On the heels of a settlement, author Greg Mortenson is facing accusations that he fabricated parts of his best-selling books “Three Cups of Tea” and “Stones Into Schools.” A hearing is set on claims that Mortenson lied about how he came to build schools in Central Asia after losing his way in a failed mountaineering expedition and being nursed back to health in a Pakistani village.
The lawsuit — filed by two California residents, a Montana man and an Illinois woman who bought the books — list more than two dozen alleged fabrications and accusations of wrongdoing by Mortenson, publisher Penguin Group, co-author David Oliver Relin and the Central Asia Institute. Lawyers for Mortenson and Penguin Group are asking Haddon to dismiss the lawsuit, which seeks triple the amount of total books sales, plus punitive damages.
The lawsuit is asking a judge to order that everybody who bought the books be refunded. Whatever money is left over would go to a humanitarian organization selected by the plaintiffs’ attorneys and approved by the court. That could add up to $7 million.
The lawsuit is asking a judge to order that everybody who bought the books be refunded. Whatever money is left over would go to a humanitarian organization selected by the plaintiffs’ attorneys and approved by the court. That could add up to $7 million.
The hearing comes less than two weeks after Mortenson and the Montana attorney general announced a $1 million agreement to settle claims that Mortenson mismanaged the Central Asia Institute and misspent its funds. The agreement removes Mortenson from any financial oversight and overhauls the charity’s structure. (link)
Nonprofit Imperative gathers its information principally from public documents...some of which are directly quoted. Virtually all cited are in some phase of criminal proceedings; some have not been charged, however. Cites in various media: Featured in print, broadcast, and online media outlets, including: Vermont Public Radio, Miami Herald, National Public Radio, Huffington Post, The Sun News, Atlanta Journal Constitution, Wall Street Journal (Profile, News and Photos), FOX2, ABC Spotlight on the News, WWJ Radio, Ethics World, Aspen Philanthropy Newsletter, Harvard Business Review, Current Affairs, The Chronicle of Philanthropy, St. Petersburg Times, B, USA Today Topics, , Newsweek.com, Responsive Philanthropy Magazine, New York Times...and many more • Nonprofits: On the Brink (iUniverse, 2006)
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The federal Judge hearing Greg Mortenson and his nonprofit's case will most likely toss out the case and merit of any argument that Greg Mortenson's story is similiar to James Frey "A Million Little Pieces" settlement.
In Frey's case, the case did not go to trial and was never heard in court, as there was a quick settlement. The judge in the James Frey case, also stated that the settlement would not have any bearing or prescient on future cases.
Larry Drury, the attorney from Chicago who filed the lawsuit against James Frey, received over $ 780,000 in the settlement (legal fees), and three charities were given a total of $ 230,000 and the disgruntled readers who wanted compensation for the harm caused them from reading a fictitious book received only a whopping $ 22,000 in refunds. It was all about money for the attorneys.
The Montana Attorney General recently completed a year long investigation of Mortenson and found no criminal activity or fraud, and stated that his work was noble and worth supporting. Mortenson was ordered to pay his charity $ 1 million as a penalty for not keeping receipts and poor management.
Only a opportunistic attorney could sue a nonprofit that is doing good work. Anyone can sue anyone in USA, but a disgrace that a charity will have to pay hundreds of thousands or millions of legal fees to protect funds from going of attorney's pockets.
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