These cancer charities kept most of the millions they raised, states and FTC allege

https://bobsullivan.net/gotchas/these-cancer-charities-kept-most-of-the-millions-they-raised-states-and-ftc-allege/

by Bob Sullivan on May 19, 2015

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The Federal Trade Commission and all 50 state attorneys general filed one of the largest charity fraud cases ever on Tuesday. The law enforcement agencies allege that four “sham” cancer charities — Cancer Fund of America, Inc., Cancer Support Services Inc., Children’s Cancer Fund of America Inc., and Breast Cancer Society Inc. — bilked more than $187 million from consumers. Fundraisers kept up to 85 cents on the dollar from the funds raised, the FTC alleges.

The defendants told donors their money would help cancer patients, including children and women suffering from breast cancer, but the overwhelming majority of donations benefited only the perpetrators, their families and friends, and fundraisers, the FTC alleges.

For a lot more perspective on the allegations, visit the Tampa Bay Tribune, which has an amazing ongoing series called “America’s Worst Charities. Cancer Fund of America ranked #2 on the paper’s worst 50 list.

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“According to the complaint, the defendants used the organizations for lucrative employment for family members and friends, and spent consumer donations on cars, trips, luxury cruises, college tuition, gym memberships, jet ski outings, sporting event and concert tickets, and dating site memberships. They hired professional fundraisers who often received 85 percent or more of every donation.”

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http://www.nbcnews.com/business/business-news/cancer-charities-scammed-millions-consumers-feds-say-n361341

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All four charities are run by members of the same family or their close business associates, as detailed in the 2013 "America's Worst Charities" joint report from the Tampa Bay Times and the Center for Investigative Reporting.

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tags: charity, charities, fraud,