Utah business one of thousands impacted by vanishing payroll company

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MIDVALE, Utah (ABC4 News) – Thousands of employers across the country and here in Utah are living a nightmare. They’re trying to figure out how to pay their employees after the payroll company they used closed up shop without notice and withdrew money from the bank accounts of their clients.

Caring Senior Service of Wasatch is one of the affected companies.

Brandy and Robert Andersen are dishing out thousands of their personal money to make sure their 62 employees receive a paycheck this Friday.

“It’s just been stressful worrying about them and their families. We know them and their families and kids. They’re part of our family,” Brandy Andersen said.

The Andersen’s were stiffed by MyParollHR, the New York-based company they rely on to process payroll payments. MyPayrollHR abruptly ceased operation this past week and took with them millions of dollars from its clients’ bank accounts.

“It’s been hard, it’s been stressful. I think I’ve spent the last three or four days in tears because I just think of all of those people who don’t have anything and it makes me very sad,” Brandy said.

Brandy says she noticed something was wrong last Thursday. She was checking statement and realized MyPayrollHR took funds and taxes from the August 30 payroll. She says the company hit them again last Thursday.

“It just vanished,” Brandy told ABC4’s Brittany Johnson.

The Andersens believe they’ve lost anywhere from $28-30,000, but have a feeling the damage could be worse.

“As it looks now, since august of 2018, none of our payroll taxes — federal, state or unemployment have been paid — but they took our money,” she said. “We’ll be hit with penalties, fees, all those kinds of things. It kind of throws things into a wrench for us.”

“You always think nothing can happen to you, it’s not going to happen to you, but reality is, it can happen to anybody,” said Robert.

The FBI and prosecutors in New York are investigating the company and its CEO.

A Facebook group has been started by victims. There you can find resources and other valuable information.

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