Class action lawsuit against Gospel for Asia in US

March 20, 2016 | By: .(JavaScript must be enabled to view this email address) Mark Blumberg
Topics: News, Canadian Charity Law, Global Giving

The Hamilton Spectator has revealed that US charity with a branch in Canada is being sued as part of a class-action lawsuit.  The article entitled "Hamilton-based charity allegedly can’t account for over $90M in donations".  The subtitle is "There are allegations that Gospel for Asia Canada has been using donations to build a massive for-profit corporate empire, leaving some volunteers and donors shattered and demanding answers. The mission says the claims are unfounded."  None of the allegations have been proven in court.  

The class action statement of claim discusses various issues such as fundraising solicitations, foreign activities and transparency.   Here is the claim against Gospel for Asia along with a number of schedules including a 9 page letter from ECFA.  ECFA is the Evangelical Council for Financial Accountability. If the allegations prove to be correct there will probably be some interest in the utility and relevance of voluntary standards as Gospel for Asia was a member ECFA and NRB.  NRB is the National Religious Broadcasters. Apparently Gospel for Asia was an ECFA member for 36 years.  When I went on the ECFA website I could find dozens of glowing articles on Gospel for Asia but nothing about them losing their membership. Eventually I found a page of "former members" and it provided "Gospel for Asia Terminated for failure to comply with Standard 2 Governance, Standard 3 Financial Oversight, Standard 4 Use of Resources, Standard 6 Compensation-Setting and Related-Party Transactions, Standard 7.1 Truthfulness in Communications, and Standard 7.2 Giver Expectations and Intent 10/02/2015"

Here are some other articles dealing with the claim:

Gospel for Asia Withheld Hundreds of Millions Meant for 'Urgent' Needs, Says ECFA

NRB Terminates Gospel for Asia's Membership Over Financial Accountability Issues

In Hamilton Spectator Gospel for Asia Story, Canadian Director Contradicts GFA-US Executive

Former Gospel for Asia Board Member Gayle Erwin Speaks Out, Discloses ECFA Report on GFA’s Violations of Membership Standards 

Report Details Why Gospel for Asia Lost ECFA Membership 

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