Hawbaker Construction Outfit to Pay $20 million In Benefit Scheme

Harrisburg, Pennsylvania- A no contest plea to four counts of theft was entered by Micheal Hawbaker, vice president of Glenn O. Hawbaker Inc. Hawbaker consented to payment of $20 million over allegations regarding the company illegally rerouting money and benefits away from employees and disrupting retirement funds alongside health insurance.

Approximately 250 workers disclosed statements and complaints to state prosecutors, incorporating the claim that well more than 1,000 workers have been impacted by Hawbaker’s criminal monetary acts.

Attorney General Josh Shapiro, with an affidavit of probable cause, unveiled that Hawbaker Inc. directed $15 million in employee retirement funds towards government projects causing workers retirement accounts to be left with tens of thousands of dollars gone. According to the affidavit, pension money now has to be directly deposited into every employee’s individual retirement accounts.

Although Hawbaker pleaded the no contest on Tuesday, the initial charge came in April of 2021 following a three year state investigation of the company.

Glenn O. Hawbaker Inc., is an excavation, highway construction, and quarry business well known throughout Pennsylvania since its establishment 70 years ago in 1952. As of today, the company employees over 1,200 people with corporations in Pennsylvania, Ohio, and New York. During the years of 2003 through 2018, the company profited over $1.7 billion from state transportation construction contracts.

PENNSYLVANIA STATE COLLEGE CONSTRUCTION CONTRACTOR MIS-USED $20 MILLION DOLLARS