In its latest investigation into the demise of Home Valu, the home improvement firm founded by former Sen. Rudy Boschwitz, Fox 9 News reported last night that the Anoka County Attorney is investigating allegations that the company defrauded subcontractors hired to install products.
Here is an excerpt from Fox9.com:
Gary Miller, a subcontractor who installed floors for Home Valu, is waiting to be paid $15,000 by the home improvement chain founded by former U.S. Senator Rudy Boschwitz.
Miller is one of dozens of installers across Minnesota, Iowa and Wisconsin who say “Home Valu” collected hundreds of thousands of dollars from customers then didn’t pay the subs that completed the jobs.
FOX 9 previously reported that the Boschwitz family run business is also under investigation by police in the Milwaukee area, suspected of violating the Wisconsin “theft by contractor” law, which can be a felony. Minnesota’s law is similar except it’s a gross misdemeanor. Both states mandate that if a company such as Home Valu is paid by customers, its first obligation is to pay the subcontractors regardless of its own financial problems.
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