The Legal Ramifications of Forgery
What is forgery
* Creating a false document: This includes creating a completely fake document, such as a driver’s license or a diploma.
* Altering a genuine document: This involves changing existing information on a real document, such as adding zeros to a check or changing the date on a contract.
* Signing another person’s name: Signing someone else’s signature on any document, from a check to a legal contract.
Penalties for forgery
The penalties for forgery vary depending on the jurisdiction and the severity of the offense. In many cases, forgery is a felony punishable by:
* Imprisonment: Sentences can range from several years to decades in prison
* Fines: Significant fines are typically imposed, often in addition to imprisonment.
* Restitution: The convicted individual may be ordered to pay restitution to the victim for any financial losses incurred.
Impact of forgery
Forgery can have serious consequences for both individuals and businesses.
* Financial loss: Victims of forgery can suffer significant financial losses, such as the loss of money, property, or business opportunities.
* Reputational damage: Forgery can damage the reputation of individuals and businesses, making it difficult to conduct future transactions.
* Legal troubles: Individuals convicted of forgery may face difficulty finding employment, obtaining loans, and even traveling.
How to protect yourself from forgery
* Use caution when signing documents: Always carefully review any document before signing it and always get a copy of anything you sign.
* Protect your personal information: Guard your Social Security number, driver’s license, and other personal documents carefully.
* Be wary of unsolicited requests for personal information: Never provide personal information to anyone you don’t know or trust.
* Use security features: Utilize security features such as watermarks, holograms, and raised ink to deter counterfeiters.
If you suspect forgery
If you suspect that you have been a victim of forgery, it’s crucial to take immediate action:
* Contact law enforcement: Report the suspected forgery to your local law enforcement agency.
* Gather evidence: Collect any evidence related to the forgery, such as the forged document itself and any communication related to the incident.
* Consult with an attorney: An experienced attorney can advise you on your legal rights and options.
Forgery is a serious crime with significant legal and financial consequences. By understanding the risks and taking appropriate precautions, you can help protect yourself and your business from this type of fraud.
Disclaimer: This blog post is for informational purposes only and does not constitute legal advice. You should consult with an attorney for advice regarding your specific situation.
Please note: This is a general overview of forgery. The specific laws and penalties related to forgery can vary significantly by jurisdiction.
We hope that you found this article helpful.
Shelly Lustig | Attorney | Lustig & Wickert, PC.
3400 Dundee Road | Northbrook, IL 60062
W: 847.509.9090 | Direct 847.509.8282
www.Lustiglaw.com | slustig@lustiglaw.com
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BENEFICIAL OWNERSHIP INFORMATION REPORT – MANDATORY NEW REPORTING REQUIREMENT
NEW REPORTING REQUIREMENT:
Simply put, most small to medium sized companies are now required to identify all individuals who exercise substantial control over the company. An existing company must file its initial Beneficial Ownership Information Report by December 31, 2024. Supplemental Reports are required to be filed if there are any changes to the ownership or management of the company.
(Please see below if your company is created after January 1, 2024.)
Among other information, the Report requires a Federal Employer Identification Number, the residential address of all relevant persons, and a copy of a government-issued photo ID.
DEFINITIONS:
A. “Company” – Corporation or Limited Liability Company
B. “Substantial Control” – An individual exercises substantial control over a company if the individual meets any of following four general criteria:
1) The individual is a corporate officer or manager of an LLC;
2) The individual has authority to appoint or remove certain officers or a majority of directors of the reporting company;
3) The individual is an important decision-maker; or
4) The individual has any other form of substantial control over the company.
C. “Beneficial Owner” – A beneficial owner is any individual who, directly or indirectly:
1) Exercises substantial control over the company; or
2.) Owns or controls at least 25 percent of the ownership interests of a company.
An individual might be a beneficial owner through substantial control, ownership interests, or both. A company can have multiple beneficial owners. For example, a company could have one beneficial owner who exercises substantial control over the company, and a few other beneficial owners who own or control at least 25 percent of the ownership interests of the company. A company could have one beneficial owner who both exercises substantial control and owns or controls at least 25 percent of the ownership interests of the company. There is no maximum number of beneficial owners who must be reported. There is no limit to the number of individuals who can be reported for exercising substantial control.
D. “Beneficial Ownership Information Report” – BOI Report
SPECIFIC INFORMATION REQUIRED:
Among other information, the Report requires a Federal Employer Identification Number, the residential address of all relevant individuals, and a copy of a government-issued photo ID for each Beneficial Owner.
