Manhattan DA Cy Vance has indicted the owner of a Manhattan-based temp agency GT Systems for insurance fraud, collecting $25 million that was supposed to be paid into workers' comp. Eric Goldstein had allegedly been kicked out of the New York State Insurance Fund for failing to pay debts, and rather than pay for mandatory coverage, created over 50 fake subsidiaries of GT Systems and had his employees fill out fake paperwork. Vance said, “Fraud like this drives up premiums for honest New Yorkers, and hurts both taxpayers and our workforce." Goldstein faces up to 25 years in prison for the charges.
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