What is charity fraud?

Charity fraud is the act of using deception to obtain money from people who believe they are donating to a charity. Often, individuals or groups will present false information claiming to be a charity or associated with one, and then ask potential donors for contributions to this non-existent charity.

What are some examples of Charity fraud?

For example, someone who starts a foundation for terminally ill children and then through misrepresentation, steals the donations or does not perform as promised. False representations about what will be done with donated funds is the most common type of charity fraud.

What are the consequences of Charity fraud?

The consequences of charity fraud go beyond the criminal justice system. Not only does it deprive legitimate charities of much-needed funds, it also can erode trust in the charitable sector. This means that genuine organizations may find it harder to raise money in future.