Fraud

Two Nevada nonprofits say they have fallen victim to large scale fraud by nationwide fundraising platform Flipcause.

The Oakland-based company helps small nonprofits manage donations from a single dashboard.

Flipcause has delayed transferring donated funds to nonprofits nationwide — and has now filed for bankruptcy.

The Down Syndrome Network of Northern Nevada says they are unable to access $33,602.  

Executive Director, Christina Ugalde said,

“It is truly heartbreaking to know that all the efforts of our families and supporters for our biggest fundraisers could be wiped out by the greed of those entrusted by thousands of nonprofits to help serve our communities.”  

The JUSTin Hope Foundation has over $8400 in fund held in limbo by Flipcause.  

In a statement Justin Hope Foundation Founder Arthur Reitz said, 

“We just held a community drop in Pickle Ball Fundraiser in October, the majority of our sponsors and donations were made through Flipcause.  We may never see any of those donations come to us, so the community suffers as a result."

In November, California Attorney General Rob Bonta sent a cease-and-desist order to Flipcause demanding an immediate stop to all its operations. 

Affected nonprofits are being encouraged to file a complaint with the California Department of Justice as well as their own state.