Many people don’t mind making charitable contributions, but they may wonder exactly how much of their contribution is going to the actual charity.
Currently, there are numerous Haiti relief organizations. In addition to traditional charities such as the Red Cross, others that are specifically for Haiti relief have gotten media attention. One such charity is musician Wyclef Jean’s Yele Haiti foundation.
Jean, a Haitian native, established Yele Haiti in 2005. Let’s face it – even before this devastating earthquake, Haiti needed a lot of help. Yele Haiti has provided scholarships for the children of Haiti, food to residents after hurricanes, and hopes to build several Yele centers for sports and arts. Yele has raised more than $2 million dollars in donations since last week’s earthquake.
But, Jean has come under fire that he is benefiting from the charity. The Smoking Gun website reported that of the million plus dollars raised by the foundation in 2006, at least $410,000 was paid back to Jean and his business partner for services such as an appearance by Jean at a benefit concert.
Jean published a press conference on his web page in which he denied using any Yele money for his own personal benefit. He did admit the charity had made “mistakes before,” but said the books are open and have been approved by an external auditor every year since the foundation of Yele. When someone from Associated Press reviewed the tax returns and audits, it was noticed there was a close tie with Jean’s businesses. The president on Yele, Hugh Locke, admitted that $250,000 was spent to buy airtime on Telemax S.A., a television station of which the majority is owned by Jean and another Yele board member.
Now I am not here to judge whether Yele Haiti is misusing any of their funds, although I will keep a close eye on this story. However, this blog was just a reminder to use caution when donating your hard earned funds and don’t be afraid to check out the credentials of a charity.
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