As we have noted in previous issues, many LM-10 filers, identified by persuader LM-20 filings, have yet to file their 2021 LM-10 reports, which would normally be due at the end of March 2022. We even demonstrated one case using the OLMS Public Disclosure web page, how it is possible to look up a particular set of LM-20’s, then the persuader’s LM-21 to see if receipts from employers were itemized and then to search for the corresponding LM-10 filings. Remember, the filing of an LM-20 triggers the requirement that the employer who engaged that persuader must file a corresponding Form LM-10 within ninety days of the close of that employer’s fiscal year.
Also keep in mind that the filing of just one LM-20 triggers the requirement that this persuader file a Form LM-21 annual report. Because of the 2016 OLMS “Special Enforcement Policy”, OLMS no longer requires the persuader to list these payments. While many of those persuaders filing 2021 reports choose not to report receipts from employers, some did. We recommend you always check the LM-21 for the persuader before going to the LM-10s because you may find employer payments are itemized. You may also find that the LM-21 hasn’t been filed at all or has been filed late.
We’re going to search for a persuader called Greer and begin with their 2021 LM-20 filings. Below is a screen shot showing our search for their 2021 LM-20 filings.
Looking carefully at the above screen, we see that an LM-21 was filed for 2021 and there appear to be duplicate filings for Keurig Dr. Pepper. There are two other 2021 LM-20 filings, B&H Foto Electronics and Studio in a School. For the latter, the View icon is found in the Attachment column indicating there is an electronic copy of the letter of engagement available.
What’s in the LM-21? Greer did file an LM-21, and they itemized receipts from only one of the three employers listed (Keurig Dr. Pepper). They itemized payments of $1,602,279.
In fact, it appears that the receipts from this one employer are the total receipts from all employers. But what about the other two employers, B&H Foto and Studio within a School?
Studio within a School did file an LM_10, with the payments and payment dates shown in the screen shot below. Note all three payments occurred in 2021, which means during the persuader’s fiscal year, but they did not report this employer on their LM-21. Keep in mind, that under the OLMS Special Enforcement Directive, OLMS will not enforce these reporting requirements.
A search of the LM-10 database shows that B&H Foto Electronics did file LM-10s in previous years, but not for 2021. And Keurig Dr. Pepper still owes a 2021 LM-10 as well.
Published on September 7, 2022