A federal district court in Atlanta has ordered Chueng Kong Holding Inc., a wholesale food distributor based in Clayton County, to pay 41 employees $311,905 in back wages, resolving a lawsuit filed by the U.S. Department of Labor alleging willful violations of federal law governing minimum wage, overtime and record-keeping. Chueng Kong Holding does business as United Food.
The Labor Department filed the suit in the U.S. District Court for the Northern District of Georgia. Investigators accused the company of repeatedly and intentionally paying employees less than the federal minimum wage of $7.25 per hour and of failing to compensate workers at the proper overtime rate.
The consent judgment requires the defendants to pay all back wages due in installments by November 2011. If Chueng Kong Holding Inc. shuts down, its owner, Xin Guo, will be held personally liable for any unpaid balance.
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