AG Curtis Hill announces fraud settlement with Sephora USA Inc.

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The State of Indiana has received a $159,349 payment from Sephora USA Inc. to settle a fraud lawsuit against the international retail chain, Attorney General Curtis Hill announced today.

The lawsuit alleged that Sephora, which specializes in cosmetics and other beauty products, violated the Indiana False Claims Act by making false statements in connection with its failure to collect gross retail taxes on shipping and handling charges for its internet sales to Indiana consumers.

“My office works tirelessly on behalf of Hoosier taxpayers to root out fraud against the government and recover taxpayer monies,” Attorney General Hill said. “Settlements such as this one send a message to all business entities that we will hold them accountable for following the law and being truthful.”

This investigation and settlement resulted from the coordinated efforts of the Litigation Division of the Office of the Attorney General. This case is captioned State of Indiana ex rel. Stephen B. Diamond P.C. v. Sephora USA, Inc., Cause No. 49D13-1602-PL004602.