Other forms of scam

[dieseltojo]

Charity or clever accounting. Yet I don't see any charges laid.

http://www.msn.com/en-au/news/australia ... spartandhp

A so-called charity that spent more than $1 million on luxury cars, overseas jaunts and gambling in the name of research has lost its appeal to keep its tax-free charitable status.
The Federal Court struck out an appeal from The Study and Prevention of Psychological Diseases Foundation (SPED), which was fighting the Australian Tax Office over the loss of its charity tax concessions and deductible gift recipient for its work to study the "ideal human environment".
The Brisbane-based foundation, which was founded by James Salerno Snr, purchased a Rolls-Royce for about $695,000, a $100,000 Hummer, and a $300,000 Ferrari for what it claimed was research
Other costs include travelling to India to attend a wedding and gambling as part of research into "understanding thought processes and addictive behaviour from engagement in games of chance".
The foundation's membership was stacked by members of Mr Salerno 's family, who paid their entire salaries into the foundation and therefore paid no income tax. Their everyday living expenses, such as housing, food and travel, were paid for by the foundation.
The Court upheld an earlier decision by the Administrative Appeals Tribunal, which concluded the foundation was "neither a charitable institution nor a health promotion charity".
The tribunal was scathing of the foundation in its decision, saying "nothing has made its way into, or even been submitted to, any medical or other journal".
Federal Court Justice Andrew Greenwood said in his ruling that SPED's research only had educational value to "a very limited class of people".
SPED claimed its members, of whom 11 of its 21 shared the Mr Salerno's surname, worked 24 hours a day, seven days a week as "research guinea pigs".
No members were required to hold any qualifications in social science research or psychology.
Its financial records for 2009 reveal that research expenses totalled $761,052 but no money was spent on study. At the time, it held total assets worth $10.6 million and liabilities of $3.1 million.

[TeddyGQ]

And chances are it would be one of many to be doing the same. Problem today is there are so many "Charities" and "Foundations" that are taking good money but the chances of it getting to those in need are slim.

I am now my own "Charity" and since "Charity begins at home", I only donate to me, not that I have any spare money to donate.

Another thing. Why do so many "Ex" sports people now find the need to start a charity in their name? Me thinks they suffer from ADD. Attention Deficit Disorder. They now have a deficit in attention which causes them to have a disorder.