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Nonprofits Panel Puts Getty on Probation

The 60-day penalty is for failure to turn over all data sought in a probe of the trust's finances.

December 21, 2005|Robin Fields, Times Staff Writer

As the loudest voice on Capitol Hill for foundations, trusts and other grant-making organizations, Peeps said, the council plays a central role in the nonprofit field.

Nonprofits are also under heavy outside pressure to demonstrate fiscal responsibility: The Senate Finance Committee is reviewing the laws that govern the organizations and proposing more restrictions on how they use their resources.


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Sen. Charles E. Grassley (R-Iowa), the committee's chairman, has sharply criticized the Getty, saying its board "has been spending more time watching old episodes of 'Lifestyles of the Rich and Famous' than doing its job of protecting Getty's assets for charitable purposes."

The $9-billion Getty Trust -- the world's richest art institution -- has been the target of criticism much of this year.

Besides the reports about Munitz, the Getty's former antiquities curator, Marion True, is on trial in Rome, accused of trafficking in looted artifacts. Officials in Italy and Greece have identified dozens of allegedly looted works at the Getty.

True retired in September after The Times questioned trust officials about a $400,000 loan she received with aid from a key supplier to the Getty Museum.

In October, the Getty launched its own investigation, forming a special committee composed of five board members, assisted by attorney Ronald L. Olson, to look into issues related to the trust's finances, governance and antiquities acquisitions.

Trust officials said the committee hoped to conclude its review by the end of January, when they have promised to provide additional information to the Council on Foundations.

Gunderson said the council was sending two messages in placing the trust on probation.

"The first is that we take the allegations very seriously," he said. "The second is that we are committed to working with the Getty, to help them correct the problems and to operate in a more appropriate way."

Times staff writers Jason Felch, Ralph Frammolino and Christopher Reynolds contributed to this report.

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