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Returning a gift if the donor commits a crime

Should a charity give back a major gift if the donor is found guilty of a crime?
(See our September 26/05 Newsbyte about Queen's University returning a gift from David Radler)


The situation with Radler and Queen's University is quite unfortunate. The law makes it difficult to return a charitable gift, but the university has a wing named after a convicted criminal.

Better gift acceptance policies could reduce the likelihood of such situations. Many charities do less research on potential corporate gifts than the corporation does on them! So gifts are sometimes accepted from people and corporations that have already acted in ways that violate the charity's values. Partnership screening would be a worthwhile investment.

Canada Post usually waits until after a person's death to put them on a stamp, no matter how well-regarded or noteworthy a person is. Charities could guide donors seeking name recognition more strongly towards recognizing elderly or departed relatives rather than themselves.

The university could also contact Radler about changing the name of the wing to that of an ancestor, to reduce the embarrassment. There are tax problems for him too if the monies are returned, so he might be willing to discuss options.

-- Jane Garthson
Mills Garthson & Associates
Toronto, ON

Queen's University is to be applauded for doing the right thing. In today's world, too many people in business and politics believe it is okay to break rules and run their own game. Unfortunately some people get so caught up in their lies that they believe them themselves. We should teach the future generations that breaking rules has consequences and enforce strict penalities.

-- Judith Hayes
Lindsay, Ontario


Sometimes, doing the right thing isn't what's easiest for you or the organization. The money is potentially tainted. By keeping the donation, the question of should they/not will be discussed forever.  (As it is, this will be an excellent case study in business ethics classes). By returning the gift, the incident will quietly go away but when it is recalled, it will be with, 'wow, Queen's walks the walk on integrity'.

-- Bernadette A. Secco
Executive Director, FRESH AIR COALITION
Fort Erie, ON
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