| Submit your comments on this article |
| Home Front |
| American Red Cross acknowledges rake-off |
| 2001-10-29 |
NEW YORK (AP) — The American Red Cross acknowledged Monday that some of the $550 million in donations to a special fund established for the victims of the Sept. 11 terrorist attacks will be used for other broad-based needs instead. ``It takes a lot of money to do a lot of work. We believe very much that we are honoring donor intent,'' Red Cross spokesman Mitch Hibbs said. ``Yes, we are helping the families, but we're also helping everyone else.'' Soon after the attacks, the Red Cross took the unusual step of creating a special account, the Liberty Fund, that was designated for terrorism relief efforts. But a portion of that money will go to broad-based activities such as a blood reserve program, a national outreach effort, and a telecommunications upgrade. Philanthropic watchdogs, while careful to note the Red Cross meets high standards overall, said the group has not clearly publicized its distribution plans for the Liberty Fund. They also questioned the need for a separate collection effort in the first place. "I wish they hadn't set up that separate fund,'' said Daniel Borochoff, president of the American Institute of Philanthropy, a watchdog group based in Bethesda, Md. |
| Posted by:Fred Pruitt |