Per the California Attorney General Vanguard is operating illegally as a non profit

[Tenoris4Jazz]

6 hours ago, JimF-LowBari said:

Thought we were at the 3 year stage? 🤦‍♂️ 

It's Cali... I give them a year to follow up on anything.   🙄

[Richard Lesher]

4 hours ago, OpenClassAlum said:

We'll see if the AG acts.

In the meantime, alumni have learned that the debts are now paid in full and that a more fiscally responsibile touring model is being established, albeit still what you can expect from a world class corps. Likewise, an official response to these allegations is coming.

There are serious concerns I have, that we all have, but I think we'll see SCV in Indy next year.

So Jenn Bauman mentions in her message some information that came out on Thursday, but nothing more about it. What is she talking about?

 

 

[Richard Lesher]

13 hours ago, Tenoris4Jazz said:

If you are not submitting independently audited financial statements to the proper authorities, there are only 3 reasons:  1) you are hiding something you found  2) you are avoiding an audit because you don't want to find something  3) you are incredibly stupid and negligent.

So remember back to what happened in January with me. It really hit a nerve with Bingo Salary compliance. To the point Vanguard reached out to me via an attorney instead of communicating with me directly. 

Then in the Fiscal Years years in question via the 990's Vanguard annotates to the IRS that they did not obtain independently audited financial statements. Then again in 2020 Vanguard annotates on the 990 they did not obtain an independent audit. 

I know the finances/business model and book keeping enough that if bingo revenue were paying bingo staff it would be pretty easy to identify, but one needs into the books to prove it definitively. Come 2023 with no other operations than Bingo and overhead it's going to be pretty easy to back into via the 990's alone. 

Or they were just so lazy and oblivious. 

 

[Richard Lesher]

Oh I see, that attorney dude that reached out to me WAS on the board, but not when he reached out to me. However, his name is on the 990 Tax forms for FY 2019 AND for FY 2020. So he's part of the board leadership which didn't have an independent audit. Oh and he was on in 2018 the last audited financials. So he knew better too.

Well F-ME

Edited April 18, 2023 by Richard Lesher

[greg_orangecounty]

5 hours ago, HockeyDad said:

Well, I asked you if you read 999.9.4, and you replied citing something else. I think I’ll move on. Have a good day. 

Hockey Dad,

Both sections fall under the same statute (Title 11, Chapter 15 Admin of Supervision/Enforcement Fundraisers f/ Charitable Act CA).  You approached me to say you saw no mention of a C&D.  I pointed out and highlighted where the law does in 999.6 (a) 1 (from the beginning). 

And you're right.  This has played out.  God bless the Santa Clara Vanguard and those tying to make them whole.  

[Jeff Ream]

15 hours ago, Terri Schehr said:

My late father in law said decades ago that this tour model wasn’t sustainable.   It’s good that they’ve pared down the schedule and it seems to be a bit more regional.  Some groups are taking it upon themselves, like Jersey Surf, to do the fiscally responsible thing and cut way back.   It’s like a top spinning out of control.

I once asked a board member of a corps who was complaining about being bullied by staff to spend more and more money why he just didn’t say no? He just looked at me in a confused way.  You can just say no. Treat them like spoiled children. 

One of the most misguided things they did was raise membership to 165.  That is a real head scratcher.  I asked Jim “Is this what smart people do?”

they claim it brings in more cash....but they ignore the fact is increases expenses too

[Jeff Ream]

10 hours ago, greg_orangecounty said:

No it does not. 

That webpage from the CA A.G. is a summary of what "delinquency" means and the consequences.  Under Title 11 Law Division 1. CA Chapter 4, Sec. 314 (3) Regulations adopted pursuant to the Supervisor of Trustee's & Fundraiser for for Charitable Purposes Act states "Grounds for Issuance of Cease & Desist Order".  SCV is considered "delinquent" by the CA A.G.  However, there is still a legal procedure which includes receiving a C&D from the A.G.  Until they get that they are still operating within the law, which includes soliciting donations (which they're doing). 

This is why I mentioned in an earlier post the state is backlogged due to COVID, which may buy them time to submit the past audits and make this all go away. 

i bolded a key word there. with the organization now looking for their...4th? 5th? Executive Director since the incredible high of 2018, are there people in place able to handle that?

this had to be known in December when everything was announced about this year. But all you heard was "donate" and bingo". Now here we are in April, all you hear is "donate" and bingo".

 

everyone here and everyone else jumped Spirit hardcore when they went inactive. granted they were more of an HR issue than financial, but after their initial horse #### public responses, they've set standards in transparency. Even YEA/Cadets post Hopacolypse did better with transparency ( not nearly as good as Spirit as this past falls internal issues came screaming to light). They really could truly not just come roaring back to life on the books, but in the PR sace by just being seriously open. and guess what...being open isn't always good news. Do i know that based on my employer? hell yes. But I think they'd get less calls for rolling heads if they were just honest.

[Jeff Ream]

8 hours ago, greg_orangecounty said:

Not told to "stop", until they get a C&D.  I don't know what more I can say.  

nothing you can say. the letter and the website are pretty clear. 

[Jeff Ream]

4 hours ago, LabMaster said:

So alums have learned debts are paid in full or have been told debts are paid in full.  Are there receipts?  Lien waivers?  Or are they trusting the word of those who have created the mess in the first place?   Pardon the skepticism but there IS a trust problem here,  especially with actions like collecting money  from students days before pulling the plug for 2023. You SAY there is a touring model being formed and an official response coming.  It would be in the best interest to get word out sooner rather than later or risk further deterioration of the support base. Just an opinion.

ell...sadly in these times, major statements need to be proofed by lawyers before going out. and lawyers move at their speed, especially if it can create billable hours

[TenHut]

10 hours ago, IllianaLancerContra said:

We are witnessing Drum Corps’ death by a thousand cuts.  When DCI realizes the tour is unsustainable they will have no one but themselves to blame.  

Yup. I have long been a proponent of regionalizing the activity to reduce costs and fuel rivalries. When DCI put all of the local circuits out of business, this was inevitable. Drum corps, like big cities, is dying a long, slow, sad death.