Director of Veterans Charity in Hiding

December 13, 2007 12:18 PM

Matthew Jaffe and Rhonda Schwartz Report:

Directorofvet_mn_2 The director of a national charity for veterans has gone into hiding after defying a congressional subpoena.

Roger Chapin, head of the California-based charity, Help Hospitalized Veterans, refused to appear today before a congressional hearing chaired by Congressman Henry Waxman, D-Calif., who is investigating how the charity's money was spent.

Waxman said Chapin had evaded attempts by U.S. marshals to find him for the past week to serve a warrant to compel Chapin to answer questions before Congress about his charity, which raised more than $98 million last year.

"There have been serious allegations against Mr. Chapin, including allegations that he is paying exorbitant salaries to himself and his wife, using donations to pay for questionable expenses, such as new condos, shifting funds among his various groups to skew reporting numbers and concealing millions of dollars in payments to for-profit fundraising corporations," Waxman said.

Help Hospitalized Veterans was one of more than a dozen charities for veterans rated "F" by a leading charity watchdog group, the American Institute of Philanthropy.

At today's hearing of the House Oversight and Government Reform Committee, Waxman criticized these charities for "intolerable fraud" and "a sickening betrayal of our most fundamental values."

"A disturbing number of groups are raising millions of dollars in the name of helping veterans but keeping most of the donations for themselves," said Waxman. "Instead of using the money to provide financial assistance or help veterans obtain care, these groups and the professional fundraisers they employ blatantly line their own pockets. They betray their donors and the troops who desperately need help."

"Right now there's incredible waste out there, and it's being done in the name of our brave veterans," said AIP's Daniel Borochoff. "We owe a lot more to these veterans than too many of these nonprofit groups are providing."

Ed Edmundson, whose son Eric was wounded in Iraq, fought back tears as he described how some charities "use these soldiers as a commodity to raise funds."

"I am concerned [about] the negative effect that the few self-serving nonprofits will have on the ability of the legitimate nonprofits to obtain funding from the general public," Edmundson said, choking back tears. "It would be an unfortunate turn of events if the service they provide is not available."

At one point, Waxman read a letter from former Sen. Bob Dole that called these groups "parasites" and applauded Waxman's committee for "exposing the downright fraud used by some [charities]."

"I cannot imagine anyone, or any group, stooping so low to enrich themselves by exploiting veterans' misery," Dole wrote.

Last month, Chapin walked out of an interview with ABC News' Brian Ross for a report that appeared on "Good Morning America."

Waxman said the committee will hold a second hearing on Jan. 17, 2008 and was issuing a new subpoena for Mr. Chapin today.

Read Waxman's letter detailing Congress' efforts to reach Chapin.

This post has been updated.

Do you have a tip for Brian Ross and the Investigative Team?

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December 13, 2007 | Permalink | User Comments (36)

User Comments

Must be another Republican crook.

Posted by: Joe MUrphy | Dec 13, 2007 2:53:49 PM

Find him and take all his $ give it to the veterans and throw this bum in jail... better yet ship him off to Iraqs frontlines

Posted by: Squierghia74 | Dec 13, 2007 3:45:09 PM

I saw the show when they outlined some of the shady stuff this charity does, it's my opinion that defrauding the public when it affects veterans should be viewed as treason and treated as such.

Posted by: Neal | Dec 13, 2007 3:47:27 PM

Sounds to me like this guy is busted! I hate these "charity groups' that raise money for vets, kids, whatever and pocket the vast majority or use it for any purpose other than the stated cause. Lock 'em up and throw away the key.

Posted by: John D, Mishawaka, IN | Dec 13, 2007 4:14:52 PM

Why an I not surprised!

Keep investigating! Do a piece on government no-bid contractors hiring illegals! You can start in Mass and in Texas!

