Head of Northridge Firm to Plead Guilty in Scheme

The president of a San Fernando Valley company hired by the city of Simi Valley to do repair work after the 1994 Northridge earthquake has agreed to plead guilty to forcing workers to kick back part of their salaries, authorities said Monday.

Krikor Diramerian, 54, has signed a plea agreement admitting he required employees of T.D. Engineering of Northridge to repay $113,777 between June 1995 and June 1996, according to the U.S. Attorney’s office.

The workers were hired to repair retaining walls. Since part of the project was funded by the federal government through the Federal Emergency Management Agency, Diramerian was required to pay what is known as a prevailing wage.

Records indicate that 20 bricklayers and other laborers were hired for the job, and were supposed to be paid about $800 a week. But as part of the kickback, according to authorities, they repaid the company 40% of each check, or about $320.

Diramerian offered his guilty plea last week in federal court in Los Angeles to a single charge of conspiracy. The deal must now be presented to a judge for approval, which could happen later this week or early next week.

Diramerian will be the second of two company executives to plead guilty in the case. T.D. Engineering Vice President Edmond Thomas pleaded to conspiracy last November and was sentenced to 60 days in a halfway house, 1,000 hours of community service, restitution and three years’ probation.

Diramerian will face similar penalties but could also be sentenced to prison time, authorities said.

“Diramerian was the architect of the scheme and he attempted to obstruct justice,” said Assistant U.S. Attorney Jeffrey Rawitz, who negotiated the settlement.