Nov. 6, 2007

Senate Panel Probes 6 Top Televangelists

Sen. Charles Grassley Asks Ministries To Turn Over Financial Records Within One Month

  • Senator Charles Grassley, the ranking Republican on the Senate Finance Committee, has asked six televangelist ministries to provide, by Dec. 6th, financial statements and records for an investigation into possible impropriety. Photo

    Senator Charles Grassley, the ranking Republican on the Senate Finance Committee, has asked six televangelist ministries to provide, by Dec. 6th, financial statements and records for an investigation into possible impropriety.  (AP)

  • Interactive Eye on Religion

    Find out more about the beliefs, practices and history of some of the world's major religions.

(CBS)  This story was written and reported by Laura Strickler of the CBS News Investigative Unit.



CBS News has learned Sen. Charles Grassley of Iowa, the ranking Republican on the Senate Finance Committee, is investigating six prominent televangelist ministries for possible financial misconduct.

Letters were sent Monday to the ministries demanding that financial statements and records be turned over to the committee by December 6th.

According to Grassley's office, the Iowa Republican is trying to determine whether or not these ministries are improperly using their tax-exempt status as churches to shield lavish lifestyles.

The six ministries identified as being under investigation by the committee are led by: Paula White, Joyce Meyer, Creflo Dollar, Eddie Long, Kenneth Copeland and Benny Hinn. Three of the six - Benny Hinn, Kenneth Copeland and Creflo Dollar - also sit on the Board of Regents for the Oral Roberts University.

A spokesperson for Joyce Meyer Ministries provided CBS News with an IRS letter to the ministry dated October 10, 2007, that stated: "We determined that you continue to qualify as an organization exempt from Federal income tax." The letter could not be independently verified in time for this story. The ministry also pointed to audited financial statements for the last three years that are posted on the organization's Web site.

In a statement, Benny Hinn's spokesperson, Ronn Torossian, said the ministry is in the process of determining the best course of action in response to the Senate investigation. "World Healing Center Church complies with the laws that govern church and non-profit organizations and will continue to do so," Torossian wrote.

Eddie Long's New Birth Ministries says he has received the request for information from the U.S. Senate and plans to "fully comply. New Birth Ministries has several safeguards put in place to ensure all transactions are in compliance with laws applicable to churches."

In a statement to CBS News, Creflo Dollar called his ministry an "open book" and said he would comply with any "valid request" from Grassley. But he noted that the inquiry raised questions that could "affect the privacy of every community church in America."

Paula White is also expressing concern about precedents that could be set by turning over the requested information.

"We take our financial responsibilities to our partners very seriously and to the best of our knowledge we comply with all tax laws. Our audited financial statements appear on our website," said White, in a statement. "However, we are concerned about the possible precedent and ramifications of this request. We will be reviewing the request and its implications in detail over the coming weeks as we prepare our response."

Because they have tax status as churches, the ministries do not have to file IRS 990 forms like other non-profit organizations - leaving much financial information largely behind closed doors.

The letters sent Monday were the culmination of a long investigation fueled in part by complaints from Ole Anthony, a crusader against religious fraud who operates the Dallas-based Trinity Foundation, which describes itself as a watchdog monitoring religious media, fraud and abuse. "We've been working with them for two years," Anthony told CBS News. "We have furnished them with enough information to fill a small Volkswagen."

Anthony said after twenty years of working with media organizations to expose televangelists, he saw little reform. He says that's why he turned to another tactic, going straight to Grassley. He is confident that Grassley's inquiry will be different, "What we hope is that this will lead to reform in religious nonprofits."

The structure of many televangelist organizations - in which the leadership is often concentrated in one person or one family - has itself been the target of criticism. "Churches like these are ruled as a dictatorship," says Rod Pitzer, who directs research at Ministry Watch in North Carolina, which provides advice for donors to Christian organizations.

Pitzer welcomes the Senate committee investigation. Ministries lacking accountability, he says, "give a black eye to churches and Christians who are trying to do things in the right manner."

By Laura Strickler © MMVII, CBS Interactive Inc. All Rights Reserved.