The initial Report must by December 31, 2024. Additionally, a supplemental Report must be filed any time there are any changes to the ownership or management of the company.
PENALTIES FOR NON-REPORTING:
The willful failure to report complete or updated beneficial ownership information to FinCEN, or the willful provision of or attempt to provide false or fraudulent beneficial ownership information may result in civil or criminal penalties, including civil penalties of up to $500 for each day that the violation continues, or criminal penalties including imprisonment for up to two years and/or a fine of up to $10,000. Corporate officers of a company that fail to file a required BOI Report may be held accountable for that failure.
Providing false or fraudulent beneficial ownership information could include providing false identifying information about an individual identified in a BOI Report, such as by providing a copy of a fraudulent identifying document or photo ID. Additionally, a person may be subject to civil and/or criminal penalties for willfully causing a company not to file a required BOI Report or to report incomplete or false beneficial ownership information to FinCEN.
REQUIREMENTS FOR BUSINESS ENTITIES CREATED AFTER JANUARY 1, 2024:
If your company is created or registered to do business in the United States on or after January 1, 2024, and before January 1, 2025, it will have 90 calendar days after receiving actual or public notice that the company’s creation or registration is effective to file its initial BOI Report. Specifically, this 90-calendar day deadline runs from the time the company receives actual notice that its creation or registration is effective, or after a secretary of state or similar office first provides public notice of the company’s creation or registration, whichever is earlier. In Illinois, the effective date of the registration is stamped on the Articles of Incorporation or Articles of Organization.
If your company is created or registered on or after January 1, 2025, it will have 30 calendar days from actual or public notice that its creation or registration is effective to file its initial BOI Report.
What Is An EEO-1 Annual Report Anyway?
The EEO-1 Component 1 Report (also known as “Standard Form 100”) is a mandatory annual data collection that requires certain employers to submit information regarding their workforce.
All private-sector employers with 100 or more employees, and federal contractors with 50 or more employees meeting specific criteria, must complete an EEO-1 Report annually.
The EEO-1 Report relates to equal employment opportunities (hence “EEO”) and requires relevant employers to submit demographic workforce data, including data by race/ethnicity, sex and job categories.
The data submitted is kept confidential by the EEOC unless companies choose to voluntarily disclose it.
Although all U.S. employers of 15 employees or more must comply with Title VII of the Civil Rights Act of 1964, which prohibits employment discrimination based on race, color, religion, sex and national origin”, only certain employers need to submit an EEO-1 Report to evidence the make-up of their workforce.
Who files an EEO-1 Report?
You need to file an EEO-1 Report if you are:
- A private employer with 100 or more employees.
- A federal government prime contractor or first-tier subcontractor with 50 or more employees and a federal contract/subcontract amounting to $50,000 or more.
- A company with 50 or more employees that serves as a depository of Government funds or as a financial institution which is an issuing and paying agent for U.S. Savings Bonds and Savings Notes.
- An employer with fewer than 100 employees but that is associated with other company(s) or a parent company where the entire enterprise employs 100 or more.
EEO-1 Reporting Checklist
The following seven steps to EEO-1 reporting are designed to walk you through what you need to do:
- Eligibility. Determine if you need to submit an EEO-1 Report (see ‘Who has to file an EEO-1 Report?’ above)
- Form. If you haven’t filed an EEO-1 Report before, register as a first-time filer online on the EEOC’s website at EEOC.gov.
- Data identification. Familiarize yourself with the data that needs to be collected. This includes, for the company and each location or division:
- Company name
- Physical address (of headquarters)
- EIN NAICS Code DUNS, if the organization is a federal contractor.
- The workforce snapshot pay period used.
- Number of employees at the prescribed levels above, in each of the prescribed categories
- Identify your data sources. Where will you find the data you need to include in the form? What internal systems and data sources will you need to search?
- Delegate. Allocate responsibility for gathering the data and submitting the Report.
- Assemble. Gather data, collate if needed, check for accuracy and submit in time to meet the deadline. Looking at an EEO-1 sample report will help by giving you an example EEO-1 Report on which to base your reporting.
- Retain a copy of the Report for at least one year for audit purposes.
How to File Your EEO-1 Report
Once you have determined that you need to file an EEO-1 Report, you’ll need to know how to submit the Report.
The EEOC prefers organizations to submit their EEO-1 Component 1 Reports online. This is done either:
- Via the EEO-1 Component 1 Online Filing System, or
- As an electronically transmitted data file (TEXT or CSV) via a data file upload If you’re filing for the first time, you need to register with the EEOC before you can file your EEO-1 Component 1 Report.
