New York Sues Coalition Against Breast Cancer, Claiming Funds Not Spent On Cause

By Michelle Nichols

The state of New York sued a breast cancer charity on Tuesday, accusing it of soliciting more than $9 million and spending virtually none of it on the cause.

The Long Island-based Coalition Against Breast Cancer raised $9.1 million from public donations over the past five years, but nearly all the money was used to pay fundraiser fees, salaries, benefits packages, and other personal goods, New York Attorney General Eric Schneiderman said.

The Coalition Against Breast Cancer and its for-profit fundraiser, Campaign Center, were accused of violations of the New York state not-for-profit and charitable solicitations laws. Both groups were not immediately available for comment.

"By using a charity as a personal cash machine, the Coalition Against Breast Cancer and Campaign Center shamelessly exploited New Yorkers' natural sympathies and generosity," Schneiderman said in a statement.

He said donors were falsely told their money would be used to fund breast cancer research, mammogram screenings through a mobile van, and support seminars and forums for survivors and their families. The group is also accused of advertising bogus ties with the Memorial Sloan-Kettering Cancer Center.

Schneiderman is seeking to have the charity shut down and its directors held financially accountable.

According to the lawsuit, the Coalition Against Breast Cancer spent less than 4 percent of the money it received over the past five years on the charitable programs it promoted.

"Instead of benefiting breast cancer victims and their families, millions of dollars were misused for personal benefit. This type of scam will not be tolerated in New York, and my office will continue its work to stop charities fraud and hold those who commit it accountable," Schneiderman said.

U.S. tax authorities grant groups charitable status, exempting them from taxes, but most laws governing nonprofits are at state level.

(Reporting by Michelle Nichols and Greg McCune)

Copyright 2011 Thomson Reuters. Click for Restrictions.

Photo by joiseyshowaa, flickr.

Comments

[Katie0815]

09:26 PM on 08/12/2011

Not surprising. People often don't question or investigate details. It's assumed because it's a charity it's charitable. I always check the Charitynavigator website or even the charities own website. They have to have a certain amount of transparency by law. Some CEO salaries for these organizations are shocking.

[troyrobertdavid]

10:13 AM on 07/03/2011

So sad to see how these so called charities dupe the people. People give to these organizations in good faith and to see how they mishandle the funds only goes to hurt the entire cause. I will never donate to the Susie Colman foundation because they have no qualms about spending donated money on lawyers that go after anyone who uses "For The Cure" in their fund raising slogan even though they are all supposedly fighting for the same thing. Organizations like this give the entire cause a bad name. How can we ever tell just how much of our donated money is actually gong for the cause?

[canchita]

02:20 PM on 07/01/2011

Here is a good website-
http://www.charitynavigator.org/

[knightoftheroundtable]

08:48 PM on 06/30/2011

No surprises here. Many so called charities are nothing but a front for scamming us to enrich themselves. People who do that should be thrown into the bubbling tar pits of hell. They are the worse of all creatures inhabiting this planet.

[fower lee]

09:24 AM on 06/30/2011

There're many many cancer patients in China because of environmental pollution. But in China, cancer research is still very backward as very little government investment in this area. my blog is http://www.breast-cancer-patients.com. I would like to further exchange with everyone.

[john649]

01:52 AM on 06/30/2011

its about time! I stopped giving to all of these cancer charities years ago.
They have raked billions and still have nothing to show for it.

[onionboy]

12:53 PM on 07/01/2011

The charities don't do any research themselves. They're funnels. I would say that if people want to fund cancer research, they should give to an academic research institute of some kind.

[Aegis13]

01:24 AM on 06/30/2011

Wow, we have for profit fund raisers for charities now? I don't know whether to have another drink or go on a shooting spree. How much lower can greed drag America?

[1highstepper]

01:18 AM on 06/30/2011

These people played on the sympathies of other people.
When you get lower than Bernie Madoff, you're pretty low.

I guess there's always room at the bottom too.

[who38]

12:46 AM on 06/30/2011

Who are the directors? Friends of Bernie?

[Voice Truth]

12:44 AM on 06/30/2011

This charity sounds like the government's misuse of tax money. Perhaps the New York Attorney General can go after Congressmen next

[FZliveson]

12:07 AM on 06/30/2011

(Sorry but) those boobs did not help anyone's breasts.

[FZliveson]

12:06 AM on 06/30/2011

Only sexual abuse of children is worse than playing on the sympathies of people who believe they are doing something great to help relieve pain, suffering and death for others. Even though this is of a much smaller scale, it is far worse than Bernie Madoff's scandalous behavior.

[who38]

12:47 AM on 06/30/2011

Never give a dime to charity until you checked it out on one of the national rating scales. Make A Wish Foundation has a lot of "overhead" as well.

[jozie]

12:03 AM on 06/30/2011

Do these people not understand the concept of Karma?

[Samurai Cowboy]

11:56 PM on 06/29/2011

Susan Koman is the same exact way. All of the top people get extravagant pay, benefits and other perks while very little if any goes for breast cancer research. Koman is just a big scam.

[who38]

12:47 AM on 06/30/2011

I heard that her organization was suspect.

[Frank David Nall]

11:56 PM on 06/29/2011

investigate before you give...........the salvation army is the only charity where ninety nine cents of every dollar goes to help those in need.

[who38]

12:48 AM on 06/30/2011

The Red Cross is also good.

[ginger42]

01:33 AM on 06/30/2011

Not really