What does the Attorney General investigate?
Some of the problems frequently investigated by the Attorney General include: • self-dealing transactions either between a director and the public benefit corporation, or by trustees; • loans by a corporation to a director or officer; • loss of substantial corporate funds or assets during one year; • losses of charitable assets through speculative investments; • excessive amounts paid by a public benefit corporation or charitable trust for salaries, benefits, travel, entertainment, legal and other professional fees; • sale of a charity or conversion of a public benefit corporation to for-profit status (authorized by statute under restricted conditions) at a price that is unfair to the charity; • illegal use of charitable funds; and • diversion of charitable funds from their intended purpose. The Attorney General also investigates allegations of criminal activity by charities. Persons with complaints of criminal activity by a charity should also contact the local district attorney.
