'Whenever there's a natural disaster, there will be people trying to play on others' desperation,' says the Division of Consumer Affairs' acting director
A man and his sister stand before their broken house, destroyed by the tsunami at Rikuzentakata in Iwate prefecture on March 17. The official number of dead and missing after a devastating earthquake and tsunami that flattened Japan's northeast coast has hit 14,650, police said, a rise of nearly 1,000 in just a few hours. At first glance, the passionate e-mail message seeking donations to help victims of Japan's earthquake and tsunami seem above board. It cites a recent campaign from Save the Children, the internationally recognized humanitarian organization. And it appears to be issued by the group’s leader in Sendai, the Japanese city devastated by the disaster.
"We have a team in Japan and are responding to the needs of children," the message reads.
But there are warning signs as well. The message requests a minimum donation of $300. It asks for personal information to be sent to an AOL account. And it wants the money wired through Western Union to the Philippines.
"No legitimate charity would ask you to wire money," said Tracy Thorleifson, a lawyer with the Federal Trade Commission who has been targeting scam charities for about 20 years.
So when she received the e-mail message in her personal account this week, it immediately raised alarm bells. Natural disasters can lead to an outpouring of support for the afflicted, but they also create an opportunity for scams, Thorleifson said. It’s a low-risk, high-reward crime.
"It’s so cheap to do it," she said. "It doesn’t need to be wildly successful to make money."
In New Jersey, the acting director of the Division of Consumer Affairs, Thomas Calcagni, said investigators are on high alert.
"This is prime time for fraudulent charity scams," he said. "Whenever there’s a natural disaster, there will be people trying to play on others' desperation."
State investigators fanned out in Bergen and Hudson counties yesterday, putting up posters and handing out fliers in several languages about how to spot scams, he said.
It’s easy to create a professional-looking web site and send out blast e-mail messages seeking money. For that reason, Calcagni said, it can be hard to crack down on fake charities.
The message Thorleifson received is one example, he said, because it co-opts an authentic organization.
"That is sophisticated and despicable all at once," he said. "One of the warnings we give people is, don’t fall for the legitimate-sounding names."
Calcagni said it’s impossible to know just how widespread scam charities are, but that in the wake of Japan’s catastrophes his division is beginning to receive complaints.
He urged residents to examine the purported programs carefully before donating money.
This would not be the first time Consumer Affairs has targeted bogus or poorly run charities.
The state filed a lawsuit in 2009 against a Kinnelon charity and accused it of spending $75,000 on mortgages as well as restaurant and medical bills instead of helping stricken 9/11 rescue workers.
In 2006, authorities collected countertop canisters soliciting donations for animal welfare charities, saying the money wasn’t going toward caring for animals.
All charities seeking donations in New Jersey must be registered with the state. Calcagni asked residents with questions to call (973) 504-6215 for more information.
"As the weeks roll on," he said, "more of these scams will surface."
Previous coverage:
• N.J. charitable groups raise Japan earthquake relief funds to help victims
• Japanese Fukushima Daiichi, N.J. Oyster Creek nuclear plants use same reactor design
• Japan nuclear plant has second explosion, injuring 11 workers
• Japan struggles to contain escalating nuclear crisis after devastating earthquake, tsunami
• Japan's nuclear crisis continues as 10,000 feared dead
• Nuclear reactor likely partially melting down after Japanese earthquake
• Princeton University professor describes downtown Tokyo after deadly earthquake
• Massive military-led rescue operation launched in Japan; official death toll climbs to 413
• Residents of Hawaii, California brace for tsunami following massive earthquake in Japan
• Major earthquake, 23-foot tsunami rock Japan, killing at least 32
• Large tsunami hits Japan after powerful earthquake strikes
• Massive earthquake strikes eastern Japan; tsunami warnings issued