The Nine Most Mismanaged Charities In America
Angel Food Ministries
Angel Food Ministries delivers groceries and financial support to those in need through a national network of churches. However, Gary Snyder, author of Nonprofits: On the Brink, notes that the charity “may be fulfilling its mission by delivering food, but it is not delivering on credibility.” Last year, the FBI and IRS raided
Cancer Fund of America
According to the Cancer Fund of America, its mission is “To provide support and services to financially indigent patients; to disseminate information concerning the early detection and prevention of cancer; to provide commodities, and gifts-in-kind to hospices and other health care providers; to procure and distribute donated merchandise to various 501-(c)-(3) nonprofit community service organizations which aid the ill, needy, and infants.” The non-profit, however, only spends 17% of its budget on program services. Furthermore, it was accused by the Georgia Governor’s Office of Consumer Affairs for making false and misleading claims in its mail solicitations. Cancer Fund also employs two sons of founder James Reynolds Sr. and a son-in law.
Operation Lookout: National Center for Missing Youth
Operation Lookout National Center for Missing Youth is an “international child-search assistance center.” The organization reportedly spends a massive 82.9% of its budget on fundraising expenses, however, proving itself to be highly inefficient. A reason for its ineffectiveness is its reliance on expensive outside telemarketers to procure donations.
American Veterans Coalition
American Veterans Coalition, which is run by Robert Friend and his wife Shao Mei Wang, describes itself as being “dedicated to assisting the brave men and women who have done so much for their country.” Records show, however, that of the $1,579,521 the organization raised in 2007, only 21% went to program services, and of that less than 1% went directly to veterans and their families. Additionally, officials in both Arkansas and Kentucky have claimed that the organization violated the Consumer Protection Act by misleading donors about how their donations would be spent.
Children’s Wish Foundation International
Children’s Wish Foundation International, which has as its top two executives husband and wife Arthur J. Stein and Linda Dozoretz, was established to grant wishes to children with life-threatening illnesses. According to Charity Navigator, however, only 46.4% of the charity’s revenue goes to program expenses. In comparison, 43.3% goes to fundraising expenses. It received zero stars from the group and an “F” from AIP.