You will be provided with a company I.D. and password.
When Is the EEO-1 Report Due by Year
Year is the year data relates to the EEO-1 Report filing due date.
Year EEO-1 Report Filing Due Dates
2023 TBD
2022 December 5, 2023
2021 May 17, 2022 (Tentative)
2020 October 25, 2021 (extended)
2019 October 25, 2021 (extended)
Penalties for Not Filing an EEO-1 Report
It is compulsory to file an EEO-1 Report – meaning that failure to do so will incur penalties. If an employer refuses or fails to complete an EEO-1 Report, the Equal Employment Opportunity Commission (EEOC) can obtain a U.S. District Court order that compels the employer to file a Report. This could potentially lead to the employer being held in contempt.
Federal contractors or subcontractors that need to file an EEO-1 Report may have their federal government contract terminated. They may also be prohibited from being granted future federal contracts.
Any employer that makes a willfully false statement on an EEO-1 Report can face a fine, imprisonment of up to five years, or both.
Illinois Requirements
Illinois law requires private businesses with 100 or more employees in the State of Illinois to submit an application to obtain an Equal Pay Registration Certificate (EPRC) by providing certain pay, demographic, and other data to the Illinois Department of Labor (IDOL) by March 24, 2024, and to recertify every two years after the first submission. The law also requires such employers to submit certain information with their application, including: a statement certifying that the business is in compliance with the Equal Pay Act of 2003 and other state and federal laws related to equal pay.
You can visit IDOL’s Equal Pay Registration Certificate page to access the online portal that businesses must use to submit their contact information and required data to IDOL, a training guide for use of the portal, a compliance statement template, and other certification information and resources.
If you have any questions regarding the Equal Pay Registration Certificate, you can email DOL.EPRC@illinois.gov.
Questions to the EEOC can be directed to 202.921.2539
Disclaimer: This blog is maintained by Lustig & Wickert, P.C. which produces it to provide general information about itself as well as general news about business law. The information you obtain at this site is not, nor is it intended to be, legal advice upon which you should rely or act. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to this website does not create an attorney-client relationship between Lustig & Wickert, P.C. and the user or browser. You should not send any confidential information to us until and unless a formal attorney-client relationship has been established. If you would like to discuss your concerns call us at 847.509.9090 or contact us by email at Info@Lustiglaw.com.
Read MoreGet Financial Religion Before Selling Your Business
There is no better time for small business owners looking to sell their closely held business. However, business owners hoping to cash out can quickly discover that issues with their internal financials can become a roadblock to a sale. Disorganized or missing financial or corporate records when selling your business can turn off potential buyers, who demand complete transparency when buying a business. Financial mistakes that can derail a transaction include:
Inaccurate inventory reports. With no one to hold them accountable, a small business owner’s main focus can be to minimize taxes. When business owners artificially lower inventory so the cost of their goods increase, it can cause tax issues at the end of the year. Over-reporting or under-reporting inventory, can lead to owners misreporting their taxable income.
Not using an accountant, professional bookkeeper or computerized account software? With a limited number of resources available, some small business owners try to be their own bookkeeper despite being unqualified. When small business owners don’t have a proper accounting system in place to track their income and expenses on a daily basis, it is difficult to get a good understanding of the earning potential of a business.
Failure to report all cash sales. Sellers can adversely impact the value of their business if they conceal cash transactions, such as pocketing cash from sales in order to avoid paying income and sales taxes. Since businesses usually sell for a multiple of cash flow, it’s in an owner’s best interest to report cash income in advance of a sale. A multiplier received on that cash flow will usually offset any taxes paid on the higher reported income.
Get Financial Religion. Beyond attracting potential prospects, organized and accurate financial records can help business owners identify what parts of their business need attention to prepare it for a sale.
The good news for sellers is that many of these mistakes are fixable, but getting the financial records in shape for a sale takes time and work. Correcting financial records to satisfy a buyer can take several years to fix. Some sellers may want to remove their personal expenses from the business financials and take steps to ensure their financial records match their tax returns. Owners should consider hiring an experienced bookkeeper and waiting until the business financial records appear credible to a prospective buyer.
Accurate financial records can also qualify your business for a Small Business Administration loan. If a business doesn’t have accurate and understandable financial records and tax returns, it won’t qualify for an SBA loan, Often, incomplete or inaccurate financial records can force a seller to offer seller financing, prolonging the seller’s exit.
While this is a great time to be selling your business, financial mistakes and inaccurate or incomplete financial records can quickly derail a sale. If you are serious about selling your business, there is no time like the present to get financial religion and begin cleaning up your business finances.
