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After CEO shakeup, local fundraiser defends Wounded Warrior Project

MUKILTEO, Wash. — Only hours after the giant veterans' charity Wounded Warrior Project fired its two top leaders for reportedly spending millions on lavish parties and executive outings, a Mukilteo volunteer defended the charity's core values and praised them for taking action.

"The foundation was veterans helping veterans, that was the whole point," said Howard Phillips, who spent months raising thousands of dollars for the organization.

Last year, Phillips rode his motorcycle more the 13,000 miles across the perimeter of the U.S., raising cash for the charity at scheduled stops in dozens of cities. Phillips called his stop in the Wounded Warrior Project's Jacksonville, Florida, headquarters a transforming experience.

"I literally walked out of there stunned, like I've never walked out of a building and had that feeling before," he said.

On Thursday afternoon, Phillips learned the Wounded Warrior Project board of directors fired Chief Executive Officer Steven Nardizzi and Chief Operating Officer Al Giordano after accusations the leaders threw expensive parties and retreats for employees, reportedly spending $26 million in one year on parties, retreats and meetings.

Americans donate hundreds of millions of dollars each year to the charity, expecting it will help some of the 52,000 Americans wounded in Iraq and Afghanistan.

A CBS News investigation found the nonprofit spends 40 percent to 50 percent of donations on overhead, while other veterans' charities have overhead costs of 10 percent to 15 percent.

Phillips says the firing of Nardizzi is a sign of a huge organization holding itself accountable.

"I think it says a lot about the organization in that they immediately took responsibility and somebody was held accountable," he said.

No workers at the charity's Seattle offices would comment to KIRO-7, and the organization did not return phone calls.

Eric Millette, a veteran who used to be a motivational speaker for the charity, quit last year and took his concerns about the organization's spending public.

"I'll be damned if you're going take hard-working Americans' money and drink it and waste it instead of helping those brave men and women who gave you the freedom to walk the face of the earth," he said.

Phillips says he will still raise money for a project he says does so much good.

"They help so many people," he said. "We need to show 100 percent gratitude to the people who sacrificed and paid the price for freedom. Thank goodness for them doing something right and holding people accountable and keeping the mission true."

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