Jackson Hewitt Tax Service said it has completed its internal review of fraud allegations by the Justice Department against several of its franchisees and said its corporate employees were not involved.

The review, led by former Internal Revenue Service Commissioner Fred Goldberg, Jr., did not find evidence of the tax prep chain's corporate employees participating in or knowing about the fraudulent activities. In April, the Justice Department filed lawsuits claiming that 125 of the company's franchise offices fostered a business environment that encouraged fraudulent tax preparation, and the IRS soon joined the probe (see Jackson Hewitt Investigation Widens).

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