The Northeast News

Secretary of State distributes funds to cancer centers (Page 247)

South Carolina Secretary of State Mark Hammond
has announced $2.5 million will be distributed to cancer centers across the
country as a result of a multi-state enforcement action against sham cancer charities.

The $2.5 million was recovered through
settlements of a landmark lawsuit against four affiliated sham charities – the
Cancer Fund of America, Inc., The Breast Cancer Society, Inc., Cancer Support
Services, Inc., and the Children’s Cancer Fund of America – and their founder
James Reynolds and other individuals. The settlements put in place a receiver
who seized and liquidated all available corporate and personal assets. The
people responsible for fronting the false charities are all banned from any
charity or fundraising activities for the rest of their lives.

This distribution marks the conclusion of the
lawsuit, brought in May 2015. The suit was the first time agencies from all 50
states, the District of Columbia and the Federal Trade Commission joined
together to shut down sham charities.

“I am proud that our office was able to
participate in this landmark enforcement action, and pleased that the recovered
money will be used to serve cancer patients as the donors intended,” Hammond
said. “I hope that this case will stand as a warning to those who exploit
donors’ goodwill, and put them on notice that charity fraud will not be
tolerated in South Carolina or any other state.”

The complaint alleged that the so-called
charities, led by James Reynolds and his family members, bilked the public out
of more than $187 million between 2008 and 2012. Of the money collected, only 3
percent was directed to cancer patients in the United States in the form of
“care packages” containing religious DVDs, MoonPies, random items of clothing,
and various sundries.

Cancer Fund of American also claimed to supply
patients with pain medications and transportation to chemotherapy treatments,
when it provided no such services. The charities also participated in a
“gift-in-kind” program in which they sent drugs that had nothing to do with
cancer to other countries. The Complaint alleged the purpose of this program
was to make the organizations appear larger than they were and to hide their
high fundraising costs. The Complaint also alleged the leaders of these sham
charities used donated funds to pay themselves exorbitant salaries and to go on
trips to destinations such as Thailand, Las Vegas and Disney World. The
Reynolds’ also bought themselves cars, boats, jet skis and houses, and used the
charities’ credit cards to buy designer handbags, jewelry and clothing, and to
pay for day-to-day expenses such as gas, groceries and utility bills.

The money will be transferred to Rockefeller
Philanthropy Advisors (RPA) who, under a services agreement with the
plaintiffs, will distribute the funds to select health and medical programs
targeting breast and pediatric cancer. Eligibility will be determined through
an invitation-only application process, and is limited to NCI-designated Cancer
Care Centers, a designation bestowed by the National Cancer Institute on
institutions and programs recognized for their scientific leadership,
resources, and the depth and breadth of their research.

“We are pleased to be part of this landmark
process of ensuring that the philanthropic intent of donors is coming to
fruition, despite the conduct of bad actors,” RPA CEO Melissa Berman said.

RPA will ensure that the funding will serve
patients in all 50 states, and will monitor, ensure compliance and provide
detailed reporting for all grants awarded.

Hammond encourages anyone who has concerns
about a charity or professional fundraiser to notify his office immediately.
Complaints can be filed using the Online Charitable Solicitation Complaint Form
on the Secretary of State’s Office website at www.sos.sc.gov. Citizens can also
contact the Division of Public Charities by calling 1-888-CHARITI (242-7484) or
emailing [email protected].

Secretary of State distributes funds to cancer centers

By: John

On: July 10, 2019

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South Carolina Secretary of State Mark Hammond has announced $2.5 million will be distributed to cancer centers across the country as a result of aContinue Reading

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Secretary of State distributes funds to cancer centers (Page 247)

Secretary of State distributes funds to cancer centers

County reassessment notices go out soon

It’s budget time. Your participation is vital.

Miss South Carolina pageants June 29

Special Needs Ski Event June 21

Midlands attorney honored for military service

Hall of Fame endorses Lott in re-election bid

Former NFL Great Deion Sanders visits USC

Solicitor’s Statement Following Death Penalty Trial

Foundation receives grant

Boating Safety Class June 15

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