By: James Dornbrook, Kansas City Business Journal
The collapse of a third-party payroll provider called MyPayrollHR and the indictment of its CEO on bank fraud charges sent thousands of small businesses nationwide into crisis mode, including Overland Park-based AdamsGabbert.
MyPayrollHR abruptly and without warning ceased operations Sept. 5. The company’s accounts were frozen after CEO Michael Mann was suspected of fraudulently obtaining about $70 million in loans and credit lines. Payroll earmarked for an account at third-party payroll processor Cachet Financial Services also was discovered being illegally rerouted to accounts Mann controlled.