PayPal Blocks Hurricane Relief Funds

SpinnerSpinner Birmingham, UK
edited September 2005 in Science & Tech
The widespread destruction of Hurricane Katrina was exacerbated by delayed relief efforts, but the latest victims of bureaucracy are those individuals simply trying to help out. Humor site Something Awful raised almost $28,000 in less than 9 hours, right up until PayPal froze the funds.
Unable to take credit card payments directly due to his site being down, Kyanka set up a PayPal account specifically to handle the effort. Donations poured in at a rate of almost $3,900 per hour - an astounding number from any perspective.

That is, until PayPal shut down Something Awful's donation account late Saturday evening. Because PayPal's customer support was closed for the night, Kyanka was unable to discover why $27,695.41 in Red Cross relief funds were locked. PayPal's automated system explained that it had received "more than one report of suspicious behavior from your buyers."

In the interim, Something Awful directed visitors to donate directly to the Red Cross. Kyanka said he originally setup Something Awful's own fund so he could send free merchandise such as hats and t-shirts to those who donated.
Source: BetaNews

Comments

  • profdlpprofdlp The Holy City Of Westlake, Ohio
    edited September 2005
    This move is not likely to enhance their reputation. It will be interesting to hear their side of the story.
  • GHoosdumGHoosdum Icrontian
    edited September 2005
    They cut a backdoor deal with the United Way, so Kyanka's donation to the Red Cross was not looked at in a positive light by the beast known as Paypal.

    //edit: Upon re-reading my post, I have realized that the mild sarcasm that I intended was not apparent. So here's one of these for good measure: ;)
  • celchocelcho Tallahassee, FL Member
    edited September 2005
    paypal became self-aware at approximately 9:46 PM EDT, with its first act being to disrupt the funding of pathetic humans attempts to rebuild a fallen city.
  • SpinnerSpinner Birmingham, UK
    edited September 2005
    celcho wrote:
    paypal became self-aware at approximately 9:46 PM EDT, with its first act being to disrupt the funding of pathetic humans attempts to rebuild a fallen city.
    ;D

    Sorry, I shouldn't laugh. :(
  • GHoosdumGHoosdum Icrontian
    edited September 2005
    Oh yes you should - it's hilarious! ;D
  • yaggayagga Havn't you heard? ... New
    edited September 2005
    Paypal sux! end of story.
  • EnverexEnverex Worcester, UK Icrontian
    edited September 2005
    Thats curious that this should come up because this morning I read this on the Penny Arcade site (refering to their own fund raiser):
    tycho wrote:
    The art auction appears to have reached some ridiculous apex now at eight thousand, seven hundred dollars. We don't ever see it, the transfer goes direct to the charity in question, which is a good thing. A check like that, you know, a man could just snuggle with it for awhile. Get to know it.

    People cautioned us about doing "business," such as it is, with PayPal for the charitable donations. PayPal sucks, and I have heard it suggested that Paypal may be operated by Al-Qaeda. Over the year and a half we ran the site on donations, the only time money wasn't accessible is when someone tried to brute force our password. Child's Play 2003 and 2004 both leveraged the service without incident, and we're talking about sums in excess of thirty thousand each time. If we should run into trouble with Paypal, please believe that our lawyer is on speed dial. I attended a case litigated by the man just over a year ago, and I won't keep you in suspense: his strong jaws closed around the defendant's neck, and after a few moments of violent shaking to ensure compliance he dragged the ****er into a tree like a savannah cat.
  • danball1976danball1976 Wichita Falls, TX
    edited September 2005
    What idiot believes that PayPal is run by Al Queada?

    Anyway, is this for real, or something cooked up by SomethingAwful to make PayPal look bad?
  • saintuksaintuk
    edited September 2005
    Paypal strikes again, my company had its account frozen because we did a lot of business.

    idiots.
  • jaredjared College Station, TX Icrontian
    edited September 2005
    yeah and then paypal took the $28,000 and gave it to united way instead of red cross. Im glad I didnt donate through SA because I am not a fan of united way...
  • airbornflghtairbornflght Houston, TX Icrontian
    edited September 2005
    Thats bs..If paypal was next to me, I would beat them to a bloody pulp, (literally, and then tell them to clean up there mess.)
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