LACP.org
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Watch for Charity Fraud
Give . . . but give wisely

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Watch for Charity Fraud
Give . . . but give wisely


Dec. 2003

Los Angeles Community Policing is a nonprofit organization, and has gone through all the steps necessary to solicit contributions to further our work. We're a 502(c)(3) California Corporation, have permits from the City of Los Angeles, and have been awarded a Federal Tax ID number, making any donations fully tax-deductable.

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Please click here to read about LACP as a charity

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But unfortunately there are many unscrupulous groups that prey on people's desire to give money to a "good" cause.

This fall, we participated in helping inform the public of the need to be careful when our founder, Bill Murray, was asked by the Los Angeles Police Commission to act the part of a door-to-door solicitor for a Spanish language PSA. Narrated by LAPD Police Commissioner Silvia Saucedo, it's currently airing on Latin TV stations, and was produced to warn residents not to trust such people at face value (see description below).

At a Bi-Lingual Press Conference kicking off the holidays, the public was warned to give wisely to charity.

Commissioner Silvia Saucedo, Assistant Chief George Gascón, and Karen Wagener, Executive Director of the Los Angeles Police Foundation, delivered the message in English and Spanish.

It was explained in English that unethical charitable solicitations are rampant in Los Angeles, especially during the holidays. While many charities operate within legal regulations, others do not. For example, many groups operate under a name that is similar to a well-known charity, however, they provide questionable services to the Los Angeles community.

The number of victims is voluminous, but unknown, because the vast majority do not realize they have been victimized. Tips were provided on how to avoid becoming a victim of charitable fraud this holiday season.

There is currently a form of fraud occurring in the Spanish speaking community involving telemarketers posing as the "police department." The solicitor calls and states that if a donation is not given, police services may not be provided to them. The Los Angeles Police Commission has produced a Spanish public service announcement addressing this completely inaccurate claim.

The Spanish PSA was distributed at the press conference.


Here are the tips the Police Commission wants you to know about:

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DON'T BE A VICTIM THIS HOLIDAY SEASON TO CHARITABLE FRAUD

Tips on How to Spot a Fraudulent or Unethical Charity

Los Angeles - Every year millions of dollars are lost to deceptive individuals posing as legitimate charities preying upon the giving nature of individuals and businesses. It can be difficult to discern between legitimate and unscrupulous solicitations without the needed information to make sound judgements about whether or not to give. During the holidays, this form of fraud is intensified.

Unfortunately, this crime usually goes unpunished because it is not reported. Moreover, the victims actually do not know that they have been victimized. Members of the public can stop this crime by knowing the facts.

There are basically three types of charities:

Legitimate Charities - These charities provide needed goods or services to the community and maintain a high percentage of funding dedicated to the actual cause.

Legal, but Unethical Charities - These charities meet the minimum requirements for a charity, but provide minimal goods and services to the community. Their percentage of funding dedicated to the cause is usually small compared to their administrative costs.

Fraudulent Charities - These are criminals posing as charities with no legal basis whatsoever.

Legitimate charities provide wonderful services for the people of Los Angeles, and the public is encouraged to be giving this Holiday season, but always, investigate before you donate.

The Charitable Service Section of the Los Angeles Police Commission can provide information on a charity's legal status and percentage of funds dedicated to the actual cause as opposed to administrative costs. The Charitable Services Section may be reached at (213) 978-1144.

Tips for Spotting an Unethical or Fraudulent Charity:

Police, Fire and Sheriff Departments do not solicit contributions. Badge fraud is a big problem in Los Angeles. Solicitors lead the donor to believe their donation will help their local law enforcement or fire department. That is usually not true.

Having "police" or "firefighter" in a name does not mean police officers or firefighters are members of the group. Fraudulent organizations use these words in their name because they know people are more likely to make a donation.

Verify that a Los Angeles Police Commission Information Card is available upon request. · Never give cash; always make contributions by check to an organization.

Never feel pressured to give on the spot. Don't allow anyone to intimidate you or bully you into giving or buying something "right now."

Watch out for statements such as "all proceeds go to charity." This can mean that the money left after expenses will go to the charity.

Prepare a "giving plan" ahead of time, based on research, so you do not feel pressured to give to everyone who asks for a donation.

Be wary if a solicitor suggests you will receive special treatment for your donation.

Always check out the charity before giving.

Useful Websites: www.give.org & www.guidestar.org & www.caag.state.ca.us/charities

Charitable Services Phone No: (213) 978-1144, or toll free: (800) 439-2909 and ask for 978-1144.

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Please click here to read about LACP as a charity

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