In recent years, nonprofit organizations have faced a surge in government investigations, ranging from state attorney general inquiries into potential violations of charitable solicitation laws to U.S. Department of Justice investigations into alleged failures in nonprofit tax compliance. Congressional committees have also launched investigations into conflicts of interest within nonprofit entities. How a nonprofit responds to a government inquiry, whether a routine regulatory review or a criminal investigation, can significantly affect its operations, reputation, and ability to raise funds. This guide offers an overview of common government investigations and provides strategies to help organizations navigate the process effectively.
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