Yesterday, a Washington Post guest column suggested that the lesson of the Oxfam and related sexual misconduct scandals at nonprofits is that the sector should be better regulated—like for-profits. Apparently, the authors believe for-profits face greater regulation and accountability than nonprofits, a dubious conclusion at best.
When fraud or mismanagement occurs in the nonprofit sector, negative effects accrue to other nonprofits in terms of public confidence. This is why regulation matters—and nonprofits are increasingly supportive of a clear, strong, regulatory infrastructure.
As New York’s attorney general, Eric T. Schneiderman is especially active when it comes to the nonprofit sector. His current actions against the Trump Foundation are no more than any other nonprofit might expect were it to openly flout regulations.
With years of experience under her belt working with state charity regulators and enforcement communities, Cindy Lott looks at the directions in which the complex regulatory environment is moving and how nonprofits can expect to be affected by the shifting landscape. This is an important article for all nonprofits and part of a series drawn from our print publication.
Over the next few weeks, we will be running an important, five-part series on the new nonprofit regulatory environment, which will include articles on the IRS, state regulatory mechanisms, and the trends on a global level. In this first article, Jon Pratt discusses the balance that must be struck in nonprofit regulation, a balance that both jealously protects our First Amendment rights and also requires the best of this sector as stewards of the public trust.
Greenpeace India has won some breathing room in its ongoing fight with the Indian central government. The Delhi High Court has ordered the government to unfreeze two of the charity’s domestic bank accounts.