Panther Valley School District has accused a collection agency of failing to hand over $1.4 million in delinquent taxes it collected on behalf of the district.

A suit filed in Carbon County Court alleges that Powell, Rogers and Speaks, of Halifax, broke off a contract with the district without giving sufficient notice.

The firm collected delinquent taxes on behalf of the district starting in 2010. They also collect delinquent taxes on behalf of Lansford Borough.

According to court documents, the district believes the agency stopped making payments to the district in 2016 and since then has collected $1.4 million in delinquent taxes that were owed to the district.

“Numerous requests were made of the defendent for reports and for payments of monies collected throughout 2016 and into 2017 with various promises made by representatives acting on behalf of defendant to make reports,” the suit charges. The district says no reports were made or money collected.

They’ve accused the agency of fraud, and deceptive business practices for purporting to collect the tax money on behalf of the district, but never turning it over.

The parties entered into an agreement in 2010 under which Powell, Rogers and Speaks was to collect property taxes on behalf of the school district. The agreement was originally for two years, but the district says that the firm continued to collect some taxes up through 2015.

Attorneys for the district say the contract renewed again in Jan. 2016, and the agency did not notify them that they planned to cancel the contract.

Over the last two years, the district said, they attempted to get the agency to make payments, or provide a report on tax money collected.

The district is seeking the $1.4 million it believes is owed, as well as possible interest and the cost of bringing the suit.

They’re also asking the court to review all the taxes collected by the agency on behalf of the district from 2011-2016 to see if there were any other delinquent taxes that weren’t properly returned to the district.

Panther Valley Superintendent Dennis Kergick referred comment to the district’s solicitor, who did not return a call on Thursday. A voicemail for Powell Rogers and Speaks co-founder Brenda Stutzman was not returned.