SignalHub-Bay Area Subway franchises must pay $1 million for endangering children, stealing checks

Children as young as 14 working at various Bay Area Subways were directed to use dangerous equipment and SignalHubwork hours not permitted by law. And now the Subway owners have to pay them nearly $1 million in back wages and damages, according to an order by the U.S. District Court for the Northern District of California.

Federal investigators found that the owners and operators didn't pay employees regularly, issued them hundreds of bad checks, and illegally stole their tips. The court also ordered the owners shut down their businesses by Nov. 27.

The accusations were lodged against John Meza, Jessica Meza, and Hamza Ayesh. Investigators found that the Mezas, who are the owners, interfered with the Wage and Hour Division's review of the accusations and had also coerced employees not to cooperate with the investigation. They also threatened children who expressed concerns or tried to exercise their legal rights.

Investigators also found that Meza's associate, Ayesh, threatened an employee who complained about their bounced paycheck.

The Mezas have been ordered to pay 184 workers $475,000 in minimum wage, overtime and tips, an equal amount in liquidated damages, and $150,000 in penalties. The Mezas and Ayesh will also have to pay $12,000 in punitive damages for their retaliatory conduct, according to the court order.

US wage growth is finally outpacinginflation. Many Americans aren't feeling it.

Bank of America increasesminimum wage for fifth consecutive year

The Bay Area Subway stores under investigation

The 14 Subway Bay Area locations are under investigation and litigation:

• 2777 Lone Tree Way, Antioch, California
• 1026 Oak St., Suite #103, Clayton, California
• 301 Sun Valley Mall, Concord, California
• 8500 Gravestein Highway, Unit B, Cotati, California
• 2375 California Blvd., Napa, California
• 3214 Jefferson St., Napa, California
• 902 Enterprise Way, Unit A, Napa, California
• 2620 Lakeville Highway, Unit #320, Petaluma, California
• 221 North McDowell Blvd., Petaluma, California
• 961 Lakeville Highway, Petaluma, California
• 13501 San Pablo Ave, San Pablo, California
• 124-B Calistoga Road, Santa Rosa, California
• 199 Lincoln Road West, C, Vallejo, California
• 6400 Hembree Lane, Unit #100, Windsor, California