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Washington AG says founder of Seattle-based charity used funds for dating service

The Holiday Treasure Chest Charity Foundation and founder Mark Bergeson are being sued by Washington state Attorney General Bob Ferguson for allegedly misusing funds.

The Holiday Treasure Chest Charity Foundation and founder Mark Bergeson are being sued by Washington state Attorney General Bob Ferguson for allegedly misusing funds.

Ferguson's lawsuit alleges that Bergeson has withdrawn more than $280,000 in cash from the charity's checking account since 2013.

Account records show thousands of dollars worth of purchases for fuel, groceries and meals, a cellphone, cable and internet, according to Ferguson's office. Additional records show Bergeson used the charity account to allegedly pay for a resort stay in Friday Harbor, a hotel room in Ocean Shores, and a subscription to Match.com, an online dating service.

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Holiday Treasure Chest was created about a decade ago as the charity arm of the Seattle Seafair Pirates. The two organizations parted ways in 2013. A dispute between the two resulted in a settlement that kept the foundation from using the name "Seafair Pirates" and soliciting on their behalf.

The lawsuit also alleges that Bergeson sold toys, electronics, and collectibles contributed to Treasure Chest on online auction sites. The online listings says 100 percent of sales will benefit the Pirates Charity Foundation, but Treasure Chest doesn't keep an account of the auction sale proceeds, according to Ferguson's office.

Holiday Treasure Chest says its donations help distribute toys, food, and other items to needy children during the holiday season. The Treasure Chest reported raising more than $1 million in donations between 2012 and 2018. An average of 82 percent which was spent on program service, according to Ferguson's office.

The lawsuit seeks to dissolve the charity and bar Bergeson from registering or operating a non-profit or charity, or soliciting charitable donations of any kind in the future.

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