THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Saturday, December 2, 1995 TAG: 9512020605
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY MYLENE MANGALINDAN, STAFF WRITER
LENGTH: Medium: 65 lines
'Tis the season when Santas ring bells outside department stores and red envelopes carrying heart-wringing philanthropic appeals inundate weary Americans.
It's also prime time for scam artists who try to profit from others' good will.
``It's just the American way,'' to wait until year's end to donate money, said Dan Langan, director of public information at the National Charities Information Bureau, an agency that keeps detailed reports on more than 375 charities.
But people need to be aware of where their donations go.
A lot of charities receive half or more than half of their money in a year during November and December, Langan said.
Most of them are legitimate institutions that spend donations on the causes they support.
The Children's Hospital of The King's Daughters is a good example of a worthy charity. It receives 20 percent of its yearly donations during the two final months of the year and spends the lion's share on programs that directly impact health care, new medical equipment or replacement equipment and research, said Linda Coupland, director of development.
But some appeals for money are less than legitimate. They range from the deaf panhandler selling American flag stickers on the street for $1 to telemarketers on the phone soliciting money for children's toy drives.
A favorite ploy of scam artists is to masquerade as local police and go door-to-door soliciting donations.
Elizabeth Jones, public information officer for the Chesapeake police department, said she often receives calls from people if they have any concerns about a police officer to verify that person works for the agency. If people have concerns about his or her legitimacy, they can ask for the badge number, call the department and verify that officer's employment.
An estimated 1 percent of money given to charities goes to scam artists or is otherwise misused. That's a billion dollars a year, Langan said.
``In general, scams are more likely perpetrated on people with a charity because there's an emotional link to it,'' said Jerry Grohowski, president of the Better Business Bureau for the Greater Hampton Roads.
To avoid getting overwhelmed by direct mail, telephone calls and other requests for money, consumers need to decide what type of cause they want to support.
``The public should be supporting the things they care about,'' said Paul Nelson, president of Evangelical Council for Financial Accountability. ``It's the on-the-spot stuff, the high pressure stuff, we recommend people don't yield to. Reputable organizations will always be willing to tell you more about themselves and send you materials that lend themselves to more credibility.''
Beware of organizations that sound like well-known names. If an organization is suspicious, people can check on them by calling the Better Business Bureau, the state attorney's office or other organizations that track charities. ILLUSTRATION: Color drawings by EARLE
by CNB