Ex-Head of Firefighter Aid Panel Alleges Fund Misuse

The former head of a controversial charity that claims to raise money for disabled firefighters filed a lawsuit Wednesday accusing the current leadership of donating only a fraction of its proceeds.

In the lawsuit, former managing director Michael Kowalski alleges that the Santa Ana-based Foundation for Disabled Firefighters raised $1.9 million last year, but spent only $2,000 on charitable programs. The lawsuit, filed in Orange County Superior Court, is the latest blow to an organization whose fund-raising practices have drawn complaints from fire departments across the county.

None of the defendants were available for comment. Efforts to reach Kowalski were unsuccessful.

Founded in 1985, the foundation uses telemarketing firms to solicit donations. But some Orange County fire officials have questioned its legitimacy after receiving complaints from potential donors about aggressive and abusive phone solicitations.

Kowalski claims the misappropriation of funds occurred after he was ousted by the current board of directors in 1996. He is seeking reinstatement and the return of the $1.9 million, according to the lawsuit. He is also demanding an audit, his attorney said.

“It’s a good chunk of change,” attorney Ralph C. Shelton said in reference to the $1.9 million. “We’d like to know what they are doing to benefit the disabled.”

According to the lawsuit, the organization used the donations in the past to, among other things, fund burn-treatment centers. But that all stopped, Kowalski alleges, when he was replaced.

Among many local fire departments, the organization has long been viewed with skepticism.

“Not many of us know about it,” said Bob Eggleston, an investigator with the Santa Ana Fire Department. “It’s probably better known among the fraternity of telemarketers.”

In 1992, firefighters unions in Newport Beach, Fullerton and Orange publicly raised questions about a fund-raising event organized by the foundation, saying they had never heard of the group.

Twice in 1994, the Garden Grove Fire Department warned city residents about what it called “unauthorized solicitations” made on behalf of the department by telemarketers using the foundation’s name. The department also accused solicitors of being abusive when potential donors balked.

At the time, a company official said it was a legitimate nonprofit organization raising money to help injured and disabled firefighters. Foundation authorities have declined to provide a list of firefighters who were helped, citing confidentiality.