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Comment Awaited From Raided Business

By Brian Hagen

02/23/2012

No official comment is yet released from the legal counsel for Kathy's, Inc., the company raided Tuesday by the Kansas Department of Revenue for state taxes owed.
Operating under the name of Kathy's General Store, the business, south of Holton, on the west side of U.S. Highway 75, was shut-down by agents of the Kansas Deparment of Revenue, and the Jackson County Sheriff's Office, with bank accounts, on-site cash, business inventory and personal property taxes owed, seized.
The owner of the business, Kathy Kaul Kennedy, is referring all questions to her Topeka-based attorney.
An official statement pertaining to the matter is expected to be released, but the individual answering the phone at the law office says she has no information regarding when that might happen. She told us to call back on Friday when Kaul's attorney is expected to be available.
Kaul's tax disputes date back twenty-years, arising from disagreements over the state's authority to collect certain taxes, because the business sits on a federally recognized Indian reservation.
The Department of revenue says Kaul, who is a member of the Citizen Potawatomi Nation, owes 1-point-7-million dollars in state retailers sales tax.

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