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Fraud investigations could put a chill on an already tough fundraising atmosphere

Fraud investigations could put a chill on an already tough fundraising atmosphere

CBC
Monday, March 04, 2024 12:57:46 PM UTC

Those who run charitable organizations fear recent alleged incidents of fraud at charitable institutions will further erode trust in charities and make it more difficult to raise money.

"There's already trend lines that indicate the trust in charities has been waning over the years," said Lorraine Goddard, CEO of United Way Centraide of Windsor and Essex County.

"And when you have misappropriation (allegations), especially a kind of a rash of them over the short period of time, it certainly casts a [pall] across all charities who are already struggling to raise dollars."

Goddard said it's too early to tell if a recent alleged case of misappropriation of funds from the United Way in Chatham-Kent has affected their fundraising efforts, but she says people are asking questions.

"When people are being asked, do you give or don't you and why don't you give? And one of the reasons why people are maybe not giving anymore, what continues to pop up is that 'I don't have trust in charities that they're going to protect my dollars,'" said Goddard.

Last month, a Tilbury woman was charged with fraud over $5,000 in connection with an alleged misappropriation of $300,000 that occurred over a year at the United Way of Chatham-Kent. The organization has previously declined comment on the case.

Also in February, the former president of the South Asian centre in Windsor was charged with defrauding the centre of more than $360,000 over a 12-year period. His lawyer told CBC he intends to plead not guilty.

Police are also investigating a $60,000 alleged fraud

Read full story on CBC
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