2 Telemarketers Indicted in Charity Fraud

A federal grand jury has indicted two telemarketers on fraud charges for allegedly raising $27 million ostensibly to help veterans, firefighters and AIDS patients but providing only $1 million to charities.

Mitchell D. Gold and Jonathan P. Cohen ran Santa Ana-based U.S. Marketing and North American Charitable Services, according to a 33-count indictment handed down this week.

The suspects reportedly used telemarketing firms around the country to raise funds on behalf of the American Veterans Relief Fund, Fire Fighters’ Assn. of America, Adolescent AIDS Foundation and Handicapped Children’s Services of America.

According to the indictment, potential donors were read scripts co- written by Gold and Cohen.

The donors were “falsely informed” that their money would be spent on charity, the indictment states. “In virtually every case,” it states, “each nonprofit received less than 5% of the donations raised . . . in that nonprofit’s name.”

The scripts also falsely said the contributions were tax-deductible, the indictment states.