CONCLUSION
The preponderance of evidence demonstrates that ISI and Karawia, who is a "party responsible," violated the Act when they underpaid employees SCA wages and fringe benefits due under the GSA contracts. The record also proves that this conduct
[Page 11]
was willful, intentional, deliberate, and culpable. Therefore, "unusual circumstances" do not exist. As a result, we AFFIRM the ALJ's decision and order that ISI and Karawia be debarred.
SO ORDERED.
OLIVER M. TRANSUE
Administrative Appeals Judge
M. CYNTHIA DOUGLASS
Chief Administrative Appeals Judge
[ENDNOTES]
1 41 U.S.C.A. §§ 351-358 (West 1994).
2 Id. at § 354(a).
3 41 U.S.C.A. § 351(a).
4 Id. at § 352(a).
5 See 41 U.S.C.A. § 352(a); 29 C.F.R. § 4.187 (Labor Department may request that contracting agency withhold payment due service contractor in amount equal to compensation owed to employees).
6 The complaint named three corporate officers in addition to Karawia: Richard E. Long, Vice President of Operations; William Pedrick, contract manager for New York; and Peggy Orlando, Chief Financial Officer. All three settled their cases prior to the hearing. The ALJ dismissed them from the case.
7 See 29 C.F.R. § 6.20.
8 See 29 C.F.R. § 8.1(b).
9 29 C.F.R. § 8.1(c).
10 29 C.F.R. § 8.1(d).
11 29 C.F.R. § 8.9(b). See Dantran, Inc. v. U.S. Dep't of Labor, 171 F.3d 58, 71 (1st. Cir 1999).
12 SuperVan, Inc., ARB No. 00-008, ALJ No. 1994-SCA-014, slip op. at 3 (ARB Sept. 30, 2002); United Kleenist Org. Corp. & Young Park, ARB No. 00-042, ALJ No. 1999-SCA-018, slip op. at 5 (ARB Jan. 25, 2002).
13 41 U.S.C.A. § 354(a); 29 C.F.R. § 4.188(a), (b).
14 Hugo Reforestation, Inc., ARB No. 99-003, ALJ No. 1997-SCA-020, slip op. at 9 (ARB Apr. 30, 2001).
15 Sharipoff dba BSA Co., No. 1988-SCA-032, slip op. at 6 (Sec'y Sept. 20, 1991). Accord Colorado Sec. Agency, No. 1985-SCA-053, slip op. at 2-3 (Sec'y July 5, 1991); Able Bldg. Maint. & Serv. Co., No. 1985-SCA-004 (Dep. Sec'y Feb. 27, 1991); A to Z Maint. Corp. v. Dole, 710 F.Supp. 853, 855-856 (D.D.C. 1989). See also Vigilantes Inc. v. Adm'r of Wage & Hour Div., U.S. Dep't of Labor, 968 F.2d 1412, 1418 (1st Cir. 1992) ("The legislative history of the SCA makes clear that debarment of a contractor who violated the SCA should be the norm, not the exception, and only the most compelling of justifications should relieve a violating contractor from that sanction.").
16 29 C.F.R. § 4.188(b)(1); Hugo Reforestation, slip op. at 12-13.
17 29 C.F.R. § 4.188(b)(3)(i).
18 See 29 C.F.R. § 4.188(b)(3)(ii).
19 D. & O. at 2-3.
20 Id. at 4, 5, 7, 8.
21 41 U.S.C.A. § 354(a).
22 Hearing Transcript (T.) at 43-46, 65, 72-73, 75, 83-84, 92-101, 114, 128-132, 138, 139, 141-142, 157, 670 (Weeks); 188-199, 207-208, 212-224, 242-245, 248-251 (LaCroix); 267, 272-276, 279, 290-293, 325, 329 (Quinn); 333-341 (Martin); Administrator's Exhibits 5, 26-29, 32, 33, 38-42, 44A, 44B, 46, 71, 72, 79, 82, 88, 91, 109, 110, 111, 114A, 114B, 114C, 114D.
23 29 C.F.R. § 4.188(b)(3)(i).
24 J & J Merrick's Enters., Inc., BSCA No. 94-09, slip op. at 5 (Oct. 27, 1994).
25 D. & O. at 8-9.
26 Respondents' Brief at 1.
27 Administrative Law Judge's Exhibit 1 (Consent Findings and Order, Attachment A at 10).
28 Id. at 12.
29 See Nationwide Bldg. Maint., Inc. & William W. Johnson, BSCA No. 92-04, slip op. at 12 (Oct. 30, 1992) ("Violations which are committed more than once - after proper notice - can also be seen as intentional, deliberate and willful."); see also A to Z Maint. Corp., 710 F.Supp 853, 857-859 (D.D.C. 1989) (contractor's repeated violations of SCA even after receiving advice from Labor Department Compliance Officer is one of the aggravating factors which preclude a finding of "unusual circumstances" under 29 C.F.R. § 4.188(b)(3)(i)).
30 See Integrated Res. Mgmt., Inc. of Or., ARB No 99-119, ALJ No. 1997-SCA-014, slip op. at 6 (ARB June 27, 2002).
31 Respondents' Brief at 8-9.
32 D. & O. at 6.
33 T. at 631-32.
34 Administrative Law Judge's Exhibit 19.
35 See Continental Bank, N.A. v. Meyer, 10 F.3d 1293, 1297 (7th Cir. 1993) (personal jurisdiction defense waived where defendants participated in litigation); see also McDonald v. Mabee, 243 U.S. 90 (1917) (court has jurisdiction when party appears regardless of the power of the State to serve process).
36 Respondents' Brief at 8-9.
37 Id. at 9.
38 41 U.S.C.A. § 352(a).
39 29 C.F.R. § 4.187(e)(4).
40 T. at 375, 402, 403, 405, 413, 421, 424, 427, 428-429, 432-433, 437, 441, 442-443, 445-446, 531-532, 633-635, 636-638.
41 See 29 C.F.R. § 4.188(b)(5) (attempting to shift responsibility to subordinate employees does not relieve contractor from debarment).
42 Respondents' Brief at 2, 18, 21.
43 Respondents' Exhibits 33, 34. These exhibits, dated November 2002, are GSA's responses to ISI's request that GSA pay invoices still outstanding after the contract ended.
44 Respondents' Brief at 3, 4-6, 11-13, 18-21, 27.
45 Administrator's Exhibits 26, 28, 29, 32.
46 BSCA No. 92-09, slip op. at 3 (Oct. 13, 1992).
47 Respondents' Brief at 5, 25.
48 The Swanson Group, Inc., BSCA No. 94-05, slip op. at 3 (May 31, 1995).
49 41 U.S.C.A. § 354(a).
50 Integrated Res. Mgmt., Inc. of Or., slip op. at 7 n.2.