Texas
Related: About this forumHouston-based Taxmasters Inc. files for bankruptcy
HOUSTON -- Houston-based TaxMasters Inc., known nationwide for its television commercials with tough-talking company founder and front man Patrick Cox, has filed for Chapter 11 bankruptcy protection.
In a three page document tendered to the U.S Bankruptcy Court for the Southern District of Texas Houston Division, the company which once spent millions annual on advertising, listed assets of less than $50,000. It also estimated liabilities between $1 million and $10 million.
The filing comes as the Texas Attorney Generals Office is set to begin a trial against the tax resolution firm for misleading consumers under the Texas Deceptive Trade Practices Act. According to court documents, TaxMasters advertisements encourage taxpayers to call its toll-free number for a free consultation with a tax consultant. But the state alleged callers are not connected to an employee qualified to give tax advice, but rather with a TaxMasters salesperson who recommends a solution for thousands of dollars. Furthermore, the AGs office alleged TaxMasters offered payment plans to consumers, but failed to reveal that it would not begin work on a case until the entire fee was paid. In many cases, important IRS deadlines were missed, according to court documents.
The State of Texas originally sued TaxMasters in May 2010, but last month the I-Team exposed how consumer complaints continued to pour in despite the states enforcement action.
http://www.khou.com/news/local/Houston-based-Taxmasters-Inc-files-for-bankruptcy-143299066.html
Richardo
(38,391 posts)...I wonder what other RW shows they sponsored?
sonias
(18,063 posts)Does anyone know anything about him? In terms of political alignment I mean. I just have a gut feeling this guy was contributing to republicans.
Here's a story from last year on this company. Surprised he made it this long. One whole other year of bilking people out of their money.
TaxMasters Accused of Fraud and Deception
(snip)
"This is a company which is taking advantage of people, and unfortunately when people see it on TV, they do believe in it," said Minnesota Attorney General Lori Swanson, who has accused the company of fraud and deception in a civil action.
The Texas attorney general has filed a similar lawsuit, alleging the company unlawfully "engaged in false, misleading, and deceptive acts and practices."
TexasTowelie
(112,248 posts)[div id="img" img style="width: 30%"]
Sorry, I couldn't find anything about his political leanings.