[grc] California Attorney General To Audit Pacifica
MichaelP
papadop at peak.org
Sun Dec 28 07:59:40 PST 2014
I'm posting this in the interest of transparency.
it originates because several Pacifica members complaiined to the
Cal AG Charities division, The Cal AG has responed by demanding 23 listed
Pacifica Foundation documents which are in any case mostly subject tto
inspection by Pacifica Foundation members
MichaelP
GRC's alien, anarchist and atheist ex-listcop
United for Community Radio The Latest with Context
>From Richard Uzzell, Pacifica Board of Directors, KPFT Listener Rep.
Announced publicly on December 23, 2014
The Pacifica Board of Directors was informed today by IED, Margy Wilkinson
of a December 17, 2014 letter (sent almost a week earlier) from California
Deputy Attorney General, Julianne Mossler,
for Kamala D. Harris, Attorney General.
This was the first that the Board (as a whole) was informed of this
letter the California Attorney General and the action it is taking toward
the Pacifica Foundation Radio.
It is the Cal AG's duty to supervise charitable organizations under
California Corporate Code section 5250, and Government Code section 12580
through 12599.8.
One of the ways the AG performs this duty is by
conducting audits of charitable organizations.by
requiring Pacifica to provide multiple documents. specifically for the
years 2010 thru 2014
1. Articles of Incorporation and any amendments
2. Bylaws, and any amendments
3. Names, addresses, telephone numbers and email addresses of all members
of the national board of directors and all corporate officers from January
1, 2010, identifying each by position and term.
4. IRS form 1023 and proof of tax-exempt status from the Internal Revenue
Service and CA Franchise Tax Board
5. Complete minutes, including attachments and reports, of all meetings of
the board of directors and board committees, including any resolutions
passed, from January 1, 2010 to the present.
6. 990 forms from January 1, 2010 to the present.
7. Form RRF-1 and filings with the CA AG from January 1, 2010 to the
present
8. Financial statements, including income statements and balance sheets
from January 1, 2010 to the present.
9. General ledgers (if maintained electronically, please send electronic
files) from January 1, 2010 to the present
10. Bank statements for all checking, savings, and investment accounts
from January 1, 2010 to the present.
11. Canceled checks for all checking, savings and investment accounts from
January 1, 2010 to the present.
12. Records of all donations and grants received by PFR, including but not
limited to donations received via Twitter, Facebook and Pacifica's
websites, from January 1, 2010 to the present.
13. Receipts and itemized expenditure journals documenting expenses, from
January 1, 2010 to the present
14 All written policies, procedures, internal training manuals and
documents related to solicitations including solicitation scripts,
question and answer sheets, brochures or promotional materials used in
soliciting donations and audio records of fundraising solicitations from
January 1, 2010 to the present.
15. Correspondence and documents related to donations from the public,
including restrictions on the use of those donations from January 1, 2010
to the present.
16. Identify and produce all complaints and donation cancellation requests
along with the name, address, telephone number and email address of the
requesting party from Jan 1, 2010 to the present.
17. A list of any loans made by PFR and documents related to those loans,
including name, date, amount, purpose, copy of the note, terms of the
loan, board minutes detailing the discussion of the loan, and a payment
schedule, from January 1, 2010 to the present.
18. A list of any loans made to PFR and documents related to those loans,
including name, date, amount, purpose, copy of the note, terms of the
loan, board minutes detailing the discussion of the loan, and a payment
schedule (from January 1, 2010 to the present).
19. A list of any self-dealing transactions (transactions in which a
member of the board or an employee has a financial interest, with the
date, parties, amount and purpose and board minutes of the discussion from
inception.
20. W-2 forms of all employees including board officers from January 1,
2010 to the present.
21. A list of employees, consultants, officers and board members and the
amount of salary and wages paid to each from Jan 1, 2010 to the present.
22. All policies and procedures related to fiscal controls
23. All policies and procedures related to governance.
BERKELEY-In response to a March 2014 complaint from 8 former board members
who served on the Pacifica National Board between 2008 and 2013, the
Registry of Charitable Trusts, the division of the California AG that
supervises California nonprofit organizations, has launched a
comprehensive audit of Pacifica Radio's accounting and compliance
functions. The scope of the initial document request is broad and
encompasses most financial records from the past five years of operations.
(see list below).
The Attorney General defines their charity oversight purpose as:
The Attorney General regulates charities and the professional fundraisers
who solicit on their behalf. The purpose of this oversight is to protect
charitable assets for their intended use and ensure that the charitable
donations contributed by Californians are not misapplied and squandered
through fraud or other means.
