton is now active and in compliance, but owner Michael E. Larkin, 53, has a criminal conviction on his record now after pleading guilty May 31 to a second-degree misdemeanor count of failure to comply. A Hamilton municipal judge fined him $150, sentenced him to two years of community control and ordered that $1,000 of the cash seized in the raid be applied to his BWC debt.
“We made several attempts to help Mr. Larkin bring his lapsed BWC policy into compliance, but he wouldn’t work with us. He didn’t even show up in court for his arraignment after we pressed charges,” said Dan Fodor, assistant director of BWC’s Special Investigations Department (SID). “We subsequently referred his case to the Ohio Liquor Control Commission because he wasn’t meeting his obligation to his employees to carry workers’ comp coverage, which is required by state law.”
The commission suspended Alleys’ liquor license in May 2016, but agents with the Ohio Investigative Unit raided the business on April 6 this year after learning it was still selling alcohol. Agents seized $2,600 in liquor proceeds and nearly 1,500 bottles and cans of beer and liquor. Larkin started his payment plan with BWC the next day, and he has since regained his liquor license.
Fodor said this case illustrates the importance of employers working with BWC to resolve their compliance issues, rather than ignoring them altogether.
“Our employer fraud team actively investigates those that try to cheat the system,” he said. “BWC offers a number of programs that could potentially lower an employer’s premiums. They just need to call and work with us, because ignoring or defying their obligations will only cost them more in the long run.”
To report suspected workers’ compensation fraud, call 1-800-644-6292 or visit bwc.ohio.gov.