11/11/2019
Trump ordered to pay $2 million for misusing charity funds
A New York state judge has ordered President Donald Trump to pay $2 million in damages for misusing funds from his now defunct charity to help fund his 2016 campaign. The judge said President Trump "had breached his fiduciary duty to the [Trump] Foundation" when he let his campaign collaborate with his foundation on a 2016 fundraiser for veterans. President Trump acknowledged he gave his campaign control over disbursing the $2.8 million raised from the event "to further [his] political campaign." He also admitted that the charity fundraiser was, in fact, a campaign event.
■Class discussion: Do you or your family ever give money or goods to charities? How can you tell if your contributions are actually helping people in need? When you see reports about someone using a charity for personal gain, does it make you less likely to contribute to any charity? Why or why not? Can you find news reports about phony charities or people taking money to help themselves? How well does the federal government and your state regulate charities? How much of the money given to a charity should be used to pay the people who manage it? Do we need a public rating system for charities?