Friday, April 13, 2012

Den of thieves at Trinity Broadcasting Network

The Trinity Broadcasting Network (TBN) is a successful model for distributing the gospel of prosperity. The countless hours of religious performance art and televangelist infomercials beamed on 18,000 stations owned by the Crouch family is remarkable, all made possible by hundreds of millions in contributions. In 2010, TBN had an estimated net worth in excess of $800,000,000. Of course, that does not include dozens of other companies controlled by the Crouch empire, even a glorious amusement park in Florida. Nor does it count the bevy of mansions, private jets, and luxury motor coaches for dogs enjoyed by Crouch family.

Thanks to several lawsuits filed by members of the Crouch family against other family members, we have a glimpse into the Crouch empire. My personal favorite is the suit filed by Brittany Koper. Ms. Koper is the granddaughter of founders Janice and Paul Crouch Sr. and the former Chief Financial Officer of TBN. I particularly liked this ditty found on pages 4 and 5 of the complaint. Fifty million dollars in shenanigans on top of all the opulence showered on the Crouch family. Oink. Oink.

Directors for the TBN Companies, senior executives at those companies, and
the Defendant Attorneys disclosed specific details concerning the financial affairs of the TBN Companies to Ms. Koper following her appointment as the head of finance.  Ms. Koper reasonably believed that these financial activities were illegal and involved the unlawful distribution of the TBN Companies’ charitable assets to Trinity Broadcasting’s directors.  Based upon financial records to which Ms. Koper was given access and disclosures by the Defendant Attorneys and others, Ms. Koper is informed and has good reason to believe that the magnitude of these unlawful financial transactions involving the directors of the TBN Companies exceeds $50 million.

Clearly the holy trinity of the Crouch family consists of clever messaging, not paying taxes, and above else, secrecy.

The messaging aimed at donors is that God will bless the donor for giving money to TBN as an act of faith. In other words, standard prosperity gospel shilling. Here is one appeal used in a recent TBN "praise-a-thon."
During TBN's Praise-A-Thon earlier this month, a preacher exhorted viewers to bellow 'Fear not!' three times, count down from 10 and then rush to the phone with donations. In exchange, he said, they would receive a miracle from God 'about this time tomorrow.' Within seconds, all 200 phone lines were busy.
And since the Crouch's serve God, taxes are for sinners and fools. Despite $92 million in donations and $175 million in tax free income in 2010, they still reported a net loss of $18 million. This is a drop in profitability from a net gain of $60 million in 2006 to a net loss in 2010. This is all in the same time period that Ms. Koper alleges $50 million in fiscal shenanigans by the TBN board of directors, which includes her grandparents, Jan and Paul Crouch Sr.

Last, but certainly not least, there must be no transparency regarding the wealth accumulated by the Crouch family and how it is distributed and spent. Ms. Koper in her suit charges that she was fired for publicly disclosing information that might be viewed negatively by potential donors. Watchdog group Ministry Watch has issued a warning to potential donors about TBN, giving the Crouch family circus failing grades on transparency, stewardship, and willingness to smear critics.

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