Prior to the agreement, investigations conducted by the Attorney General’s Charitable Law Section found that the majority of charitable assets, which were required by law to be used by the posts’ career centers, were used for non-charitable purposes with the Ohio AMVETS Career Center’s knowledge, according to DeWine’s office.
“Veterans need and deserve the assistance these AMVETS organizations provide, and going forward we will make sure they get it,” DeWine said.
DeWine’s office found that many of the “career centers” were facades created to give the appearance of a career center, some holding just an outdated computer in the corner.
While some of the AMVETS Posts had few veterans, they were still receiving funds from the career centers, according to DeWine’s office.
Those 59 posts have now agreed to fund a reformed Ohio AMVETS Career Center for five years and turn over any current career center assets. The posts will only receive payment for actual services provided to the center through arm’s length written agreements, according to DeWine’s office.
The agreement also called for revamped accounting and reporting practices, creation of written financial policies and avoidance of oral contracts as stipulated.
The Attorney General’s investigation also looked into the operations of the AMVETS Department of Ohio and the AMVETS Department of Ohio Service Foundation, where it was discovered that millions of dollars in Ohio AMVETS Career Center and AMVETS Department of Ohio Service Foundation assets, dedicated for specific charitable purposes, were transferred to subsidize the AMVETS Department of Ohio, including payroll and travel reimbursements, according to DeWine’s office.
“We have worked with the attorney general to resolve these issues, and we have terminated several individuals who have contributed to these problems,” said Stewart Hickey, executive director of AMVETS national headquarters. “AMVETS is dedicated to changing these practices and we are thankful for the attorney general’s support.”