Our lives begin to end the day we become silent about things that matter.” - Martin Luther King, Jr.

Tuesday, July 8, 2008

N.C. Secretary of State investigating Cops for Kids' charitable solicitation license

The N.C. Secretary of State’s Office said today that it is investigating an inquiry into Cops for Kids’ “charitable solicitation license.”

George Jeter, director of communications with the Secretary of State, did not elaborate on details but said the investigation is what triggered the incorporated status of Cops for Kids – which was incorporated as a non-profit entity in 2001 – to be listed on the Secretary of State’s website for the first time ever last week.

According to the Secretary of State’s website, any corporation or entity that solicits charitable contributions must apply for and obtain a license every year. Some organizations are exempt from the license, but it is unclear if Cops for Kids meets the exemption requirements.

Cops for Kids, though it was incoporated in 2001, was not listed on the Secretary of State’s website until Thursday of last week. Before it was listed, Crone said that Cops for Kids was "not incorporated, nor have we ever been."

As it turns out, he was wrong.

Jeter said today that Cops for Kids has in fact been incorporated since 2001 but that it wasn’t listed on the Secretary of State’s website until last week because of a “clerical error.”

He said the investigation into Cops for Kids' charitable solicitation license is what triggered the information showing up on the webpage on Thursday. “On July 2, our CSL (charitable solicitations unit) got an inquiry about this group, and when that investigator accessed the database, she committed it to the website, which meant, bam! It was on the website, we believe, for the first time in seven years,” Jeter said.

“The paperwork was all done in 2001, and there was what appears to have been a clerical error that did not commit it to the website database,” he said, adding, however, that “all the legal paperwork has been here the whole time. We do not believe that it was ever on the website until this month.”

Citing a disclaimer on the Secretary of State’s webpage, Jeter said: “While the website tries to be up-to-date, it’s not the legal version of things."

The Cops for Kids paperwork to secure incorporated status, he said, "was here the whole time, and all the fees were paid.”

Other notes of interest:

  • Maj. Carl Robbins has been appointed interim/acting police chief while John Crone is suspended with pay pending the results of investigations into Cops for Kids.
  • The town board approved the additional $12.5 million to MI-Connection at yesterday's town board meeting, with Commissioners Miles Atkins and Chris Carney opposing.

19 comments:

David Goebelt said...

I wish they had given us warning about the additional $12.5 million for MI Connection. It was supposed to be voted on previously, then it was changed until further notice. Was that the tactic, to slip it in when the town is distracted by other events?

Anonymous said...

Thank you, Commissioners Carney and Atkins for voting AGAINST the $12.5 million for the mayor's MI Connection/cable debacle.

Anonymous said...

Mr. Carney, I hope with the addition of Miles Atkins to the board, you will, as he does, vote for what's best for the citizens of Mooresville, and not the status quo that your record has shown in the past. You always seem to ask questions for the "record", but usually vote with the majority on most issues. I am pleased that lately,you have broken away from "the pack" and vote for all the citizenry of Mooresville. Kudos to you, and we will all be better for it in the future.

Anonymous said...

Ms. Gatton, you are doing a fine job of investigative reporting. As someone who has formed corporations for 25 years, I have a few comments on the Secretary of State investigation. It appears from the SOSID number that is filed with the Articles of Incorporation that it may have been "submitted" in 2001. From experience I can tell you that if the Articles are missing even one item of information or an attachment, the Secretary of State's office will hold the paperwork, deposit the filing fee and notify the incorporator immediately of the need for the missing information. They will not post it as a filed corporation on the website until they receive the missing information. I find it astounding that it took 7 years to do this. I have the following questions. Can we see a copy of the cancelled check for the filing fee? Can we see the corporate books containing the Bylaws that are required for the corporation which detail the duties, Officers and Directors of the corporation? Also, a non profit is required to obtain an EIN number even if it does not have employees. The Secretary of State is supposed to notify the NC Department of Revenue and the IRS requires annual filings. I'd like to know if an EIN was obtained and if any of these duties were performed? I have never formed a corporation that was able to obtain a bank account for the corporation without a file stamped copy of their Articles of Incorporation and matching EIN number. How was the corporation able to open a bank account?
I did not know of this blog until recently. I read through most of the comments yesterday. I believe that there are many good officers in the MPD. However, we have all known for some time that they are overshadowed by many that are corrupt, some of whom are in the leadership positions. Let's continue to be vigilant in having them removed and not lose our focus.

Anonymous said...

I figured that someone would say that the Secretary of States Office was crooked. Come on people not everyone is like you complainers that think that everyone but you are dishonest. Get a life!!!!Wait till all the results are in before you start hanging everyone.

Anonymous said...

I am not insinuating that the Secretary of State's office is "crooked" by any means. I stated that it seems from the face of it that the SOS held the paperwork and that what they did was proper. The blame would lie in the incorporator and the corporation itself for not following through and having the corporation properly formed and the necessary documents completed.

