NABET, NABET 2016 Conference

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Abuses of Charitable Giving in the Non-Profit Sector: Case Studies
Sidney Askew, Achraf Seyam

Last modified: 2017-03-25

Abstract


Abstract

Is it better to give than to receive or is it sometimes better to receive than to give are questions that are often debated.  Many cannot disagree that giving of either your time, money or other resources is a critical part of the lives of millions.          Since the early decades of the American society, nonprofit organizations have played a critical role in helping people in need by providing education, training, residences, counseling, and in-kind and cash support. However, given the contributions that nonprofit organizations have played in enhancing people’s lives, sustaining aspects of the economy and fostering advancement or breaking-down barriers in many areas, people feel violated when their contributions do not benefit the intended beneficiary.  In this paper, we will highlight five (5) major cases involving abuses within non-profit organization, analyze internal controls within the organization and provide recommendations that should reduce the likelihood of abuses experienced by donors before and after contributing to a nonprofit organization.


Keywords


Non-profit organizations; internal controls, fraud, fund-raising, restrictions, donor contributions, auditing,ethics