Hundreds of people were found living inside converted greenhouses on a California agricultural property. Over three years later, the property owners entered a no-contest plea to charges connected to the housing and unpaid taxes.<\/p>\n
Nicolas and Ana Ruvalcaba owned the 23-acre property in Royal Oaks, an unincorporated community in Monterey County.<\/p>\n
An inspection found approximately 270 people living in dozens of what the Monterey County District Attorney’s Office<\/a> called unpermitted dwelling units. Prosecutors described the housing as substandard and unsafe, while SFGATE<\/a> reports that units lacked required features including smoke detectors, emergency exits, adequate ventilation, and operable windows.<\/p>\n Nicolas Ruvalcaba has now pleaded no contest to two felony tax-evasion charges along with misdemeanor charges involving the housing and a failure to secure workers’ compensation insurance. Ana Ruvalcaba pleaded no contest to misdemeanor tax evasion and related misdemeanor charges, according to Local News Matters<\/a>.<\/p>\n A Probation Officer Helped Uncover The Housing<\/p>\n Embedded media follows. Please allow a moment for it to load.<\/p>\n The case began in 2023 when a probation officer noticed that someone under their supervision appeared to be living in a greenhouse on the property. Subsequently, authorities inspected the site further and discovered the much larger housing operation, according to SFGATE<\/a>.<\/p>\n The District Attorney’s Office<\/a> later said approximately 68 unpermitted dwelling units had been erected there, housing about 270 tenants, among them agricultural workers and their families.<\/p>\n Prosecutors said families paid the Ruvalcabas approximately $1 million in cash rent between 2020 and 2022. According to SFGATE<\/a>, the District Attorney’s Office said the income went unreported, resulting in $135,000 in unpaid income taxes. The District Attorney’s Office also alleged that the Ruvalcabas pressured residents to keep the housing arrangement secret and prohibited children from playing outside on the property.<\/p>\n The couple had previously pleaded not guilty to the charges before reaching the current resolution.<\/p>\n The Case Now Comes With Payments And Penalties<\/p>\n The housing conditions also led to a separate lawsuit from former tenants. Monterey County Weekly<\/a> reports that nearly 30 tenants sued the Ruvalcabas in 2023, alleging dangerous living conditions. As part of an Aug. 3 settlement, the Ruvalcabas agreed to pay $45,000 each to 10 couples in that lawsuit, for a total of $450,000.<\/p>\n The agreement also requires more than $300,000 in penalties to the California Franchise Tax Board, Monterey County agencies, and the court.<\/p>\n The settlement also bars the Ruvalcabas from constructing buildings without permits or allowing people to live in structures that Monterey County has not approved for occupancy.<\/p>\n