Attorney General Maura Healey.
The Andover owner of two Boston-based construction companies was indicted Monday on charges of workers’ compensation fraud after failing to obtain workers’ compensation insurance, Attorney General Maura Healey said.
Christopher Rapczynski, 48, of Andover, is the president of Sleeping Dog Properties and New England Construction Resources. Rapczynski was indicted by a Suffolk County Grand Jury on six counts of workers’ compensation fraud, failure to provide workers’ compensation insurance and five counts of larceny over $250. His arraignment is scheduled for a later date at Suffolk Superior Court. The matter was referred to the Attorney General’s office by the state’s Insurance Fraud Bureau.
“When businesses fail to carry workers’ compensation insurance, it endangers their workers and raises costs for all other businesses,” Healey said. “We’ll continue to work with the IFB to investigate and prosecute those who engage in this type of fraud for their own benefit.”
The fraud bureau “vigorously pursues premium evasion cases because it places a financial drain on the system and creates an unfair playing field for dishonest businesses,” said Anthony M. DiPaolo, chief of investigations.
Rapczynski is co-owner and president of Sleeping Dog Properties, established in 1997. According to its website, the company performs planning and construction services for residential and commercial properties.
Investigators found between 2004 and 2006, the company filed 11 claims with their workers’ compensation insurer resulting in a dramatic increase in the company’s workers’ compensation premium payments. The state alleges he then ceased obtaining and paying workers’ compensation premiums and created a second company, New England Construction Resources, to supposedly lease workers. The state alleges, however, the company does not employ or insure any actual workers. Healey’s office believes Rapczynski established the newer company for the sole purpose of hiding and failing to disclose the payroll and workers.
Rapczynski allegedly deliberately misled auditors and avoided paying $66,747 in workers’ compensation premiums.