Cleaning & Maintenance Management Online

Court orders company to pay $3 million in back wages

November 5, 2009
GARDENA, CA — The owners of Southern California Maid Service and Carpet Cleaning Inc. were arrested last Friday for failure to pay their employees more than $3 million in back wages, according to The Daily Breeze.
Sergio Maldonado and Lorenza Rubio, who promised to pay $30,000 by yesterday and more than $3 million next week in back wages, damages, fines and interest to some 385 employees, were released on Tuesday after appearing before U.S. District Judge Andrew J. Guilford, the story stated.
According to the release, following an investigation by the U.S. Department of Labor, a federal court judge awarded back wages to the workers on August 21, 2007, something Maldonado and Rubio failed to comply with.
In September 2008, the U.S. Department of Labor filed for civil contempt charges for continued failure to comply with the order, the story noted.
In April 2009, the court, in an effort to finally resolve the situation, ordered daily fines of $2,000 to Southern California Maid Service and Carpet Cleaning Inc. for each day the owners failed to pay back wages for workers, the story added.
According to the U.S. Department of Labor, despite repeated efforts by department attorneys, the company and its owners have failed to make any payments to date.
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