Electrical Contractor Cruz Perdomo Charged with Lack of Proper Licensing
COLUMBUS, Ohio, March 22, 2018 /PRNewswire/ -- Columbus City Attorney Zach Klein filed charges today against Henry Cruz, owner of Cruz Perdomo Electric, a subcontractor of locally-based electrical contractor Settle Muter Electric (SME). Both Cruz and his company were named in the lawsuit. The charges ? brought as a result of a major investigation by the International Brotherhood of Electrical Workers Local 683 (IBEW Local 683) ? state that Cruz Perdomo is operating in Ohio without the proper licensing.
IBEW Local 683 launched an investigation into Cruz Perdomo Electric after its organizers spoke with workers on the Mount Carmel East Modernization Project. During the interview, IBEW organizers learned that SME was utilizing 20-25 independent contractors from Cruz Perdomo Electric on the project.
IBEW Local 683 contacted ACT Ohio to determine whether Cruz Perdomo Electric was lawfully operating in Ohio. During ACT Ohio's investigation, the Ohio Secretary of State confirmed the company was not registered to conduct business in Ohio, a fact that did not stop SME from sub-contracting work on the project to Cruz Perdomo in June 2017.
Per Ohio Revised Code (ORC) 1703.03, out of state businesses must be registered with the Ohio Secretary of State in order to perform work in Ohio. Failure to register is a fourth degree misdemeanor (ORC 1703.30) and can result in fines ranging from $250 to $10,000, according to ORC 1703.28.
ACT Ohio's legal department also uncovered that Cruz Perdomo Electric did not have an electrical contractor's license issued by the Ohio Construction Industry Licensing Board (OCLIB). In September 2017, OCILB investigators attempted to explore the complaint on-site, but were denied access by SME and general contractor Messer Construction. Messer was cited for blocking entrance of an OCILB investigator to a construction site.
In addition to a lack of licensing, the IBEW noted that all 20-25 Cruz Perdomo workers on the site were misclassified as independent contractors, earning $10-$15 less per hour on the job than SME employees with no healthcare benefits, and were not provided with any formal training.
Several former SME employees provided sworn affidavits attesting to the contractor's misclassification of workers on construction projects in Central Ohio, including Columbus City Schools' Afrocentric High School and Nationwide Children's Hospital Ambulatory Facility (affidavits available upon request).
"Licensing and regulation in the construction industry is critical towards ensuring worker safety," said Rob Dorans, Legal Counsel for ACT Ohio. "This investigation revealed very serious worker abuses and calls into question the safety of not only those working on this project, but also the completed structures."
Mount Carmel leadership met with representatives of IBEW Local 683 and ACT Ohio and has been cooperative throughout the investigation.
ACT Ohio was created by the Ohio State Building and Construction Trades Council to encourage economic and industrial development and promote industry best practices for the state's public and private construction. The organization includes 14 regional councils and 137 local affiliates representing nearly 94,000 highly skilled, highly trained Building Trades workers across Ohio.
IBEW 683 represents more than 1600 electrical workers throughout Central Ohio. They are proud of the dedication, knowledge, and skilled craftsmanship that their members provide in communities in the region.
SOURCE ACT Ohio
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