Ohio Attorney General Yost Sues ‘Sham’ Charity for Stealing Thousands Intended for East Palestine Residents

According to a new lawsuit filed by Ohio Attorney General Dave Yost in the Columbiana County Court of Common Pleas, a sham charity stole thousands of dollars after pretending to raise money for East Palestine residents in the wake of the disastrous February 3rd train derailment.

Yost announced on Tuesday that he is suing Mike Peppel, a resident of Leetonia, for allegedly running a fraudulent charity fund that he promoted to help East Palestine. The February 3rd Norfolk Southern train derailment due to an overheated wheel bearing, which resulted in the release of poisonous chemicals into the environment, drastically changed the lives of locals.

The railroad vented and burned the vinyl chloride found in five derailed cars to stop an explosion requiring the evacuation of hundreds of residents and negatively impacting the environment and residents’ health.

The complaint claims that Peppel’s Ohio Clean Water Fund used text messages to solicit donations for bottled water and announced a partnership with the Second Harvest Food Bank of the Mahoning Valley.

Peppel received $141,000 from nearly 3,200 donors.

According to Yost, he intends to ensure this sham charity is shut down for exploiting a disaster situation.

“The idea that somebody would so brazenly exploit a disaster situation and the good hearts of people who want to help is unconscionable. I’m mad as hell about this, and we’re going to make sure this sham charity gets shut down,” Yost said.

Representatives from the Second Harvest Food Bank reportedly complained to Yost’s office and claimed they hadn’t given the go-ahead for a relationship with Peppel.

Second Harvest Food Bank allegedly confronted Peppel twice to tell him to stop advertising the non-existent partnership. Only after Second Harvest Food Bank called him out, Peppel paid only $10,000 to the food bank, a mere 7 percent of what Peppel admits he raised.

Yost cautioned individuals against making money from the tragedy in East Palestine.

“Here’s a message for anybody else who might hope to profit from the situation in East Palestine: Don’t even think about it,” Yost said.

In a March Facebook post, the food bank encouraged people who want to help to donate to them directly.

Yost is seeking a temporary restraining order and preliminary injunction to halt Peppel’s illegal activity, prohibit him from engaging in additional charitable solicitations and preserve existing charitable assets.

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Hannah Poling is a lead reporter at The Ohio Star and The Star News Network. Follow Hannah on Twitter @HannahPoling1. Email tips to [email protected]
Photo “Dave Yost” by Dave Yost. Background Photo “East Palestine Downtown” by 636Buster. CC BY-SA 4.0.