A charity watchdog group is scheduled to appear before a federal agency today to challenge giving claims made by Capital One Financial Corporation, which is touting its charity in bidding to acquire the online banking leader ING, the Associated Press says.
In written testimony prepared for a Federal Reserve Board hearing Wednesday, the National Committee for Responsive Philanthropy contends Capitol One has given “at levels far lower than its peers” and urges regulators to be skeptical of the McLean, Va., bank’s pledge to donate $450-million in the next decade.
The philanthropic commitment figures strongly in Capitol One’s argument that the ING merger will produce significant public benefits, as required by a new financial-regulation law.
The committee says Capitol One contributed less than $5-million per year to charity from 2005 to 2009 and gave at about one-fifth the median rate for all financial companies, as measured by percentage of revenue.
Capital One disputes the committee’s figures, saying it has donated $30-million this year and never gave less than $18-million in a year since 2005.