CNIB controversy could hurt its donations, says Ed McHugh

A Halifax marketing professor is urging the CNIB to speak out about the current controversy surrounding the organization.

The charity is taking four former Maritime lotto booth operators to court, trying to recover $100,000 of missing money.

The CNIB — an organization that helps visually impaired Canadians — operates lottery booths in stores across Atlantic Canada under a contract with the Atlantic Lottery Corporation, selling ALC products.

Lottery booth operators are not considered employees. Instead, they're independent contractors hired by the charity.

The former kiosk operators deny any wrongdoing and think the problem rests somewhere else within CNIB.

Under their contracts, they agree to "accept full responsibility and liability for any and all products and/or cash shortages" and to "repay to the CNIB in full any costs associated with or damages incurred relating to such product and/or cash shortage."

“Your reputation is everything,” said marketing professor Ed McHugh, adding CNIB has one of the strongest charity brands in the country.

He says CNIB’s decision not to speak out about the controversy in detail could hurt its ability to generate donations.

“You know, there’s how many… places and great causes looking for money and now you've got one that has this going on. People will think twice before they send their money to this organization,” said McHugh.

CNIB says it cannot share any evidence that has been gathered

On Friday, CNIB said "the legal actions aren’t about accusing individuals of taking the funds directly, but about holding business owners responsible to their contracts.”

Because the cases are before the courts, the charity says it cannot share evidence that has been gathered.

The four former lotto booth operators are in Truro, Halifax, Bathurst and Summerside.