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Senate Probing Finances of Evangelical TV Ministries

posted by akornfeld | 2:14pm Tuesday November 6, 2007

By Adelle M. Banks
Religion News Service

Washington – A prominent U.S. senator is seeking financial information from some of the biggest names among evangelical TV ministries following “complaints from the public” and news reports of possible money mismanagement.
Sen. Chuck Grassley, R-Iowa, the top-ranking Republican on the Senate Finance Committee, gave the six ministries 30 days to turn over the records, according to letters sent Monday (Nov. 5).
“I’m following up on complaints from the public and news coverage regarding certain practices at six ministries,” Grassley said in a statement. “The allegations involve governing boards that aren’t independent and allow generous salaries and housing allowances and amenities such as private jets and Rolls Royces.”
The letters were sent to Randy and Paula White of Tampa, Fla.; Benny Hinn Ministries in Grapevine, Texas; Joyce Meyer Ministries in Fenton, Mo.; Bishop Eddie Long of New Birth Missionary Baptist Church in Lithonia, Ga.; Creflo Dollar Ministries in College Park, Ga.; and
Kenneth Copeland Ministries of Newark, Texas.
“I don’t want to conclude that there’s a problem, but I have an obligation to donors and the taxpayers to find out more,” Grassley said. “People who donated should have their money spent as intended and in adherence with the tax code.”
Ken Behr, president of the Evangelical Council for Financial Accountability, called the request “quite unusual” and “almost unprecedented.” He said none of the six ministries targeted are members of his Winchester, Va., organization, but he expects it will prompt
others to get their houses in order.
“I think it’s a wake-up call for everybody that financial accountability, transparency, proper accounting processes are important,” said Behr.
The letters follow investigations of the Whites by The Tampa Tribune and a 2003 St. Louis Post-Dispatch series that questioned Meyer’s financial practices.
The Whites, who recently divorced, acknowledged in a statement that they had received the letter.
“We find it unusual, since the IRS has separate powers to investigate religious organizations if they think it’s necessary,” they said. “So we find it odd that the IRS did not initiate this
investigation.”
Meyer’s ministry posted a statement on its Web site, saying that “Joyce Meyer Ministries is committed to financial transparency. We are diligently working on the presented requests and will continue to take the necessary steps to maintain our financial integrity.”
Long’s ministry also issued a statement saying he intends to “fully comply” with the request. “New Birth has several safeguards put in place to insure all transactions are in compliance with laws applicable to churches.”
Responses from other ministries could not be immediately obtained.
Information requested by Grassley included:
– audited financial statements from 2004-2006
– names and addresses of board members
– detailed explanations of compensation paid to ministry leaders
– payments to ministry leaders not reported as income to the Internal Revenue Service on Forms W-2 and 1099
– statements for credit cards used by ministry leaders for expenses paid by their ministries
– lists of vehicles owned or leased by ministries for the benefit of their leaders.
At this point, Grassley is not seeking Senate hearings, said Jill Gerber, his committee press secretary. The six ministries were asked to respond by Dec. 6.
Copyright 2007 Religion News Service. All rights reserved. No part of this transmission may be distributed or reproduced without written permission.



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Comments read comments(17)
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nnmns

posted November 6, 2007 at 2:59 pm


And this is pertinent how??



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Bob M

posted November 6, 2007 at 7:20 pm


Financial accountability is a mandatory condition for a Christian organization or a Christian. I do find it odd that there is a press release indicating these 6 ministries. There is no complaint mentioned, IRS investigation, or any thing, but a public statement calling out these ministries.
I would think it appropriate to email Sen. Grassley and ask him what the origin of the complaint is and that a public statement of investigation makes people think there is something “shady” happening within these ministries.
I find it inappropriate to voice this investigation. If there was an investigation and there is evidence of wrong doing, then a public statement (or indictment) would be appropriate.



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nnmns

posted November 6, 2007 at 7:33 pm


My comment above as to pertinence was not intended for this article. When I posted it, the article was about the death for a 90 year old Osmond.
This article is quite pertinent to religion.



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RichinTX

posted November 6, 2007 at 8:32 pm


Does Lakewood Church come to mind?Hmm’mm
?



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Henrietta22

posted November 6, 2007 at 9:23 pm


There is a longer more complete article about this on Netscape. I’ll mention one thing; Ole Anthony, a crusader against religious fraud who operates the Dallas-based Trinity Foundation, a watchdog monitoring religious media fraud and abuse. They worked for two yrs. to get their info. They went straight to Sen. Grassley with this information. This is welcomed by Ministers because Ministries lacking accountability give a black eye to churches and christians who are trying to do things the correct and legal way.



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nnmns

posted November 6, 2007 at 9:56 pm


Thanks, Henrietta. Here is a somewhat more complete story.



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Henrietta22

posted November 6, 2007 at 10:31 pm


Interesting, really lays out the info. Thanks, nnmns.



