METHODS OF ENFORCING COMPLIANCE AND METHODS OF INVESTIGATION (FROM REGULATION OF CHARITABLE TRUSTS AND SOLICITATIONS, 1974, BY GREGORY MALHOIT - SEE NCJ-49565)

• NCJ Number: 49569
• Author(s): E BLADEN
• Date Published: 1974
• Length: 3 pages
• Corporate Author: National Assoc of Attorneys General
• Publication Format: Document
• Language: English
• Country: United States of America

Annotation

TECHNIQUES USED BY THE MICHIGAN ATTORNEY GENERAL'S STAFF TO ENFORCE COMPLIANCE WITH THE CHARITY REGISTRATION LAW AND TO INVESTIGATE FRAUDULENT CHARITIES ARE DESCRIBED. EXPERT STAFF IS BORROWED FROM OTHER STATE AGENCIES.

Abstract

THE INTERACTION OF STATE AGENCIES TO ENFORCE MICHIGAN'S LAWS REGULATING CHARITIES IS DETAILED. ALL ORGANIZATIONS SOLICITING FUNDS FROM THE PUBLIC WITHIN THE STATE MUST HAVE A LICENSE FROM THE ATTORNEY GENERAL. FAILURE TO COMPLY CARRIES CRIMINAL PENALITIES. STEPS WHICH ARE TAKEN IN CASES OF NONCOMPLIANCE ARE LISTED, ENDING IN A STATE TROOPER SERVING A WARRANT. PROCEDURES FOLLOWED DURING THE INITIAL INVESTIGATIVE HEARING ARE DESCRIBED. METHODS USED TO UNCOVER AND SUBPOENA BANK RECORDS ARE GIVEN. THE ATTORNEY GENERAL'S OFFICE ALSO COOPERATES WITH U.S. POSTAL INSPECTORS WHENEVER THE MAIL IS USED AND OFTEN TRACKS DOWN BANK ACCOUNTS THROUGH PERSONS WHO CONTRIBUTE. THE PECULIAR PROBLEMS INVOLVED IN PROVING FRAUD AGAINST A CHARITY ARE DISCUSSED. IN DIFFICULT CASES CERTIFIED PUBLIC ACCOUNTANTS ARE BORROWED FROM THE AUDITOR GENERAL'S OFFICE AND TRAINED INVESTIGATORS ARE BORROWED FROM THE MICHIGAN STATE POLICE. IF AN OUT-OF-STATE FIRM IS INVOLVED, QUO WARRANTO POWER IS USED TO SEIZE WHAT ASSETS ARE IN MICHIGAN AND TO CLOSE DOWN THE OPERATION WITHIN THE STATE. (GLR)