MILL CREEK — The owners of a Mill Creek house-cleaning business are accused of failing to pay workers’ insurance premiums and shorting an employee out of wages.
They have been charged with multiple felonies, including filing false reports and second-degree theft. They are expected to be arraigned Monday in Snohomish County Superior Court.
The case is being prosecuted by the state Attorney General’s Office based on an investigation by the state Department of Labor & Industries.
The investigation was launched after the state audited another business that the Bothell man managed. That review led to questions about the Mill Creek company, Kogaty Interiors.
The Bothell man, who owned the company with his wife at the time, reported that no employees had worked for Kogaty Interiors. Bank records showed the couple was paying employees to clean houses from April 2013 through early July 2014, according to L&I.
The pair should have paid nearly $12,000 in workers compensation insurance premiums. State records show the couple now owes more than $77,000.
Investigators also learned that the couple failed to pay one of their workers about $1,000. The woman told investigators the couple ignored her emails, and hung up whenever she called.
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