FTC, Court Go After Radio Advertiser American Tax Relief
October 7, 2010 at 1:28 PM (PT)
A tax debt relief firm that heavily advertises on radio, television, and the Internet has been shut down by court order. AMERICAN TAX RELIEF has been sued by the FEDERAL TRADE COMMISSION for allegedly falsely claiming that it could reduce consumers' tax debts, thereby allegedly defrauding 20,000 customers out of $100 million.
AMERICAN TAX RELIEF owners ALEXANDER SEUNG HAHN and JOO HYUN PARK, husband and wife, were hit with a temporary restraining order on SEPTEMBER 24th freezing their assets, appointing a receiver, and stopping the company from taking on new clients. The company's CALIFORNIA business license was suspended last year for nonpayment of taxes. HAHN and PARK are scheduled for a court hearing on OCTOBER 18th. The suit also named PARK's parents YOUNG SOON PARK and IL KON PARK as co-defendants because they allegedly are holding funds obtained from the defendants’ customers.
"We've made it a top priority to go after scammers who try to exploit the financial hardship of others," said FTC Bureau of Consumer Protection Director DAVID C. VLADECK. "For people having a tough time paying their taxes, the last thing they need is to lose more money to a fraud."