(NEW YORK) — As Americans continue to file their taxes ahead of Tax Day, the Federal Trade Commission has slapped a lawsuit against a company behind a popular tax filing software.
The FTC announced on Tuesday it is suing Intuit, the makers of TurboTax, over what it calls “bogus advertisements” that mislead taxpayers into believing they can file their taxes for free with the software.
The commission says that in reality, most customers can’t use TurboTax’s free products “because it is not available to millions of taxpayers, such as those who get a 1099 form for work in the gig economy, or those who earn farm income.”
The FTC points out that in 2020 alone, approximately two-thirds of tax filers weren’t eligible to use the company’s free products.
With the deadline for filing taxes just around the corner — Tax Day is April 18 — the FTC has also filed a complaint in federal district court asking that Intuit cease its “deceptive advertising” immediately.
(WASHINGTON) — A bipartisan coalition of senators introduced legislation on Monday meant to improve transparency in the highly competitive and notoriously murky federal contracting process, taking aim at companies that accept lucrative work from government agencies without having to disclose potential conflicts of interest.
The bill, called the Preventing Organizational Conflicts of Interest in Federal Acquisition Act, would seek to mitigate conflict-of-interest concerns by forcing contractors to “disclose other parts of their business that conflict with the work they are bidding to perform for the government,” according to Sen. Gary Peters, D-Mich., chairman of the Homeland Security and Governmental Affairs Committee.
“If we don’t know whether [federal contractors] are serving other, potentially conflicting interests, we can’t be confident that Americans are getting exactly what they pay for,” said Sen. Chuck Grassley, R-Iowa, a cosponsor of the bill.
For many American companies, federal contracts represent a crucial source of revenue, as well as visibility and credibility. Firms from every major business sector compete for this work, and winners often execute their end of the agreement while pursuing outside business opportunities — which sometime overlap with their federal contracts.
While existing rules stipulate that government agencies assess potential conflicts of interest before determining contract winners, watchdogs say the process remains opaque.
“Based on current federal contract regulations, agencies cannot always discern whether government contractors have business relationships with foreign governments and private entities that could create a conflict of interest,” said Noah Bookbinder, president of the nonprofit government watchdog group Citizens for Responsibility and Ethics in Washington.
Scott Amey, general counsel for the government ethics watchdog Project on Government Oversight, warned that “without more guidance, organizational conflicts of interest can result in unfair competitive advantages and biased contract awards — both of which compromise the impartiality of the federal government and the integrity of the contracting process.”
In a press release announcing the new legislation, lawmakers cited reporting in ProPublica that raised conflict-of-interest questions about consulting giant McKinsey & Company’s recent work for the Food and Drug Administration. ProPublica reported that in at least one FDA contract, McKinsey allegedly failed to disclose its conflicts of interest with corporate pharmaceutical clients despite its contract with the agency obligating the firm to do so.
According to documents obtained by ProPublica, McKinsey allegedly advised the FDA’s drug-regulation division for more than a decade while simultaneously accepting work from major pharmaceutical companies. In some cases, according to ProPublica, McKinsey helped those clients navigate FDA regulations while advising the FDA on how to strengthen regulations for the pharmaceutical industry.
Sen. Maggie Hassan, D-N.H., said McKinsey’s handling of its work with the FDA demonstrates “the danger that conflicts of interest can pose in government contracting.”
“Our bipartisan bill would help ensure that companies that enter into a contract with the government are acting in the best interest of the American people,” Hassan said.
A McKinsey spokesperson told ProPublica that the firm “had been fully transparent that we serve pharmaceutical and medical device companies.”
Republican Senator Joni Ernst of Iowa joined Peters, Grassley, and Hassan in sponsoring the federal legislation.
(CHICAGO) — It’s no surprise Americans are feeling the impact of the country’s worst inflation in 40 years. In fact, the Federal Reserve is already considering raising interest rates again, according to Chairman Jerome Powell. They raised rates by a quarter-point just last week.