Disclaimer: This website is maintained by Lustig & Wickert, P.C. which produces this blog to provide general information about itself as well as general news about business law and commercial litigation. The information you obtain at this site is not, nor is it intended to be, legal advice upon which you should rely or act. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to this website does not create an attorney-client relationship between Lustig & Wickert, P.C. and the user or browser. You should not send any confidential information to us until and unless a formal attorney-client relationship has been established. If you would like to discuss your concerns call us at 847.509.9090 or contact us by email at Info@Lustiglaw.com.
Read MoreSexual Harassment Training Now Required
On August 9, 2019, Illinois enacted the Workplace Transparency Act, which amends the Illinois Human Rights Act. This new law requires that all Illinois employers provide annual sexual harassment training to its employees.
Effective January 1, 2020, all employers must train all employees in Illinois each year. The first deadline is January 1, 2021. The annual sexual harassment training program must include:
An explanation of sexual harassment
Examples of conduct that constitute unlawful sexual harassment
A summary of federal and state statutory provisions, including remedies available to victims of sexual harassment.
A summary of the responsibilities of employers for prevention, investigation, and corrective measures of sexual harassment.
Employers who do not provide training will be subject to civil penalties, including a $500 penalty to businesses with less than 4 employees, or a $1,000 penalty to those with 4 or more employees. Penalties for repeat violations can rise to $5,000 per violation.
In addition to the training requirements, the Workplace Transparency Act makes the following changes:
Independent contractors. The Workplace Transparency Act amends the Illinois Human Rights Act to protect not just employees, but also independent contractors from harassment and discrimination.
Disclosures. The new law requires employers, labor organizations, and local governments to disclose to the Illinois Department of Human Rights (IDHR) the total number of final adverse administrative or judicial decisions involving sexual harassment or discrimination in the previous year entered anywhere in the U.S. Employers must make the disclosure beginning July 1, 2020 and each July 1 thereafter. Employers may also be required by the IDHR to disclose during an investigation the total number of settlements involving sexual harassment and discrimination claims entered into during the previous five years anywhere in the U.S.
Non-disclosure agreements, non-disparagement clauses, and mandatory arbitration agreements. The Workplace Transparency Act places significant restrictions on the use of these types of agreements for cases involving harassment, discrimination, or retaliation.
Victims Economic Security and Safety Act (VESSA). The law expands VESSA to allow victims of domestic, sexual, or gender violence to take unpaid leave to seek medical help, legal assistance, counseling, safety planning, and other assistance without penalty, if requested. A victim of workplace harassment could be entitled to such leave.
Bar and restaurant owners. Owners of restaurants and bars are now required to provide sexual harassment training annually to all employees (regardless of employee classification), available in both English and Spanish. The training must be specifically aimed at the prevention of sexual harassment in the restaurant and bar industry. Such employers must also provide employees with the company’s sexual harassment policy and instructions on how to report sexual harassment incidents within the first week of hire.
Casino and hotel owners. By July 1, 2020, owners of hotels and casinos are required to provide portable safety notification devices (at no cost) to employees who frequently work alone in restrooms, guest rooms, casino floors, or other isolated spaces. The safety device must allow them to call for help if they fear their safety or witness sexual assault or harassment.
Casino and hotel owners must also provide all employees with a current copy of the hotel or casino’s anti-sexual harassment policy (including reporting procedures and the prohibition against retaliation) and post the policy in clearly visible areas of the hotel or casino, both in English and Spanish.
This new law should be taken seriously and every Illinois employer must comply. Employers can design and implement their own in-house training program or outsource the training to a thrid party vendor. If you would like more information or need a referral to an outside training vendor, please contact Shelly Lustig at 847.509.9090, by email at slustig@lustiglaw.com or visit us on the web at https://www.lustiglaw.com
Disclaimer: This website is maintained by Lustig & Wickert, P.C. which produces this blog to provide general information about itself as well as general news about business law and commercial litigation. The information you obtain at this site is not, nor is it intended to be, legal advice upon which you should rely or act. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to this website does not create an attorney-client relationship between Lustig & Wickert, P.C. and the user or browser. You should not send any confidential information to us until and unless a formal attorney-client relationship has been established. If you would like to discuss your concerns call us at 847.509.9090 or contact us by email at Info@Lustiglaw.com.
