Governmental investigations of nonprofits are increasingly common and can take many forms and come from many places, such as congressional, federal, and state agencies (both civil and criminal), as well as IRS audits of tax-exempt status. As many nonprofits and their in-house counsel can attest, it is far from just the bad actors that get investigated. Investigations can lead to large fines and penalties, publication of embarrassing and sensitive information, expensive legal fees, great distractions of staff time, and significant administrative burdens. Perhaps most importantly, governmental investigations can destroy a nonprofit’s reputation, credibility, and ability to carry out its mission. Bankruptcy or a loss of relevance can follow.
That doesn’t have to be the case. There are many things a nonprofit can do before an investigation ever comes to reduce the risk of an investigation and to be prepared to come out better on the back end of an investigation. Strong internal controls, good document and information management, appropriate board oversight, and effective governmental outreach can mitigate the risks of an investigation. Knowing your organization's vulnerabilities and strengths, and being prepared and trained to respond, can increase the chances of a successful outcome and mitigate the short- and long-term effects on your nonprofit's reputation.
Our speakers—who have helped guide many nonprofits successfully through investigations and crises—will discuss specific, effective, and proven strategies to implement before an investigation hits. This is a Legal Quick Hit you will want to participate in before your nonprofit becomes the target of an investigation, not after.
Ronald M. Jacobs, Esq., Partner and Co-Chair of the Political Law Practice, Venable LLP
Alexandra Megaris, Esq., Associate, Venable LLP
This event is open to ACC members only. Please visit ACC's website if interested in membership.