The Smarter Giving Guy » news

Charity disgorgement – Petters ponzi pickle pain percolates

SG Guy — Thu, 09 Sep 2010 23:33:20 +0000

Yikes! – charities must wonder. We might have to pay back donated money we’ve already spent?!?

A while back, we posted about Tom Petters, convicted Ponzi schemer, who had been a big donor to charities in and beyond Minnesota. At that time, Miami University (Ohio) was giving back $5-million that Petters had donated. Read the post/story.

According to the Chronicle of Philanthropy, the court-appointed receiver sorting out the Petters mess is seeking the return of Petters’ donations to almost 100 charities. Disgorging the Petters donation would be a major disaster for at least one of them, a drug treatment center in Minneapolis. Read the Minneapolis – St. Paul StarTribune story.

Charities don’t typically have the law enforcement’s ability to investigate donors. And it took quite a while for law enforcement to catch up with this bad-guy donor. What’s a charity to do?

Real police charity, bogus solicitor, don’t give cash

SG Guy — Sun, 01 Aug 2010 21:26:22 +0000

Tampa Bay police apprehended two bogus solicitors using the name of a recognized police charity. The couple had also been active in Orlando, and when apprehended were headed to Louisiana.

While the report doesn’t mention it, I’m guessing they looked for cash donations. If a donor wrote a check to the police charity, the scammers would have to alter the check to get anything for their efforts. If they did that, the donor likely would get their money back from the bank (for honoring a false instrument). But, if a donor gave cash — it’s gone. A good reminder about the perils of donating cash.

Read the Tampa Bay Online story.

U.S. giving drops again, individuals still top givers

SG Guy — Mon, 14 Jun 2010 15:41:52 +0000

Giving declined in 2009 for the second consecutive year, according to Giving USA Foundation’s just published 2010 annual report on giving in the U.S.

While total giving showed the steepest decline ever (Giving USA began issuing its annual reports in 1956), total giving was still an impressive $303.75 billion.
Giving by individuals (during lifetime and through bequests) again comprised more than 80% of all charitable giving, with foundation (13%) and corporate (4%) giving completing the picture.
If you include the portion of foundation giving believed to come from family foundations, individual giving comprised 88% of all giving.

The full Giving USA 2010 report and a free executive summary (site registration required) are now available.

$5 million returned — Petters Ponzi pickle

SG Guy — Tue, 01 Jun 2010 02:50:28 +0000

Miami University (Ohio) has sent back $5 million received from convicted Ponzi-schemer Tom Petters. It’s a tough time for most charities, and you still have to respond to the occasional stinker donor.

Read the Minneapolis / St. Paul News article.

Wall Street Journal echoes our call for smarter philanthropy

SG Guy — Sun, 15 Nov 2009 20:56:48 +0000

“If there ever was a time to get smarter about philanthropy, this is it. Donations are down, endowments have been decimated, and state and local governments are slashing their budgets. And the number of those who need help are rising rapidly” writes editor Lawrence Rout, describing The Wall Street Journal‘s recent special report on philanthropy.

The report’s wide range includes suggestions for improving individual, foundation and corporate philanthropy, a discussion on the growing public-private partnership approach to philanthropy, thoughts on converting private foundations to donor-advised funds, and much more. The report is still available on line, as of March 1, 2010.

Columnist Liz Pulliam Weston highlights “Top Tips”

SG Guy — Fri, 13 Nov 2009 02:23:53 +0000

Columnist Liz Pulliam Weston recently highlighted our Top Tips for Avoiding “Charity” Scammers on her popular Ask Liz Weston blog.

Holiday scam season is starting — thanks Liz, for helping to spread the word!

Take a look.

Join our Serious Givers group, get a copy of Top Tips.

Daily Breeze highlights Smarter Giving program

SG Guy — Fri, 13 Nov 2009 02:12:11 +0000

In Sunday’s edition, the Daily Breeze newspaper highlighted the Smarter Giving program. I think it’s a darn good summary of what we’re trying to accomplish.

Take a look.