Read MoreSales Representatives In Illinois Have A New Friend
The Illinois Sales Representative Act is a little known law which states that a principal who fails to pay a commission to a sales representative is liable for the commissions due. In addition, the sales representative can potentially be awarded 3 times the amount of overdue commissions as punitive damages, plus the sales representative’
Typical plaintiffs include sales representatives and manufacturers representatives. However, not all commissioned sales representatives are covered by the Act. For instance, if you are an employee of the principal you are not covered under the Act and you will need to sue under a different Illinois law. Also, it only applies to a principal who manufactures, produces, imports or distributes a product for sale. Our experience allows us to quickly determine whether you are eligible to bring a claim under the Act, and, if not, what alternative remedies are available to you.
If you are a sales representative and are owed overdue commissions, the law firm of Lustig & Wickert in Northbrook, Illinois, can help. We are highly experienced in this area and can help you collect any unpaid commissions and enforce the Act so as to recover attorneys’ fees and potential punitive damages.
Because our primary practice focus is in the representation of small to medium sized businesses, we also regularly represent employers and principals who have been threatened with litigation under the Act. The dual role that play in the representation of both principals and sales representatives gives our attorneys a unique perspective when it comes to prosecuting and defending these types of claims.
If you are owed commissions, the Illinois Sales Representative Act might be just what you need to level the playing field. Call Lustig & Wickert to see if their many years of experience in this area can benefit you or your company. We can be reached at 847.509.9090, by email at Info@Lustiglaw.com, or on the web at: https://www.lustiglaw.com
Lustig & Wickert is a Chicago area law firm with a core practice in business law, corporate law, employment law and commercial litigation. We represent small to medium sized corporations, partnerships and limited liability companies.
Disclaimer: This website is maintained by Lustig & Wickert, P.C. which produces this blog to provide general information about itself as well as general news about business law and commercial litigation. The information you obtain at this site is not, nor is it intended to be, legal advice upon which you should rely or act. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to this website does not create an attorney-client relationship between Lustig & Wickert, P.C. and the user or browser. You should not send any confidential information to us until and unless a formal attorney-client relationship has been established. If you would like to discuss your concerns call us at 847.509.9090 or contact us by email at Info@Lustiglaw.com.
Today’s Growth Consultant of Minooka, Illinois, Sued By New Zealand Investor
CHICAGO – Dec. 24, 2019 – PRLog — NZQ Investments Limited, a New Zealand corporation, has filed a lawsuit against Today’s Growth Consultant, Inc., an Illinois corporation. The lawsuit was filed on December 20, 2019, in The United States District Court For The Northern District of Illinois as Case No. 19-cv-8346. The Complaint alleges that NZQ and Today’s Growth Consultant entered into an agreement in 2017 under which Today`Growth Consultant promised to acquire and operate a revenue generating website for NZQ Investment in exchange a cash investment by NQZ Investment. The parties then entered into a Release Agreement on November 19, 2019 to resolve a dispute regarding Today’s Growth Consultant’s performance under the earlier agreement. NZQ alleges that Today’s Growth Consultant breached the second agreement by failing to make required payments under the Release and seeks to recover $240,020.62.
Disclaimer: This website is maintained by Lustig & Wickert, P.C. which produces this blog to provide general information about itself as well as general news about business law and commercial litigation. The information you obtain at this site is not, nor is it intended to be, legal advice upon which you should rely or act. You should contact your attorney to obtain advice with respect to any particular issue or problem. Use of and access to this website does not create an attorney-client relationship between Lustig & Wickert, P.C. and the user or browser. You should not send any confidential information to us until and unless a formal attorney-client relationship has been established. If you would like to discuss your concerns call us at 847.509.9090 or contact us by email at Info@Lustiglaw.com.
Oral LLC Operating Agreements Are Now Enforceable – Be Careful
The Illinois Limited Liability Act was recently amended in ways that could adversely effect our clients who own an interest in an Illinois limited liability company. The amendment of most consequence is that an oral operating agreement is now binding on its members and managers.
This means that two or more people may decide one day that they had orally entered into an operating agreement even before the Articles of Organization of the company were filed. The terms and conditions of such an oral operating agreement would then be subject to each persons understanding of the agreement based upon memories that fade with time.
A second problem arises if and when a new person gets admitted as a member. The amended Limited Liability Company Act provides that a new member is deemed to assent to the existing operating agreement. If the existing operating agreement is oral, what terms and conditions has the new member agreed to?
Without a written operating agreement, the new member is agreeing to be bound by whatever the existing members remember the operating agreement to be.
If you own an interest in a multi-member Illinois Limited Liability company without a written operating agreement, you should call us to see how this amendment may effect you.