The reckless and foolhardy actions of the rogue board majority,
who threw out an executive director with a 3 year contract and rehired a
CFO who had been removed for poor performance, were followed by 10 months
of aggressive non-compliance with legal reporting requirements including
the failure to produce an audit [1] 15 months after the close of the
fiscal year (in violation of the Nonprofit Integrity Act [2]), failing to
amend erroneous tax returns [3], and the issuance of only one incomplete
profit and loss statement.
[4]
The inability of the 2014 board
to supervise the executives they installed (unelected board chair
Wilkinson and CFO Salvador) in the basics of legally operating a nonprofit
organization has opened the door for government interference in Pacifica's
operations.
The ongoing audit is likely to prevent any immediate action towards
network dissolution or the sale of license and/or real estate assets.
Here is a list of the 23 sets of documents requested by the
California Attorney General
BERKELEY-In response to a March 2014 complaint from 8 former board members
who served on the Pacifica National Board between 2008 and 2013, the
Registry of Charitable Trusts, the division of the California AG that
supervises California nonprofit organizations, has launched a
comprehensive audit of Pacifica Radio's accounting and compliance
functions. The scope of the initial document request is broad and
encompasses most financial records from the past five years of operations.
(see list below).
The Attorney General defines their charity oversight
purpose as: The Attorney General regulates charities and the professional
fundraisers who solicit on their behalf. The purpose of this oversight is
to protect charitable assets for their intended use and ensure that the
charitable donations contributed by Californians are not misapplied and
squandered through fraud or other means.
The reckless and foolhardy actions of the rogue board majority,
who threw out an executive director with a 3 year contract and rehired a
CFO who had been removed for poor performance, were followed by 10 months
of aggressive non-compliance with legal reporting requirements including
the failure to produce an audit [1] 15 months after the close of the
fiscal year (in violation of the Nonprofit Integrity Act [2]), failing to
amend erroneous tax returns [3], and the issuance of only one incomplete
profit and loss statement.
[4]
The inability of the 2014 board
to supervise the executives they installed (unelected board chair
Wilkinson and CFO Salvador) in the basics of legally operating a nonprofit
organization has opened the door for government interference in Pacifica's
operations.
The ongoing audit is likely to prevent any immediate action towards
network dissolution or the sale of license and/or real estate assets.
Here is a list of the 23 sets of documents requested by the
California Attorney General
1. Articles of Incorporation and any amendments
2. Bylaws, and any amendments
3. Names, addresses, telephone numbers and email addresses of all
members of the national board of directors and all corporate officers from
January 1, 2010, identifying each by position and term.
4. IRS form 1023 and proof of tax-exempt status from the Internal
Revenue Service and CA Franchise Tax Board
5. Complete minutes, including attachments and reports, of all
meetings of the board of directors and board committees, including any
resolutions passed, from January 1, 2010 to the present.
6. 990 forms from January 1, 2010 to the present.
7. Form RRF-1 and filings with the CA AG from January 1, 2010 to
the present
8. Financial statements, including income statements and balance
sheets from January 1, 2010 to the present.
9. General ledgers (if maintained electronically, please send
electronic files) from January 1, 2010 to the present
10. Bank statements for all checking, savings, and investment
accounts from January 1, 2010 to the present.
11. Canceled checks for all checking, savings and investment
accounts from January 1, 2010 to the present.
12. Records of all donations and grants received by PFR, including
but not limited to donations received via Twitter, Facebook and Pacifica's
websites, from January 1, 2010 to the present.
13. Receipts and itemized expenditure journals documenting
expenses, from January 1, 2010 to the present
14 All written policies, procedures, internal training manuals and
documents related to solicitations including solicitation scripts,
question and answer sheets, brochures or promotional materials used in
soliciting donations and audio records of fundraising solicitations from
January 1, 2010 to the present.
15. Correspondence and documents related to donations from the
public, including restrictions on the use of those donations from January
1, 2010 to the present.
16. Identify and produce all complaints and donation cancellation
requests along with the name, address, telephone number and email address
of the requesting party from Jan 1, 2010 to the present.
17. A list of any loans made by PFR and documents related to those
loans, including name, date, amount, purpose, copy of the note, terms of
the loan, board minutes detailing the discussion of the loan, and a
payment schedule, from January 1, 2010 to the present.
18. A list of any loans made to PFR and documents related to those
loans, including name, date, amount, purpose, copy of the note, terms of
the loan, board minutes detailing the discussion of the loan, and a
payment schedule (from January 1, 2010 to the present).
19. A list of any self-dealing transactions (transactions in which
a member of the board or an employee has a financial interest, with the
date, parties, amount and purpose and board minutes of the discussion from
inception.
20. W-2 forms of all employees including board officers from
January 1, 2010 to the present.
21. A list of employees, consultants, officers and board members
and the amount of salary and wages paid to each from Jan 1, 2010 to the
present.
22. All policies and procedures related to fiscal controls
23. All policies and procedures related to governance.
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