US Company Fires 200 Employees Over Telugu Groups Donation Scam

A major US company Fannie Mae, has recently fired around 700 employees with about 200 of them let go due to alleged involvement in a donation scam. Many of these employees are said to be from the Telugu community. The issue is tied to misuse of the company's "matching grants program," which is meant to support verified charitable donations.

According to reports, some employees worked closely with nonprofit groups like the Telugu Association of North America (TANA). They reportedly misused the donation system to redirect funds for personal benefit. One of the employees involved held a key position in TANA while another was related to a former leader of the American Telugu Association (ATA).

This incident mirrors an earlier scandal at Apple in January 2025. In that case, over 100 staff members were fired for abusing Apple’s "Matching Gifts Programme." Reports claimed they created fake donation records and took the matched funds for themselves.

Investigations into these scams have grown wider. TANA is now under the scanner, with the FBI, IRS, and the US Department of Justice all involved. In December 2024, a court in California ordered TANA to submit donation records from 2019 to 2024. These records include details of funds received, spent, and the roles of individuals involved in the organisation during that period.

Additionally, the Santa Clara County District Attorney’s Office charged six former Apple employees with misusing the company’s charity program, causing financial damage of over $150,000. They also falsely claimed $100,000 in tax deductions through overreported donations.

These developments have sparked concerns over how corporate charitable programs are being exploited. It also highlights the need for stronger monitoring of nonprofit partnerships.