A staffing firm operator was indicted on suspicion of insurance fraud in the underpayment of $25 million in workers' comp insurance premiums, Manhattan District Attorney Cyrus Vance Jr. announced Monday.

Eric Goldstein faces charges of insurance fraud, forgery, offering a false instrument for filing and fraudulent practices under New York State's workers' compensation law, according to the District Attorney's office. Goldstein owned 50 temporary placement agencies under the umbrella of his company, GT Systems Inc., according to the office.

The Associated Press reported that Goldstein pleaded not guilty on Monday.

According to the District Attorney's office, GT Systems had workers' compensation insurance through the New York State Insurance Fund from 1997 to 2000, but that was canceled because of nonpayment. Although Goldstein could not get insurance through the NYSIF because of an unpaid balance, he obtained private insurance for GT Systems from 2000 to 2003, according to the office.

Goldstein then, from 2003 to 2007, obtained workers' compensation insurance from the NYSIF by having his employees fill out applications in their own names and deny their connection to him and GT Systems, the District Attorney's office reported.

Goldstein is also charged with misrepresenting payroll for each of his companies and the type of work done by the companies -- making sure most of his workforce was incorrectly classified as clerical to get lower rates, according to the District Attorney's office. He also directed employees to create fake insurance certificates showing the companies had coverage which they did not, according to the office.