Important note: Information in this article was accurate in 1995. The state of the art may have changed since the publication date.
PR Newswire - November 2, 1995
* Red Ribbon Foundation, Inc., a California non-profit corporation which purports to send HIV positive children to a special event at Disneyland, Anaheim, California;
* Ruffalo, Cody & Associates, Inc., a for-profit professional fund raising company located in Cedar Rapids, Iowa;
* Homeless Veterans of America, a charitable organization with its principal place of business in New Baltimore, Michigan;
* Derek Columbia, d/b/a Rising Sun Enterprises, who purports to be a professional fund raiser, with his principal place of business in Fair Haven, Michigan.
Red Ribbon Foundation, according to reports the Attorney General's office has received from citizens, is soliciting donations in Michigan through its fund raiser Ruffalo, Cody & Associates. Solicitation materials being sent to citizens by the fund raiser lists the Foundation as being licensed in Michigan to solicit donations and provides a charitable solicitations license number of MICS 60054. In fact, the fund raiser is printing a bogus number on the solicitation with the evident intent of misleading potential donors into thinking that the organization is properly licensed. The Attorney General's Charitable Trust Section has attempted to make contact with the California organization but has yet to receive the requested information.
Kelley said: "Michigan citizens must always be wary of organizations that claim they are charities but avoid the licensure requirement. Any charity that wants to avoid providing financial information to obtain a license is probably an organization that does not deserve your support."
The Attorney General's office has received a number of calls regarding solicitations by the Homeless Veterans of America, apparently using Mr. Columbia as a professional fund raiser. According to citizens, this organization attempts to sell merchandise by way of telemarketing efforts saying that the proceeds will benefit homeless veterans. Neither the charitable organization nor the professional fund raiser are licensed to solicit contributions.
Kelley added: "Assisting homeless veterans is certainly a deserving cause, but we have no assurance that veterans are in any way helped by this organization. People considering donating money or buying merchandise to support a cause need to check on the organization before they pledge their support."
As a part of today's announcement, Kelley introduced his new "Charitable Solicitations in Michigan" brochure which is part of an effort to educate the public about charitable giving. The brochure provides information about various kinds of soliciting organizations and informs citizens about the questions they should ask when they are approached for a donation.
Kelley went on: "Charitable giving is big business. Citizens may be surprised to know that there are about 3,000 charities licensed to solicit donations in Michigan. The competition for charitable donations is intense. As we enter the 'giving season,' it is especially important to have all of the facts before deciding where your money will go. I wholeheartedly support and encourage charitable giving, but it is important to know which organizations are doing the charitable work you want to support. Otherwise, your dollars may be going to a fly-by-night scheme that has little or no charitable purpose or program. For that reason, we want to get these brochures in the hands of citizens so they know what questions to ask before giving.
"We are filing lawsuits against two organizations because they are not licensed, but you should know that licensure only means that organizations have shared information with our office that is then available to the public. It is no guarantee that a charity is worthy of your charitable dollar. That decision remains with each citizen. Our office is the information center to assist citizens in making their own informed decisions."
For a copy of the brochure, send a stamped, self-addressed envelope to the Charitable Trust Section, Department of Attorney General, P.O. Box 30214, Lansing, MI 48909.
CONTACT: Chris De Witt of the office of Attorney General Frank J. Kelley, 517-373-8060, or (home) 517-627-1690/ 11:30 EST
Copyright (c) 1995/PR NewsWire. Reproduced with permission. Reproduction of this article (other than one copy for personal reference) must be cleared through the Permissions Desk, PR Newswire, 810 Seventh Avenue, New York, NY 10019.
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