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JohnQ

posted November 6, 2007 at 10:39 pm


Bob M-
I do not find this investigation odd at all. Long over due perhaps…but, not odd.
I have no problem with Creflo and Taffi driving Rolls Royces. Nor, with Paula White giving Bishop TD Jakes a Bently…nor, with most of these ministries having private jets…and, certainly we should not deny these people a place (or, places as the case may be) to lay their heads at night. Ones home is certianly more private than a hotel. Paula certainly does look nice….I doubt she wears more than $5k – $10k in clothes and jewelry at any one time. Certainly Richard and Lindsay Robert’s daughter deserves a graduation party with her friends.
My only problem with any of this is that these ministries are not paying taxes on this income. There are churches and there are big businesses….these ministries are certainly big businesses. Add to them Jerry Falwell’s group, Pat Robertson’s group, and the list goes on and on.
Again, I have no problem with these groups….however, I do believe they should pay taxes and I believe that the people who donate deserve to know what their money is being used for.
Let me be clear, I am not advocating that all churches/church groups pay taxes. Churches that provide services and seek donations to support these services should be tax exempt. Those that are in the business of providing services so that they can seek donations to support their leaders should pay taxes on all this revenue.
Peace!



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jestrfyl

posted November 6, 2007 at 11:24 pm


This has got to sting even more because a Republican is the prime shaker of their money trees. HAH! It is about time these frauds were caught.
Sadly, many of the people to whom they will appeal for “defense funds” are the same folks who donate so heavily already. I hope someone devises a way to block them from any more requests for money. What is truly sad is that many of their supporters will never be shaken from the belief of the cons innocence. Without accountability there is no hope for integrity. Is it any wonder that a few of these goats are on the Board of Directors of Oral Roberts Univ.?
“Wait, I think I hear a knock at the door. Bobby, would go go let that nice dressed man in. Now why do you suppose Bobby went running out the back and jumped into his Escalade?”



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JohnQ

posted November 7, 2007 at 11:16 am


Funny, there was an article a few days back about a UMC minister that changed her physical gender to match his mental gender. And, there was some condemnation by a few posters. Including a discussion about vanity and money spent that could/should have been spent by those in need. The amount of money involved was probably less than $100,000
How funny, these ministers listed above are all millionaires. Self made millionaires. Thier ministries/businesses each take in more than $100,000,000 a year. Each of the ministers are compensated…by their ministries/business more than $1,000,000 a year.
So, what do I think is funny? Where are the posters who wish to condemn others for vanity and use of money?
For the record, I have no problem with millionaires. I have great respect for self-made millionaires. And, I have no problem with the ministers listed above operating their businesses. Nor, do I have a problem with them employing their families within their ministries/businesses.
I do have a problem with their business revenues not being taxed…and, I do wonder why some posters are silent on this article.
Could it be because it does not involve non-heterosexuals….so, it is just not as exciting? (to some)
Peace!



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Phoenix

posted November 7, 2007 at 12:47 pm


I once worked at a strictly evangelical Christain fundraising HQ, and they did POLITICAL fundraising. This is against Church-State tax exemption rules. I hope they roast these people!



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Ron Rogers

posted November 7, 2007 at 2:41 pm


One of the best things that could ever happen to the Church in the US … lift the tax exempt status. Then donors would not get tax deductions. Donations would then be a reflection only of the individual’s love for Christ and the ministry’s perceived effectiveness and not part of an income tax savings strategy. Many ministries and churches would collapse under the weight of their own misguided profligacy. And the state would not be subsidizing the church.
That’s what I think. And I’m a minister.



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jestrfyl

posted November 7, 2007 at 3:09 pm


Ron Rogers,
I, too, am a minister, and i agree with you. Eleminating the tax deduction also frees the wider church from such goofy ideas as Faith Based assistance rather than the honoring one of the most basic expectations of government. This is not a popular notion with our collaegues, but I think it is the more honorable path. It also frees us from having to help our members and donors from deciding what is deductable and what is not – too arcane and confusing even for theologically oriented minds.



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mnwillems

posted November 7, 2007 at 7:01 pm


1. If the ministries listed have been criminally negligent in the way they conduct business, then they should pay whatever penalty is appropriate.
2. Ministers are not exempt from paying income tax.
3.In most states, religious congregations do not pay property tax. That applies whether the congregation is Christian, Jewish, Muslim, or Wiccan.
4. One wonders if the organizations in question were not “Christian” whether Sen. Grassley would be quite as anxious to investigate. Seems to me there might be a better way to spend my tax dollars (see#2) than running this sort of investigation.



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Anonymous

posted November 7, 2007 at 9:04 pm


mnwillems-
One wonders if the organizations in question were not “Christian” whether Sen. Grassley would be quite as anxious to investigate.
Great question….but, one really does not need to wonder too much about this. Sen Grassely also led a tax based investigation of the American Red Cross and the Nature Conservancy. Further, since the Senator is Baptist…unless you are suggesting he is a self-loathing Christian…I doubt the fact that these ministries are Christian has anything to do with it.
You do realize that the organization that lodged the complaints regarding these ministries with the Senator is a Christian watch-dog organization…don’t you?
Peace!



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jestrfyl

posted November 8, 2007 at 10:17 am


This Grassley fellow is worth some though and investigation. He seems to have a clear sense of purpose and a clearer sense of what an organization should be doing. I will look for more information about him now and then. He certainly sems to have no political/philosophical ax to grind. I am impressed he swings his ax over both shoulders.



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pagansister

posted November 9, 2007 at 12:58 pm


If indeed the organizations are on the “up & up” with nothing to hide, then a little checking on their finances should be no problem. I have a large problem with the so called Christian groups (mostly their “ministers”) taking all the money given to “spread Christ’s message” being used to line their own pockets and live high on the hog. Wearing expensive clothes, living in huge MacMansions, and driving very, very expensive cars helps spread the “holy word” how?



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