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Essayon Charity Fraud Essay

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In the United States a charitable foundation is an organization which has formalized the process of relieving poverty, advancing education, supporting disaster relief, and/or assisting with community projects. Charities are non-profit organizations which can take the form of either a non-operating private foundation (trusts) or operating foundation (public charities). When many of us hear of a tragic event that hits close to home, we give our support with an open heart in order to help others in need. Unfortunately, with this act of kindness we could be creating an environment that is highly vulnerable for fraud perpetrators and fake charity scams.

Charity fraud is the intentional act of deception committed by an individual or group of individuals who ask for contributions in the name of a worthy cause. Perpetrators of charity fraud will take advantage of a tragic event to appeal to the compassion and empathy of donors. They make material misrepresentations about their charity in order to gain the donor’s confidence and trust, and then use high pressure methods to convince them to donate.

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Fraud in charitable organizations occurs when legitimate organizations or the individuals working for the organization misuse donations, or when illegitimate organizations or individuals collect donations on behalf of a sham organization. Perpetrators of charity fraud prey on the generosity of their donors through a variety of means. Some individuals may try to get the attention of a passerby on the street requesting cash for the hungry or disabled while others may use telemarketing scams in which the perpetrator tries to convince the potential donor of their legitimacy and the immediacy of financial need for a worthy cause. Yet, the most u.

. .nal Revenue Service (2011 October). IRS Warns Consumers of Possible Scams Relating to Hurricane Katrina Relief. Retrieved from http://www.irs.gov/newsroom/article/0,,id=149266,00.html Charity Navigator (2012 January). Top 10 Best Practices of Savvy Donors. Retrieved from http://www.charitynavigator.org/index.cfm?bay=content.view&cpid=419 Ross, B., Rackmill, J. (2005 September) Katrina Internet Charity Scams Try to Dupe Donors. ABC News, The Blotter. Retrieved from http://abcnews.go.com/Blotter/HurricaneKatrina/story?id=1106006&page=1 Brill, B., Winer, S. (2012 February) Help Clients Choose the Right Charities. Journal of Accountancy. Retrieved from http://www.journalofaccountancy.com/Issues/2012/Feb/20114630.htm Davis, S. (2011 March) What is a Charitable Organization? Retrieved from http://smallbusiness.chron.com/charitable-organization-796.html

Cite this Essayon Charity Fraud Essay

Essayon Charity Fraud Essay. (2018, Feb 07). Retrieved from https://graduateway.com/essayon-charity-fraud-essay/

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