A federal lawsuit accuses PayPal Inc. of botching a program intended to be philanthropic by misdirecting funds intended for certain charities and transmitting the money to other organizations without informing donors.
The suit, filed in Chicago by Edelson PC on Tuesday, claims that the PayPal Giving Fund currently lists charities on its website that are not registered to receive donations via PayPal and the site fails to inform potential donors that unregistered charities won’t receive their donations. According to the complaint, PayPal redirects donations designated for unregistered recipients to organizations of its own choosing.
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