Wounded Warrior Project CEO responds to government investigation

The CEO of the Wounded Warrior Project is speaking to Action News Jax about the results of a government investigation into the organization.

Sen. Chuck Grassley started looking into the charity after investigations revealed lavish spending.

The new Wounded Warrior Project’s CEO Michael Linnington wanted to discuss the changes they’ve made and talk about a few findings in Grassley’s report that he disagrees with. But beyond that, he said he’s ready for the organization to put this behind them and move forward with helping veterans.

"It was what I needed,” said Army veteran William Tatakamotonga. “It was something I’d never be able to do on my own.”

It’s veterans like Tatakamotonga that Linnington is focused on following a year-long investigation by Grassley.

“Opening our books to the Senator’s investigative team and really explaining to them what we do and how we can improve,” Linnington said.

Grassley’s nearly 500-page report was released Wednesday. In the report, Grassley credits Wounded Warrior Project for working with him and changes the organization made following reports of lavish spending and questions about how money was spent on veterans.

“We made it a point to be more transparent and accountable this year,” Linnington said.

But Grassley said more needs to be done, including better informing the public of its goals. Grassley pointed out an ad that said the organization spent $65.4 million dollars on long-term support programs. Grassley said that money was just transferred to a trust and not spent on veterans.

“The senator’s report does not agree with the fact that that is a program expense. We think it is,” Grassley said.

But regardless, Linnington said they’re focused on improving and moving past the investigation and getting back to the veterans they serve.

“Our logo speaks to what our mission is. It’s about honoring and empowering our nation’s wounded warriors,” Linnington said.

Grassley released the following statement:

"It's good news that the Wounded Warrior Project used negative findings to try to turn itself around. Some high profile charities do the opposite when confronted with problems. They hunker down instead of embracing their responsibilities to the people who are meant to benefit from their charitable mission, the donating public and the taxpayers. It's the taxpayers who forgo revenue to the federal Treasury to make tax-exempt organizations possible. The Wounded Warrior Project is right to recognize why it exists and what it needs to do to restore the public's trust."

Click here to read Grassley's report.

Wounded Warrior Project released the following statement addressing the report's findings:

"Throughout the process, our team has had multiple conversations with Senator Grassley's staff, including in-person meetings, and provided detailed written information. As noted in the memo, we've been forthcoming and transparent in providing information about Wounded Warrior Project, how donor dollars are invested, and how we deliver programs to those we serve.

"Over the last year, as the report outlines, we've made significant changes to ensure that we are focused on running the most efficient, effective organization possible. We've brought in new leadership at the CEO level, consolidated positions on the executive team, made alterations and new appointments to the Board of Directors, updated our travel and expense policies, and adjusted our programs and services to focus on mental health care, long-term support, and areas that allow warriors to connect with their communities.

"We respectfully disagree with the memo's assessment of the Long Term Support Trust. Currently no government program exists that allows severely wounded warriors to continue to live in familiar settings and receive care should they lose their caregiver. The Trust dedicates funds for the future to ensure care will continue so they can maintain their independence, instead of being placed in a nursing home or other institution. We remain firmly committed to serving the long term needs of those most critically injured, and we follow all IRS and accounting rules in reporting on this program.

"We also respectfully disagree with the memo's conclusion on the percent of donor funds spent on program services for warriors. As the memo itself makes clear, we calculate this percentage based on accounting rules and IRS requirements. We are confident that we are putting donor dollars to good use serving warriors, family members, and caregivers.

"We look forward to another impactful year of helping our wounded warriors and families. We're humbled to be recognized as a top charity operating with transparency by the Better Business Bureau, Charity Navigator and GuideStar."

Cox Media Group