Calif. accuses major veterans charity of misusing millions
Last edited Thu Aug 9, 2012, 10:30 PM - Edit history (1)
Source: USA Today
The California attorney general has accused the founder and directors of a major veterans charity of misusing millions in private donations for lavish pensions and perks, the Associated Press reports.
In the lawsuit filed Thursday against Help Hospitalized Veterans, of Winchester, near Los Angeles, the attorney general says the charity's board retroactively spiked the earnings of the founder and former president, Roger Chapin, to justify his nearly $2 million annual pension after he retired in 2009. The organization also spent more than $80,000 on golf memberships for board members.
"The officers of Help Hospitalized Veterans improperly diverted money that hard-working and patriotic Americans donated to support injured vets," Attorney General Kamala Harris said in a news release spelling out the allegations. "We must protect veterans, active-duty military and donors from scam artists who see them as little more than prey for their financial frauds."
The charity, founded in 1971, says its primary mission is "to provide patients receiving care at Department of Veterans Affairs (VA) medical centers, military hospitals and state veterans homes with therapeutic arts and crafts activities."
Read more: http://content.usatoday.com/communities/ondeadline/post/2012/08/calif-accuses-major-veterans-charity-of-misusing-millions/1#.UCRofk2PW8A
according to wiki, it's been a long time coming
http://en.wikipedia.org/wiki/Roger_Chapin
California Sues 'Nonprofit Entrepreneur' Roger Chapin And Charity Forbes Investigated
Nearly six years after Forbes first started writing about the topic, California charity regulators today filed a civil lawsuit against Help Hospitalized Veterans, founder Roger Chapin and their long-time accountant, claiming improprieties in the way the nonprofits money was raised, spent and depicted to the public.
Among the allegations: Chapin, who retired from Winchester, Calif-based HHV several years ago, siphoned off money to other pet charitable causes that amounted to self-dealing, paid himself too much in compensation, and countenanced improper accounting maneuvers that made HHV seem far more financially efficient than it really was.
Other defendants include Chapins wife, Elizabeth Chapin; Mike Lynch, who succeeded Chapin as HHVs head; five HHV board members; accountant Robert Frank and his McLean, Va., accountancy, Frank & Company P.C.; and Creative Direct Response, a Bowie, Md. direct-mail consultant. More named defendants could be added.
¬snip¬
In a brief statement read to CNN, Lynch said the lawsuit consisted of unproven allegations. There was no immediate comment on behalf of the other defendants. HHV, Lynch, Frank and Creative Response did not return Forbes phone calls. Chapin, who lives in San Diego, answered his cell phone, but when this writer identified himself, the line suddenly went dead and a follow-up call went into a voice mail. The resulting message was not returned.
more:http://www.forbes.com/sites/williampbarrett/2012/08/09/california-sues-nonprofit-entrepreneur-roger-chapin-and-charity-he-founded/
freshwest
(53,661 posts)SoapBox
(18,791 posts)I suppose I should be surprised but, not.
And this is why, again, that we need oversight in every corner of America.
jaysunb
(11,856 posts)and btw, Kamala Harris was and IS the worst nightmare for the scum that infect our great State.
bemildred
(90,061 posts)Lots of junk mail advertising, high salaries for the marketing staff, CEO etc.