Abstract

Philanthropy has a ‘dark side’ or ‘darker side’, just like any other individual or collective human activity. Smith (2016) argues that the ‘angelic’ nonprofit sector, including foundations and other charitable organizations, can be a site of deviance, crime, and ethical misconduct. The underlying reason is simple: as well as being able to act from altruism and philanthropic concerns, humans, in any context, organized or informal, often act out of egotism and self-interest. Humans can also create dysfunctions or negative outcomes through ignorance and incompetence as unintended consequences of their actions.