Two Monterey County property owners have pleaded no contest to crimes related to housing hundreds of agricultural workers and their families in unpermitted dwellings with numerous code violations.
One of the defendants, Nicolas Ruvalcaba, pleaded to two felonies related to tax evasion and misdemeanors related to the unpermitted housing and lack of worker's compensation insurance.
Ana Ruvalcaba pleaded to misdemeanor tax evasion and the same misdemeanors related to the unpermitted housing and lack of insurance.
The case began in 2023, when a probation officer noticed someone under their supervision was living on the property in what appeared to be greenhouses.
An inspection of the 23-acre property in Royal Oaks revealed dozens of converted units housing 270 people, according to a statement on Thursday from Monterey County District Attorney Jeannine Pacioni's office.
The housing lacked numerous necessities required by law, including "smoke detectors, emergency exits, operable windows, required ventilation, and required heating equipment, in addition to other mechanical, electrical, and safety violations," according to the DA's Office.
Families paid rent in cash to the Ruvalcabas totaling about $1 million between 2020-2022, which they failed to report. The DA's Office said that meant they avoided paying about $135,000 in income taxes.
The also intimidated families into maintaining secrecy about their living arrangement and prevented children from playing outside on the property, the DA's Office said.
They agreed to pay $800,000 to resolve the allegations and face up to a year in jail.
They separately paid about $170,000 to pay for temporary housing for those affected and another $200,000 to resolve a civil complaint filed by the legal aid group California Rural Legal Assistance, Inc on behalf of the workers and residents.
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