If you are giving money how to you know the money will be used for the correct purpose?
You don't. But when you are entering into a business arrangement with someone, promising to spend money received on a mutually agreed purpose, but have no intention on spending said money on the agreed purpose and spend the money on something else, you are committing a crime. In my opinion it is good that witnesses to such villainy come forward. Sadly, many of those con artists manage to avoid getting caught.