Americans feeling the financial strain are now finding creative ways to save. Enter The Swap-O-Rama in Alsip, Illinois, on the south side of Chicago.
The self-declared oldest flea market in Chicago is advertised to be home to hundreds of vendors, selling thousands of different products at affordable prices.
“You get a lot of stuff in bulk and it’s a lot cheaper.”
That’s Marquita of Gary, Indiana. She told ABC News’ Perspective podcast that she’s seen her dollar getting stretched further and further as she shops for her family of six.
“If I go to the store and I get a meal, I want to say it’s been like $100 for a whole meal. And that’s just like if I get like 10 things […] I try to go to the store, even the cheaper stores, it’s now become $100 for a full meal.”
Sherman is a local vendor and sells all the things you’d normally find at CVS or Walgreens, but for a fraction of the price. He understands why people come to the flea market looking to save.
“They figure I’m at the flea market, I should be able to get it cheaper than store.”
But consumers aren’t the only ones feeling the sting of inflation.
Clay is a bracelet vendor at Swap-O-Rama. He says he’s struggling to turn a profit. What cost him $40 in supplies a year-and-a-half-ago is costing him closer to $100 today. Now, he has to charge shoppers more, which some aren’t willing to pay.
“The last month, people are actually looking to negotiate more. You know, I guess because they’re paying more for everything else. So everyone’s pretty much looking for more of a deal now.”
Listen to the rest of this past week’s highlights in the Perspective podcast.
(NEW YORK) — Vanessa Bryant has partnered with Nike to honor the life and legacy of her late husband, basketball star Kobe Bryant.
The athletic apparel company announced Thursday that in collaboration with the Bryant family there will be a focus on championing a new generation of fans and encouraging youth participation in sports.
To kick off the partnership, the first shoe, the Kobe 6 Protro “Mambacita Sweet 16,” will be a tribute to Vanessa and Kobe’s daughter, Gianna “Gigi” Bryant.
Kobe, 41, and Gigi, 13, died in a tragic helicopter crash along with seven others in January 2020.
The news of the company’s new partnership comes a year after it was initially announced that Kobe Bryant’s long-held partnership with Nike had come to an end as well as Vanessa previously slamming the brand over unauthorized sneakers honoring Gigi.
“I am happy to announce that we will continue my husband’s legacy with Nike and look forward to expanding his and Gigi’s global impact by sharing the Mamba Mentality with youth athletes for generations to come,” Vanessa said in a statement.
In addition to the new partnership, Nike and Vanessa will also work together to create a youth basketball center in Southern California, as well as continue to outfit the NBA and WNBA athletes who carry the legacy of the Mamba Mentality.
“Kobe Bryant means so much to so many of us, not just NBA fans but globally beyond the game,” John Donahoe, the president and CEO of Nike, said in a statement. “His impact in growing the sport, particularly encouraging women and young people to pick it up, endures as one of his deepest, lasting legacies. Together with Vanessa, we hope to honor Kobe and Gigi by championing a new generation for many years to come.”
(NEW YORK) — When it comes to the NCAA March Madness basketball tournament, brackets are either busted or booming. So one brand came up with a way to sweeten the experience for everyone.
Krispy Kreme announced on Thursday that through Sunday, March 27 all guests who bring in their bracket — whether it’s on paper or an app — will receive a free Original Glazed doughnut each day they do so.
You always win with team #KrispyKreme🙌 TODAY 3/24 – 3/27, you can visit any US shop to show us your booming or busted bracket & we’ll give you one FREE Original Glazed #doughnut! Yes…we’re serious! 🍩 See full offer details & participating US shops at https://t.co/Ks0SA31BkDpic.twitter.com/x4pPcfClsR
Customers who join the confectioner’s rewards program can also get a dozen Original Glazed doughnuts for just $1 with the purchase of any regularly priced dozen through Monday, April 4.
