A Wisconsin construction company owner has been sentenced to two years’ probation for his scheme of paying his workers less than the prevailing wage for roofers working on a housing project in the local area. The man has also been ordered to pay over $659,000 in restitution in addition to the $1 million he has already been ordered to pay to settle a whistleblower lawsuit.
The New Berlin-based construction company was working on a roofing job awarded under a government contract at a Milwaukee housing project that was projected to be worth $4.7 million to the company, as well as projects in Waukesha and Beloit. The whistleblower in the case was a roofing supervisor who also performed administrative duties for the company. The company claims that she knew of the scheme, but she maintains that many whistleblowers are innocently involved on some level with the fraud before they realize that some sort of illegal scheme is happening. She has been awarded $180,000 for reporting the fraud, but is still awaiting some resolution of a wrongful termination claim against the company, as well as an award of attorney fees for pursuing her claim in the litigation.