For release on March 21, 2016
CONTACT:Christopher Kwok, Deputy District Attorney
Insurance Fraud Unit
(408) 792-2916 MANGLED EMPLOYEE DENIED: OWNER AND MANAGER OF REPAIR SHOP CHARGED WITH WORKERS’ COMPENSATION INSURANCE FRAUD The owner of a uninsured San Jose auto repair shop and her manager have been charged with felony fraud after they denied that an employee who had lost three fingers in a workplace accident even worked for them. The cover-up by Sarb Collision Center owner, Sarbjeet Takhar, and her manager, Narindelpal Singh, both 43, delayed the injured employee from receiving any workers compensation benefits for months. The two defendants have been charged with making a false statement to prevent a worker from receiving workers’ compensation benefits, making a false statement for reducing the insurance premium of a workers’ compensation insurance policy, and failure to obtain workers’ compensation insurance. Singh was arraigned on March 14, 2016. Takhar will be arraigned today at 1:30 in the Hall of Justice. If convicted of all charges, Singh faces a maximum of seven years incarceration. Takhar faces a maximum of eight years incarceration. Both defendants would be ordered to pay full restitution. "The Santa Clara County District Attorney’s Office is committed to proactively pursue workers' compensation insurance fraud to protect workers and promote fair businesses competition,” Deputy District Attorney Christopher Kwok said. "The Office conducts regular enforcement actions to ensure every employer who has employees carries workers’ compensation insurance." The crimes came to light earlier this year after the injured worker tried to obtain benefits from the Uninsured Employers Benefit Trust Fund (UEBTF). Takhar, whose business was uninsured at the time of the injury, repeatedly denied at administrative hearings that the injured worker was her employee. The UEBTF is a special fund used to pay the claims of employees who are injured while working for an uninsured employer. UEBTF pays the injured worker and attempts to recover all benefits disbursed from the uninsured employer. Subsequent to the accident, both Takhar and Singh obtained workers’ compensation insurance, but lied in the application by denying that the company had any work-related injuries within three years. # # #