Free Republic

United Way of the Bay Area is legally responsible for a nonprofit it spun off to process hundreds of millions of dollars in charitable contributions and must pay $4.78 million to a company left holding the bag when the nonprofit collapsed in 2003, a San Francisco judge has declared in a tentative ruling. Superior Court Judge Robert Dondero did not find fraud by United Way and denied punitive damages sought by Network for Good, an Internet charity clearinghouse in Maryland that sued United Way. But Dondero said United Way had engaged in a variety of misconduct, including manipulating financial records...

Thousands of dollars are missing from the former United Way of Cocke County, and the Sheriff's Department is looking for the money. The investigation started after complaints came from United Way Board members. District Attorney General Al Schmutzer says a complete inquiry will take place. "We've gathered all, issued subpoenas and gathered a lot of records, bank records, bank accounts, as well as United Way's books," says Schmutzer. "In fact, I've already taken them...to have them analyzed." It's not clear precisely how much money is missing.