North Jersey Man Must Pay Part Of $1M Fraud Restitution: Official

NEW JERSEY — A payroll manager from Bergen County was sentenced for a fraudulent scheme that violated New Jersey wage laws on public works projects, the Office of the Attorney General said.

Toni Jovanoski, 44, of Montvale, was sentenced on Friday, June 4, to a five-year term of probation and 300 hours of community service in Bergen County.

For five years, from 2013 to 2018, the company in question, Unimak, worked on projects subject to the Prevailing Wage Act. During that time Jovanoski, as payroll manager, failed to pay seven employees the mandated wages, by requiring cash kickbacks from them, according to the Office of the Attorney General.

The employees were required to pay Jovanoski the amount he would include on a note, or they would not receive their next paychecks, officials said.

Jovanoski pleaded guilty on April 22 to third-degree false contract payment claims for a government contract (prevailing wage violations) and third-degree misconduct by a corporate official.

He has to pay the New Jersey Department of the Treasury $23,913 in back taxes, under the plea agreement. He also is jointly and severally liable with UniMak for paying the full restitution of $1,082,041 to the seven victims, the Attorney General said.

"The law worked as intended for these workers, who will receive restitution for the back wages they rightfully earned, and for the contractor, who will be debarred,” New Jersey Labor Commissioner Robert Asaro-Angelo said. “Public contracting is a privilege. Prevailing wage laws were enacted to protect honest, hard-working employees from unscrupulous employers."

UniMak and its principals, owners, and directors are debarred for three years from securing new contracts with the State of New Jersey or any of its administrative or political subdivisions. The company must report quarterly for three years to the Division of Criminal Justice about its prevailing wage compliance and oversight of subcontractor compliance.

“We’re committed to using all available tools, including criminal prosecutions, to protect our workers and the integrity of our public contracts,” said Attorney General Gurbir Grewal. “New Jersey’s Prevailing Wage Act is intended to safeguard the interests and well-being of workers on public projects and prevent unfair competition among contractors bidding for such projects. We won’t tolerate corporate officials who cheat their workers and illegally enrich themselves and their businesses with public funds.