Editor’s Remarks: Israel’s Allies Have Lost Sight of Their Purpose

The Crisis of Trust in Philanthropy: A Call for Accountability

This week, we explore a pressing concern within charitable organisations that connect with the Israeli community: the disconnect between donor generosity and the efficacy of the institutions that manage these funds. While the spirit of giving among the diaspora is commendable, there is an alarming trend of mismanagement within many charitable foundations, leading to a situation where funds do not reach those in urgent need.

Troubling Discoveries in Charitable Management

A few years ago, significant revelations came to light regarding the financial practices of the Friends of the Israel Defense Forces (FIDF). An investigation revealed that the CEO was earning over £1 million annually, a figure that surpassed the total amount the charity allocated to support the families of fallen soldiers. This shocking disparity prompted a deeper examination of the FIDF’s operations, particularly in light of their decision to cease financial support for the IDF Widows and Orphans Organisation. At the time, the culture within the organisation was labelled as “toxic,” a term that has only become more relevant as further accusations of mismanagement surfaced.

Fast forward to July 2025, when an internal investigation leaked to the media accused FIDF board chair Morey Levovitz of running the charity akin to a personal enterprise. Allegations included favouring personal connections for contracts and accumulating extravagant travel expenses that may violate the charity’s own policies. In response to these revelations, the San Francisco chapter, one of the FIDF’s most substantial donor bases, decided to halt contributions in protest.

A Disconnect Between Donors and Recipients

This situation raises a critical question: why are donors, who believe their contributions are aiding those on the front lines, met with such a stark reality? It was reported that nearly half of the £280 million raised after the tragic events of October 7 remained unspent within the FIDF’s accounts. This has led to grassroots organisations stepping in to provide essential equipment like helmets for reservists, highlighting a significant gap between the funds raised and the ongoing needs of those directly affected.

The FIDF’s approach to crisis management offers a case study in public relations. They engaged a high-profile law firm and a communications agency, promising to revise internal policies. While these are necessary steps, many donors are left questioning why a charity focused on supporting soldiers requires an extensive compliance overhaul before responding to urgent needs.

The Broader Issue of “Friends-of” Charities

The FIDF is not alone in this predicament. In early 2024, the American Society for Yad Vashem quietly severed ties with the Holocaust museum following a contentious dispute over a substantial endowment. This situation illustrates a broader phenomenon within numerous “friends-of” organisations, where the disconnect between charitable boards and the realities faced by local staff and beneficiaries is increasingly pronounced.

Donors often mistakenly equate the size of an organisation with its impact, failing to scrutinise the allocation of their contributions. The allure of high-profile fundraising events, featuring celebrities and extravagant bids, can overshadow the more mundane yet critical aspects of governance and fund management.

The Need for Transparency and Accountability

In light of these challenges, it is crucial for donors to take a more active role in understanding where their money is going. Engaging with charities should involve requesting audited financial statements and clarity regarding the intended use of earmarked funds. Similarly, charities should embrace transparency, allowing donors to see how their contributions directly impact beneficiaries.

Moreover, Israeli organisations must diversify their funding sources. Relying heavily on a single American “friends” group can create vulnerabilities, as seen with Yad Vashem. Leveraging modern technology to provide real-time updates on donations and their application can build trust and encourage further giving.

Rebuilding Trust in Philanthropy

At the heart of Jewish philanthropy is a profound sense of connection. Donors support causes because they feel a bond with soldiers and survivors, as well as with the communities facing challenges. This relationship is vital and should be treated with the utmost respect. Nonprofit leaders must recognise that their role is to serve beneficiaries, not to take advantage of the generosity offered to them.

As we reflect on the past few years, perhaps it is time to reconsider the automatic trust that many have extended to charitable organisations. Moving forward, it is essential that all parties—donors, organisations, and beneficiaries—hold one another accountable, ensuring that every contribution is used effectively and transparently.

As invitations to fundraising events continue to flood our inboxes, we must not hesitate to ask for evidence of impact. In this evolving landscape of philanthropy, genuine friendship between donors and charities should be built on transparency and accountability, ensuring that every contribution truly makes a difference.