The offer is valid in shop, drive thru and online with the Krispy Kreme app.
(NEW YORK) — Pale pastel colors and fresh fruit are just a couple of indicators that we’ve left winter behind and moved on to sunnier spring days ahead.
Dairy Queen has embraced both the flavors and colors for spring with a dose of nostalgia for its latest limited-time menu addition.
The light purple hued fruity blast dipped cone is made with DQ world-famous soft serve in a cone that’s dipped into a fruity cereal flavored shell.
(NEW YORK) — As governments scramble to seize high-profile assets owned by Russian oligarchs, a quiet effort is gaining momentum in the West to target their alleged “enablers” — the lawyers, lobbyists and money-handlers who critics say help them hide, invest and protect their vast wealth in U.S. and European institutions.
“The yachts and jets and villas get the most attention, but a lot of the oligarchs’ money is in private equity and hedge funds – places we can’t see,” said Maira Martini, a researcher with the corruption watchdog Transparency International. “That’s the money that really matters to them.”
For decades, wealthy business tycoons with close ties to Russian President Vladimir Putin have enlisted the services of reputable bankers and lawyers in the West to navigate loopholes that obscure their identity. While it’s not necessarily illegal to use obscure entities and agents to protect finances, critics say the laws need to be strengthened to create more transparency.
Organized Crime and Corruption Reporting Project, a global investigative reporting platform that focuses on corruption, organized crimes and illicit financing, claims to have uncovered over 150 assets worth $17.5 billion held by 11 Russian elites and their alleged enablers, while a Forbes report identified more than 82 properties across the world — a collective of $4.3 billion — held by 16 sanctioned Russian oligarchs.
Assets that have surfaced are likely only a fraction of these oligarchs’ actual wealth. The true extent is difficult to track because they often use a convoluted network of shell companies, obscure entities and stand-ins to keep their finances hidden, experts said.
But now, with war raging in Ukraine, lawmakers and corruption watchdogs are calling on governments to close those loopholes and crack down on the middlemen who know how to exploit them.
“Putin’s oligarchs cannot operate without their Western enablers, who give them access to our financial and political systems,” said Rep. Steve Cohen, D-Tenn. “These unscrupulous lawyers, accountants, trust and company service providers and others need to do basic due diligence on their clients to ensure that they are not accepting blood money. This isn’t rocket science – it is common sense policy to protect democracy.”
In Washington, Cohen and others have introduced the ENABLERS Act, which would require real estate brokers, hedge fund managers and other entities to “ask basic due diligence questions whenever somebody comes to them with a suitcase full of cash,” said Rep. Tom Malinowski, D-N.J., a co-sponsor of the bill.
The International Consortium of Investigative Journalists, a global network of journalists and newsrooms that have tracked the wealthy’s tax havens and financial secrecy, has identified at least a dozen networks of facilitators, offshore agents and banks across the world that have allegedly helped Russia’s elites move and hide their money based on its analyses of public records and leaked financial documents the group has obtained over the past decade.
This includes a range of actors, from global offshore law firms that create shell companies and other obscure entities to help wealthy Russians keep their finances clouded, to one-man shops in offshore tax havens that help set up “nominee” shareholders and paid stand-ins to conceal the real owners of entities.
ICIJ also points to the roles of major law firms in helping shape the modern tax avoidance system as well as the roles of big financial institutions and banks in helping wealthy Russians move their money.
Last year, The Washington Post, as part of its collaboration with ICIJ’s Pandora Papers project, reported on how South Dakota, with its limited oversight, vague regulations and trust secrecy, has become a tax haven for secretive foreign money.
Rep. Tom Malinowski, D-N.J., co-sponsor of the ENABLERS Act, stressed that the United States “has become one of the easiest places in the world for corrupt kleptocrats around the world to hide money.”
