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On October 19, 2023, Marko Lukic plead no contest to felony insurance fraud and tax evasion. The Honorable Deborah Lobre sentenced Lukic to 210 days county jail and 2 years formal probation for each violation.

He was also ordered to pay $176,297.86 in restitution to the State Compensation Insurance Fund (SCIF) and $39,631.16 in restitution to the Employment Development Department (EDD).

Lukic is also liable for an additional $200,000 in penalties and interest to EDD.

In 2019, the California Department of Insurance (CDI) received information that Lukic, owner of Lukic Construction, was committing insurance fraud. An investigation led by CDI, and assisted by SCIF, determined that Lukic misrepresented the number of employees working for Lukic Construction between 2015 and 2018.

This resulted in more than $170,000 in losses to SCIF for coverage of workers’ compensation insurance.

Also in 2019, the EDD opened an investigation into Lukic and Lukic Construction Company as part of a joint investigation with CDI. The investigation found that Lukic under-reported wages paid to employees by more than $800,000 between 2015 and

2018. This resulted in Lukic evading almost $40,000 in taxes.