Posted by: cantcu | Dec 13, 2007 4:46:47 PM

I am appalled that the monies, we Americans are giving to Veterans charities, is being STOLEN. In a time where we see 100+ Vets per week committing suicide, and at a time when we are seeing more battlefield injuries than any time in the last 30+ years. Patriotic, hard working Americans are doing all that they can to tell our Vets, thanks by donating their hard earned money. The net result is that our Vets are once again casualties of GREED of unscrupulous con-artist. Shame on everyone that has perpetrated this fraud on the heroic Veterans of this nation. What is even sadder: It is highly doubtful that anything will change, because our politicians today are wrapped up in their own petty bickering and self interest. Oh for the days of old, where tar and feathering was the rule of law. We could use it on the con-artist and the politicians.

Posted by: John Arnett | Dec 13, 2007 7:33:22 PM

on the evening new 12 13 07 @6 30 brodcast we were not sure if the D A V was noted as one of bad charties please advise and state say it isn't so the D A V does outstanding work. thank you js

Posted by: jim sakis | Dec 13, 2007 10:27:07 PM

Most republicans are like this guy...money is their IDOL and their greed is legendary. They support an administration who passes out cash right smack dab in the middle of the killing fields. The yield????? a dead soldier and a foot or two of concrete blocks in a rectangle or square or something that might resemble a building if you had a contractor that knew his job.

Posted by: daddyblue | Dec 14, 2007 10:54:47 AM

why is it only the democrats seem to care about veterans? The republican scum only help the rich and only make noise about helping anyone else. Yeah less than 12 months to finally dump the worst of the worst. Bush.

Posted by: gary | Dec 14, 2007 11:35:57 AM

I am a Vietnam Vet, This is about as bad as Clinton signing NAFTA & CAFTA .. It makes me sick to see stores carry products ( Made In Vietnam ) Our politicans have sold Americans OUT for GREED and BIG Bussiness and call it FREE TRADE !! Eighty years ( 80 ) America has been figthing WARS to stop Communist Aggression, Our leaders sent us to war with North Korea and North Vietnam, both supported by China who shipped weapons and soldiers to kill and wound American GI's . Now we are supporting them THANKS to our politicans who SUPPORTED NAFTA/CAFTA for thier own personal GREED............

Posted by: Jack Betts | Dec 14, 2007 11:50:09 AM

Greed Politics..lately this is the bottom of the Top...Veterans have been swindled through the coarse of its Office in command...Assistance is two fold..but never on the side of the vet..Many vets and their families go without..For one I am the wife of a VietNam vet..who shared a great deal of military comraderie with the wars that have been indignate to its offspring..My husband endurred cruelty from his family and friends he came home to..Even working for the Veterans Program, he still received just as much bureaucratic red tape...this is why he would not support any organizations for help..he believed it to be a set up for a fall..hope for ever, yet, never cometh..Jail would not serve these two..for they are old..let them live in the desert..for this is where most must learn to endure suffering..Let them go and be abandoned there..this punishment would fit the crime for all veterans...Apachecheynne

Posted by: Apachecheynne | Dec 14, 2007 12:30:44 PM

Big money does ugly things to people not just Republicans or Democrats. This guy is looking for a high priced lawyer to get him off. The way the courts work nowdays, if he does make it there, his big money probably will get him probation (with time served). All in the name of money. The congressional hearings mean little except for a sound bite for the Politicians tirades.

Posted by: Superman | Dec 14, 2007 3:22:58 PM

I am pleased to get this opportunity to have a say on bad charities , especially ones that claim to be helping Veterans. And , blow our own horn. Any Individual that make this claim , collects money in the name and blood of our nations Veterans and don't deliver should be hung in the "town Square ".

Fourteen years ago I founded a charity called Veteran's Haven , Inc., that headquarters are located in Wayne , Michigan.For the purpose of helping our homeless and needy Vets. We provide many services Three years ago Channel 4 in Detroit did an expose on bad Veterans Charities in our area. Many were exposed and according the AG of Michigan , we came out on top , 90% of every dollar collected goes either directly to or provide our services to Vets. They came to our Center and interviewed me , afterwards I even received some death threats from another Veterans Group in Wayne that was making a ton of cash with a car donation program and giving back very little to help Vets. They thought I sicked channel 4 on them ,that's ok ,they ran for cover and left the City of Wayne.In 2002 , this one particular group collected $466,000 and gave back to Vets $10,000 .It angers us to see this type of abuse and "smucks" taking advantage of the people that provide our Freedom and Protection.