“What we’ve basically allowed is a system where people can steal their money in countries without the rule of law and then protect their money in countries like ours where they can count on property rights and courts and privacy rules to safeguard his loot for life,” Malinowski said. “We should not be complicit in the theft that supports dictatorships like Putin.”
Experts warned that sanctions and asset seizures, while effective in the short term, may be toothless over time if secrecy loopholes remain in place. On Wednesday, Transparency International published an open letter calling on Western leaders to take steps to stem rules that foster opacity.
“To disguise their wealth and keep them out of the reach of law enforcement authorities, kleptocrats will turn to lawyers, real estate agents, banks, crypto-service providers and banks in your countries,” the letter reads. “You must redouble your supervision efforts over the gatekeepers of the financial sector.”
(NEW YORK) — Women of color are disproportionately represented in the low-wage workforce, a new study released Tuesday found.
Half of working women of color earn less than $15 an hour, according to Oxfam, the anti-poverty charity organization responsible for the research.
“Women and people of color do much more than their fair share of low-wage jobs, and as wages lose value, it’s becoming a civil rights crisis in this country,” Oxfam stated in the study release.
In 25 states, at least 60% of working women of color earn under $15.
Women typically receive 83 cents on the dollar that every white, non-Hispanic man in the same position makes, Oxfam reported.
For women of color, that disparity rises drastically — Black women are paid 64 cents; American Indian women are paid 60 cents; and Latina or Hispanic women make 57 cents, compared to a dollar that a white man makes.
Oxfam found that nearly a third of all U.S. workers earn under $15 an hour — 25% of all men and 40% of all women. That’s roughly 52 million people.
When broken down by race, 26% of white workers earn less than $15, while 46% of Hispanic and Latino workers and 47% of Black workers do.
With inflation levels at the highest they’ve been in decades, families are left struggling, researchers say.
“It’s been 13 years since Congress raised the wage floor in this country, and in that time all costs of living have steadily climbed,” Kaitlyn Henderson, senior research advisor at Oxfam America, said in a press release.
She added, “It’s shameful that at a time when many U.S. companies are boasting record profits, some of the hardest working people in this country — especially people who keep our economy and society functioning — are struggling to get by and falling behind.”
The report also highlights that some workers are paid even lower than $7.25 thanks to federal laws that allow tipped workers, student workers, farmworkers, domestic workers and workers with disabilities to be paid less.
“It’s long past time to adjust our priorities to reflect the value and decency inherent in all work by paying workers a higher wage, adjusting the compensation of CEOs and shareholders, and moving to an economic model that prioritizes people over profits,” said Gina Cummings, vice president of advocacy, alliances and policy for Oxfam America.
(NEW YORK) — Civil rights attorney Ben Crump filed a racial discrimination lawsuit against Google this week claiming there has been a pattern of racial discrimination toward minority employees.
“Former Google employees came for their dream job that turned into a nightmare because of bigoted, discriminatory, racist culture that exists within Google,” Crump said at a press conference Monday.
The lawsuit, which alleges a pattern and practice of racial discrimination, was filed on behalf of April Curley and other former and current Black employees at Google. Curley said she was unlawfully terminated from her position after she told managers she was creating a report on Google’s “discriminatory” practices, a press release stated.
“These women tried to sound the alarm,” Crump said, later adding that the company “retaliated against these victims of the racist culture that exists in Google.”
ABC News has reached out to Google for comment on the lawsuit.
Curley worked at Google as a diversity recruiter for six years to recruit prospects from historically Black colleges and universities. She said she was hired at an entry level position even though she held a master’s degree and had five years of experience.
“April Curley was an exceptional employee at Google. She was hired to a position well below her qualifications and was consistently wrongfully passed over for promotions,” Crump alleged. “While Google claims that they were looking to increase diversity, they were actually undervaluing, underpaying and mistreating their Black employees, leading to high turnover.”
Curley said she was able to recruit more than 500 Black students to become a part of the company. But ultimately, she alleges, she began noticing “white dominant policies in practice within Google.”
