Nonprofit finance, accounting, and tax news. Other tidbits of interest to the charity community.
As was promised to several reporters this week, World Help has made their amended 990 available on their website this evening. You can see the link on the website here and click directly to the 990 here.
As they have said publicly, the revised revenue for 2011 is $104M. The 2010 revenue has been restated downward from $125.1M to $64.1M.
Here is a summary of the changes.
That’s the very short version of the report from Doug Donovan and Caroline Preston at The Chronicle of Philanthropy: Charity Lowers Revenue Figure by $135-Million.
World Help will reduce 2011 revenue from $239.3M to $104.1M, a drop of $135.2M. They will also be revising their 2010 and 2009 tax filings according to the article.
Most of that drop is due to one transaction, a donation from Direct Relief International. It looks to me like revenue from that contribution will drop from $100.1M to $3.3M, a decline of $96.8M.
Two donors say they didn’t donate
More big news in the article is that two donors say they didn’t send large volumes of GIK to World Help. From the article: (more…)
That is according to an article by William Barrett in Forbes – Big Charity Admits Wildly Overstating Donated Goods
World Help disclosed to Mr. Barrett that revenue for 2011 was overstated by about $135M of the reported $239M.
The core issue is that for one transaction, a donation of medical goods from a California-based NPO, World Help alleges that the amounts on the paperwork were altered when provided to World Help. Check out the full article for more details.