Video and Galleries from CBS News Investigates

Add a Comment See all 552 Comments
by antoniof123 November 6, 2007 7:16 AM PST
Senator Charles Grassley, the ranking Republican on the Senate Finance Committee, has asked six televangelist ministries to provide, by Dec. 6th, financial statements and records for an investigation into possible impropriety. (AP)

Doesn''t he know that a Republican doesn''t do that or at least they haven''t for the last what 12 years. Now that the Democrats are in charge they start to take responsibility. Hey buddy let me explain how it works first you prove yourself then we talk.

Besides you will probably find out that they were donating to the GOP and working with them. They are the religious right wing remember.
Reply to this comment
by monkfellow November 6, 2007 7:28 AM PST
When atheist organizations are under similiar scrutiny,then I''l believe this is an honest and fair investigation...for whatever reason Senator Grassley has decided to go on the warpath.
Reply to this comment
by thisandthat1 November 6, 2007 7:31 AM PST
FINALLY! Let''s rid the landscape of these Charlatans getting a tax-free ride while scamming people out of their life savings! Enough is enough!
Reply to this comment
by startide-2009 November 6, 2007 7:37 AM PST
Excellent. I have a feeling they''ll peg at least one of these organizations for fraud. And I''d lay money that Grassley''s not up for election any time soon? This will either make him look like a mean anti-christian (if they all check out) or a crusader against evil. By election time, the electorate, with the attention span of a gnat, will have forgotten if he turns out to be evil... and if he suceeds in exposing fraud, he can remind people about it. Win-win for Grassley!
Reply to this comment
by skyk-2009 November 6, 2007 7:38 AM PST
When atheist organizations are under similiar scrutiny,then I''''l believe this is an honest and fair investigation...for whatever reason Senator Grassley has decided to go on the warpath.


Posted by monkfellow at 07:28 AM : Nov 06, 2007
+ report abuse

What "Atheist Organization" qualifies for this Tax Except Status? You couldn''t be using a little bigotry here to defend these Snake Oil Salesmen now would you? To my knowledge NO Atheist Organization does NOT pay taxes and the Tax Code does NOT allow for them to qualify under these provisions.
Reply to this comment
by cfin5 November 6, 2007 8:01 AM PST
These televangelists have been soaking people for years. This "Creflo Dollar" (snicker) is probably the one that will be the easiest to nail. "Father Hinn" and "Brother Joyce Meyers" are just as unscriptural in their calling........Now let''s see what the Constitution says.---Amendment 1 (ratified effective on December 15, 1791)....Congress shall make no law respecting an establishment of religion, OR PROHIBITING THE FREE EXERCISE THEREOF; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.----------Senator Charles Grassley, you are an example of the very problem neodems and now neocons have done to our country. Little by little, sneaky precedent here, sneaky precedent there,....You subvert our rights by unconstitutionally usurping authority that is not there for you, but rather the opposite is "clearly" stated. If those people want to be deceived by those that mishandle the Word of the Lord, that is their constitutional right to do so. YOU Senator, are in the wrong.
Reply to this comment
by glossypan November 6, 2007 8:02 AM PST
The website of American Atheist says:
"MEMBERSHIP IN AMERICAN ATHEISTS
Benefits and Privileges%u2026

Your membership in American Atheists shows that you care about taking a stand for Reason, civil liberties for Atheists, and the total, absolute separation of church and state! Membership is open to all who agree with our Statement of Aims and Purposes. Joining American Atheists, though, also has it rewards! Benefits and Privileges of Membership include%u2026
(click here to apply)
Membership dues and donations to American Atheists are tax deductible."

All foundations with an educational purpose are tax exempt. These include the national and local golf and tennis organizations, chihuahua breedeers -- the whole gamut. I feel as if any organization should only be able to exempt only the funds used for charitable relief.

Reply to this comment
by pollroller1 November 6, 2007 8:03 AM PST
Send them your money. Then when you die, you will go to heaven where the streets will be paved with gold. ha ha ha ha.
Reply to this comment
by honestabe8 November 6, 2007 8:09 AM PST
I have watched Hinn, Meyers (Ma Kettle), Dollar and Copeland. Hinn looks like the sleaziest of the bunch. They are soaking desperate people. On the other hand, chumps are there to be fleeced.
Reply to this comment
by gkc99 November 6, 2007 8:10 AM PST
"If those people want to be deceived by those that mishandle the Word of the Lord, that is their constitutional right to do so. YOU Senator, are in the wrong"--Posted by cfin5



Bzzt! Wrong! The Constitution NEVER says we have to give favorable tax exempt status to such swindlers. Start by charging them income tax just like thee and me must pay. Then we can continue by charging "churches" property tax on all the investment properties they own.

