Love Never Fails International in New Jersey Terminated from ECFA
The ministry to children in India was cited for violating three of the ECFA stewardship standards.
The Evangelical Council for Financial Accountability (ECFA) terminated the membership of Love Never Fails International, headquartered in New Jersey, due to “failure to provide sufficient information to determine compliance” with Standards 2, 4, and 7.2. 
Established in 2009 by Johnathan Kraus, Love Never Fails International is a child sponsorship group with a mission to improve the lives of impoverished children in India. It received its tax-exempt status from the IRS in 2013. It had been a member of the ECFA since 2017.
ECFA Standard 2 relates to the ministry’s governance: “Every organization shall be governed by a responsible board of not less than five individuals, a majority of whom shall be independent, who shall meet at least semiannually to establish policy and review its accomplishments.”
According to its website, Love Never Fails International has four board members, but on its 2021 IRS Form 990, it lists eight board members. ECFA did not comment on the specific violation of Standard 2, but its commentary states, “When a ministry encounters failure—or even worse, scandal—its difficulties can almost always be traced to a breakdown in governance. For this reason, ECFA places much emphasis on strong, effective governance.”
ECFA Standard 4 relates to the appropriate management and control of ministry resources and compliance with laws and regulations. While ECFA did not provide specifics about the violation of Standard 4, its commentary discusses a panoply of issues that arise around the use of resources, such as compensation, accounting for business expenses, benevolence payments, and grant administration.
MinistryWatch could not locate an audited financial statement on the Love Never Fails International website, although it claims to be independently audited annually. It publishes an annual report with a summary of its finances and activities.
According to its most recent Form 990, the ministry received $530,850 in revenue, but spent only $253,512, leaving an excess of $277,338. Kraus was paid $65,988 for his employment as executive director, the biggest expense listed by the ministry—greater than the $58,349 spent on the ministry’s primary purpose of orphanages and education.
ECFA Standard 7.2 is designed to protect the giver’s expectations and intent for contributions to a ministry: “Statements made about the use of gifts by an organization in its charitable gift appeals must be honored. A giver’s intent relates both to what was communicated in the appeal and to any instructions accompanying the gift, if accepted by the organization. Appeals for charitable gifts must not create unrealistic expectations of what a gift will actually accomplish.”
Access to MinistryWatch content is free. However, we hope you will support our work with your prayers and financial gifts. To make a donation, click here.
Love Never Fails International staff said that Kraus is traveling and won’t reply to any inquiries for a couple of weeks. Its website states, “LNFI is 100% committed to financial integrity, stewardship and using each dollar wisely.” Love Never Fails also claims to have impacted over 200,000 parents and children since the ministry began.
At the time of publication, the ministry still had its membership in the ECFA listed on its website. According to Staci Brown, ECFA senior vice president of member accountability and relations, Love Never Fails International should “discontinue the use of the ECFA seal as well as any other indications of ECFA membership upon being notified of its termination, and the expectation is that they do so within a reasonable time frame.”
