IRS Commissioner Mark Everson has threatened criminal prosecution and revocation of tax-exempt status for credit counseling companies that charge high fees and even fail to send money to the creditors of their debt-ridden customers.Everson told a Senate subcommittee on Wednesday that his agency’s audits "may very well result in the lifting of some tax exemptions and, in fact, criminal referrals to the Department of Justice." Testifying before the Senate Governmental Affairs Committee's investigative panel, Everson said audits on one-third of the $1 billion nonprofit industry should be com

What do adoptive parents, historic barn restorers and food bank supporters have in common? They’re all eligible for tax credits in certain states.Now some New York legislators want to give tax credits to nurses, volunteer firefighters and residents who buy gym memberships. While some say the proposed legislation is a good way to encourage socially responsible behavior, critics say it complicates the tax system and is less honest than simply giving such groups money outright.

The Securities and Exchange Commission may require that the New York Stock Exchange revise the rule that forces markets to get investors the best price, even if it means they have to go to a competing market to get it, the Wall Street Journal reported.

The oil spilled more than 14 years ago, but the fallout continues. A federal judge has ordered Exxon Mobil to pay $4.5 billion in punitive damages and $2.25 billion in interest in relation to the Exxon Valdez oil tanker spill that severely damaged the Alaskan environment. Exxon Mobil, the largest publicly traded oil company in the world, will most likely appeal the decision, a company lawyer told Reuters, but no official word came from the company yesterday. The punitive number was once $5 billion but was reduced to $4 billion and now stands at $4.5 billion by U.S.

New CFI Group Study Shows Challenges For Mortgage Industry In Face of Reforms, Rate Increases A new survey of recent mortgage purchasers by the international consulting firm CFI Group, co-sponsored by Mortgage Banking Magazine, shows that mortgage lending ranks relatively low on customer satisfaction among financial services organizations.

As part of its ongoing efforts to clean up operations in the wake of the Richard Grasso compensation scandal, the New York Stock Exchange is expected to hire its first chief regulatory officer.Richard Ketchum, general counsel of Citigroup Inc.'s investment bank, is widely expected be approved for the position he accepted Monday since he already enjoys the support of the Exchange’s board of directors and soon-to-be chief executive John Thain.The full board is expected to meet today to formally approve the appointment and make a public announcement.

Records were set in 2003 in the securities industry, but not the kind that make people rich. The National Association of Securities Dealers (NASD) reported last week that it had suspended or barred a record 830 people from the profession while collecting $32.6 million in fines for disciplinary actions.The NASD, which oversees the securities profession with the Securities and Exchange Commission and the New York Stock Exchange, barred 480 people and suspended 350 in 2003. In 2002, the regulator barred 440 and suspended 374.

The Janus Capital Group announced on Friday that it will pay $31.5 million to funds or shareholders harmed by improper trades.The $31.5 million figure was determined by the accounting firm Ernst & Young LLP, which conducted an inquiry into the effect of quick trades on the funds and their shareholders.

The chairman of the Securities and Exchange Commission outlined a plan for tighter regulation of mutual funds before Congress Tuesday, and responded to criticism that the SEC failed to find problems in the industry early enough.SEC Chairman William H. Donaldson told Congress that he supported a plan to force mutual fund chairmen and three-quarters of the directors to be independent. Half of the board is required to be independent now, the New York Times reported. Under the proposals, fund directors would be required to perform annual evaluations of their effectiveness.