States Warn Against Dubious Charities
Attorneys General warn citizens about professional solicitors
December 9, 2009
Consumers have to walk something of a tightrope this time of year. Holidays are always an expensive time, yet many want to support charities and worthwhile causes. But the last thing you want to do is have your contribution line the pockets of the solicitor.
In Oregon, Attorney General John Kroger unveiled a list of Oregon's 20 Worst Charities and offered tips to consumers on how to donate wisely.
"In the middle of a recession, it is more important than ever that generous Oregonians make charitable contributions to organizations that help veterans and others who are in need," Kroger said. "It is critical, however, that people donate wisely. Although many charities do great work, some are little more than scams with good-sounding names but that do little to actually help the people they claim to support."
State law requires charities to file periodic financial reports with the Oregon Department of Justice disclosing how much money the organization raised and how the funds were spent. The Department's Charitable Activities Section has identified 20 organizations (see attached) that spent more than 75 percent of the donations they collected on administrative costs and professional fundraising.
While guidelines issued by the Better Business Bureau (BBB) suggest that charitable organizations should spend at least 65 percent of their funds on charitable programs, every charity on the Department of Justice's list devoted less than 25 percent of their expenditures on charitable program activities.
One organization near the top of the list, Shiloh International Ministries, solicits donations to provide medical necessities and other support to needy children, veterans, and homeless persons. According to the most recent financial filings, the California-based nonprofit spent an average of $1,023,215 per year, 96.35 percent of which went to management and fundraising.
Kentucky concerns
Unscrupulous charity solicitations are not just confined to one area of the country. With double-digit unemployment rates in Kentucky, for example, more Kentucky families are in need of a helping hand this holiday season.
Kentucky Attorney General Jack Conway says people who give to a charity should give wisely. Unfortunately, he says, there are unscrupulous or even fraudulent charities that prey on the generosity of Kentuckians.
"Every dollar donated to a reputable charity can make a difference in the life of someone who may be struggling to put food on the table or clothe a child," Conway said. "Irresponsible or fraudulent charities not only take advantage of the kindness of hard-working Kentuckians, they deprive those who need our help. Before you decide whether a charity deserves your donation, gather as much information as possible to make sure the charity is not a scam and that your donation reaches someone in need."
Both Kroger and Conway offer these tips for wise holiday giving:
• Donate to charities you know and trust.
• Be cautious of sound-alike charities and solicitors unable to answer questions.
• Always ask what percentage of your dollar goes to the cause.
• Don't be pressured into making a donation.
• Ask if the charity or solicitor is registered with the Office of the Attorney General.
I keep getting calls from this number and others listed as Production Mark or Mark Productions or pm services. I'm keeping a log and tracing each call. I've sued these type of callers in the past for harassment and won! This company is next :)