In 2012 there was a change in leadership at Giving Children Hope. During this transition period, Giving Children Hope maintained the accounting processes that had been in place for years, including how pharmaceuticals for its international RX program were valued. This valuation process was audited every year by a third party CPA. When the California Attorney General inquired about its RX valuation processes in June of 2017 and raised questions about its integrity, Giving Children Hope voluntarily terminated the RX program. In addition, the GCH Board of Directors immediately severed its relationship with the noted CPA and implemented new best practices.
The terms of a settlement between the California AG and Giving Children Hope were agreed upon last year with Giving Children Hope’s insurance carrier agreeing to pay $400,000 to cover the Attorney General’s attorney fees and costs incurred during its investigation. Those funds were not paid from donated dollars or program funds. There were no fines or penalties levied against Giving Children Hope.
2018 marked 25 years of service to families in crisis both across the street and around the world. Most recently Giving Children Hope has responded to the California Wildfires, Hurricane victims in North Carolina and Venezuelan’s fleeing the economic crisis in their homeland. Locally we continue to feed 4,500 people in Orange and LA Counties every week with nutritious food. Giving Children Hope is committed to growing and strengthening our transparency and accountability with our donors, partners, and those we serve so that we can continue to positively impact children and families in crisis.