Ore. lawmakers want answers in $2.1M tax fraud case

KOIN:

SALEM, Ore. (AP) — Oregon lawmakers have grilled the state Revenue Department director, asking why four workers who failed to catch a fraudulent $2.1 million tax refund weren't fired.Jim Bucholz has headed the agency since May. He repeatedly apologized at Wednesday's hearing before the House and Senate Revenue committees. Republican Rep. Cliff Bentz of Ontario told Bucholz "it's not going to be enough to sit here and say you're sorry."Lawmakers wanted to know whether the agency can do its job.The Oregonian reports that three agency employees responsible for examining the return got written reprimands; a fourth was demoted, transferred and given a pay cut.Bucholz says he considered more severe discipline but was told by labor lawyers that firing the workers was not "legally defensible" and likely would have been overturned after expensive appeals.Krystle Reyes was sentenced to 5 1/2 years in prison in July after pleading guilty to fraud and tax evasion in the refund case.___Information from: The Oregonian, http://www.oregonlive.comCopyright 2012 The Associated Press.

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