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New Jersey Section 2C:21-34 – Penalty for false contract payment claims, representation, for a government contract; prevailing wage violations; grading.

The Lowdown on New Jersey Statute 2C:21-34

New Jersey Statute 2C:21-34 is all about penalizing folks who submit false payment claims for government contracts, misrepresent things to get those contracts, violate prevailing wage laws, or fudge grading requirements. It’s a mouthful, I know. Let’s break it down nice and easy.

False Claims and Misrepresentations

This part of the law basically says you can’t lie to get government money. For example, if you’re bidding on a contract to repave a road, you can’t say you’ll use high-quality asphalt when really you plan on skimping with a cheap mix. That’s a false claim.

Or let’s say you’re applying for a grant to run an after-school program. You can’t pretend you have 5 years of experience running programs when really you’re just starting out. That’s misrepresentation.
If you do either of those things—make false claims or misrepresent yourself—to get a government contract or payment, you’re breaking this law. And that means you could get charged with a crime.

Prevailing Wage Violations

Now this part is about paying construction workers fair wages. New Jersey has something called the Prevailing Wage Act. It says if you have a contract for a public works project—like building roads, schools, bridges, etc. for the government—you have to pay your workers the “prevailing wage.”

This is basically the average wage for that type of work in the area. The state publishes prevailing wage rates for each county and job type. So if you’re doing construction in Essex County, you’d have to pay your laborers, carpenters, electricians, and other tradespeople according to those rates. You can’t pay them less just to save money.

If you violate the Prevailing Wage Act on a government contract, you’re breaking 2C:21-34. In other words, illegally underpaying workers to pocket more profit could land you in criminal court.

Grading No-No’s

This last part deals with grading for government construction projects. Grading means leveling and preparing the land to build on.

Let’s say you have a contract to grade land for a new county library. You’re supposed to follow the project plans and specifications. You can’t just cut corners by leaving tree stumps, boulders, and other junk in the ground. That would make it unsafe to build on.

If you submit false paperwork saying you did the grading to spec when really you didn’t, that’s a problem. Or if you bill for more grading work than you actually did, that’s fraud.

Basically, any lies or deception related to grading requirements on a government project could mean prosecution under 2C:21-34.

The Penalties

So what kind of punishment are we talking about here? Well, violating any part of this law is a crime of the second degree if the contract amount is over $500.

Second degree crimes can lead to 5-10 years in prison and fines up to $150,000. Yikes! Even if the amount is under $500, it’s still a fourth degree crime.

And there’s more. The government can recover triple damages through civil lawsuits. For example, if you fraudulently billed $100,000 for work you never did, you’d have to pay back $300,000!

Plus, you might be banned from ever doing business with the government again. So as you can see, the penalties are no joke.

What’s the Point of This Law?

The goal here is obviously to deter fraud and abuse when it comes to government contracts. Taxpayer money should fund quality work at fair prices—not line the pockets of crooked contractors.

This law also aims to protect vulnerable workers from exploitation. By enforcing prevailing wages, we ensure construction crews get paid properly for government projects.

Some argue these regulations are burdensome red tape. But others say they’re necessary to uphold ethics, safety standards, and fair labor practices. It’s a debate with good points on both sides.

Real World Cases

Wondering if anyone actually gets prosecuted under this statute? You bet they do! Here are some examples from the New Jersey courts:
State v. Rainone – Contractor convicted of false claims about asphalt work for paving projects.
State v. Rodriguez – Head of construction company convicted for prevailing wage violations.
State v. Singh – Engineer convicted for faking grading reports on numerous public projects.
As you can see, New Jersey doesn’t mess around when it comes to 2C:21-34!

The Takeaway

The big lesson here is don’t try to cheat, scam or exploit folks when doing work for the government. Be honest in your claims, pay your workers fairly, and don’t cut corners on the job.

If you do right by the public and your employees, you should have no worries. But if you cross the line into fraud or abuse, you could wind up in major legal trouble!

So keep your nose clean and steer clear of the nonsense this law is meant to punish. If we all do that, taxpayers, contractors, and workers alike will be better off!

Well, that about covers the basics on this New Jersey statute. Let me know if you have any other legal issues you want me to break down. I’m always happy to chat!

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