Pastor and Wife's Conviction Upheld by Appeals Court

By Raul Rivera

In 2010, I wrote about a pastor and wife team that were arrested for failing to report love offerings, reimbursements, and housing allowances on their tax returns.  Moreover, when it was brought to the pastor's attention that several items in his and the church's finances were out of compliance and in need of correction, he was reluctant to make the changes needed in order to get in compliance with state and federal law because he dreaded the period of discomfort those changes would bring. 

A worthy labor

He labored for many years to grow the church, but like most pastors, he did not pay attention to the side of church that is uncomfortable: the internal business side of church.  "Getting it right" would have required time and energy.  Below is a list of the 8 major items that the church needed to correct.

1.     The church's accounting methods were not compliant with accounting principles.

2.     On several occasions the church's tithes and offerings were given directly to the pastor without being counted as taxable compensation.

3.     His compensation package did not adequately document his compensation.

4.     Church board meeting minutes were missing.

5.     No church minutes concerning the approval of his housing allowance could be located.

6.     The church did not have an accountable reimbursement policy in its corporate records.

7.     The church did not have an adequate tithes and offerings counting procedure, which often caused bank deposits not to match the tithes/offerings count sheets.

8.     Monthly seed offerings were taken up for the pastor and not reported as compensation.

God is your protector

As time passed, Bishop Jinwright continued to allow the problems to remain.  He had resolved and declared that the Lord would protect and cover his ministry.  While trusting God is a noble and worthy stand of faith every minister should take, it does not relieve us of the responsibility of excellent stewardship that is required.  I believe that God's zeal is on your ministry.  He wants you to succeed.  However, He wants your success to come as a result of your diligence and faithfulness to manage with integrity the ministry He has placed in your hands. 

The appeals court ruling

He was convicted and sentenced to eight years and six months, and his wife was sentenced to six years and eight months.  They appealed their convictions to the Fourth Circuit Court of Appeals in Richmond, VA.  The three-judge panel listened to their pleas that though they did not properly report their income, it was not out of willful intent, but out of ignorance.  The pastors said they did not know they were supposed to report love offerings.  Several witnesses testified that it was usual for their church to lavish their pastors with gifts of love and admiration, but not as income for their services.  However, the court noted that the pastor and his wife were told by multiple sources that they should report those offerings. 

Ignorance is not an option

The appeals court ruled that the pastor and his wife felt it was better to remain ignorant than to imbue themselves with the knowledge they needed.  In fact, it was for that very reason why the court believed their convictions should stick. 

Judge J. Harvie Wilkinson III wrote that to allow " . . . wrongdoers to hide behind a constant and conscious purpose of avoiding knowledge of criminal misconduct would be an injustice in its own right"  U.S. v. Jinwright, 683 F.3d 471 (2012).

Hear my heart . . . I want you to succeed

Just as it was two years ago, this article was very difficult for me to write because I risk the possibility of coming across as fear mongering.  My goal in this article is to stress the necessity for compliance with state and federal laws so that your ministry is positioned to prosper.  It is what keeps me awake late into many evenings looking for what may affect you and your ministry.  I know that there are many churches in America today that face the same circumstances as the pastor and his wife, and so long as they have ears to hear, my message of empowerment to them could not come at a better time.  It is time that you look at your church's financial records . . . face the facts . . . and move forward to fix them.

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