Cancer charities bilked donors out of $187 million, government says
Source: Washington Post
Economy
In this December, 2009 photo, James T. Reynolds Sr., president of the Cancer Fund of America, looks at photos in Knoxville, Tenn. Reynolds and his family used much of the $187 million they collected for cancer patients through charities such as the Cancer Fund of America to buy themselves cars, gym memberships and take luxury cruise vacations, federal officials alleged Tuesday. (Adam Brimer/AP)
By Peter Whoriskey May 19 at 3:00 PM
@PeterWhoriskey
Four cancer charities bilked unsuspecting donors out of $187 million, the Federal Trade Commission and all 50 states charged today, in what officials called one of the largest cases ever against charity fraud.
The charities, which operated around the country, told donors their money would help patients by paying for their pain medications, hospice services and other care. But the overwhelming majority of the money only benefited the charity organizers, as well as their friends, according to the complaint from the Federal Trade Commission and the attorneys general of all 50 states.
It appears to have been a family effort, according to the complaint. Each of the four charities was run by James Reynolds, Sr., his ex-wife, Rose Perkins, or his son, James Reynolds, Jr.
The four charities named are Cancer Fund of America, Cancer Support Services, Childrens Cancer Fund of America and the Breast Cancer Society. Their operations from 2008 to 2012 were called a sham, by the FTC.
Read more: http://www.washingtonpost.com/business/economy/cancer-charities-bilked-donors-out-of-187-million-government-says/2015/05/19/c164219a-fe57-11e4-833c-a2de05b6b2a4_story.html
Hat tip, Joe.My.God: Cancer Charities Hit With Fraud Charges, Feds Say They Stole $187M From Donors
Say, lookee here. From 2008: "Breast Cancer Society" phone solicitations are a fraud--hang up and report them
ETA, 1:38 p.m., May 21: the story is now credited thus:
By Peter Whoriskey, Brady Dennis and Ariana Eunjung Cha May 19
@PeterWhoriskey
peter.whoriskey@washpost.com
@brady_dennis
brady.dennis@washpost.com
@arianaeunjung
ariana.cha@washpost.com
olddots
(10,237 posts)okay maybe other countries have scam artists but we in America seem to idolize them .
mahatmakanejeeves
(56,897 posts)My name is Dr William Monroe, a staff in the Private Clients Section of a well-known bank, here in London, England. One of our accounts, with holding balance of £15,000,000 (Fifteen Million Pounds Sterling) has been dormant and last operated three years ago. From my investigations and confirmation, the owner of the said account, a foreigner by name John Shumejda died on the 4th of January 2002 in a plane crash in Birmingham.
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project_bluebook
(411 posts)Having taken care of 2 parents dieing of cancer I would like to see the people involved sent to prison for life.
Plucketeer
(12,882 posts)How about we look into the justification of the graft - er, "subsidies" - we hand the oil companies????? And WE keep sending the same damned facilitators to office, term after term after......
onethatcares
(16,133 posts)an we are inundated by begging letters every week. That fat asshole looking at pictures should have to go through three rounds of chemo infusion and an operation or three .
fuck this shit just pisses me off to no end. meanwhile I'm hoping we can pay for a reasonable amount of care over a period of time.
840high
(17,196 posts)Alkene
(752 posts)But only after repayment.
NobodyHere
(2,810 posts)That's the real crime.
Hugin
(32,778 posts)Can care for us better than Medicare or Social Security ever since Reagan made his guffaw inducing "I'm from the Government I'm here to help." quip?
The head reels.
"They aren't here from the government, they're here to steal."
I certainly hope the money trail for these frauds is followed up on and any politicians who may have received any of this tainted money are brought to task.
These people deserve what happened to the undeserving ACORN.
PSPS
(13,516 posts)Sounds like their "campaign contributions" paid off for them.
mahatmakanejeeves
(56,897 posts)Posted: 8:32 AM, May 19, 2015
Updated: 2 hours ago
Tag: local news
Telemarketers told donors all over the country their gifts to a Knoxville-based charity would provide pain medication to children suffering from cancer, help transport patients to chemotherapy appointments and pay for hospice care for those dying of the disease. ... Instead, a pittance of the $187 million raised by the Cancer Fund of America and its affiliated nonprofits over five years went to patient care packages made up of sample-size soaps, Little Debbie snack cakes, Carnation Instant Breakfast drinks, plastic cutlery, womens makeup, iPod Nano covers, blank seasonal greeting cards and batteries.
The rest of the money raised more than 87 cents of every dollar went to pay the telemarketing companies that solicited the donations and to fund salaries, lavish trips and personal loans for founder James T. Reynolds Sr., his family and his employees. ... They bought meals at Hooters, items from Victorias Secret and tickets for concerts and sporting events. Employees received gym memberships, dating website subscriptions and college tuition.
The nonprofit paid for board members and employees to take extravagant training trips on Carnival Cruises in the Caribbean and at Walt Disney World in Florida. ... The charity even paid for a baby sitter to come along.
Thats according to the Federal Trade Commission and agencies in all 50 states, all of which filed a joint lawsuit Monday against the four sham charities and the people who run them. Each is accused of eight counts of fraud, misleading state charity regulators and violating telemarketing rules.
appalachiablue
(41,055 posts)Arugula Latte
(50,566 posts)Judi Lynn
(160,218 posts)Fraudulent cancer charities accused of using £122m donations for Victoria's Secret spending sprees, dating-website subscriptions and Caribbean cruises
David Usborne
Wednesday 20 May 2015
The founders of four connected cancer charities that raised $190m (£122m) from the public have been accused of spending almost all of it on treats such as Victorias Secret spending sprees, dating-website subscriptions and cruises to the Caribbean for themselves and their friends.
In the biggest-ever take-down of a fraudulent charitable organisation in America, federal and state officials said that less than 5 per cent of the money raised had actually made it anywhere near patients suffering from cancer. From 2008 to 2012 the charities were in essence a sham, the Federal Trade Commission said.
At the heart of it was James Reynolds, who set up his first cancer charity in 1987, the Cancer Fund of America.
The founders of four connected cancer charities that raised $190m (£122m) from the public have been accused of spending almost all of it on treats such as Victorias Secret spending sprees, dating-website subscriptions and cruises to the Caribbean for themselves and their friends.
More:
http://www.independent.co.uk/news/world/americas/fraudulent-cancer-charities-accused-of-using-122m-donations-for-victorias-secret-spending-sprees-datingwebsite-subscriptions-and-caribbean-cruises-10265061.html