Scott, Cohen, Thompson & Rigell Call for Congressional Hearing on Mo Money Scam

Washington Lawyers Committee Offers Pro Bono Legal Assistance to Affected Customers

WASHINGTON, DC – Today, Representatives Robert C. "Bobby" Scott (D-VA), Steve Cohen (D-TN), Bennie Thompson (D-MS), and Scott Rigell (R-VA) sent a letter to House Judiciary Subcommittee on Crime Chairman Jim Sensenbrenner (R-WI) urging the subcommittee to hold a hearing on the interstate activities of the tax preparation firm "Mo Money."

Additionally, the Washington Lawyers Committee has written to Representative Scott regarding pro bono legal assistance for Mo Money customers.

The text of both letters is below:

March 8, 2012

Dear Chairman Sensenbrenner:

We write representing Congressional Districts in three states to request a hearing into the interstate activities of the tax preparation firm "Mo Money." We believe that the firm has demonstrated that its operations pose a continuing threat to order and justice across the nation.

Many customers have been left in desperate straits, such as their electricity being turned off, that they thought they would be avoiding through their anticipated refunds. Many customers of "Mo Money" have complained to our offices about problems they have encountered in their dealings with the firm in recent weeks. Customers have complained that they assigned their refund from the IRS to Mo Money and that checks from Mo Money containing their refunds would then "bounce," and Mo Money has not made good on the bounced checks. Other complaints include that they never received a refund at all, although the IRS records reflect that refunds were sent to Mo Money pursuant to the customers' assignments; that Mo Money deducted additional fees from the refund check to which the customer had not agreed; and that Mo Money submitted tax returns to the IRS that were not authorized by the customer.

Accordingly, we request that the Committee hold a hearing regarding customers' complaints about Mo Money to bring greater attention to the problems citizens are encountering with the company. This will encourage greater caution to others and expeditious resolution of claims against the firm. Below is a sampling of articles and reports describing the problems the company's practices have created.

In view of the gravity of these allegations and the number of people affected, we urge you to schedule a hearing soon to address this serious matter.

Sincerely

March 6, 2012

The Honorable Robert C. Scott
U.S. House of Representatives
1201 Longworth House Office Bldg
Washington, DC 20515

Re: Tax preparation scams potentially targeting minority communities

Dear Representative Scott:

The Washington Lawyers' Committee for Civil Rights and Urban Affairs ("the Committee") has recently become aware of serious allegations of possible civil rights violations and other unlawful practices in connection with tax preparation services offered in Virginia and elsewhere. Our research indicates that a number of the affected individuals, many of whom appear to be minority group members, may live in your congressional district.

As part of its longstanding commitment to providing pro bono legal assistance in cases raising similar issues, I want to offer our organization's services to assist individuals who may be the victims of these questionable practices and who may be in need of representation. Any individuals who believe they may be in need of our services should feel free to contact our office directly at (202) 319-1000. For more information about the Committee and its programs please refer to our website at www.washlaw.org.

If you have any questions concerning the Committee's work or ways we might be of assistance, please feel free to contact me or members of the Committee's staff. We can be reached at the address below or at WLC@washlaw.org.

Very truly yours,

Roderic V.O. Boggs

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