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Imagine donating to cancer patients, hoping to make a real difference. Now, picture finding out that the charity you trusted, Cancer Recovery Foundation International, is facing serious trouble. The Federal Trade Commission (FTC) and 10 states are taking legal action against them, accusing the charity of deceiving kind-hearted donors like you.
Between 2017 and 2022, Cancer Recovery Foundation International collected over $18 million, assuring donors that their contributions would directly support women undergoing cancer treatment and their families. However, the FTC and states allege that only a tiny fraction of this money reached those in need, while the majority ended up lining the pockets of for-profit fundraisers and the charity's operator, Gregory B. Anderson.
Women’s Cancer Fund amassed a substantial $18 million from tens of thousands of donors. However, the reality behind the numbers is unsettling: only $194,809 was allocated for financial support to cancer patients. Concurrently, a staggering $775,139 went into Anderson's pocket – nearly four times the cumulative support given to those battling cancer. In addition to his salary, Anderson utilized donated funds for various extravagant expenses, including hotels and travel. Strikingly, around 85% of the collected funds were channeled to for-profit fundraisers hired by Anderson to make deceptive pitches on behalf of the sham charity. The disbursement of these funds prompts a closer look into the genuine intentions and practices of the Women’s Cancer Fund.
Source: Federal Trade Commission
Samuel Levine, Director of the FTC’s Bureau of Consumer Protection, expressed his dismay, saying, “Cancer Recovery Foundation International and Anderson abused the generosity of American donors in the most egregious way.”
He emphasized the FTC's commitment to aggressively pursuing such illegal conduct, which not only hurts donors but also deprives legitimate charities of needed funding. Grateful for the collaboration with state partners in this effort to protect the public, the FTC is taking a firm stand against this exploitative behavior.
States are joining the FTC in this legal battle, aiming to bring justice to donors who were misled by the charity. Together, they're working to address the wrongs committed by Cancer Recovery Foundation International.
The Virginia Attorney General Jason Miyares says, ” Virginians are generous people. Unfortunately, some bad actors take advantage of hardworking Virginians' generosity. In the case of Cancer Recovery Foundation International, solicitors told Virginians and many other Americans that their donations would help cancer survivors and their families, but that money was instead used for their own personal gain.”
The AG further says, “ We join the FTC along with the other states in this lawsuit to right the wrongs of this sham charity,”
The lawsuit reveals that the charity used tricky tactics, making false promises through phone calls and letters, assuring donors that their contributions would "help save lives." However, tax records tell a different story – out of the $18 million collected, only a small fraction went to actual support for cancer patients, while a significant portion went into Anderson's pocket. Adding to the deceit, Women’s Cancer Fund employed deceptive solicitation letters, often signed by Anderson.
One such letter claimed, “While other organizations rightfully invest millions of dollars in cancer research to find a cure for patients in the future, we help patients keep a roof over their head and the lights on so they can survive cancer today.” This cunning use of deceptive communication further highlights the extent of the charity's misleading practices.
Tricky tactics and deceptive practices seem to be an ongoing theme for Women’s Cancer Fund and its operator, Gregory B. Anderson. The FTC had already taken legal action in 2021, suing two fundraising companies, Associated Community Services, and Directele, hired by Women’s Cancer Fund for deceptive fundraising. Shockingly, the complaint in the latest action reveals that these enforcement actions did not deter Anderson. Instead, he went on to hire other fundraisers, continuing to make similar deceptive claims on behalf of Women’s Cancer Fund.
This troubling pattern of persistent deception has prompted the FTC, along with the attorneys general and/or secretaries of state from California, Florida, Maryland, Massachusetts, North Carolina, Oklahoma, Oregon, Texas, Virginia, and Wisconsin, to file a comprehensive complaint. The allegations assert that Women’s Cancer Fund and Anderson violated the FTC Act, the Telemarketing Sales Rule, and state consumer protection laws. The legal battle intensifies as authorities work to hold the charity and its operator accountable for their continued deceptive practices.
As you reflect on your genuine desire to make a difference in the lives of cancer patients through your donation, the betrayal by Cancer Recovery Foundation International serves as a stark reminder of the need for diligence in choosing where to place our trust and generosity.
This unfortunate situation underscores the importance of researching and verifying charities before contributing. It's disheartening to see such a blatant abuse of goodwill, where funds intended to alleviate the struggles of cancer patients were diverted for personal gain.
Let this be a call to action not just for legal authorities but for all of us to be vigilant, ensuring that our compassion and empathy are channeled through reputable and transparent organizations. In the face of deception, may our collective commitment to justice prevail, and may we strive to make a positive impact where it is truly needed.
This article was published in collaboration with Federal Trade Commission
Image source: Unsplash.com
