Tennessee Cancer Charity Spent Millions On Vacations And Other Perks, Federal Suit Claims

A federal lawsuit is taking aim at a group of Tennessee charities that officials say siphoned off money meant for cancer patients and their families.

The Knoxville-based Cancer Fund of America and three related charities are accused of diverting 85 percent of the $187 million they raised. Much of the money was spent on fundraising, executive pay and perks like jet ski rentals, cruises and concert tickets.

“Sometimes they would even use it to fund lavish trips to Disney World, instead of supporting patients they claimed to help,” said
 Tennessee Secretary of State 
Tre
 
Hargett.
 ”This fraud will not be tolerated in Tennessee or anywhere else.”

Hargett announced Tuesday that
Tennessee has joined the other 49 states, the District of Columbia and the Federal Trade Commission in suing the Cancer Fund of America and three spin-off nonprofits: Cancer Support Services, Children’s Cancer Fund of America and the Breast Cancer Society. All four were
run by Cancer Fund founder James Reynolds, Sr., his relatives and close associates.

The Cancer Fund gained notoriety in 2013, when the Tampa Bay Times named it
the second-worst charity in America.

The newspaper says donors were told their money would be spent on items like clothes and toiletries for cancer patients, as well as hospice treatments for dying children. 
Instead, patients and their families
were given Little Debbie snack cakes
and sample-size soaps.

Two of the charities — Children’s Cancer Fund and the Breast Cancer Society — have already agreed to settle the complaints against them. Proceeds will be redirected to legitimate nonprofits, Hargett said.