Emotions run high amid cancer charity scam

Over the last decade Ricks has biked thousands of miles to raise thousands of dollars, but as a contractor working for the anti-trust division of the U.S. Department of Justice, he is no stranger to the sort of corruption the federal government cracks down on, especially when it comes to nonprofit organizations.

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Navigating the nonprofit space can be an overwhelming task in and of itself. Donors say there are many watchdog groups patrons can reference before blindly giving their money away.

When it comes to vetting charity groups, watchdog organizations say follow the money. The average annual American household contributed $2,974 to charities, and Americans donated $335.17 billion to charities in 2013 overall, according to recent statistics by the National Philanthropic Trust.

In the case of the Cancer Fund of America, Jessica Rich, of the Federal Trade Commission’s Bureau of Consumer Protection, said the charities spent about 97% of donations they received either on private fundraisers or on themselves. Three percent, she said, went to help cancer patients.

The nonprofit American Cancer Society, though not commenting on the recent ongoing criminal case, suggested people be vigilant about the charities they support and contact the Better Business Bureau for information on consumer protection.

Other cancer charity organizations said change starts from within. “It is good practice to see if your charity partners with highly accredited organizations — this is an additional indicator that they have implemented proper internal auditing and external controls,” said Elana Silber, director of operations at Sharsheret, a not-for-profit breast cancer support organization.

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