State of New York sues Sprint for more than $300 million over taxes

“The state of New York on Thursday sued Sprint Nextel Corp for more than $300 million, accusing the company of tax fraud for deliberately not collecting or paying millions of dollars of taxes for its cell phone service,” Karen Freifeld reports for Reuters.

“Sprint, the third-biggest U.S. mobile service provider, failed to bill customers for more than $100 million in taxes for its wireless services over seven years, according to New York Attorney General Eric Schneiderman,” Freifeld reports. “Schneiderman filed his complaint, based on whistleblower information, in New York State Supreme Court on Thursday, and said the case is the first tax enforcement action filed under the state’s False Claims Act.”

Freifeld reports, “The lawsuit seeks three times the amount of underpaid tax, plus penalties. ‘Everyone else had no trouble figuring out what the tax law was, except Sprint,’ Schneiderman said on a telephone press conference.”

Read more in the full article here.


  1. With the morons that are running New York, it’s not surprising that 100 million in taxes ballooned to 300 million plus penalties. PLUS?! jeez.

    The following link from a story in 2009 proves that government can push ones buttons but so many times before they say ‘eF it!, NY isn’t worth it.’

    Apparently NY hasn’t gotten any better since. Oh well, sleep with the dogs, wake up with fleas! Now go out and vote New York! Just don’t whine when a few more of the following stories about rich elitist taxpayers leaving crop up and really put NY in a world of hurt. It won’t take too much more before NY comes after the 99% to fund the coffers of the beast that is government’s largesse.

    1. @NN…

      You might want to use more current and reliable information.

      Tom Golisano is still in NY. He ran for Governor in the last election in 2002, and he lost.

      He lost big time.

      Tom Golisano is leaving NY because he ran for Governor and lost. He’s taking his millions that he made from New York, and going elsewhere like a snot-nosed child.

    2. With the morons that are running New York…

      All I can say, as a New Yorker, is that our new Governor Cuomo, Jr., has had remarkable success making New York’s government more responsible and successful. Cuomo is still a puppet to the fossil fuel Corporate Oligarchy, sad to say. But fiscally he has been remarkable. He is also excellent as a leader, much better than is father, Governor Cuomo, Sr. I applaud his government nailing Sprint.

      Now if only Cuomo would rip the mask off the Fracking industry LIARS and kill off any attempts to destroy New Yorks greatest resource, WATER, by way of the fracking scam. I like water. It keeps me alive. 😉

  2. Oh look. Sprint was caught again screwing people over. Wow. Big surprise. zzzzzzzzz

    Actually, I was kind of hoping Sprint had turned a new leaf and figured out how to be a responsible and respectful company. Apparently not. I doubt this will skink them, darn it. But it is a great illustration of who they continue to be: A company to avoid.

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