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(A \u201cHeads Up\u201d to Boards and Trustees?)<\/span><\/p>\n (By Joe Koletar<\/a>) Is there anything more good and pure than a charity?<\/p>\n There are over one hundred thousand of them in the United States alone. We have all seen their ads or received their solicitations. Each cause seems both important and noble: sick children, abused animals, wounded veterans, battered women, the arts, education, feeding the poor, etc.<\/p>\n These charities (called Not-For-Profits) may be national in scope or regional. They may have an ethnic or religious base. They may raise thousands or even millions to advance their worthy cause.<\/p>\n Unfortunately, they are filled with people, those most elusive of all creatures. Most are good. Some are not.<\/p>\n This is hardly an issue peculiar to NFP\u2019s \u2013 Presidents have gone bad; Members of Congress; religious leaders; members of the medical, education, accounting and legal professions; Agents of the CIA and FBI. The list could go on. Are we to throw up our hands and trust no one? Of course not; but some thoughtful analysis may be in order.<\/p>\n NFP misdeeds fall roughly into two categories:<\/p>\n \u2022 Shady people pretending to represent an established charity; Let us focus on the performance of the legitimate charities.<\/p>\n The 2\/23\/15 edition of Crain\u2019s New York Business carried the following article:<\/p>\n \u201cNonprofits In Search of Accountability<\/em>,\u201d by Reynold Levy, page 9. Mr. Levy has been an executive in several NYC charities and has a forth-coming book: \u201cThey Told Me Not To Take That Job: Tumult, Betrayal, Heroics, and the Transformation of Lincoln Center.\u201d<\/p>\n His article recounts problems encountered by several NYC-area charities:<\/p>\n \u2022 The New York City Opera. One suspects Mr. Levy could cite more examples and perhaps he will in his book, but his message seems consistent \u2013 where were the watchdogs? He asks that simple question of the trustees, the State Attorney General, the staff of such charities, and the audit firms that examined the financials.<\/p>\n He could add at least one more group to that list \u2013 the donors. Are we to assume that doing our homework ends when we graduate from school? The message seems simple:<\/p>\n \u2022 Continue to support the charities of your choice, but ask questions;<\/p>\n \u2022 There are groups that monitor charities and report on their financial performance. Look at \u201cadministrative expenses,\u201d which can be a significant portion of funds donated. Ask what these expenses are. Why they are necessary?<\/p>\n \u2022 Ask for information as to salaries paid to top executives \u2013 some are well into the six-figure range.<\/p>\n In short, be an informed donor and ask the watchdogs to pay closer attention.<\/p>\n Copyright 2015<\/span><\/p>\n Joseph W. Koletar<\/span><\/p>\n Join us for more insights into behavioral forensics (behind fraud and similar white collar crimes) from the authors of <\/span><\/em>A.B.C.s of Behavioral Forensics<\/span><\/span><\/a> (Wiley, 2013): Sri Ramamoorti, Ph. D., Daven Morrison, M.D., and Joe Koletar, D.P.A., along with Vic Hartman, J.D. These distinguished experts come from the disciplines of psychology, medicine, accounting, law, and law enforcement to explain and prevent fraud. Because we are inspired to bring to light and address the fraud problems in today\u2019s headlines, we encourage our readers to come back and revisit us regularly at BringingFreudtoFraud.com.<\/span><\/em><\/p>\n","protected":false},"excerpt":{"rendered":" (A \u201cHeads Up\u201d to Boards and Trustees?) (By Joe Koletar) Is there anything more good and pure than a charity? There are over one hundred thousand of them in the United States alone. We have all seen their ads or received their solicitations. Each cause seems both important and noble: sick children, abused animals, … Continue reading SOMETIMES YOU\u2019RE SORRY YOU READ THE NEWSPAPER<\/span>
\n\u2022 Others who solicit funds for a fictitious charity.<\/p>\n
\n\u2022 The Federation Employment and Guidance Service.
\n\u2022 Yeshiva University, and its Einstein School of Medicine and its Cardozo Law School.
\n\u2022 The Metropolitan Council on Jewish Poverty<\/p>\n