Illinois settles fraud case against cancer charities
Illinois is among states involved in a settlement of a massive fraud case involving two cancer charities labeled “shams” by the Federal Trade Commission.
Illinois Attorney General Lisa Madigan said Wednesday, March 30, 2016, the settlement with Cancer Fund of America and Cancer Support Services “puts an end to an egregious charitable deception.”
“These charities defrauded donors and spent millions of dollars that should have gone to support cancer patients,” Madigan said.
The $75.8 million settlement — filed Wednesday in federal court in Arizona — will dissolve the national organizations and ban the head of the charities, James Reynolds, from future charitable work.
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.