Have Legal Questions? Ask a Lawyer Now.
It is going on for 20 years. It is a medical charity organisation. He is refusing to submit accounts to audit. he is refusing to even show accounting to anyone. He has some friends in Executive board who support him and suffocate all wo wants to investigate.I found out about it when he himself admitted that he is doing it,in last board meeting of which I am a member.
Nothing has been done and I want to know what can I do?
Yes I am on the board. Only he knows why it was not setup for credit card transaction.Yes I understand that it is routine. Maybe he is an outright embezzler? I want your suggestions as to what legal route I can take.
Thank you for your patience. There are a couple of options that are available to you.What you would need to do is evaluate the articles of operation to see whether or not a board member is able to motion for a formal accounting and a review, and then have the board rule upon such a request. That is one option of how to compel the information from accounting since for a non profit especially this is what really defines whether or not the 501(c) can maintain eligible . Another may be to review the bylaws and see the procedure in seeking a formal request to the board for information. Finally there is a threat of lawsuit and a claim of a breach of fiduciary duty followed by a court-issued subpoena to disclose records. The latter is obviously fairly unlikely but it would be the step to take if the other party is refusing to adhere to Board demands. Hope that helps and please let me know if you would like me to expand in greater detail on any of the options I mentioned.
He is not giving copies of bylaws to us. How do we go to court / Ask a lawyer to file a lawsuit?
Thank you for your follow-up, Bharat.As this is a non-profit, by law it must be represented by an attorney. You would need to retain counsel, consider browsing the listings at www.avvo.com and www.martindale.com for competent counsel. Then, as members of the board of the non-profit you would have the authority to file such a suit against the other party and seek the records via subpoena.Good luck.
DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.
The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).