NEW YORK (1010 WINS) — A Staten Island man was arraigned for grand larceny and other charges after allegedly founding 23 bogus nonprofit corporations and collecting at least $152,000 in donations that were never used for charitable purposes, Brooklyn District Attorney Eric Gonzalez announced Monday.
Ian Hosang, 63, is charged with 12 counts of third-degree grand larceny, three counts of first-degree identity theft and one count of first-degree scheme to defraud.
According to an investigation, between 2014 and 2021, Hosang allegedly formed 23 fraudulent charities and filed paperwork with secretaries of state across the country in a scheme to collect charitable donations under false pretenses.
Most of the "charities" had the word "cancer" in their names, and many started with the words "American Cancer Society" or "American Cancer Foundation" (e.g., "American Cancer Society for Children" and "American Cancer Society of Ohio"). A similar pattern was allegedly used to create entities called "United Way" in various places.
Hosang allegedly had no affiliation with the real American Cancer Society or with United Way and had no authority to use their names in any way, officials said.
He allegedly used a company in Brooklyn, Clinton Hill Filing Services, to create and file much of the paperwork connected to the scheme, and he stole the identity of a Brooklyn resident and used her name as the purported director of many of the entities, according to the district attorney's office. The indictment also charges him with stealing the identities of the American Cancer Society and United Way.
In addition, the 63-year-old allegedly advertised the bogus charities and solicited donations on various websites. For example, the website of "American Cancer Society for Children Inc." claimed that "Thanks to our volunteers, our "angels on earth," we have been able to keep organizational costs low while using most of your generous contributions to benefit kids and their families."
The donations were traced back to bank accounts set up by the defendant, and he allegedly used the money on living expenses, including mortgage payments, credit card bills and purchases at liquor stores, according to the investigation. Most of the donations were for small amounts, but 12 individual donors gave more than $3,000 each to the fraudulent charities.
"This defendant allegedly lined his own pockets by defrauding unsuspecting donors who contributed generously to help cancer patients fight their illnesses. We have no tolerance for this kind of outrageous alleged fraud, and my office will vigorously seek accountability," Gonzalez said.
He was released without bail and ordered to return to court on June 22. Hosang faces a maximum sentence of seven years in prison if convicted of the top counts in the indictment.
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