These snake oil salesmen, right up through the Pope of Rome and the TV preachers have had a free ride too long.
Reply to this comment
by formrusmcsgt November 6, 2007 8:11 AM PST
I have watched Hinn, Meyers (Ma Kettle), Dollar and Copeland. Hinn looks like the sleaziest of the bunch. They are soaking desperate people. On the other hand, chumps are there to be fleeced.

Posted by honestabe8 at 08:09 AM : Nov 06, 2007

As P.T. Barnum said, "There''s a sucker born every minute".....
Reply to this comment
by formrusmcsgt November 6, 2007 8:14 AM PST
Posted by cfin5 at 08:01 AM : Nov 06, 2007

Your beliefs are clouding your perception. This isn''t about preventing the fleecing of the gullible. This is about abuse of tax exempt status.
Reply to this comment
by drngray November 6, 2007 8:15 AM PST
I''m so surprised at how many people have written with their ill feelings about preachers of the Gospel of Jesus Christ.

You have only 3 choices of whom you will serve: 1) you think you are a god, and so you serve yourself, or 2) you serve the "god of this world," and become a worldly person destined only to death, OR 3) you serve the Lord God Almighty whom Jesus has revealed to us.

I''m all for integrity, and honesty in the Name of Christ Jesus our Lord.
Reply to this comment
by formrusmcsgt November 6, 2007 8:17 AM PST
Posted by curse914 at 08:12 AM : Nov 06, 2007

Convenient how the "giving up worldy possessions to enter the kingdom of God", or something to that effect, has been removed from the Bibles of these "Holy" representatives, eh?

Geez, the Pope literally lives like a prince.....
Reply to this comment
by formrusmcsgt November 6, 2007 8:18 AM PST
I''''m all for integrity, and honesty in the Name of Christ Jesus our Lord.

Posted by drngray at 08:15 AM : Nov 06, 2007

There''s a fourth option you failed to mention, and that is, to realize that fairy tales are for children.
Reply to this comment
by jsmithcsa November 6, 2007 8:23 AM PST
"Your beliefs are clouding your perception. This isn''''t about preventing the fleecing of the gullible. This is about abuse of tax exempt status."

"They are soaking desperate people. On the other hand, chumps are there to be fleeced."

Is there abuse? Heck, why even hold a review? Let''s just find them all guilty and save ourselves some money.

I recommend we "presume innocence" until there is a guilty finding.
Reply to this comment
by pollroller1 November 6, 2007 8:26 AM PST
I say that if people are stupid enough to give churches their money, that''s fine with me. I just don''t know why churches should not have to pay income taxes like every other company does. After all, they are really a for profit busines. They make a profit off of the poor suckers that send them their money.
Reply to this comment
by eggy1620 November 6, 2007 8:28 AM PST
These ministry leaders have stepped on their own wangs. They would be completely left alone by the government if they had reported donations as income and paid taxes on them, essentially declaring themselves for profit businesses. They would have little to lose. Not like their mindless donors would stop giving them money or anything. They would still have their donations and investments even if they declared for profit. They had it easy and blew it. Heck, declaring for profit could open up an entirely new investment fund market. Investing in ministries that collect free money from their sheep. I%u2019d do it.

Reply to this comment
by cfin5 November 6, 2007 8:29 AM PST
formrusmcsgt,.....The 1st. Amendment of the Constitution defines restrictive powers to the Government, not to the people regarding their religious beliefs. What part of "prohibiting the FREE exercise thereof" don''t you understand? Your thinking doesn''t make things so.
Reply to this comment
by javadavid November 6, 2007 8:30 AM PST
"When atheist organizations are under similiar scrutiny,then I''''l believe this is an honest and fair investigation...for whatever reason Senator Grassley has decided to go on the warpath."

