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FBI investigating payroll company’s folding

Monadnock Ledger-Transcript
Published: 9/16/2019 9:16:06 PM

The Federal Bureau of Investigation is investigating a payroll processing company which impacted businesses here in the Monadnock Region and across the country when it closed down abruptly, bilking its customers of millions in unpaid payroll.

MyPayrollHR, a payroll processing company in Clifton  Park, New York, closed without any warning to the about 4,000 businesses it provides payroll for on Sept. 5. In the wake of its closure, workers either didn’t get that week’s paychecks, or had their paychecks deposited and then abruptly withdrawn – with some people’s accounts being hit with double withdrawals.

Rindge Hometown Diner owner Bonnie Rosengrant, who used MyPayrollHR to pay her 23 employees, said last week she’s out about $20,000, after her regular weekly deposit wasn’t distributed to her employees and she had to reimburse them from a cash reserve.

Rosengrant said Monday she’s still struggling to deal with the aftermath of the MyPayrollHR shutdown and the financial loss. She’s been in and out of meetings and making phone calls all week trying to pin down the process for getting her money back, but so far, hasn’t gained any traction, she said.

She’s contacted her bank and the local police to report the fraud, but has also reached out to the Federal Bureau of Investigations and Attorney General’s offices, both in New Hampshire and New York, where MyPayrollHR was based, and the Department of Labor.

“There’s a waiting game,” Rosengrant said. “There’s no information out there for who to contact. You’re just floundering around and left to fight on your own.”

Tom Moses, president of Williams Construction in Keene, an impacted customer whose employees were hit with double withdrawals, said employees are working with their individual banks to report the withdrawals as fraud. His company, too, has been in contact with the Attorney General in New Hampshire and in New York. 

The Federal Bureau of Investigation announced on Sept. 11 via its Albany FBI Twitter account that it is investigating the MyPayrollHR shutdown, and asked for victims to contact the FBI with information about their financial losses.


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