WASHINGTON, Sept. 26, 2017 /PRNewswire-USNewswire/ -- Today, government watchdog group Campaign for Accountability (CfA) filed a complaint with the Travis County District Attorney requesting an investigation into whether the Heidi Group, an anti-abortion nonprofit based in Texas, violated state criminal law by misappropriating taxpayer funds. CfA reviewed thousands of pages of documents and discovered the Heidi Group failed to perform in accordance with its state contracts. In addition, CfA filed a complaint against the organization with the IRS alleging excessive lobbying and possible prohibited political activities.
CfA Legal Counsel Katie O'Connor said, "The Heidi Group was barely solvent before the State of Texas appropriated $7 million to fund it and has received little if anything to show for the money. Texas taxpayers deserve to know where their hard-earned money has gone."
Between 2016 and 2017, Texas Health and Human Services signed two contracts with the Heidi Group's Executive Director, Carol Everett, designating nearly $7 million in state funds for the nonprofit, purportedly to help subcontractors expand family planning and reproductive health care services offered to low income Texans.
CfA's six-month investigation reveals a record of mismanagement and neglect. CfA found the Heidi Group provided almost no work for its $1.6 million contract through the Healthy Texas Women program, or for its $5.1 million contract through the Family Planning Program. In March 2017, Everett admitted to a staffer in the governor's office, "No, we don't look good, and no, we're not doing what I planned to do, and no, we're not doing what I wanted to do," according to a voicemail obtained by CfA through an open records request.
CfA has asked the Travis County D.A. to investigate whether Everett and the Heidi Group misappropriated money in violation of Texas's theft statute, as well as whether the group engaged in deceptive business practices.
Separately, CfA called on the IRS to investigate whether the Heidi Group violated its nonprofit tax status by lobbying and endorsing political candidates.
CfA is nonprofit watchdog organization using research, litigation, and aggressive communications to expose misconduct and malfeasance in public life and hold those who act at the expense of the public good accountable.
Contact: Daniel Stevens, [email protected], 202.780.5750
SOURCE Campaign for Accountability