Ohio AG Yost suing 'sham' charity that took thousands meant for East Palestine residents
Haley BeMiller
A scam charity pocketed thousands of dollars after claiming to collect donations for East Palestine residents following the catastrophic train derailment, a new lawsuit says.
Ohio Attorney General Dave Yost announced Tuesday that he's suing Mike Peppel, a Leetonia resident who allegedly operated a fake charity fund advertised to benefit East Palestine. Residents' lives were upended on Feb. 3 when a Norfolk Southern train with an overheated wheel bearing went off the tracks and spilled toxic chemicals into the air, water and soil.
Five of the derailed cars contained vinyl chloride, which the railroad later vented and burned to prevent an explosion.
According to Yost, Peppel's Ohio Clean Water Fund purported to be a nonprofit acting on behalf of the Second Harvest Food Bank of the Mahoning Valley and sent emails and text messages to collect donations. While Peppel said the money would go to emergency aid and bottled water for residents, he instead pocketed at least $131,000 of the $141,000 raised from over 3,000 donors.
Yost said food bank representatives complained to his office and said they hadn't authorized the partnership. Peppel paid the food bank $10,000 after being confronted about his activities, according to the attorney general.
Yost warned people against attempting to profit off the tragedy in East Palestine.
“The idea that somebody would so brazenly exploit a disaster situation and the good hearts of people who want to help is unconscionable,” Yost said. “I’m mad as hell about this, and we’re going to make sure this sham charity gets shut down.”
In a March 23 Facebook post, the food bank encouraged people who want to help to donate to them directly.
Haley BeMiller is a reporter for the USA TODAY Network Ohio Bureau, which serves the Columbus Dispatch, Cincinnati Enquirer, Akron Beacon Journal and 18 other affiliated news organizations across Ohio.