Our Terms of Service and Privacy Policy have changed.

By continuing to use this site, you are agreeing to the new Privacy Policy and Terms of Service.

Wyclef Jean defends Yele Haiti

wyclef_jean2.gi.top.jpgWyclef Jean in Miami on Saturday shooting his Haiti Relief Fund message. By Karen Pantelides, producer


NEW YORK (CNNMoney.com) -- Celebrity musician Wyclef Jean denounced charges that he misappropriated funds from his charity, Yele Haiti, and defended the foundation and his commitment to Haiti relief efforts.

"Let me be clear: I denounce any allegation that I have ever profited personally through my work with Yele Haiti," Jean said in a statement released Saturday. "These baseless attacks are simply not true."

Allegations that surfaced earlier on TheSmokingGun.com claimed the Haitian-born rap star was using money raised by the foundation to fund projects like his production company, recording studio and a live performance, for his personal gain.

According to a 2006 tax filing posted on The Smoking Gun, more than a third of the foundation's total revenue went to such miscellaneous expenses.

The biggest was a $250,000 payment to Telemax, a television production company owned by Jean and fellow Yele board member Jerry Duplessis. Others listed by The Smoking Gun were $31,000 in rent payments for Platinum Sound -- a Manhattan recording studio owned by Jean and Duplessis -- and $100,000 in payment for Jean to perform at a benefit concert.

Jean vigorously defended himself in a YouTube video posted Saturday.

"After digging kids up and finding cemeteries for them ... this is what I come back to, an attack on my integrity and my foundation," Jean said in the video.

He went on to explain that the charges were business expenses for Yele Haiti's fundraising efforts. "You can't put a show together without a production. You need lights, you need a stage ... All of these things have to be accounted for," he said.

Most charities allocate a portion of their revenues toward operating expenses.

Charity Navigator, an organization that evaluates charities, says that the most efficient charities put at least 75% toward programs related to their cause. Charity Navigator does not rate Yele Haiti, but reviewed the group's tax audits after the scandal broke. In 2008, Yele Haiti spent 69% of its budget on Haiti programs, according to Charity Navigator.

In his video, Jean also stressed that he has put $1 million of his own money into the foundation.

Since Tuesday's earthquake, Jean has been in Haiti assisting with relief efforts.

CNN's Hussein Saddique contrbuted to this report.  To top of page

Overnight Avg Rate Latest Change Last Week
30 yr fixed3.35%3.63%
15 yr fixed2.62%2.65%
5/1 ARM2.90%2.95%
30 yr refi3.38%3.49%
15 yr refi2.64%2.68%
Rate data provided
by Bankrate.com
View rates in your area
 
Find personalized rates:
Index Last Change % Change
Dow 18,143.45 -195.79 -1.07%
Nasdaq 5,269.15 -49.40 -0.93%
S&P 500 2,151.13 -20.24 -0.93%
Treasuries 1.56 -0.01 -0.64%
Data as of 6:41pm ET
Company Price Change % Change
Chesapeake Energy Co... 6.12 -0.63 -9.33%
Bank of America Corp... 15.16 -0.22 -1.43%
Procter & Gamble Co 88.23 -1.23 -1.37%
Wells Fargo & Co 44.37 -0.94 -2.07%
Qualcomm Inc 67.45 4.00 6.30%
Data as of 4:15pm ET
Sponsors

Sections

Lawmakers grill Wells Fargo CEO John Stumpf about CNNMoney report on the bank retaliating against whistleblowers who flagged fake accounts. More

A 16-year-old Chipotle worker won $7.65 million from the company after she was sexually assaulted by her 26-year-old manager. More

Facebook is now available in 101 languages, including nine languages that are said to be in danger of going extinct. More

California workers who don't already have access to a retirement plan at work will soon be enrolled in a new state-run IRA savings plan. More