A Mount Pleasant dance studio, The Dance Arts Studio, is under investigation for fraud after parents reported unauthorized charges amounting to thousands of dollars. Mount Pleasant Police confirmed they are looking into the claims but provided no further details on the ongoing investigation.
Last week, the studio announced it would be closing, citing renovation costs as the reason, not the allegations.
Parents Speak Out About Unauthorized Charges
Kristen Moldenhauer, a parent whose children attended the studio for two years, was alerted to potential issues by another parent. After checking her bank statements, Moldenhauer discovered over $2,700 in unauthorized charges from the studio over the past few months. Shocked by the discovery, she informed other parents, which led to an overwhelming response. More than 60 families have since come forward with similar complaints, some dating back to 2017.
Moldenhauer expressed her disappointment, stating, “It feels like a betrayal for our daughters and sons who participate in the studio.”
Owner Denies Intentional Fraud
In response to the allegations, the studio’s owner denied any intentional wrongdoing, attributing the charges to “clerical errors” and claiming the issues were not malicious. “There have been some clerical errors made in which transactions were memorized incorrectly,” the owner explained, adding that efforts were underway to correct the mistakes.
Other Parents Share Similar Experiences
Kendra Song, another parent, reported nearly $5,000 in fraudulent charges, which she discovered on her bank statements in December. Despite months of communication with the studio owner, Song was forced to pursue the refund through her credit card company, which successfully reimbursed her.
Song decided not to re-enroll her daughter for the upcoming dance season, and Moldenhauer, who had already prepaid for her daughter’s yearly tuition, has yet to receive her refund.
Impact on Families and the Community
Both Moldenhauer and Song expressed how devastating it was to break the news to their children, who loved the dance studio and its community. “Having to break that news to her has been really heartbreaking,” Moldenhauer shared, adding that her daughter had many questions about why this was happening.
The two mothers are speaking out to prevent further impact on other families and ensure the issue is addressed. “You can’t be complacent and not ask police or ask what are the rights here?” Song said.
Studio Promises Refunds
In a statement to News 4, the owner of The Dance Arts Studio assured that all affected families would receive refunds by the beginning of next week. “I truly apologize to families who have been affected by this. If restitution has not already been made, it will be very soon,” the owner added.
As the investigation continues, parents remain hopeful that the situation will be resolved and that no other families will face similar financial losses.
