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Cancer Fund of America execs: $537,981 for father, 3 sons
The Better Business Bureau has cautioned donors that a cancer charity soliciting in Georgia spends only a fraction of what it collects on patients, the AJC reports today.
The rest, tax records show, pretty much goes to charity executives and to professional fund-raisers to raise more money.
The Cancer Fund of America paid $537,981 to the president, two of his sons and a son-in-law in 2007, tax records show. The breakdown:
— $242,922 James Reynolds Sr., president
— $131,107 James Reynolds Jr. (son), vice president
— $94,252 Joshua Loveless (son-in-law), fund-raising
— $69,700 Michael Reynolds (son), hospice care
The charity also made low-interest, 4 percent loans to the elder Reynolds and to Rose Perkins, a former vice president, tax records show. The organization told the IRS the loaned funds had been converted from payments on abolished insurance policies. Reynolds owed $276,000 on the loan at end of 2007 and Perkins owed $166,000.
Cancer Fund also bought several new cars for charity employees, including a Kia Amanti, an Optima, a Sedona and a Sportage SUV. At one point, the charity had car payments of $3,430 a month.
The charity sold two of the cars less than a year after purchase at a loss of nearly $10,000, records show.
Overall, the charity reported pulling in nearly $8.9 million in donations in 2007. Of that, $7.3 million was spent on professional fund-raisers and nearly $1.2 million on salaries and benefits.
Nearly $3.4 million in in-kind contributions of toiletries, nutrition drinks, DVDs and cassettes, medical equipment and other items. Such in-kind donations constituted the bulk of the charity’s generosity.
Direct cash awards to patients amounted to $2,900. Other cash grants and allocations amounted to $63,244, including $50,000 that the charity was ordered to pay to the Georgia Cancer Coalition for fund-raising irregularities.
The charity’s stated purpose: “to provide direct financial aid and other support and services to financially indigent cancer patients; to disseminate information concerning the early detection and prevention of cancer; to provide grants and gifts in kind to hospices, other health care providers, and to various non-profit community service organizations which aid the ill, needy and infants.”