Some 9/11 Nonprofits 'Fail Miserably'

It's safe to say I have a soft spot for nonprofit organizations, as I find they are the ones most often sitting on amazing stories -- and have no clue how to tell them.


It's why part of my business focuses on helping nonprofits figure out how to tell their stories.


But there are some instances where nonprofits definitely shouldn't be happy about being recognized in the news.


In recognizing the 10th anniversary of Sept. 11, 2001, the Associated Press examined the flurry of organizations that sprung up in the wake of the devastating terror attacks -- and how they spent some $1.5 billion given in donations to aid various causes. What they found reinforces a point made on this blog after the tsunami in Japan: you must do your homework before giving.


"To be sure, most of the 325 charities identified by the AP followed the rules, accounted fully for their expenditures and closed after fulfilling identified goals," AP reported. "...But in virtually every category of 9/11 nonprofit, an AP analysis of tax documents and other official records uncovered schemes beset with shady dealings, questionable expenses and dubious intentions. Many of those still raising money are small, founded by people with no experience running a nonprofit."


CEOs paying themselves hundreds of thousands of dollars, unexplained loans and large sums of money going to unreported expenses were included in the tip of the iceberg in AP's investigation.


In the face of tragedy, the desire to help is understandable, even commendable. But to ensure you don't end up with the wrong kind of publicity, make sure you do your research when it comes to giving -- and receiving -- money for others.