Financial sins of church leaders don't stop faithful from tithing

0 Comments | Insight on the News, March 27, 1995 | by Larry Witham

Embarrassing divergences from the Christian tenet `thou shalt not steal' haven't tarnished collection plates, although `financial irregularity' has made the public skeptical, `even cynical:

When the Presbyterian Church (USA) gave $66,000 to a feminist conference that appeared to worship Sophia, an allegorical figure of wisdom mentioned in the Old Testament, critics cried goddess worship. (See Feminist Crusade Sparks Holy War," July 25,1994.) Local congregations began withholding contributions to the church -- nearly $2.5 million in 1994. At the annual convention last year, Presbyterian delegates adopted a resolution that the church "conduct a more careful scrutiny of future allocations" and enact a new rule on spending approval. "That had to do with accountability," says Dean R. Hoge, a professor of sociology at Catholic University of America in Washington.

According to Hoge, who recently surveyed 125 congregations in four Protestant denominations and the Roman Catholic Church, Presbyterians were least satisfied with their "decision-making process" on finances. While the study confirmed the obvious -- people donate to churches according to the strength of their religious beliefs and the availability of disposable income -- you hear the idea more in evangelical churches that God recognizes the giving," says Hoge. "You don't hear that from liberal churches and Catholics'"

During the 1980s, evangelicals were the main arena for financial scandals -- mainly because of televangelists. However, the Evangelical Council for Financial Accountability, whose 800 members have a total of $4 billion in annual ministry budget receives complaints all according to Paul Nelson, council president. "If it's a member organization, we have the right to send a task force in on-site. We become a tribunal."

Financial sins arise mostly when church boards fail to monitor financial managers or, in some cases, misappropriate funds themselves. World, a weekly evangelical magazine, found that four of 10 ministries belonging to the council were unable to produce required public disclosures. "When I heard of the four in 10, I went after them right away," says Nelson. "It was more a case of ignorance."

While the public is skeptical, "even cynical," says Nelson, "the giving continues to be generous." For evangelicals, "if a flagship ministry goes down, we're all suddenly at stage center."

Established denominations are no less susceptible to scandal. The Episcopal Church treasurer recently was caught with her hand in the till, and the National Council of Churches may lose millions in a bad investment. Fortunately, Hoge says, such money mishaps don't demolish church giving. They do slow it, however, while tarnishing the image of the church. And in light of recent cases, there's plenty of room for churches to improve, whether it's in dealing with fraud, bad financial judgments, unaccountable spending or perceptions of impropriety.

"In any denomination, you may find people who steal money or manage it poorly," says Hoge. "It's embarrassing." Financial irregularity doesn't necessarily prevent people from tithing. "There's not a widespread feeling that `I don't trust those people with my money,'" he says.

Last month, the Episcopal Church's presiding bishop, Edmond L. Browning, disclosed that under the church's former national treasurer, Ellen Cooke "funds appeared to have been misused." An internal church investigation "will be completed in a matter of weeks." The national church budget for 1995 is $42.6 million.

The National Council of Churches is trying to recover $8 million its agent lost buying prime bank certificates issued by the Bank of Bohemia. "What we did was conduct an immediate review of our financial and investment policy and communicate that to our executive committee and general board," says Mike Maus, communications director for the NCC. "Beyond that, we moved quickly to try and recover the money."

In December, the United Church of Christ responded rapidly to newspaper reports in Florida that a Fort Lauderdale couple had committed suicide and left the church $10 million. "We didn't want an impression out there that was something that the church encouraged," says church spokesman Hans Holznagel. The couple, Richard and Helen Brown, had cited the United Church Foundation in their will. But the portion of their multidollar estate that goes to "scholarships for pastoral leadership" has yet to be determined. "It was delicate to handle in public view," says Holznagel, noting that the church's concern was to mourn the deaths of longtime members.