CharityWatch has issued WonderWork a "?" rating for the fiscal year-ended 6/30/2018. As previously reported by CharityWatch, WonderWork filed for Chapter 11 Bankruptcy in the Southern District of New York on December 29, 2016. (See the Articles & Alerts section, below, for additional information.)
According to the fiscal year-ended 12/31/2018 consolidated audit of an unrelated charity, HelpMeSee (Note 8, Litigation): "In connection with the litigation with Wonder Work, Inc. (f/k/a Surgery for the Poor, Inc., hereinafter 'Wonderwork'), the Organization [HelpMeSee] was awarded $16,054,348 which consisted of attorney fees and costs. Wonderwork filed a voluntary petition for relief under Chapter 11 of the Bankruptcy Code before the U.S. Bankruptcy Court for the Southern District of New York. In 2018, as a final settlement with the Organization, the Trustee of the Wonderwork bankruptcy approved $10,073,193 of restricted funds, based upon a proposal submitted by the Organization for planned disbursement of such restricted funds..."
According to the fiscal year-ended 6/30/2018 audit of an unrelated charity, ReSurge International (Note 16, Continuing Operations and Subsequent Events): "On September 28, 2018 ReSurge International completed the purchase of assets from WonderWork, Inc., a nonprofit organization headquartered in New York that had filed for bankruptcy. Specifically, ReSurge International purchased the database of donors and potential donors interested in international burn care, maintained by WonderWork, Inc. and certain related intellectual property (appeal materials, logos, etc.). The total purchase price was $276,705, and was paid in two installments after June 30, 2018 to the trustee of WonderWork, Inc. appointed by the United States Bankruptcy Court for the Southern District of New York. "In connection with the purchase, ReSurge International received a grant of $1,729,532 from the bankruptcy of WonderWork, Inc. restricted for burn treatment, training and related program implementation costs. The grant was received in full on October 1, 2018. ReSurge International plans to spend the grant over multiple years. The full amount of the grant will be recognized as income during the year ending June 30, 2019... "The purchase and the grant were part of a bankruptcy settlement of WonderWork, Inc. approved by the New York State Attorney General and the Bankruptcy Court."
According to the fiscal year-ended 6/30/2018 consolidated audit of an unrelated charity, MiracleFeet (Notes re: Subsequent Events): "... [T]he Organization [MiracleFeet] completed a purchase agreement, paying $845,509 for mission-related assets from a nonprofit organization [WonderWork]. As a part of the agreement, they received a program-restricted grant totaling $2,562,148." According to a Chapter 11 bankruptcy disclosure statement filed with the U.S. Bankruptcy Court, Southern District of New York, the funds received by MiracleFeet are "restricted to the treatment of clubfoot which shall be used in a manner consistent with the charitable purpose for which such Restricted Funds were contributed to [WonderWork]..." |
