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This business has 1 alert.
Government Actions
File No. 2016-0158680-A
The following information was provided by the Michigan Attorney General:
Michigan Attorney General Bill Schuette today announced a Notice of Intended Action and Cease and Desist Order against professional fundraiser Golden Recyclers, Inc., alleging over 2,000 violations of the Charitable Organizations and Solicitations Act.
“Michigan citizens are generous, especially around the holidays,” said Schuette. “I won’t tolerate companies that exploit that generosity for private gain. Not only does it harm donors, it also harms those charities that play by the rules by diverting donations from their charitable programs—donations they especially need during the holidays.”
Schuette alleges that the Dearborn-based professional fundraiser is illegally operating clothing donation bins and misrepresenting what happens to the donated items. Golden Recyclers currently operates 318 bins throughout Michigan, largely in the Metro Detroit area.
Golden Recyclers operates two differently labeled types of bins, both of which violate the Act. The first type of bin implies that it collects clothes for the charity, Cancer Federation, Inc.; the second type of bin is deceptively labeled with the logo “Mercy” but provides no indication where those donations go. In truth, donation to either bin do not go to charity but to the professional fundraiser, Golden Recyclers.
The Notice of Intended Action alleges 2,594 violations, with maximum penalties of $10,000 per violation. It also orders Golden Recyclers to cease and desist these violations and gives them twenty-one days to resolve the matter or face a civil action in court. Concurrent with the Notice of Intended Action, the Attorney General is also ordering Golden Recyclers to produce information and financial records regarding its operation of the bins.
You may review the Notice of Intended Action and the Cease and Desist Oder in its entirety at https://content.govdelivery.com/attachments/MIAG/2016/12/20/file_attachments/722379/Notice%2Bof%2BIntended%2BAction.Final.12.15.16.with.exhibits.signed.pdf
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