Central California Union Consultants Charged with Fraud

In California, selling workers compensation insurance requires a license. The business practices of Marcus Asay and Antonio Gastelum would seem to justify such a requirement. On September 24, Asay, founder of a Fresno-area firm, American Labor Alliance, and Gastelum, a former principal officer of the alliance, were charged in U.S. District Court for the Eastern District of California in a 19-count superseding indictment on fraud and money laundering charges related to their financial products. In 2018 the California Department of Insurance had penalized the company and certain affiliates by more than $4.3 million. The latest action follows in the wake of an amended civil suit filed by a Fresno employer. The defendants deny all wrongdoing. The charges follow a probe by the FBI, the IRS, the Social Security Administration and the Department of Labor.

American Labor Alliance (ALA), launched in 2007, doesn’t actually look like a union. But that’s what … Read More ➡