News Summary
Fredy Arellano, a former construction superintendent, pleaded guilty to a felony theft scheme involving $63,157 in wage theft from two major construction projects in Baltimore. Arellano submitted false payroll records alongside Jose Walter Marquez Rivera, the owner of Congratulations Construction Inc., leading to significant underpayment of laborers. Arellano was sentenced to five years in prison with 90 days to serve under home detention and three years of probation, along with full restitution paid prior to his plea. This case highlights the ongoing issue of wage theft in the construction industry.
Baltimore
Fredy Arellano, a 45-year-old former construction superintendent from York, Pennsylvania, has pleaded guilty to a felony theft scheme amounting to $63,157 in wage theft. Arellano held the position of field superintendent for Congratulations Construction Inc., a construction company based in Baltimore.
As part of his role, Arellano facilitated the hiring of drywall carpenters and laborers for two significant construction projects located in Prince George’s County: the University of Maryland Capital Region Cancer Center and the University of Maryland Field Hockey and Women’s Lacrosse Complex. Under state law, employers must pay workers a prevailing wage, which is determined by the Commissioner of Labor and Industry, and must also submit certified payroll records to demonstrate adherence to wage regulations.
The investigation led by the Attorney General’s Office revealed that Arellano, alongside the owner of Congratulations Construction, Jose Walter Marquez Rivera, falsified payroll records. They submitted these inaccurate records to the state, falsely claiming that workers were compensated at the mandated wage level, when in fact, the actual payments made to laborers were significantly lower than required by law. Arellano’s actions resulted in him personally pocketing a total of $63,157 through this wage theft scheme.
In a sentencing held in the Circuit Court for Baltimore City, Arellano received a five-year prison sentence, with all but 90 days suspended to be served under home detention. Additionally, he was placed on three years of supervised probation. Notably, Arellano paid full restitution of $63,157 prior to entering his guilty plea.
Jose Walter Marquez Rivera, the owner of Congratulations Construction, was sentenced in a related case the previous year for his role in the fraudulent activities. The Attorney General’s Office remains committed to holding employers accountable for wage theft, emphasizing the seriousness of these violations against workers.
Affected workers involved in the two construction projects have been invited to contact the Attorney General’s Office regarding potential rights to restitution. The investigation that led to Arellano’s conviction was carried out by the Attorney General’s Office in collaboration with the Maryland State Police and relevant financial authorities, highlighting the coordinated effort to combat employment fraud.
The issue of wage theft continues to affect laborers across various sectors, making this case a significant example of legal enforcement related to labor rights. Employers are reminded of their responsibility to comply with wage laws and the potential consequences of fraudulent practices.
Deeper Dive: News & Info About This Topic
HERE Resources
Construction Superintendent Sentenced for Wage Theft in Baltimore
Additional Resources
- Fox Baltimore
- Wikipedia: Wage theft
- CBS News
- Google Search: Wage theft
- MocoShow
- Google Scholar: Wage theft
- Capital Gazette
- Encyclopedia Britannica: Wage theft
- Hoodline
- Google News: Wage Theft Baltimore
Author: STAFF HERE BALTIMORE WRITER
BALTIMORE STAFF WRITER The BALTIMORE STAFF WRITER represents the experienced team at HEREBaltimore.com, your go-to source for actionable local news and information in Baltimore, Baltimore County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Baltimore Book Festival, Preakness Stakes, and Artscape. Our coverage extends to key organizations like the Baltimore Chamber of Commerce and Visit Baltimore, plus leading businesses in shipping and healthcare that power the local economy such as the Port of Baltimore and Johns Hopkins Medicine. As part of the broader HERE network, we provide comprehensive, credible insights into Maryland's dynamic landscape.
