• Saturday, February 11, 2012

Previous

Next

Scandals Prompt Foundations to Withdraw Money From Acorn

October 2, 2009, 2:38 pm

Several major backers have suspended grants to Acorn in the wake of the video scandal that has engulfed the nonprofit community organizer, reports National Public Radio.

The Ford, Marguerite Casey, and Charles Stewart Mott foundations say they have suspended or ceased making grants to the embattled organization, citing concerns about fiscal responsibility and management structure. Acorn has also lost government money since hidden-camera videos showed staff members in two Acorn offices giving advice on prostitution and tax evasion.

Bertha Lewis, the chief executive of Acorn this week sent out a letter telling donors, “We need your help to survive.” She said she believes the 40-year-old organization will weather the crisis but that fighting allegations of corruption and criminal behavior will drain resources from its housing, tax, and other programs for low-income people.

NOTE: An earlier version of this summary noted that the Annie E. Casey Foundation had withdrawn money from Acorn out of concerns prompted by the scandals. The foundation says it told National Public Radio that the money was stopped in early 2009 and that Casey felt the grants had been spent appropriately.

This entry was posted in Giving, Managing. Bookmark the permalink.
  • Print
  • Comment

Comments are closed.