Athiest (or any non-church) organizations are already under greater scrutiny, as the article states. Churches are exempt from having to report on their finances--other non-profits are required to report.

"You subvert our rights by unconstitutionally usurping authority that is not there for you, but rather the opposite is "clearly" stated. If those people want to be deceived by those that mishandle the Word of the Lord, that is their constitutional right to do so. YOU Senator, are in the wrong."

This isn''t about anyone''s right to practice religion. It''s about our nation''s granting them immunity from taxes that all others must pay. There may or may not be anything wrong with that exemption. But when that exemption is abused in order to hide extreme wealth and lavish lifestyle, we the taxpayers had better look into it. That''s not what we grant exemption for.
Reply to this comment
by glossypan November 6, 2007 8:31 AM PST
I seethe at tax exemptions for churches. Even worse is the foundation exemption.
Many athletes and most feature performers have personal foundations. Many of their conferences and seminars are in the Riviera, the Carribean and the South Pacific. They effectively exempt from taxation the portion of their income used for private jets and luxury hotels.
If they do not wish to set up their own foundations, a number of "churches" will sponsor their junkets in return for a substantial but smaller than income tax donation.
Reply to this comment
by jowand November 6, 2007 8:32 AM PST

NEW YORKER MAGAZINE DEC 6 2004
An evangelist named Norman Grubb had been invited to speak at the station''s dedication, and Anthony was in the audience. He still isn''t sure what happened next. He has gone back and read Grubb''s books and found much to dispute in his theology. But on that day its essential message%u2014that all success is an illusion and all striving futile; that selflessness is the only real path to transcendence%u2014stirred some certainty inside him.

"It was like being taken into the heart of God," he says. An hour and a half later, the other businessmen had left the auditorium, but Anthony was still in his seat, sobbing. Religious conversions, like rock-star documentaries, nearly always follow the same pattern: the skyrocketing success and riches without fulfillment, the fall from grace and the rise to new heights on the wings of faith.

In Anthony''s case, that plot has been acted out in reverse: he found religion at the pinnacle of his career and has grown steadily poorer since. God''s purpose, he believes, is not to ease our pain or to answer our prayers but to strip us of all expectation%u2014to reveal the hollowness of our existence so that we might sacrifice our lives for others, as Christ did
Reply to this comment
by ianlou November 6, 2007 8:34 AM PST
The defining example of the modern American Puritan is the hard working, church going, PTA participating parent who lies awake at night worrying that someone, somewhere is having a good time.
Reply to this comment
by grumpas November 6, 2007 8:34 AM PST
I think they need to start paying taxes like the rest of us do. They have been on ''religious welfare'' far to long. These people rake in the big bucks from suckers like drngray. While they still have their hand in the taxpayers pocket wanting more freebies. We need to do away with that tax exempt status that makes these people rich overnight at everyone else''s expense.
Reply to this comment
by jowand November 6, 2007 8:35 AM PST
Religion and the Press come under the same Bill of Rights.

Powers not specifically given to the Federal Government belong to the States, "States Rights".
Reply to this comment
by antoniof123 November 6, 2007 8:38 AM PST
What "Atheist Organization" qualifies for this Tax Except Status? You couldn''''t be using a little bigotry here to defend these Snake Oil Salesmen now would you? To my knowledge NO Atheist Organization does NOT pay taxes and the Tax Code does NOT allow for them to qualify under these provisions.

Posted by skyk at 07:38 AM : Nov 06, 2007

You are absolutely correct on that account.

It gets worst the idiot in charge has your tax dollars paying for many of the religious programs but can''t find money to pay for health care for kids.

You GOP members are going down hard and you don''t even understand why.
Reply to this comment
by cfin5 November 6, 2007 8:38 AM PST
jowand,.....Good point. Then the home state constitution is the next in line to be looked at. Most if not all mirror the US Constitution.
Reply to this comment
by afmca November 6, 2007 8:38 AM PST
FINALLY ... this should have been one of the first actions the Demos did once they got back in power. Add to that list Dobson, Robertson, the deceased Falwell, and Graham the Younger. They are all con-men that conspire with their Repub politicians to exert Taliban like control over their lemmings. At least this Repub finally realizes how corrupting these Prophets for Profit really are!
Reply to this comment
by honestabe8 November 6, 2007 8:42 AM PST
formrusmcsgt: agreed totally. fairy tales are for children. also, if the constitution allows free exercise of religion, my belief system says ganja is a sacrament...
Reply to this comment
by nothappyatall November 6, 2007 8:43 AM PST
We dont grant these churches exemptions so they can get involved in politics either.

