Subcontractors for True Religion Jeans Accused of Concealing $78 Million in Payroll

Two subcontractors for True Religion Brand Jeans are accused of conspiring with an accountant to underreport about $78.5 million in payroll to the California State Compensation Insurance Fund and other insurers, prosecutors announced (State v. Kim, Cal. Super. Ct.).

Sung Hyun Kim and Caroline Sung Choi, sisters and chief executive officers for sewing companies that were subcontracted by True Religion, allegedly caused nearly $12.5 million in losses. Kim and Choi were arrested April 15 and first appeared in state court April 17, one day after co-defendant and certified public accountant Jae Young Kim pleaded not guilty to nine ...