CNN files their report on the $40M of shipments. My summary of visible comments on investigation(s).

CNN aired a report that is part of their combined reporting with the Tampa Bay Times and Center for Investigative Research. Previously mentioned the print reports here and here.

The video report, which runs just under 6 minutes in length, is from Anderson Cooper 360:  Where did $40 million in charity donations go?

CNN sent their team to Guatemala to track down the shipments. They tried to follow the shipments after the meds arrived in country.

The team had a hard time finding the charity or anyone they could meet face-to-face. They were able to talk to some people by phone. About all they could find in person was a sign on the wall of a business office. The print article says that address is a mail drop. The reporter also found a warehouse with the organizations’ name on a sign on the fence next to the gate. Print article says there was also a sign for a sporting good company.

To put $40M in perspective, CNN interviewed another charity with programs in country. One of the programs of that charity is to run 15,000 clinic events with around 1,300 surgical procedures over the course of a year with about $350,000 of medicine.  The interviewed officer has been working in Guatemala for 13 years but isn’t aware of the organization that received $40M in one year. Perhaps that doesn’t mean much.

The CNN report is brief but well worth your time.

Investigations

One or more investigations are underway. Let me put together three different comments so you can see the picture.

The Tampa Bay Times article says:

Charity Services itself is under review by South Carolina charity regulators, who have subpoenaed documents related to the company’s handling of donated goods.

The CNN report says at the end of the segment (go to the 5:25 mark) that two of the key people involved in handling the paperwork and shipments for the business …

…are under investigation by regulators from two states…

That’s the first comment I’ve seen in print (or seen on video) that two states are working on the issue.

The organization’s rebuttal to the print article says: 

  1. CSI is not under review for our handling of donated goods.
  2. The South Carolina Secretary of State has subpoenaed documents related to specific charities that CSI provides services for.  It is the charities that are being reviewed, not CSI.

Public comments only provide a vague outline of what is happening behind closed doors, but it is really obvious from the few visible statements that something is going on.

Dear brothers and sisters in Christ around the nonprofit community who work with GIK, please realize the clock is running. Please make any necessary changes before time runs out.

Do you have any comments? I particularly welcome any comments from any organizations mentioned in the combined reporting or any charity that handles GIK.

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