State officials are warning the public to be cautious about door-to-door fundraising after two youth charities were shut down over a candy bar sales scheme.
Baltimore, MD (DG) – Maryland’s top law enforcement officials have shut down two sham youth charities that misled donors and exploited children in fundraising schemes. Attorney General Anthony G. Brown and Secretary of State Susan C. Lee announced this week that Maryland Youth Club of America and Virginia Youth Club of America will be permanently dissolved following a multistate investigation. The groups recruited school-age children to sell candy door-to-door under the pretense that proceeds would fund scholarships and enrichment activities for at-risk youth, when in fact thousands of dollars were diverted for personal use.
Authorities also revealed the organizations failed to deliver promised benefits to the children involved and that a significant amount of the funds raised remains unaccounted for. As part of the settlement, founder Jule Huston and other officers are permanently banned from operating or soliciting for any charity in Maryland, and Huston faces similar bans in Virginia and the District of Columbia.
The settlement includes a $5,000 payment to be redirected to legitimate nonprofits serving at-risk youth – a symbolic step toward restoring public trust in charitable giving.