Interpublic Faces IRS Probe

21 August 2002

Interpublic Group is being probed by America’s Internal Revenue Service, reportedly over attempts to minimise its tax burden.

Already facing an investigation by the Securities & Exchange Commission, the troubled agency giant may have to pay an undisclosed amount of additional tax, though it insists the extra payment will not affect earnings. The IRS is auditing tax returns filed from 1994 to 1996.

Meanwhile, the class action lawsuits against Interpublic continue to pile up, with law firm Charles J Piven filing a suit in Baltimore. It claims that misleading comments by ceo John Dooner and chief financial officer Sean Orr gave the group an overvalued share price.

Data sourced from: BrandRepublic (UK); additional content by WARC staff