Randall Seltzer, president of Navarre Industries, a Santa Rosa County construction company, was arrested last week. Seltzer was charged with multiple felony counts, including workers’ compensation fraud and grand theft. If convicted, Seltzer could face up to 30 years in prison and may have to pay more than $2.8 million in restitution.
“Workers’ compensation insurance is vital to the health and protection of businesses and Florida’s economy as a whole,” Florida Chief Financial Officer Jeff Atwater said. “Just last week, the Legislature passed reforms that target schemes just like this one that are diverting a billion dollars from Florida’s economy.”
The arrest resulted from an investigation by the Department of Financial Services’ Division of Insurance Fraud. The investigation revealed that Seltzer intentionally and systematically under-reported his corporation’s true payroll to his insurance carrier, Guarantee Insurance Company. Guarantee Insurance Company was assisted by the Fraud Dogs at Contego Services Group with their investigation of Seltzer. The fraud investigation was based on a referral from the department’s Division of Workers’ Compensation, which issued the company two stop work orders within a five-year period.
Seltzer allegedly established a shell corporation in 2011 under the name Hip Roof & Valley Inc. to intentionally violate the stop work orders and continue operating his construction business illegally. Seltzer was booked into the Santa Rosa County Jail and is awaiting bond.
Leading Fraud Expert, Linda Webb, aka, the Fraud Dog says that every company needs to take a strong stance on fraud, and let the fraudster know that we will not put up with fraud, waste, and abuse. Every company needs to take that strong “fraud—fighting” image in their corporations. Let’s send the fraudster packing, says the Fraud Dog, and think twice about trying to steal from a company protected by Contego Services Group, (Fraud Dog Team).
To report potentially fraudulent activity, contact the Fraud Dog at 1-855-FRAUD-DOG.