AG Says Fake Pinellas Veterans Charity Scammed Thousands

PALM HARBOR, FL — Attorney General Ashley Moody and 10 other state attorneys general are recovering funds from a sham veterans charity based in Palm Harbor.

The recovery follows a multistate investigation into Healing Heroes Network Inc. and its former directors Stacey Spiegel, Allan Spiegel and Neal Spiegel.

The investigation included a related entity, Hero Giveaways LLC—a business formed by Stacey Spiegel and Neal Spiegel that Moody said engaged in deceptive charitable solicitations, including misleading sweepstakes mailers and a telemarketing campaign.

The charities were located at 31640 U.S. 19 N., Suite 2, Palm Harbor.

The multistate investigation revealed that the organizations falsely promised to use $95,000 in donations to help wounded veterans of the wars in Iraq and Afghanistan receive medical treatments.

In 2016 and 2017, the charity also falsely claimed on social media that it dedicated 100 percent of its proceeds to wounded veterans. The investigation found that very little of the charitable contributions given to the Healing Heroes Network were actually used to help wounded veterans.

Instead, donations were used to pay professional fundraisers, online advertising fees, the salaries of Stacey Spiegel and son, Neal Spiegel, and to purchase T-shirts from a relative’s apparel business.

“This is outrageous," Moody said. "The fact that anyone would exploit the service and sacrifice of our wounded military heroes to solicit money under false pretenses is deserving of the highest level of contempt. Fortunately, as a result of this joint action with my counterparts in other states, HHN will be banned from soliciting donations in Florida, and we will claw back some of the unlawfully obtained donations.”

The stipulated judgment approved by the Pinellas Circuit Court requires Healing Heroes Network and Hero Giveaways to permanently cease all charitable solicitations. The Spiegels have also agreed to pay $95,000, which will be distributed to a veterans charity that provides services that the Healing Heroes Network promised to provide. The Spiegels are also subject to a five-year ban from overseeing, managing or soliciting charitable contributions for any nonprofit organization.

In addition to Florida, state attorneys in California, Illinois, Maryland, Minnesota, Missouri, New Mexico, Ohio, Oregon, Virginia and Washington joined the action against the bogus Healing Heroes Network.

Assistant Attorney General Ellen Annaliese Bullock and Chief Assistant Attorney General Donna Valin of the Consumer Protection Division handled the case for the Florida Attorney General’s Office.

This action follows similar actions taken by the Florida Attorney General’s Office and other states to stop fraudulent charities affecting veterans and servicemen and women. Funds recovered from judgments and settlements have been redirected to legitimate veterans charities.

Three prior cases include a stipulated final judgment against Help the Vets Inc. and Neil G. Paulson Sr. of Orlando, accused of defrauding contributors of $20,405,287.

Attorney general offices also negotiated a settlement agreement of $250,000 with Vetmade Industries Inc. and John S. Campbell of Tampa.

And the Florida attorney general oversaw a stipulated order for a permanent injunction and monetary judgment against the American Veterans Foundation and Paul Monville of Sarasota, accused of bilking contributors out of $6,584,282.

Moody reminds those contributing to any charitable organization to:

• Research before giving. Search the charity’s name online with words such as "scam" or "complaint." Look up the charity’s name on the Florida Department of Agriculture and Consumer Services website or research the organization using CharityWatch.org, CharityNavigator.org and Give.org.
• Avoid paying with cash, gift cards or wire transfers. Payment by these methods is difficult to track and, therefore, difficult to recover. Consider donating by using a credit card, which tends to be more secure and trackable.
• Be sure to know and trust the professional fundraiser who offers to send a courier to pick up a check or cash donation.
• Research the charity name and do not be swayed by the name of the charity alone. Often, charity names are selected to have an emotional impact on specific groups of donors. For example, many veterans’ charity names often include the following words: "veterans," "heroes," "wounded," "injured" and "warriors." This doesn’t always mean the charity will donate to the named groups or prioritize this group above others, said Moody.
• Ask what percentage of donations support charitable services. Also, ask for the charity’s name, website, physical location and phone number. It is a red flag if the charity or fundraiser is unwilling to answer questions, Moody said.

The Florida Attorney General’s Office also publishes an annual Military Consumer Protection Guide with additional information for donors, service members, veterans and their families.

Moody’s Scams at a Glance program highlights other military or veteran related scams.

Additionally, the Florida Attorney General’s Office has a Military and Veterans Assistance Program to help raise awareness and assist military members and veterans with scams that target their communities.

If anyone is aware of a scam targeting service members, veterans or their families, they should report it to the Florida Attorney General’s Office by calling 1 (866) 9NO-SCAM or file a complaint online.

The website and social media pages of the Healing Heroes Network have been taken down and the national Charity Watch organization has declared Healing Heroes Network "dissolved" on its website.

Patch left a message for Neal Spiegel for comment. There was no answer at the phone number for Allan and Stacey Spiegel.

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