Four Cancer Charities In America Are A Scam
Cybelle Go | | May 21, 2015 02:44 AM EDT |
Four cancer charities run by extended families receiving $187 million from donors in 2008 to 2012 were found to be a scam and the money was not directed towards rendering aid to cancer patients, according to CNN.
The charities were subjected to investigation and reporting by CNN last 2013. The charities involved refused to involve themselves in the reporting and did not give any comment.
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'The Cancer Fund Of America' is managed by James Reynolds Sr. and also runs 'Cancer Support Services,' an auxiliary charity.
Reynolds' son also runs 'Breast Cancer Society' and Rose Perkin, Reynolds' ex-wife, runs another charity that supposedly benefits children who suffer from cancer.
The charity allegedly was aimed for the assistance of cancer patients particularly breast cancer patients and children who suffer the debilitating disease as well, according to the government.
"These were lies," said the complainant of the government.
The charities spent almost 97 percent of the donations they received on private fundraisers or on their personal expense. Only 3 percent was directed to the purpose of helping cancer patients, according to Jessica Rich, Chief of Federal Trade Commission's Bureau Of Consumer Protection.
"Donated funds were used to pay for vehicles, personal consumer goods, college tuition, gym memberships, Jet Ski outings, dating website subscriptions, luxury cruises, tickets to concerts and professional sporting events," Rich said.
Each charity deemed to have shipped donated goods in overseas locations, as reflected on their tax returns, but the charities never sent any of those goods.
Federal Trade Commission defined the dynamics of the charity as something related to 'nepotism.' Almost all of Reynolds' relatives and members of the extended family are connected to working with the charity.
Two of the charities, Breast Cancer Society and Children's Cancer Fund Of America, will cease function as a consequence of the complaint.
Reynolds' son will face suspension upon paying $75,000 as stipulated by a proposed final order. James Reynolds Sr. contested to the charges and is anticipating a formal court trial.
TagsFour cancer charities, America, scam
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