The need for reviewing and auditing charitable firms were becoming more and more critical due to the massive rise in the number of fraudulent activities in such organizations. A few years back, an allegation was raised against Rabbi Epstein and his fellowship program IFCJ where it got reported that they were laundering money using the program as a front.
The need for third-part firms to review organisations like IFCJ:
This further established the need to set up the third party assessing program who will review such non-profitable firms and rate them based on their efficiency. The IFCJ ratings provided by several independent firms stated they are one of the best programs dedicated to charitable and squashed all money laundering accusations.
The IFCJ reviews provided by firms like Charity Navigator and Charity Intelligence Canada spoke very high about the program and appreciated their well-structured system in place inside their organizations.
The fellowship had built quite a reputation over the years, but the allegations against them raised question like Is IFCJ a good charity or not which was not good both for their status and conducting their day to day operations. The money they generate through donations was significant as their reserve cash is not good enough to run the firm for a few months.
The internal hierarchy at IFCJ:
The IFCJ rating provided by CIC was quite generous if the high reviewing parameters are taken into consideration. They further stated in their report that for every dollar donations, they spend sixty-eight cents on charity. The cash reserve in their treasury is good enough to run the program for a few weeks.
The assessing firms heaped a vast amount of praise on their internal structure. The Board of Directors stays in office for a time of two years, and then a new set of people come to take their places. During their stay, the directors make all the budget-related decisions unanimously.