We operate on a shoes string budget and do more for Vets than the other groups or Veterans agencies do with a large operating budget , where the Vets get short changed and they provide the least. They send clients to us. We work with the VA hospitals and other services organization that can't provide our type of services to Veterans.

Posted by: Vince Berna | Dec 14, 2007 4:18:02 PM

This guy should be hung in a town square . Anyone that collects money in the name of and blood of our Veterans and doesn't deliver should be subject to the harshest punished allowable by law , but they usually walk with a fine and slap on the hand. They hire an expensive "mouth piece " with the money they stole and it's lets make a deal!

Posted by: Vince Berna | Dec 14, 2007 4:43:37 PM

I gave alot of money to these f graded charities. We have been robbed!Raped and lied,to! They sent us blankets,calendars,coffee mugs,greeting cards,address labels,pads with our names on them.This always bothered me.The money for the item,shipping and labor cost etc, etc...Turns out we got more then the men and women who fight for our freedom. I feel violated. How do they feel?

Posted by: Laura Wilson | Dec 14, 2007 11:47:54 PM

Bush and Cheney are making more money off the spilled blood of our troops than any charity!

Posted by: steve | Dec 14, 2007 11:49:36 PM

Judgement day is here Mr. Chapin.

Posted by: Wes | Dec 16, 2007 1:44:08 AM

ITIS TIME FOR ALL VETERAN ORGANIZATIONS TO FACE THE MUSIC FOR THEIR ILLEGAL BENEVOLENCE????THE REPORT DOES NOT LIST ALL OF THE VETERAN ORGANIZATIONS THAT COLLECT IN THE NAME OF THE DISABLED VETERANS.THE VFW AS WELL AS THE DAV BOTH COLLECT A MULTITUDE OF DOLLARS AND WOULD LIKE ALL OF AMERICA TO BELIEVE THAT THE VETERAN IS THE BENEFICIARY.SOMETIMES THAT VETERAN IS EMPLOYED AND HIS "NEEDS" ARE MET BY THE LOCAL TILL.NO ACCOUNTING AND THE GOOD OLD BOY SYSTEM IS ENTRENCHED AT THE LOCAL CHAPTER.I HAVE SEEN IT ALL AND COULD NOT QUIETLY PARTICIPATE IN THEIR CHARADES.YOU CAN WELL IMAGINE THAT SPEAKING UP ONLY PUT ME ON THE OUTSIDE LOOKING IN.

Posted by: DONNA MARKWICK | Dec 16, 2007 5:58:58 PM

As you can see, this blotter does not mention the name of the Charity.

Thus, this report is designed to debunk all Veterans charity groups that create a bad image [of all] Veterans groups.

Posted by: | Dec 17, 2007 8:16:38 AM

Uh--Yes it does. The charity is called "Help Hospitalized Veterans".

Posted by: tyewalker | Dec 18, 2007 3:59:16 PM

Thank you for covering this story. It is important; however, I am just sickened by the news that the charities I have been giving to are doing such a poor job of following through to help the people they promise to help. As the mother of a veteran of the war in Iraq, I think that it is not a coincidence that I have been FLOODED with mail from many Veterans' Charities -- are they targeting the parents of soldiers?

I think it is a waste to send money, address labels and other stuff to appeal to my good nature. I had gotten so busy that I had not sent off my checks yet to various charities and was going to do so--then I read the article rating these groups and tore up the envelopes.

Posted by: cherie dargan | Dec 26, 2007 11:30:09 AM

I want to send a letter to them now, though, and have my name removed from their mailing lists--and ask them not to sell it to more charities. I find that practice very offensive as well. All of these groups need to ACKNOWLEDGE how they spend their money and upfront tell would be donors what percent goes to the actual clients--and not use the generic term of education programs, since I have discovered that sometimes means listing ten helpful tips for dealing with the blind on the back of the envelope. This is just disheartening. I hope the groups that are doing a good job put some pressure on those who have brought disgrace upon all of them. I will not be giving to these organizations again.

