PayPal account pulled from troubled Hurricane Sandy charity's website

Last Thursday, the operators of a storm relief nonprofit were sued by the state for questionable money transfers and making misleading claims on their website, including that donations were tax deductible.

Although the Hurricane Sandy Relief Foundation site remains up online, the charity’s PayPal account has been suspended and it is no longer accepting donations.

John Sandberg, a Sparta resident who co-founded the nonprofit with his girlfriend, Christina Terraccino, wouldn’t comment on the status of the charity during a brief phone conversation today .

According to a 38-page complaint filed by the New Jersey Division of Consumer Affairs and the Attorney General’s Office, Sandberg and Terraccino raised $631,000 but have disbursed less than $2,000.

The DCA also claims that the two violated state law by soliciting donations using the name the Hurricane Sandy New Jersey Relief Fund, a separate charity chaired by First Lady Mary Pat Christie.

The couple allegedly transferred $13,000 in contributions for victims to their personal bank accounts, expensing meals, a home heating oil delivery and an Apple store purchase. Nearly 2,000 people gave money to the fund and the couple could be fined up to $20,000 for each individual donation, according to a DCA spokesman.