ANother group we give tax exempt status to is PeTA who has used some of hteir tax exempt cash to bail out convicted arsonists, as well as using the money for breaking the LAWS in this country.
When these groups get tax exempt status they are agreeing to abide by the rules and LAWS, those that don''t should be investigated and their exempt status YANKED

http://www.petakillsanimals.com

The question is: What will it take to get the IRS to connect the dots and revoke PeTA''s tax exemption? Do we have to wait until someone gets killed before ...
www.naiaonline.org/articles/archives/ca_arson_terrorist(8-7-03).htm
Reply to this comment
by gkc99 November 6, 2007 8:44 AM PST
"FINALLY ... this should have been one of the first actions the Demos did once they got back in power. "
--Posted by afmca


After initiating the impeachment of Bushit and Darth! It''s really sad that Nancy Pelosi has turned out to be so useless. But perhaps the folks who say the Dems are pretty much as bad as the Repugniscum actually have a point. It''s just business as usual for Nancy Pelosi, and the majority of Dems are too spineless to challenge Bushit.

Of course the totally supine Repug congresspeople are even more cowardly, with the notable exception of a couple of people with a conscience, people like Grassley and Hagel.
Reply to this comment
by ianlou November 6, 2007 8:45 AM PST
On my list of places to waste money, I put televangelists in the same category as casinos;
you pay something for nothing in the hopes for something big.
In both cases, old folks are throwing away their life savings.
Reply to this comment
by meboard November 6, 2007 8:46 AM PST
Concur afmca, they could set up an entire sub committee to investigate Pat Robertson. That thief, liar and hypocrite should be doing jail time for the money he''s ripped off! None the less, God will get him in the end!
Reply to this comment
by cfin5 November 6, 2007 8:50 AM PST
Nancy Pelosi was "assimilated". In other words, bought after being caught red handed in some matters, not unlike most of the leaders in government key positions.
Reply to this comment
by honestabe8 November 6, 2007 8:52 AM PST
ozilot: it''s only fair that my belief system should be respected as much as the jesus cult''s, no?
Reply to this comment
by nexgen99 November 6, 2007 8:58 AM PST
I don''t understand how any Christian can be a part of these televangelist ministries. These phony self ordained evangelist are just scam artist.

Thank god they represent a minuscule part of the Christians population in America. Go back to your real churches and pastors and stop giving your money to these snake oil salesman.
Reply to this comment
by eggy1620 November 6, 2007 9:03 AM PST
Regarding ganja as a sacrament: Churches are permitted to give wine to children as part of the eucharist (See also peyote for Native American tribal rites). Sacramental dope should be afforded the same protection since it%u2019s rooted in Jamaican Rasta history.
Reply to this comment
by honestabe8 November 6, 2007 9:06 AM PST
eggy: whether or not it is in jamaican history, it is still a sacrament. if an exception to the controlled substances act (a misnomer, as prohibition is the opposite of control) can be made for native americans, why not all americans? do you have to be born into a religion to be able to exercise it freely?
Reply to this comment
by afmca November 6, 2007 9:09 AM PST
Agree with gkc99 - Pelosi and Reid have been a total waste. I was really looking forward to some leadership, but Pelosi was co-opted very quickly by Murtha. She has proposed mindless, spineless legislation ever since. They should have gone after Cheney and gotten him impeached first and then Bush. It would have made the Repubs stronger in 2008 with these criminals out of office, but the country would have been better off.

