TAMPA, Florida — A Honduran national has pleaded guilty to orchestrating a multi-year payroll scheme that defrauded the U.S. government of more than $38 million.
Mario Lisandro Flores Moradel operated an illegal cash payroll system for construction workers, evading employment taxes and defrauding workers’ compensation insurance companies, according to court documents. From 2015 to 2022, Flores and his co-conspirators used shell companies to run an unlicensed check cashing and cash courier service, cashing approximately $89 million in checks from construction subcontractors. This allowed contractors to pay workers in cash, avoiding payroll taxes and employing individuals not authorized to work in the U.S., stated the Justice Department.
Flores admitted to causing a tax loss of over $9.4 million to the United States. He pleaded guilty to conspiracy to defraud the United States and conspiracy to operate unlicensed money transmitting businesses. Flores faces a maximum of five years in prison for each count, with sentencing scheduled for June 24…