Mass. contractor agrees to $10,000 in fines

Nick Rees Oct. 21, 2008, 2:18am

Martha Coakley (D)

BOSTON (Legal Newsline) -- A Massachusetts construction company that violated the state's independent contractor, overtime and records keeping laws has agreed to pay almost $10,000 in fines.

Design & Development, LLC, of Somerville, Mass., owned by Shakeel Hossain, has agreed to pay a $5,000 fine for violating the Independent Contractor/Employee Misclassification Law.

All of the employees at Design & Development, LLC, were classified as independent contractors, not employees, in violation of the Independent Contractor Law.

In addition, the company will pay $3,485 to eight employees for failure to pay overtime as well as a fine of $1,600 for failing to maintain general payroll records, under an agreement with Attorney General Martha Coakley's office.

Following a stop work order from the Department of Industrial Accidents in March, after it was determined that Design & Development, LLC, had no workers' compensation coverage, an investigation into the business turned up the misclassification violation.

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