CA: Morgan Hill Couple Arrested for Not Carrying Workers' Comp Insurance at Local Cafe

SACRAMENTO, CA - California Insurance Commissioner Steve Poizner today announced that William and Paula Quenneville of Morgan Hill were arrested Jan. 11 for non-compliance of workers' compensation insurance requirements. The husband and wife were each booked into the Santa Clara County Sheriff's Office on $20,000 bail.

"Employers must provide their employees with insurance to cover injuries that occur on the job," Commissioner Poizner said. "If we find that you have purposefully failed to do so, you will be arrested and prosecuted to the fullest extent of the law."

A California Department of Insurance (CDI) investigation alleges that William Quenneville, 56, and Paula Quenneville, 55, operated the Hot Java To Go coffeehouse in Morgan Hill without maintaining a workers' compensation insurance policy. A compliance check was conducted by CDI detectives to verify the number of employees.

All California employers must provide workers' compensation benefits to their employees under California Labor Code Section 3700.

The Santa Clara District Attorney's Office assisted in the investigation and is prosecuting the case.

Commissioner Poizner oversees 16 CDI Enforcement Branch regional offices throughout the state. Approximately 2,000 insurance fraud-related arrests have been made by the Department of Insurance's enforcement division since Commissioner Poizner took office in 2007 - more arrests than have been made during any other two year period, under any previous insurance commissioner.

Source: Calif. Dept. of Insurance