Crump and law firm Stowell & Friedman, Ltd. alleged in a press release that Black employees at Google are “steered toward lower-level roles with less pay and fewer opportunities for advancement” and face a hostile working environment and retaliation if they “oppose the company’s discriminatory practices.”
“After dedicating so much of my life to ensure Black and brown students had access to opportunities in tech, and at Google, after being restrained to an entry level classification for six years, after being blocked for promotion because, I quote, ‘Google had no budget to pay me,’ Google decided that right next step in my career was to unjustly terminate me,” Curley said at the press conference.
Google has not commented publicly on Curley’s termination.
According to Google’s annual diversity report published in 2021, the company said they “recognize” a need to do better.
“We recognize our responsibility to meet this moment and believe the greatest contribution we can make to changing these structural inequities is sustained action within our company, our communities and the world,” the report stated.
Crump and his team are pursuing a class action suit. The lawsuit filed by the firm requests that employees get their positions back and be awarded the full compensation and benefits that they not only lost but may also lose in the future.
“Google, we are here to encourage you to do the right thing,” Crump said.
Crump said investigations have been opened by the California Department of Fair Employment and Housing and the California Assembly. ABC News has reached out to both for comment.
(COLLIER COUNTY, Fla.) — A man was attacked by a tiger at a Florida Everglades attraction after walking into the animal’s enclosure, authorities said.
The incident occurred Tuesday afternoon in Collier County, the same county where a man was attacked by a tiger at a zoo three months ago.
“We are having a hard time comprehending this happening again but want to share this breaking news with you,” the Collier County Sheriff’s Office said in a statement posted to Facebook Tuesday.
Deputies responded to a tiger attack at Wooten’s Everglades Airboat Tours in Ochopee around 4:30 p.m., authorities said.
“Preliminary (very) info indicates a tiger in an enclosure at that location was being fed by it’s [sic] caretaker when a 50 year old male, an employee of Wooten’s who was not authorized to be with the tiger, entered the tiger’s enclosure,” the sheriff’s office said. “The tiger attacked the man and caused injuries to both arms.”
The man was transported to a local hospital. The sheriff’s office did not have any updates on his condition following the attack.
The tiger’s caretaker was able to “safely contain” the animal and it was not injured, the sheriff’s office said.
ABC News has reached out to Wooten’s Everglades Airboat Tours for comment.
According to its website, Wooten’s is home to an animal sanctuary, as well as offers tours of the Everglades and hosts a live alligator show.
This is not the first time in recent months that Collier County sheriff’s deputies have had to respond to a tiger attack.
On Dec. 29, deputies were called to the Naples Zoo after a maintenance worker entered an unauthorized area and stuck his arm in a tiger enclosure, authorities said.
A responding Collier County deputy found the man with his arm in the tiger’s mouth and fatally shot the 8-year-old male Malayan tiger, Eko, when he was unable to get it to release the arm, authorities said.
Last month, the sheriff’s office announced it would not be filing charges against the man, River Rosenquist.
“After a thorough investigation of the incident and after consulting experts in state and federal criminal law and the prosecution of same, it has been concluded that there are no applicable existing laws with which to charge Mr. River Rosenquist for his irresponsible acts that ultimately caused the death of Eko the tiger,” the sheriff’s office said in a statement. “Simply put, there are no laws on the books that apply to this reckless act. We know this will be very difficult for everyone to understand. It is difficult for us to comprehend.”
Rosenquist’s arm was severely damaged in the attack, but doctors were able to avoid amputation, his family said.
“While River’s recovery is unknown, the family remains steadfast in their faith for his future improvement on the long road ahead,” his family said in a statement to ABC News via their attorney last month. “River’s mental health and recovery continue to be our primary focus and we remain thankful for the respect and privacy everyone has allowed the family to have during this difficult process.”
ABC News’ Will Gretsky and Lisa Sivertsen contributed to this report.
