“Sham” Charities to Desolve, Pay Judgement

cancercharitynew143203980031318474029ver109006758080199891_t755_h709006fea2ca5e726fbf31e99e3e9408f7a886a3

Two Tennessee-based cancer charities labeled “shams” by the Federal Trade Commission have settled a massive fraud case, along with their president, by agreeing to a $75.8 million judgment and the dissolution of the businesses.

The joint action by the FTC and all 50 states says James T. Reynolds Sr. and others spent donations meant for cancer patients on six-figure salaries and luxury vacations.

The settlement with Reynolds, Cancer Fund of America and Cancer Support Services was filed Wednesday in federal court in Arizona. It must be signed by the judge before it takes effect.

Reynolds’ son and ex-wife previously agreed to settlements involving two related charities. The former president of Cancer Support Services also settled earlier.

Together, the four charities raised more than $187 million between 2008 and 2012.

This entry was posted in Uncategorized. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s