MEMPHIS, TN (abc24.com) - Agents with the Internal Revenue Service were at the Memphis headquarters for Mo' Money Taxes Wednesday morning, but according to one of the business owners, they were invited.
Mo' Money Taxes co-owner Markey Granberry told abc24.com that the IRS was invited to start their investigation "so all our customers can get refunds."
This latest development with the embattled tax preparation company comes after a House Judicial Sub-committee in Washington continues to weigh if it will hold hearings on Mo' Money. U.S. Congressman Steve Cohen (D-TN) and three other lawmakers requested the hearings in February.
Upon learning of IRS agents investigating Mo' Money headquarters on April 25, Cohen stated, "There is no room in Memphis for tax preparation scams that prey on the poor and middle class." Cohen added, "The U.S. Department of Justice has assured us that they take the complaints circulating throughout Memphis about possible scams and delayed tax refund returns seriously and have shared the information we provided with the relevant government agencies. If there was any wrongdoing, I have the utmost faith that the Department of Justice, the IRS, and the other federal agencies that might be looking into this will discover it and address the issue."
Amid the tax refund crisis, IRS investigators were called to where tax documents and personal information for hundreds of Mo' Money customers was found in dumpsters behind a recently closed office.
In Virginia, a Norfolk Police Department spokesman said it had handed over its investigation into the tax preparation service to the Internal Revenue Service. "Our investigators determined that the IRS is in a much better position to enforce any illegal activity than the Norfolk Police Department is," said Chris Amos, with Norfolk Police.
Then in March, Illinois Attorney General Lisa Madigan sued Mo' Money in Chicago.
Granberry said he'll continue to fight allegations against his company. He has maintained that the problems with delayed tax refunds to customers stemmed from new processing software and problems with the IRS itself.
Memphis-based Mo' Money Taxes has around 300 offices in 17 states.