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Congressman Denies His Own Employees WC

 Rep. Grimm Charged with Paying Employees Off-the-Books:

 

Rep. Michael Grimm, R-Staten Island, pleaded not guilty at his arraignment April 28 after he was arrested on charges related to underpaying workers at a Manhattan restaurant he owned and operated before he was elected to Congress in 2010.

 

Grimm, 44, was accused of hiring undocumented workers and of paying employees in cash to skirt state wage and tax laws, Fox News reported.

 

The Washington Post also reported that his restaurant, Healthalicious, was fined $88,000 for not providing workers’ compensation to employees.

 

Grimm, a former FBI agent and U.S. Marine combat veteran, vehemently defended himself after the charges were announced, saying federal prosecutors were on a "political witch hunt."

 

The indictment charged mail and wire fraud in connection with false federal tax returns.

The charges outline a "scheme" to hide sales and wages at his restaurant by using cash from the register to pay workers off-thebooks.

 

Federal prosecutors said his activities allowed him to "make over a million dollars simply disappear."

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