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Payroll Service Collapse Costs Angels Camp Big Bucks

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The collapse of a Fresno based payroll service has cost the city of Angels Camp about $172,000 in unpaid state and federal taxes and penalties. The Calaveras Enterprise reports that the city hired Khadin and Company to do payroll. Many government agencies contract that kind of work. The newspaper reports that the company was supposed to calculate taxes and send them to the appropriate agencies, but some of the money never got to the right place. The Angels police department says an investigation into the matter is ongoing, involving federal state and local agencies – including the FBI.