California Attorney General Sues “Help Hospitalized Veterans” Charity

Government and private watchdogs are on the heels of another large charity. The charity Help Hospitalized Veterans, a California charity, is accused of scamming millions. One of those watchdogs, Charity Navigator, similarly outed Soldiers' Angels with a 1-star financial rating in 2012. http://www.charitynavigator.org/

Many reports and statements are unfolding in the media, such as:

"At the same time, it has ranked for more than a decade at the bottom of lists by watchdog groups that rate nonprofit organizations based on their financial management and abilities to use most of their donations toward their causes. CharityWatch says about 35% of Help Hospitalized Veterans' funds go toward programs to aid veterans. The recommended standard is about 65%." http://www.mercurynews.com/

Roger Chapin, founder of two charities created to

help military veterans, appears at a hearing of the

House Oversight Committee in 2008. 

(Sarah L. Voisin  /  Washington Post via Getty Images)

On August 9, 2012, Attorney General Kamala D. Harris filed a civil lawsuit seeking the removal of officers and directors of Help Hospitalized Veterans. The complaint alleges that those running the organization engaged in self-dealing, paid excessive executive compensation and engaged in fraudulent fundraising and other unlawful activities. {Examples cited include a lump-sum retirement payment of $1.96 million to former president Roger Chapin in 2009 and golf club memberships totaling $80,000 for board members.} The lawsuit also seeks to recover more than $4.3 million in funds improperly diverted from Help Hospitalized Veterans. Those funds were meant to support several programs serving veterans and active-duty military, including providing arts and craft kits to hospitalized veterans. Instead, they were used to enrich the organization’s officers and fundraisers. http://oag.ca.gov/news/press-releases/attorney-general-kamala-d-harris-files-lawsuit-seeking-removal-directors-and; http://news.yahoo.com/california-attorney-general-sues-help-hospitalized-veterans-184400927--finance.html.