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Financial concerns about Greyhound Friends

The greyhound rescue Greyhound Friends of Hopkinton is under investigation by the Public Charities Division of the Massachusetts Attorney General's Office, which investigates allegations of misappropriation of charitable assets and breaches of fiduciary duty.

Concerns about Greyhound Friends' finances

Learn more about the financial dealings of Greyhound Friends of Hopkinton, a charity that is under investigation by the Massachusetts Attorney General's Office.

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I-Team report

March 2017: The WBZ-TV I-Team reports that Greyhound Friends is under investigation by the Public Charities Division of the Massachusetts Attorney General's Office. The office investigates allegations of misappropriation of charitable funds and breaches of fiduciary duty. 

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Donor Advisory

April 2017: Charity watchdog group Charity Navigator issues a donor advisory about Greyhound Friends. The advisory system alerts the public to charities that engage in unethical or illegal actions.

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Failure to pay

May 2017: A Hopkinton, MA contractor placed a lien on the Greyhound Friends kennel after they failed to pay for $34,149 in repairs. As of May 2018, the lien is still in place. 

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Investigation expanded

May 2018: The state Attorney General’s office recently expanded its financial investigation into Greyhound Friends “to determine whether charitable funds have been applied to charitable purposes or if breaches of trust have been committed,” according to a MetroWest Daily News report. 


IRS Records

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Unusual spending

A review of the charity's five most recent annual IRS filings reveal that Greyhound Friends took in more than $3.5M in five years -- yet records show they neglected sick and injured dogs. During that time, the charity:

* Spent more than $135,000 in travel expenses, including overseas travel for friends and board members

* Paid more than $197,000 on PR and advertising

* Loaned thousands of dollars to a relative of the charity's founder 

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Drilling down

Greyhound Friends' most recent annual filing with the IRS shows that:

* The highest paid consultant was a greyhound racing breeder, who was paid $46,960.

* The executive director's neighbor was paid $45,507 for website and educational films.

* The charity’s expenses exceeded its income by $295,382.

* The executive director was responsible for custody of funds, distribution of funds, custody of financial records, and authority to sign checks. It is common practice for charities to have separation of these duties to prevent any chance of fraud.

* The charity “forgave" a receivable of $15,812 to another organization run by the same director. When asked about this transaction by a news reporter, Greyhound Friends Board President Stoddard Melhado claimed he didn’t know anything about it.