Former Didion Foundry Owner Faces Workers Comp Charges

John Didion, former owner of the defunct Didion Foundry in St. Peters, is facing another legal challenge.

Didion, 59, is being charged with failing to carry Workman’s Compensation insurance, a class D felony. If convicted of the criminal charge, he could be charged up to three times the annual premium, one year in county jail or both. The annual premium was $291,406.

Investigators say he did not carry Workman’s Comp insurance from Dec. 4, 2008 through Feb. 13, 2009. A worker, William Peebles Jr., was injured on the job Feb. 12, 2009 after the insurance coverage lapsed. Didion Foundry employed more than 100 employees at the time.

Sixty-two of his former Didion Foundry employees also have a pending federal suit against Didion, and have been awarded a $1.45-million judgment against the company. That challenge continues as the employees attempt to link Didion's personal assets to the case.

The business closed March 31, 2009.

Regarding the Workers Compensation charges, Didion told investigators that he was unaware that his finance company cancelled his insurance, according to court documents.

However, an agent for Liberty Mutual, Kenneth Payne, told investigators he spoke with Didion personally and told him about the penalties for not carrying Workman’s Comp coverage. He said Didion didn’t decline the coverage, but the policy was cancelled for lack of payment.

Didion did not show up in court Tuesday for a hearing, and Judge Philip Ohlms issued a warrant for his arrest.

Assistant Attorney General Mary Delworth said, “He was arraigned and he showed up then.”

In the federal case against Didion, the former employees' attorney, Kevin Kaspar, said the judgment is against the company, which has no assets. However, Kaspar said his goal is to show that Didion’s personal assets should be used to pay the judgment because Didion used the business as a personal asset.

The former employees say that Didion treated the business like his personal piggy bank, using it to buy $20,000 to $30,000 watches, make payments on his St. Charles home and his Cadillac Escalade.

Some of the purchases were made at about the same time in which Didion Foundry wasn’t making Workman’s Compensation payments.

Didion’s accountants also said he borrowed $160,000 from the foundry to buy his wife’s company, Motivational Products, which dissolved in 2008 according to the Missouri Secretary of State records.