Evening star., 1941-10-22
Bill |sAimed
Al Questionable
Charities Here
Solicitation Would
Be Investigated to
Protect Public

A bill designed to drive out of th'
District questionable charity organi
cations which are believed to b.
fleeing the unsuspecting public ou
of thousands of dollars a year, ha
been introduced by Representative
Stefan, Republican, Of Nebraska.
Chaotic condition of solicitation
for asserted charitable purposes by
little-knoWn organizations was re-
vealed by a series of articles in The
Star last year.
The Better Business Bureau has
advocated some form of regulatory
legislation consistently A spokes-
man said today the bureau welcomed
consideration of a measure such as
Mr.. Stefan's although it was not in
dorsed specifically The spokesman
pointed out that the agency has
attempted continuously u persuade
the public not to give money to any
solicitor without investigating, but
has realized that many citizens are
willing to part with small sums
WIlnOuL making CIeCk.
WiIlett Ind0rses Plan.
Herbert L. Willett. jr., director of
the Community Chest, commented
mo reputable social agency can
fail to profit by the intelligent en-
forcement of such a law On the
contrary, when out-oftoWn pro-
moters can no longer fill their
pockets with money paid for tickets
to benefits which net only small
percentage for the sponsoring
charity, and when organiza tions that
are top-heavy with expense or are
actual fakes can no longer collect
money by using fairy tales to entlce
gifts from credulOuS people: then
the social agencies which deserve
public support will be better sup
ported. and generous Washington
ians will save the money they now
give to charity raCketeers.
"Of course. every member agency
Of the Community Chest should be
licensed like all others and would
have nothing to fear in presenting
Its credentials"
Mr.. Stefans bill would require
any organization, agency or in
dividual soliciting funds or dona-
tions or selling any publication,
tickets. subscriptions or any other
thing "on the actual or implied
plea" that the proceeds or any
part thereof are for charitable, civic,
patriotic, benevolent, religious, edu-
cational or philanthropic purposes
to procure certificate of registra-
ton from the Commissioners.
Applicants for such a certificate
would be required to furnish the
Commissioners with complete and
verified information as to the pur-
pose of the organization. distribu-
ton of the funds collected, person.
mel of the organization, salaries and
commissions and the purpose for
which the solicitation is to be made.
Investigations Provided.
Before issuing the certificate. the
Commissioners would be required to
have an investigation made to find
out whether statements contained
in the application are true and
whether the applicant and the off,
GERS and directors of the organiZa-
ton "are persons of good character -
The Commissioners would be given
the privilege of examining the books
and records of the organization and
the inspection of all quarters either
used or occupied by the applicant.
The bill specifically stipulates
that no certificate shall be issued
unless the Commissioners first Hflnd
out that the statements in the ap-
plication for registration are true,
complete and accurate: that the off,
GERS and directors are persons of
good character; that the activities
Gncluding the application of its
funds will tend substantially to
further a worthy object or purpose,
free from an element of private
gain other than reasonable COM
pensation for services rendered, and,
in addition, that said activities will
be in no wise inimical to the public
welfare, safety or morals of the
community. ""
Right of Appeal Included.
The Commissioners would be au-
thorized to hold hearings before
refusing an application. An appli-
cant whose application is refused
would have the right of appeal to
the United States court for the
District. Holders of certificates
would be required to file reports
with the Commissioners at least
once year.
The proposed law would not re-
ouire the registration of organiza-
tions that would be the beneficiary
of the proceeds collected, Neither
would it apply to solicitations made
at the instance of the Federal or
District governments.
The bill provides for the creation
OF a Charities Advisory Committee
of not more than nine members
appointed by the Commissioners to
aid and advise them in enforcement
of the proposed law Members of
the committee would have to be
residents of the District and all of
them with the exception of the sec
retary of the committee would serve
without compensation. The bill de-
clares the secretary may be a men,
Der of the Board of Public Welfare.
Warns of "Racketeers."
The proposed law would become
effective so days after its enact
ment.
Representative Stefan, ranking
minority member of the Appropria-
tons Subcommittee which handles
the District supply bills, said he in
troduced the measure yesterday
after an investigation of question
able organizations here and confer
ences with representatives of va
rious legitimate charitable organiza-
tions and members of the District
Legislative Committee of the House.
The purpose of my bill" he said,
"is to protect legitimate charitable
organizations and the public. Now
that the Community Chest, which is
doing such wonderful work, is about
to call on the public, it ought to be
protected against the racketeerS who
come here to fleece charitably in
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