Child-Support Processor to Restate 3 Years of Earnings
Getting parents who don't have custody of their offspring to pay child support can be tough. Apparently, so can processing the payments.
Reston-based Tier Technologies Inc. provides software to states to transfer money from child-support payers to state agencies and then on to custodians of the children.
Last week, the company said it would restate its earnings for the fiscal years ending Sept. 30 in 2002, 2003 and 2004. Among the primary reasons cited was accounting for insufficient funds from child-support payers.
In other words, checks from some deadbeat parents bounced, and Tier got stiffed.
The company processes $4 billion in child-support payments for eight states, though Tier officials say the check-bouncing is limited to one state with a unique case-management system. Company officials would not name the state or say how much money is at issue.
Tier also said it incorrectly accounted for certain accruals and reserves, as well as notes receivable.
The company also provides technology to help government agencies with financial management, retirement funds and unemployment insurance.
"Please understand this is an ongoing process," said company spokesman Matt Brusch. "We're working to complete our review in order to file our financial statements as quickly as possible."
-- Elissa Silverman