PA Suing Moneygram And Delaware For Keeping Millions In Unclaimed Money Orders
By Marcy Norton
PHILADELPHIA (CBS) --You pay for a Moneygram, send it off, and forget about it. But what if the receiver never cashes it?
The money should eventually come back to you. The Pennsylvania treasurer's office says that hasn't been happening. Now it's suing to get back millions of dollars for state residents.
The Pennsylvania Treasurer's office is suing Moneygram and the state of Delaware, for keeping more than 10-million dollars in unclaimed money orders and checks originating in Pennsylania over a ten year period.
PA treasury department spokesman Scott Sloat says, "These money orders were written in Pennsylvania, and by federal law, any unclaimed money associated with them should be submitted to the state where they were written."
But the lawsuit claims Moneygram has sent the unclaimed millions to Delaware, where it is incorporated. Treasury wants the court to order the funds returned to Pennsylvania.
"It would go into our unclaimed property bureau, and where possible, we would try to locate and get the money to residents."
That could be tricky, since peole who purchase Moneygrams are not required to give their names. Moneygram says this is a dispute between the states, and it will comply with the decision made by the appropriate court.
Delaware's finance department says it is not commenting on the merits of Pennsylvania's claim at this time.