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Washington, DC – On Monday, November 25, 2024, the law firm of Morris Legal, LLC in Miami filed a billion-dollar lawsuit against The American Red Cross and related entities on behalf of the Haitian Diaspora Political Action Committee (HDPAC), along with individual plaintiffs representing millions of donors and beneficiaries. (click here to Read Complaint)
The class action lawsuit filed in the United States District Court for the Southern District of Florida came 14 years after the Red Cross had collected nearly half a billion dollars on behalf of the 2010 earthquake victims in Haiti and built six homes.
The lawsuit alleges that the American Red Cross, the International Red Cross, and related entities, including their leadership, mismanaged and misappropriated over $500 million in funds raised for Haiti’s 2010 earthquake recovery efforts, and from 2010 to 2024, the American Red Cross continued to raise money on behalf of Haiti under false pretenses.
The plaintiffs assert that these funds were diverted for unrelated projects and administrative expenses, contrary to the promises made to donors, the people of Haiti, and the public at large.
The Complaint claims that despite raising significant funds for Haiti’s recovery, the defendants failed to deliver on commitments to rebuild critical infrastructure, such as homes, schools, and hospitals. The lawsuit alleges that the funds were instead used to cover existing organizational deficits and other non-Haiti-related initiatives, with limited or no tangible impact on the affected communities.
Key Allegations in the Complaint include:
- Mismanagement of Donor Contributions: The Complaint asserts that most of the $500 million raised for Haiti’s earthquake recovery did not benefit the intended recipients or projects.
- Deceptive Fundraising Practices: The lawsuit alleges that the defendants misrepresented the intended use of the funds by appealing to donors through emotionally charged campaigns that promised direct assistance to Haitians.
- Conspiracy to Defraud Donors and Beneficiaries: According to the Plaintiffs, the Red Cross conspired with its partners and other subsidiaries to defraud both the donors and beneficiaries of the funds. From 2010 to 2024, the Red Cross continued to publish false information designed to cover the conspiracy.
- Failure to Account for Funds: According to the plaintiffs, the Red Cross and affiliated entities still need to provide a transparent accounting of how the funds were spent.
The plaintiffs seek over 750 million dollars in compensatory damages, $250 million in punitive damages, and a complete accounting of every penny raised for Haiti.
The Complaint also requests injunctive relief to ensure that future fundraising campaigns by the defendants are conducted with transparency and accountability. The lawsuit emphasizes the importance of holding large international organizations accountable for fulfilling their commitments to vulnerable communities and ensuring that donor trust is not abused.
“The Red Cross and other NGOs are poverty pimps who get rich out of the misery and misfortune of the Haitian people. I am tired of these organizations taking advantage of Haiti and its people. The Red Cross raised half a billion dollars for Haiti and built six homes. We need to know where the money went. The Haitian people deserve an explanation. The donors deserve to know how their money was spent. Every single penny raised on behalf of Haiti must be accounted for. The Red Cross needs more transparency in how they raise and spend money on behalf of poor communities.” Emmanuel Roy, Director of Communications, HDPAC.
About the Haitian Diaspora Political Action Committee (HDPAC):
HDPAC is a political advocacy organization representing Haitian Americans and the global Haitian Diaspora. The group is dedicated to promoting justice, accountability, and sustainable development for Haiti and its people.
HDPAC is the most active Haitian Diaspora organization, having organized the Louisiana Unity Summit in 2021, and more recently, the organization was invited by the Organization of American States (OAS) to participate in a discussion on how the Haitian Diaspora can participate in the next elections in Haiti. The Haitian government invited HDPAC to take the lead on Diaspora participation in the next elections. HDPAC has been leading the charge to protect the interests of the Haitian Diaspora and the people of Haiti. In September 2024, HDPAC filed a lawsuit against Donald Trump and JD Vance for conspiracy to violate the civil rights of Haitian immigrants living in Springfield, Ohio (click here for a copy of the Complaint).
For more information about HDPAC, visit their website at www.hdpac.org.
