Armed Forces Foundation exec investigated for mishandling money

The Federal Bureau of Investigation and the Internal Revenue Service are conducting investigations into Armed Forces Foundation executive director Patricia Driscoll, over allegations shown in ESPN’s television program Outside the Lines that Driscoll had been mishandling money from the nonprofit organization.

Among the practices divulged in the Outside the Lines report:

  • The organization’s funds were used like a bank to lend money or pay for personal expenses, including a company owned by Driscoll.
  • There is a mismatch between the foundation’s tax filings and audit reports, making it impossible to account for discrepancies totaling hundreds of thousands of dollars.
  • The foundation paid Driscoll and another individual a sum of $96,000 in annual rent for the foundation’s headquarters – which has been cited for direct violation of Washington’s zoning rules.

The foundation and Driscoll have since then hired attorneys to “evaluate potential libel claims for false and defamatory reporting,” and it was noted that, “the one-sided reporting of ESPN makes accusations that are blatantly and demonstrably false.”

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