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Organ Bank Questions Fundraising Tactic

Files Complaint Against Florida-Based Group With Attorney General

POSTED: 5:55 pm EDT March 25, 2008
UPDATED: 6:31 pm EDT March 25, 2008

Team 5 Investigates Janet Wu has confirmed that the New England Organ Bank is asking the attorney general to investigate a Florida group making telemarketing calls all across the country.

The Organ Donation and Transplant Association of America, Inc., claims its goal is to raise awareness of organ donations, but the NEOB is questioning how donations are spent.

VIDEO: New England Organ Bank Questions Fundraising Tactic

"It appears although their name talks about organ donation and transplantation, their latest information from the IRS shows none of the their money goes to organ donation and transplantation," said Sean Fitzpatrick, director of public affairs for the NEOB.

ODTAA's IRS return shows nearly all their money spent in 2006 went to the Philippines. Allan Weinberg, the president of ODTAA, told Team 5 Investigates it was a goodwill shipment of computers, wheelchairs and medical supplies, but that his group's main concern is organ donations in the United States, as its Web site advertises.

Fitzpatrick's questions don't end there. Weinberg confirms they raise money through phone solicitations using the telemarketer Xentel.

"Attorneys general in a number of states have either filed lawsuits or, as in South Carolina, they have banned Xentel from solicitations, from doing business in that state for a number of years," said Fitzpatrick.

South Carolina's secretary of state shared a copy of a signed agreement between the state and Xentel with Team 5 Investigates, confirming that Xentel was fined $100,000 and is prohibited from making calls until 2009.

Weinberg said he is unaware of any problems with Xentel, and he is very happy with the company, which is based in Canada. Canadian regulators have accused Xentel of misleading donors there over the years.

"Given the background of this organization, we have the right to know how the money is spent," said Fitzpatrick. "Until we get more answers, it would be wise for people to use extreme caution if they are called by this organization."

The New England Organ Bank said most credible donor groups do not solicit for money by telephone.

NEOB's complaint, filed with the attorney general, accuses ODTAA of hiding marketing costs in its IRS filings. Weinberg flatly denied that charge.

Attorney General Martha Coakley's office told Team 5 Investigates they haven't had any complaints against the Organ Donation and Transplant Association until now.

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