BOSTON -- A Lowell business owner is scheduled to be arraigned on Monday on charges he avoided higher insurance premiums by understating his payroll and the number of jobs performed.
Kruy Kroch, 50, of Lowell, will be charged in Middlesex Superior Court on charges of workers' compensation fraud (five counts) and larceny over $250 (five counts).
Kroch owns MK Environmental, Inc., an asbestos abatement company at 171 Lincoln St., #2.
He is past president of MK Environmental Inc., which is listed as "inactive." The company phone number is no longer in service.
MK Environmental was insured by Travelers Indemnity Company for workers compensation insurance and employers liability insurance from April 2007 through December 2012, according to Attorney General Martha Coakley's office.
Kroch allegedly told his insurance provider he employed up to 30 workers, with at least four full-time from 2007 to 2012, and misclassified the work of his company, according to authorities.
This meant Koch paid a minimum premium rate, underpaying Travelers by thousands of dollars and exposing the insurer to additional risk, Coakley's office said.
