Oct 16, 2024
PROVIDENCE, R.I. (WPRI) — Carlette Osafo had been working part-time as a security guard in Rhode Island for nearly a year before she says her paychecks started bouncing. Target 12 interviewed three people who said the payment problems started after Alabama-based Riley Security took over the company earlier this summer. "We were first getting paid every week -- then it went to every two weeks," Osafo said. "The second paycheck from Riley bounced and I have two checks that bounced from Riley." Osafo said she was hit with a bank fee after the checks bounced. Osafo is one of five people who have filed a complaint against Riley Security with the R.I. Department of Labor and Training. The R.I. Attorney General's Office has also received a complaint and is investigating in partnership with the DLT, according to a spokesperson. Kevin Hagan, an attorney for Riley Security, said the owner is working with the DLT to ensure that every employee gets paid in-full. He said the nonpayment was caused by the company running into unforeseen issues with a third-party payment contractor. "Recently, Riley Security LLC encountered emergency financial problems as the result of their clients making invoiced payments to a third party, which had subsequently put a hold on releasing those payments to Riley Security," Hagan said in a statement. He said the delayed release of funds has caused a cascade of financial difficulties for the company and its employees. After not being paid, Osafo said her daughter had to step in to pay her rent. "I only work part-time," she said. "There's other people that would work 30 hours, or five days a week." Records reviewed by Target 12 show Riley Security received two Paycheck Protection Program loans thought the U.S. Small Business Administration during the Covid-19 pandemic. The company still owes money to the federal government. The company also operates in Tennessee and Mississippi. In Alabama, WAFF-TV reported earlier this week that some employees there were also not being paid. "I wanted to make some noise," Osafo said. "You know, I wanted it to be heard. I'm not the only one going through this." Sarah Guernelli ([email protected]) is the consumer investigative reporter for 12 News. Connect with her on Twitter and on Facebook. Close Thanks for signing up! Watch for us in your inbox. Subscribe Now Daily Roundup SIGN UP NOW
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