The Demos should be beating the Repubs up on the credit card scams, insurance scams, corporate crimes, the environment, energy, health care, the destruction of the Consitution, the misguided "war" against terrorism, but Pelosi is too much DC and not enough independent thinker. In 2008, the Demos need new majority leadership in both the House and Senate.
Reply to this comment
by bareemperor November 6, 2007 9:10 AM PST
Are those Congressional pages taking notes?
At least the televangelists choose adults when they ''sin''...
Reply to this comment
by signof4 November 6, 2007 9:12 AM PST
Sure....but don''t investigate Rev. Jesse Jackson or Rev. Al Sharpton. If there was ever a case for investigating the tax exempt status of these two shake down artists, it''s how they insert themselves into politics by defacto candidate endorsements, etc.

Reply to this comment
by liberalme November 6, 2007 9:14 AM PST
Nancy Pelosi was "assimilated". In other words, bought after being caught red handed in some matters, not unlike most of the leaders in government key positions.
Posted by cfin5 at 08:50 AM : Nov 06, 2007

If your going to make a statement like that, then "lead us" to what she was "caught red handed" at.
Where do we find those "matters"?

Televangelists rape our elderly financially and preach what they don''t live up to.
The world would be well off without them.
I never believed we had to "pay to pray" and that''s what these and most Organized religions do.

God hears me quite well at home.
Reply to this comment
by mcvett November 6, 2007 9:14 AM PST
Let''s also investigate all environmental organizations, as well as Jesse Jackson, Al Sharpton, and the Rainbow Coalition.

.
Reply to this comment
by radiob-2009 November 6, 2007 9:15 AM PST
Gas is $3.09 a gallon and rising, 21,000 illegals came in to the US through our checkpoints last year not counting all of those who entered by other means, the war in Iraq continues, the continued outsourcing of our economy is rampant, 17 lap poodles are running for the presidency, the president and his advisers have interpreted the Constitution to grant them more power without oversight,inflation is on the rise in our economy, home repossession are at a all time high and what do the majority of Americans do? Nothing instead of taking our nation back from the special interest that control both parties. Time for a nation wide strike/boycott keep your eyes and ears on the truckers.
Reply to this comment
by honestabe8 November 6, 2007 9:17 AM PST
ozilot: my guess would be that they either believe that pot is less moral than alcohol, or they are beholding to those who believe so. plus, there are empires built to fight pot, and the neo-connies like nothing more than to align themselves with law enforcement.
Reply to this comment
by nexgen99 November 6, 2007 9:18 AM PST
Sure....but don''''t investigate Rev. Jesse Jackson or Rev. Al Sharpton. If there was ever a case for investigating the tax exempt status of these two shake down artists, it''''s how they insert themselves into politics by defacto candidate endorsements, etc.


Posted by Signof4
====================

EXCELLENT POINT. These two are the most blatant offenders.
Reply to this comment
by mcvett November 6, 2007 9:18 AM PST
Let''s also investigate all environmental organizations, as well as
Jesse Jackson, Al Sharpton, and the Rainbow Coalition.

.

Reply to this comment
by jowand November 6, 2007 9:20 AM PST
Let''''s also investigate all environmental organizations, as well as
Jesse Jackson, Al Sharpton, and the Rainbow Coalition.

.
Posted by MCVett at 09:18 AM : Nov 06, 2007

For once we agree, great point.
Reply to this comment
by stephengosson November 6, 2007 9:21 AM PST
I''ve actually watched some of these programs and, honestly, I can''t see any difference between them and infommercials!
They''re disingenuous, overbearingly cloistering, and shameless in their pitch for your cash.
And, unlike prayers in a real church service, their pleas for cash are marked by really SEVERE praying, eyes scrinched shut reeeeal tight and hands clenched together tightly.
All this is done on a stage rife with garish and opulent adornments.
It''s their god, not God who they are addressing and it is right to investigate fraud.
Reply to this comment
by jowand November 6, 2007 9:23 AM PST
Televangelists rape our elderly financially and preach what they don''''t live up to.


God hears me quite well at home.

Posted by liberalme at 09:14 AM : Nov 06, 2007

Our own goverment has been doing this for 40 years, still is.
Reply to this comment
See all 552 Comments

Do you know of something that needs looking into? Send an e-mail to the CBS News Investigates Team to check it out.


CBS News investigative reporters and producers post scoops, updates and other news from the important stories of the day.
  • MOST POPULAR
  • Viewed
  • Commented
Latest News
Featured Blogs