(Image Source: CBCNews)
BY CHRISTINA HONAN
ANCHOR ERICA COGHILL
Hip-hop star Wyclef Jean is under fire after reports that he squandered millions of his earthquake relief fund, Yele Haiti. WAWS explains:
“The New York Post has reported that the charity took in $16 million in 2010 but only a third of it actually went to fund emergency efforts. Now the really weird thing here is that a million dollars was actually supposedly paid to a company in Florida — one that doesn’t even exist. And the owner of that company just happened to buy three properties in Florida last year, so that just makes everything really fishy.”
The New York Post also reported the address listed for that mystery company — Amisphere Farm Labor Inc. — is an auto-repair shop in Miami and one of its workers said he had never heard of the company or its supposed owner, Amsterly Pierre. Still, Wyclef is defending Yele Haiti and Amisphere.
“Wyclef credits that company with providing close to 100,000 meals to people in Haiti, but never addresses the Post’s claims that there doesn’t seem to be a trace of that company in Florida.”
In addition to the Amisphere controversy, huge portions of Yele Haiti donations seemed to end up a little close to home for the hip hop star. TIME has more:
“One construction company the charity contracted with is conveniently owned by Jean’s brother-in-law. P&A Construction received $353,00, headed by Warnel Pierre, brother of Jean’s wife Claudinette.
This is not the first time Yele Haiti has been the center of controversy. In 2008, it was reported the charity had never filed a required tax form detailing its spending with the IRS. Where did that money go? Clutch Magazine has the story:
“Shortly after raising funds for Haiti’s earthquake release reports surfaced that the organization failed to file a required tax form detailing its spending with the IRS in 2008 and that Yele Haiti had steered $250,000 to a Haitian TV station controlled by Wyclef and his cousin Jerry Duplessis.”
At the time, Jean denied using any funds for personal gain and claimed that Yele Haiti’s books were “open and transparent.” Current Yele Haiti CEO Derek Johnson is also defending the organization, saying the transactions in question are irrelevant and almost two years old. USA Today has more on Johnson’s role with the charity:
“Johnson says he joined in summer 2010 and his job has been to ‘make Yéle the squeaky clean, ethically driven and impactful NGO that our legendary founder, Wyclef Jean, always envisioned.’ Over the last 18 months, Johnson says there has been a complete overhaul, including a restructuring of the board and staff, cutting administrative expenses, retaining new accountants and more.”
Wyclef Jean stepped down as head of the charity in August 2010. Currently, there are no reports of any legal action taken against the company.
Transcript by Newsy.