News
August 19, 2024

$8 Million Mistake: Florida Contractor Pleads Guilty to Fraud

An Orlando woman has admitted to scamming millions of dollars through her construction company. Wendy Cudemo-Gamez pleaded guilty to conspiracy to commit wire fraud after investigators uncovered a shocking scheme worth nearly $8 million.

According to the U.S. Department of Justice, Cudemo-Gamez lied about her company’s size and the number of employees to get cheaper worker's compensation insurance. She told insurance companies her business was small and had few workers, but the truth was very different.

In reality, Cudemo-Gamez’s company raked in over $7.8 million from contractors. But instead of using this money to pay employees and taxes, she pocketed most of it. This meant her workers weren't protected if they got hurt on the job, and insurance companies lost out on a ton of money.

The scam didn't stop there. Cudemo-Gamez also ignored the rules about hiring workers who are legally allowed to work in the U.S. and paying the right taxes. This let contractors off the hook for these costs too.

It's a pretty serious deal. Cudemo-Gamez could face up to 20 years in prison.