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American Airlines Under Fire For "Sham" Office in Sycamore

CHICAGO - American Airlines faces a lawsuit for allegedly avoiding paying taxes.

CHICAGO - American Airlines faces a lawsuit for allegedly avoiding paying taxes.

The Regional Transportation Authority in Chicago filed the lawsuit against the airline.  It claims American Airlines is operating a "sham" office in Sycamore.  The lawsuit says the office is being used to buy jet fuel, when in reality an office in Chicago buys it.

By buying the fuel in Sycamore, American saves millions of dollars every year on sales tax.  The authority says the state has lost out on $23 million in 2013 alone.

American's Sycamore office was opened in 2004.

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