AOH :: CHRTYSCM.TXT

Charity Phone Scams


Creators Syndicate

FIGHT BACK!  BY DAVID HOROWITZ 

Charity Phone Scams 

        Many legitimate charities use telephone solicitors to  raise
money for their causes. But their efforts are often  hampered by
telemarketers who use people's charitable  impulses to line their own
pockets. This has been going on  for years, but fraud investigators say
charity scams are on  the rise again. 
        The Los Angeles Times recently conducted an in-depth 
investigation of a telemarketer based in Burbank, Calif. It  found that
the company had deposited donations made out to  nine charities it did
not represent and 24 other causes that  are not even registered with
the Internal Revenue Service as  non-profit organizations. The
telemarketer did have fund- raising contracts with three charities that
allowed the  solicitor to keep between 85 percent and 90 percent of all
the money it collected for "expenses." 
        The company's president told the Times that "mistakes"  had
been made by over-zealous solicitors who were acting  beyond his
control. He said he had returned contributors'  donations whenever he
discovered any misrepresentation.  Still, the company reportedly earned
more than $2.6 million  over the past four years. Last year, it brought
in more than  $500,000 in donations but turned over only $63,000 to the
causes it represented. 
        State and local agencies are now investigating the 
telemarketer's operation. But the law puts no limit on  solicitors'
commissions or fund-raising expenses. In order to  prosecute,
investigators must prove the callers deliberately  misrepresented the
causes they claim to represent. 
        Telemarketers all over the country operate on both sides  of
the law, collecting donations for sick and abused  children, veterans
groups, programs for the elderly and  disabled, hospitals, and medical
research.  
        Another popular scam is the police and fire come-on.  These
callers represent themselves either as police officers  and
firefighters or members of some public-safety support  group. They
claim they are raising money for various  campaigns sponsored by local
police and fire departments.  Sometimes, the pitch can be very
intimidating. A telemarketer  in Santa Ana, Calif., was arrested for
threatening reluctant  contributors that they would have "trouble" with
the police  if they refused to donate to two statewide law-enforcement 
associations and a fund for retired and disabled  firefighters. In
fact, very few public-service agencies  solicit cash donations from the
public. Investigators say  most of these solicitations are simply
scams. 
        How can you spot this kind of charity pitch? If the  caller
won't wait for a check in the mail, wants to pick up  your donation in
person, is vague about the charity he or she  is collecting for or is
reluctant to send you printed  literature, then it's probably just
another phony come-on. If  you're not familiar with the caller's
organization, check it  out. If it's legitimate, they'll tell you who
they are, where  they work and what charities they benefit. 
        The important thing is to take your time and be sure  that you
are contributing to a worthwhile cause. If you're  not certain, then
send your gift directly to the hospital or  charity. That way, you'll
know exactly where your money is  going and how it will be spent. 
        If you have questions or comments, please write to David 
Horowitz at 72662,1775. COPYRIGHT 1994 CREATORS SYNDICATE, INC.




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