Posted by: cherie dargan | Dec 26, 2007 11:30:51 AM

I am so pleased you exposed these people they have robbing people for many years. These organizations should be audited by the attorny General of each state.There tax status should be removed if the charity uses more than 10% of the raised funds for administration.

I am so pleased you exposed these people

Posted by: Harold D Tracy | Jan 6, 2008 11:59:04 PM

To serve the United States in Iraq is an honor, not a punishment! Prison for the knifing bum!

Posted by: Kurt - Gulfwar Veteran | Jan 7, 2008 6:24:03 PM

Jimmy Carter hurt our veterans more than anybody. He let our nation languish during his great one-term reign, and he cut military aid to our Vietnam vets. Then Bill Clinton slashed funding to the military, including the VA, which is what he planned while he was bad-talking the USA in Europe while he smoked dope. Now Clinton's wife wants to cut funding to our troops and vets even more.

Gotta love it.

Posted by: Mfume | Jan 8, 2008 8:51:16 AM

Thank you Senator Dole, not only for your personal sacrifice but standing by fellow veterans during their time of need. Your heart is in the right place. Apparently, your voice does not resonate well in today's Washington, run by a band of draft-dodging non-veterans, who rather than appreciate what you and the millions of others have sacrificed for this nation, have chosen to exploit veterans for personal gain.

Posted by: mongo100 | Jan 17, 2008 1:56:50 PM

Must be another Dem crook stuffing stuff in his socks

Posted by: Bob | Jan 17, 2008 6:50:56 PM

A WWII Veteran from the Marine Corp thinks this is absolutely scandalous that somebody would exploit the wounded veterans. They will get their just dues.

Posted by: Betty | Jan 17, 2008 9:19:31 PM

Joe MUrphy you can keep your trash to your self.
I gave money to this group and I supported all Veteran groups. If this guy took the money he should loose all what was given for the veterans.

One thing I ask you all to do is Buy US Made products. The open door with China and others is now costing the US worker. How many of you purchased a car that was not made in the USA? When you cannot make the house payment think about the Americans that lost there job to the Walmart of the world.

Posted by: cp | Jan 17, 2008 9:59:19 PM

The I.R.S. should audit every one of them. like they do on every american citizen of USA at random.hang in there fellow shipmates.what goes around comes around!

Posted by: RBG,USN-RET | Jan 17, 2008 10:07:52 PM

Can you imagine how much all of our politicians get in money donations??? TIME
TO GET RID OF ALL THE SCUM IN CONGRESS.

Posted by: Joe | Jan 17, 2008 10:11:05 PM

This group should handcuffed and placed in front of a Veterans Tribunal and be tried for treason. If found guilty they should be bound over to a Federal Prison for life!

Posted by: matt shortt | Jan 18, 2008 8:54:41 AM

This is ridiculous! Both my grandfathers were veterans, and it is a complete disgrace this person DARES steal money to benefit himself. It enrages me that this person believes he is better than the vets he is suppossibly trying to help. To call him a person is, in fact, a compliment he doesn't deserve.

Find this liar and cheat and take all he's got. Then sell it and give the money to the veterans who actually f--ing deserve it!

They have served us...and now it is our turn to serve them.

Posted by: Patron of Healing | Jan 18, 2008 11:57:21 AM

My husband was wounded severely in Iraq. Please don't quit donating. You can go to the wounded warrior website and see the statement about them. They give 76 cents for every dollar back to the vet. They also employ wounded warriors. Baba support our troops gives ALL money raised to the veteran.Several wonderful organizations have helped us along the way. Yes, there are some bad apples but research and don't give up on our wounded. These organizations I mentioned are wonderful!!

Posted by: woundedwife | Jan 19, 2008 12:33:20 PM

Please make a list of the good charities so that I can determine if I am sending money to the right ones. Thanks

Posted by: Marion | Jan 21, 2008 2:01:42 PM

As a young man,I grew up next door to Roger Chapin and his family.The man took no salery for 10yrs.He drove a 1976 maveric and used a piece of rope as a belt.He jogged in used wingtips.True story.You may not like the numbers,but his heart has always been there.Lighten up Francis.

Posted by: djbiggs | May 28, 2008 7:50:06 PM

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