Anonymous said...

CFAGG...wonder what it means..last part could stand for against good government

Anonymous said...

Boy, Jaime, you started a real bar brawl in the "Crone Has Been Suspended Post". Guess there was more palm greasing going on than we'd all thought.

Anonymous said...

This is a continuation of the "Count Up Vigil" of the number of days which pass from the day Cops For Kids scandal broke (7/4/08) to the day that Police Chief Crone and Interim Town Manager Erskine Smith are both suspended, terminated or resign for their roles in it.

The Police Chief was suspended yesterday. The community is clearly relieved and deeply grateful to whatever forces brought that timely suspension about.

However, Interim Town Manager Erskine Smith remains in his position and continues to operate still. Therefore I shall continue this Vigil until he, too, vacates his post.

The town board has placed Finance Director Maia Setzer in charge of oversight of this process which indicates that they, too, lack of confidence and trust in the Interim Town Manager. Despite this lack of confidence, Mr. Smith remains in his position, a position to which the Finance Director reports.

The information I specifically refer to is:

1) documented misrepresentations made by Mr. Smith with regard to the nonprofit corporation known as Cops For Kids

2) Mr. Smith's direct recommendation to the town board to include the nonprofit corporation known as Cops For Kids into the town's general budget

3) Mr. Smith's failure to perform due diligence in his capacity as Interim Town Manager by properly researching Cops For Kids prior to submitting his recommendation to the town board

This is Day No. 5.

Anonymous said...

12:45 I know I know after you think about it the meaning of the 1st two letters are easy. Lets see how many other people can figure it out

Anonymous said...

Go to

http://www.wbtv.com/global/story.asp?s=8650024

you can also click on their video. Decide for yourself...

Anonymous said...

Bravo, Ms. Gatton. You are to be commended on your investigation of the Mooresville Police Chief and his alleged mishandling and/or misappropriation of the funds donated to the Cops For Kids charity. Mr. Crone was suspended only days after you reported your findings. One can safely assume your findings were sufficiently substantial to warrant such serious action. It is also clear from your postings that you were not in possession of the financial documents of this organization until only days prior to your discoveries. This of course leads one to the following disturbing question: If you were able to obtain in several days sufficient information that would lead to the suspension of the Police Chief and the commencement of an investigation by the District Attorney’s office, why had no one within the Mooresville Town Government thought to conduct a cursory review of such documents themselves prior to your doing so, especially when the Town Council made the decision to absorb this organization’s finances? Mr. Crone’s operating this charity without any oversight for nearly twenty years may be only a symptom of a much larger illness which may be plaguing the Mooresville Town Government. The answer to the former question may be the key to diagnosing and treating that illness prior to a fresh outbreak.

Night Owl

Anonymous said...

Bravo Jaime!

http://www.wbtv.com/global/story.asp?s=8650024

I just watched the link above. I'm surprised that the town attorney is letting Crone speak on TV. It's making the situation worse for him. Just showing what a moron he really is.

Anonymous said...

Night Owl, thanks for your post. You make a VERY VALID point.

Also, I agree that Crone's love of being on TV is putting the last nail in his coffin. The video on WBTV really is telling. His "TV polish" is missing, and he sounds lost. Bashed on the internet? If he had done his job, the bashing would have had no merit!!!

Anonymous said...

My humble opinion? I believe the mixup with the Secretary of State and the CFK documents was just the latest example of karma. Since his suspension I have heard more and more of his dictatorial tactics and questionable ethics. And if indeed he was abusing charitable dollars meant for the needy, then my guess is there is alot more strange "mixups" in store for him. What goes around comes around and there is no getting away from that.

Anonymous said...

I just watched the WBTV link. Thanks for whoever posted that link.
Crone has a hard time lying on camera doesn't he.
Crone was well aware of the anonymous blog as he shared this with his officers when The Gattor Report first wrote about take home cars.
Jamie you are amazing! go ahead and tell Crone, Check and then Mate.
Crone admitted there may be a check or two that was written that could be in question....
Let's keep this going, the investigation will be long and hopefully accurate in all that needs to be done. The citizens have spoken and so far atleast someone is listening. Crone is not at work, let's keep it that way.

Anonymous said...

after watching the WBTV interview wtih crone, I had to laugh. I know him very well and I can say, He was put on the spot..... and the slip of the tongue about "credit card" more than likely has a story behind it as well. I wonder if anyone will actually look at his IRS Tax forms where he said "he paid tax on the interest... Does that mean he thinks it is his money. Go figure.

Anonymous said...

Crone looked like a cat on a hot tin roof.

Anonymous said...

Crone looked like he was busted. I appreciate the comments on this blog more than the others. Less name calling b/t people and it has seemed to stick to the issue. Let's hope it stays that way.
For the post of the person that stated they know Crone very well, in what capacity is that.
Sounds like you agree he has lied and cheated to the citizens of Mo Town.