Business

<< Previous   of   Next >>   ADVERTISEMENT   CONTACT THE HERALD Mike Benbow, Business Editor benbow@heraldnet.com   Published: Friday, December 7, 2007 Fundraising scam alert issued Consumers urged to check out charities before making contributions. By Mike Benbow Herald Writer Professional fundraisers for charity kept 48 percent of the $332 million collected in 2006, the lowest level since 2001, Washington State Auditor Sam Reed said Thursday. While the trend is good, Reed noted some fundraisers give little or nothing to identified charities and that people should watch out for scams, especially now. "In disasters of this magnitude, con artists inevitably emerge taking advantage of people's remarkable generosity," Reed said, relating to the recent flooding in southwest Washington. "I urge all Washington donors to do their homework before they give." Reed noted that con artists can pocket "nearly all of our donations." In 1995, when the state began keeping records, 87 professional fundraisers collected $25 million for charity and kept 70 percent of it. In 2001, 97 fundraisers gathered $196 million and kept 45.1 percent of it. In his Thursday press conference, Reed was joined by Rob McKenna, the state attorney general, and Doug Shadel of AARP, which represents retirees. "Consumers must be vigilant about checking out charities and only giving to those they know and trust," McKenna said. McKenna noted a settlement Thursday with Darin Dewitt of Everett, who operated what he called Blind Children Services of Puget Sound, in which he agreed to refund donations. His organization wasn't registered with the state and he failed to keep accurate records. Dewitt agreed to pay $613 in restitution and $2,000 in legal fees. Civil penalties of $16,500 were suspended as long as Dewitt doesn't commit further violations. Of the fundraisers who were registered and active, only three were based in Snohomish County. They include: Legacy Telemarketing Corp. of Everett, which collects for the Red Cross and for Coalition Against Breast Cancer, collected $3.3 million and gave 82 percent to charity. John Fahnestock of Lynn­wood, collecting for Sky Valley Vikings and Snohomish County Volunteer Search and Rescue, brought in $44,800 and gave 50 percent to the charities. ATS NW Inc., also of Lynn­wood, collecting for Beni Hassan Shrine Temple No. 64, Operation Lookout National Center for Missing Youth, Olympus Lodge 45 Prince Hall Mason and Washington Council of the Blind, gathered $904,308 and gave 15 percent to charity. Shadel noted that older adults receive more solicitations than any other group and should beware of scams. "Consumers must stop and think before reaching for that checkbook or credit card," he said. "Are you sure you know exactly where your money is going and how it will be spent?"

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