Gospel for Asia Reaches Settlement in Class-Action Lawsuit
Editor’s Note 3/5/19: The language in paragraph 3 has been changed from “plaintiffs” to “class” to clarify that the entire class, not only the named plaintiffs, will be eligible to receive reimbursement from GFA. Additional information was also added to paragraph 3 to clarify that the settlement yet to be finalized.
Non-Profit missions organization Gospel for Asia announced on Thursday that after three years in court, they have reached a settlement in a class-action lawsuit levied against.
According to a statement released by GFA, the organization was accused of “racketeering, fraud and financial mismanagement.” Christianity Today notes that the organization was facing two lawsuits which claimed that GFA was only sending “13 percent of its donations to the field instead of the oft-promised 100 percent.”
The two suits eventually merged and became a class-action suit with more than 200,000 people — those who donated to GFA between January 2009 and September 2018 — looking for reimbursement. Christianity Today reports that the suit originally requested $376 million from GFA, but the settlement, which was submitted to a federal court for “preliminary approval,” will make all members of the class eligible for only 10 percent of the requested amount — $37 million. The settlement would also require GFA to surrender a board seat to Lead plaintiff Garland Murphy.
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