Michael E. Sewell, ERISA Falsification, Maryland 2014
A Maryland electrical contracting company owner pleaded guilty to falsifying disclosure documents to avoid contributing to employee benefit plans.
Michael E. Sewell, 50, of Street, Maryland, admitted to under-reporting hours worked by employees to avoid contractually required contributions to the employee benefit plans.
According to the plea, Sewell's company, MESCO Inc., was required to make monthly contributions to seven employee health, welfare, and pension benefit plans under the Employee Retirement Income Security Act (ERISA).
However, beginning in January 2009, Sewell started paying some wages earned by MESCO employees from the payroll of a second company he owned, Michael E. Sewell and Associates Inc., and failed to report those wages in monthly remittance reports to the administrator of the benefit plans.
In addition, Sewell failed to make the required contributions to the employee benefit plans for those unreported wages, resulting in over $199,000 in unpaid contributions.
Sewell is scheduled to be sentenced on October 30, 2014.
The case was investigated by the Department of Labor and is being prosecuted by Trial Attorney Vincent Falvo Jr. of the Criminal Division's Organized Crime and Gang Section and Assistant U.S. Attorney Martin J. Clarke of the District of Maryland.
Key Facts
- State: Maryland
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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