The news brings us several painting contractors who are on the glide path to the naughty list this holiday season. Alleged problems range from failing to pay overtime to failing to complete work to paying painters in drugs. 

The U.S. Department of Labor has recovered $500,000 from a California painting company that was charged with failing to pay overtime to 117 workers. The contractor compounded problems by repeatedly telling federal investigators the employees had not worked overtime.

DOL investigators determined employees regularly worked weekends and sometimes double shifts on weekdays. It was determined some employees worked as many as 70 hour over overtime per week.

But wait, there’s more: Investigators also learned the employers often paid overtime hours in cash, while not recording such payments. The company also failed to pay employees for required hours spent in travel and replenishing supplies. In addition to back pay, the company was fined $55,000.

Painter Cashes Checks but Doesn’t Paint

After getting hauled in by the long arm of the law, a Wisconsin contractor has admitted to charging customers for painting never painting and “paying back” the funds with bad checks.

Six customers of the painting contractor – who operated two painting businesses – went to law enforcement and detailed how the contractor charged them tens of thousands of dollars for painting services and never completed the work. When customers complained to the contractor, he sometimes offered them refunds via checks that would bounce.

Eventually the contractor pleaded guilty to three felonies and three misdemeanors and agree to pay back $157,416. He’ll be on probation for two years.

Contractor Pays Painters with Drugs

Meanwhile, investigators in Minnesota determined as much as $84 million in funds earmarked for affordable housing projects were being abused and misused by unscrupulous contractors.

A report finds that millions in dollars from Low-Income Housing Tax Credit (LIHTC) and tax increment financing (TIF) was awarded to developers building affordable housing in Minnesota. But “due to little oversight and labor provisions, developers are benefiting from the use of contractors on these projects that cut corners and underpay workers.”

The report details the story of a worker for a Wisconsin-based contractor. “After being owed three weeks of wages, his foreman put him in contact with a man who insisted on paying his missing wages out in drugs for the worker to sell.”