November 14, 2012 12:42pm

http://www.centralvalleybusinesstimes.com/stories/001/?ID=22286

Gregory Chmielewski, 43, formerly of El Dorado Hills, has been indicted on 24-counts of mail fraud and money laundering, according to U.S. Attorney Benjamin Wagner in Sacramento.

The indictment, from February 2011, was sealed until Mr. Chmielewski’s arrest in Arizona on Oct. 24.

According to the indictment, Mr. Chmielewski set up a professional employer organization called Independent Management Resources. He solicited Indian tribes to partner with him and provide employee insurance coverage and other employee services at a reduced cost, using the tribes’ sovereign-nation status.

He marketed the “tribal” insurance coverage to California employers with high workers’ compensation liabilities, claiming that it provided significant savings over traditional workers’ compensation coverage, the government says.

According to the indictment, after getting clients, Mr. Chmielewski then began diverting and misappropriating millions of dollars from IMR accounts for his personal use.

“Preying on California employers while profiteering on the reputation of a tribal nation to commit insurance fraud is deplorable,” says California Insurance Commissioner Dave Jones. “This joint investigation and pending prosecution of Gregory Chmielewski sends a clear message that defrauding Californians for personal gain will not be tolerated.”

If convicted, Mr. Chmielewski faces a maximum statutory penalty for each count of mail fraud of 20 years in prison and a $250,000 fine or up to twice the gain or loss from the offense. The maximum penalty for money laundering is 10 years in prison and a $250,000 fine or up to twice the gain or loss from the offense.