The Wyoming attorney general and the Federal Trade Commission have settled claims against two nationwide cancer charities that spent the majority of donations on personal matters, he attorney general announced Wednesday.
A permanent injunction has dissolved the Cancer Fund of America Inc. and Cancer Support Services Inc. The leader of the organizations, James Reynolds Sr., is banned from profiting from charity fundraising and nonprofit work and from serving as a charity’s director again.
A complaint filed last year by the Federal Trade Commission and law enforcement agencies from across the nation alleged that from 2008 to 2012, the cancer charities spent only 2.8 percent of donations on cash and goods provided to cancer patients and nonprofits in the United States.
Instead, most of the money went to employees, families and friends, and fundraisers.
The charities will be permanently closed and their assets liquidated. The judgment calls for their operators to pay nearly $76 million, the amount consumers donated to the charities. About $260,000 of those donations came from Wyoming.