Corporate Ties to Charity Scrutinized in Wake of Gulf Disaster

As charities that have taken donations from BP and as other multinational companies face increased criticism, many nonprofit groups are likely to review their ties to corporations, writes The Economist.

Most of the time the benefits of arrangements between charities and companies outweigh the risks, argues the magazine. For example, it says efforts by charities to work with companies like Wal-Mart and Coca-Cola to reduce environmental harm have brought about positive changes.

But, it says, “whenever money changes hands, suspicions are bound to arise.” The charities that accepted BP’s largesse “presumably now wish that they had brought a longer spoon to the feast.”