PROVIDENCE -- The Department of Labor can begin collecting a more than
$1 million fine imposed on The Station nightclub owners for failing to
carry workers' compensation insurance.
A Workers' Compensation Court judge this morning denied requests by
attorneys for club owners Jeffrey and Michael Derderian to stay the
penalty while the case is on appeal.
The fine imposed on Derco, LLC, the Derderians' company is the maximum
allowed under state law -- $1,000 for each day the Derderians failed to
carry workers' compensation insurance from the time they bought the
nightspot in March 2000 to when it was destroyed by fire on Feb. 20.
The fire at the West Warwick nightclub killed 100 people, including four
club employees. Another 200 people were injured.
Attorney Jeffrey Pine said the brothers will now go to the state Supreme
Court to ask that they be able to postpone payment of the fine while the
case is being appealed in the Workers' Compensation Court system.
Pine said the brothers don't have the money to pay the fine.