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Trouble at Neverland Ranch
By Kyle Braun
Thursday, March 9, 2006
The State of California has ordered Michael Jackson’s famed Neverland Ranch to shut down, after it was discovered that Jackson has failed to pay his employees, and failed to pay the workers’ compensation insurance. The California Department of Industrial Relations discovered the issue when an employee injured at the ranch mentioned to a co-worker that they were not covered under State Insurance.
California law requires any person or business with
more than one employee to pay into a workers’ compensation
policy. After the incident, regulators discovered that
Jackson’s coverage lapsed on Jan. 10th, 2006. The penalty
assessed to Jackson for the offense was $69,000, which
is $1,000 for every employee. State officials attempted
to serve the notice of closure to the management of
the ranch, but were turned away by security at the front
gate, who had the notice served to himself. As a result
of being served, employees have been asked to stay away
from the ranch and can be brought up on criminal charges
if they return. Ranch operators are given five days
to appeal the findings.
To compound the issue, Jackson was alleged to have
been derelict in paying the employees of the ranch.
A minimum of 30 employees have complained they have
not received their wages since December, and are owed
a collective total of $306,000. For being derelict,
the State has fined Jackson $100,000.
The 2,600-acre (1,100-hectare) Neverland Ranch,
located in Santa Barbara Country in Central California,
possesses a theme park, a 37,000 sq. ft. house, a theater,
and a zoo, which is home to such exotic animals as tigers,
a crocodile, giraffes, snakes and even orangutans. While
the employees of the ranch will not be allowed in, local
animal welfare officials have agreed to care for the
animals until the situation is resolved.
Jackson was unavailable for comment, and, even though
he would be allowed to reside there as this situation
continues, is believed to still be a guest of the royal
family of Bahrain, a small nation in the Middle East.
He has been in Bahrain ever since he was acquitted of
sexually molesting a minor last year. Jackson has tried
to remove himself from the media spotlight, and he has
gone into relative seclusion.
Michael Jackson will be able to re-open Neverland Ranch, after he
pays his fines and purchases the required insurance.
Until then, one of the most elegant and notoriuous
estates in California will be dormant.
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