CFO Jeff Atwater Announces Arrest of Owner of Fake Company
for Creating Fraudulent Insurance Certificates and Avoiding
Millions in Premiums
4/13/2012
Contact: Alexis Lambert
(850) 413-2842
Florida Chief Financial Officer Jeff Atwater announced the arrest today of a Miami shell company
owner accused of creating more than 250 fraudulent certificates of insurance to help uninsured
contractors avoid $2.1 million in workers compensation premiums.
Yucet Batista, 29, was arrested following a joint investigation by the Department of Financial Services’
Division of Insurance Fraud and the Broward Sheriff’s Office. The investigation determined that Batista
created a shell company, Y&L Construction Services, Inc., and used money service businesses to carry
out the scheme. She was arrested on multiple felony charges and was booked into the Miami-Dade
County Jail.
“I am proud of the work of my Fraud Division and this first-of-its-kind collaborative effort between the
Broward Sheriff’s Office and the division,” CFO Atwater said. “As a result of bringing all stakeholders
to the table, we are protecting the responsible players in the marketplace while ensuring those who are
diverting more than a billion dollars from Florida’s economy are caught and held accountable.”
Just last week, Gov. Rick Scott signed HB 1277, sponsored by Rep. Daniel Davis (R-Jacksonville) and
SB 1586 sponsored by Sen. John Thrasher (R-Jacksonville), aimed at curbing this complex form of
workers’ compensation fraud.
In addition, CFO Atwater convened a working group in August 2011 to review the practices of certain
bad actors in the check cashing services industry who were aiding in a complex workers’ compensation
premium fraud scheme. The new law is based on recommendations from a work group convened in
August 2011 by CFO Atwater to review the practices of certain bad actors in the check cashing services
industry that aid in workers’ compensation premium fraud. The work group released its report in
November.
“This is the first time that we have detached detectives to work a task force with the Department of
Financial Services and it proved worthwhile,” Sheriff Al Lamberti said. “Fraud impacts and undermines
honest businesses and the criminals who perpetrate it need to be pursued and prosecuted. I look forward
to future joint enforcement operations with DFS.”
After Batista set up her shell company, she told her workers' compensation insurance company,
Ascendant Commercial Insurance, Inc., that she had been in the construction business for 10 years and
that she had five employees. Investigation revealed that Batista had never been in the construction
industry, but rather she created the company and obtained the workers' compensation insurance policy
for the purpose of “renting” it, or making it available to dozens of uninsured subcontractors for a fee.
In her tax return last year, Batista reported $14.7 million in payroll. Ascendant determined, as a result of
her underreporting her payroll, she underpaid premiums by $2.1 million.
This case is being prosecuted by the State Attorney’s Office of the 20th Judicial Circuit and the
dedicated workers' compensation fraud prosecutor in the State Attorney’s Office of the 11th Judicial
Circuit.
The Department of Financial Services to date has awarded almost $275,000 to more than 40 citizens as
part of its Anti-Fraud Reward Program. The program rewards individuals up to $25,000 for information
that directly leads to an arrest and conviction in an insurance fraud scheme. Anyone with information
about these or any other incidents of suspected insurance fraud is asked to call 1-800-378-0455. Citizens
who provide tips can remain anonymous.
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Chief Financial Officer Jeff Atwater, a statewide elected official, oversees the Department of Financial
Services. CFO Atwater’s priorities include fighting financial fraud, abuse and waste in government,
reducing government spending and regulatory burdens that chase away businesses, and providing
transparency and accountability in spending.