Leo Grillo officially founded the animal rescue charity Dedication and Everlasting Love to animals (D.E.L.T.A. Rescue) over four decades ago in 1981. Its website states that the sanctuary is home to more than 1,500 abandoned, sick, and injured animals. According to public tax records, and as confirmed by Grillo himself, he takes no salary from the organization, despite claiming to work more than a combined 80 hours a week for D.E.L.T.A Rescue and its two related organizations, Living Earth Productions and Horse Rescue of America. The 115-acre sanctuary in Glendale, California is operated by Grillo and 37 employees, according to D.E.L.T.A. Rescue’s 2023 tax filing.

As for Grillo, he says he prefers to focus on the animal care side of things and to leave most of the business concerns of the organization to others. Though, exactly who in a position of authority at these organizations takes charge of the business side of things is not apparent in the charities’ public records.

“I do not run the business end, we have staff for that. I run the animal end – rescues, hospital cases, security, fire, etc.,” Grillo told CharityWatch in an email in March 2025. The 76-year-old Grillo said he is “retired from acting and producing movies” and spends his time volunteering for his charities. Grillo’s Wikipedia page describes him as “an American film actor, producer, and animal welfare activist” with credits for appearances in the 1970’s tv show, Banacek, and in the 2006 independent film, Zyzzyx Road, which also starred Grey’s Anatomy alum Katherine Heigl.  

Grillo was not much help when CharityWatch asked for more information about what happened to millions in donations that we traced through the recent tax filings of D.E.L.T.A. Rescue when analyzing its audited financial statements and tax records and those of its related organizations. The transactions of particular concern to CharityWatch occurred in 2023 and 2022. In Schedule R of its IRS tax Forms 990 for those years, D.E.L.T.A. Rescue reports granting $914,587 and $1,602,172, respectively, to Living Earth Productions. The problem? Living Earth Productions reports that it received no grants or contributions of any kind in those years. 100% of its revenues in 2023 and 2022 consisted of investment income of $121,790 and $123,812, respectively. This leaves a combined $2,516,759 in donations unaccounted for based on CharityWatch’s review of the charities’ tax filings.

In March 2025 CharityWatch asked Grillo what person or organization is in possession of these $2.5 million in donated funds. He claimed that Living Earth Productions has the funds, also saying “If there was a mistake on the 990 I am not surprised” due to one of the accounting firms (used by his charities) being what Grillo described as “more sophisticated” than the other. He also noted that the California firm “doesn’t steal so we keep them around.”

“The Nevada firm only counts as revenue money that is actually deposited in the LEP accounts. That money is for expenses invoiced to LEP. They review the bank statements, etc. Meanwhile the CA firm counts expenses for LEP internally posted to LEP but paid through DELTA. These are invoices using DELTA because of its credit rating and ease of billing (same vendors).

“So it’s all internal. And for convenience. And we will not change it, it’s been that way for decades.”

Grillo’s explanation does not reconcile with the audits and tax filings of D.E.L.T.A. Rescue or Living Earth Productions. Living Earth Productions reports that its total net assets decreased during 2022 by $407,864 from the prior year and that it spent only $531,676 that year. If it received a $1.6 million grant from D.E.L.T.A. Rescue that year, and only spent $531,676 during the same year, its net assets should have increased on its balance sheet by about $1.2 million, all else equal. Similarly, Living Earth Productions reports that its total net assets decreased during 2023 by $313,966 from the prior year and that its expenses amounted to only $435,756 that year. If Living Earth Productions received a $914,587 grant from D.E.L.T.A. Rescue that year, its net assets should have increased by $600,621 all else equal. Something is not adding up.

D.E.L.T.A. Rescue also reports donating $491,963 and $339,478 to its other related organization, Horse Rescue of America, in calendar years 2023 and 2022, respectively. However, because Horse Rescue of America has a mid-year fiscal year end of June 30^th, it is not possible to reconcile its revenue against the grants D.E.L.T.A. Rescue reports making to the organization in those calendar years. Horse Rescue of America reports total revenue of $460,948 for its financial year 7/1/2022 to 6/30/2023, and $331,245 for its financial year 7/1/2021 to 6/30/2022. Like Living Earth Productions, Horse Rescue of America’s financial statements were not “audited by an independent accountant” in either year, according to its IRS Form 990 tax filings.

High Marks from Online Charity Data Aggregator

Despite the highly questionable financial reporting identified by CharityWatch, D.E.L.T.A. Rescue and Horse Rescue of America receive high marks from Charity Navigator (CN), a data aggregator that uses automation to assign star ratings to hundreds of thousands of charities using information nonprofits report about themselves in their unaudited tax filings. “This charity’s score is 90%, earning it a Four-Star rating,” Charity Navigator says of D.E.L.T.A. Rescue on its website, also stating that if the organization “aligns with your passions and values, you can give with confidence.” Horse Rescue of America gets a 94%.

Charity Navigator’s calculations of how much a particular charity spends on its programs relative to overhead are based on a three-year time span. D.E.L.T.A. Rescue’s 4-star rating and 90% program percentage is based on the years 2021, 2022, and 2023, according to CN’s website. It makes no mention of the more than $2.5 million in unaccounted for donations between D.E.L.T.A. Rescue and Living Earth Productions, nor does it provide any information indicating that large portions of donations made to D.E.L.T.A. Rescue ultimately went towards funding the operations of two other charities that share the same governing body and whose books were not audited.

While the mission of Horse Rescue of America closely aligns with that of D.E.L.T.A. Rescue, the mission of Living Earth Productions is unrelated to providing direct care to animals and may not align with what most donors think they are funding when making donations to D.E.L.T.A. Rescue. According to its 2023 tax filing, Living Earth Production’s mission consists of “Video development, production & distribution…Projects are to increase global awareness of the plight of animals…”  100% of Living Earth Production’s reported expenses in 2022 paid for “production,” “utilities,” “depreciation,” “insurance,” “legal,” and “other” expenses. The bulk of its reported 2023 expenses of $435,756 paid for the same types of costs.

The chart below contains select examples of animal charities to which CharityWatch has assigned “D” and “F” ratings as of 3/28/2025 based on our criteria. Charity Navigator’s ratings and Candid’s seals were retrieved from those websites in March 2025 and reflect each charity’s current rating or transparency seal as of the date retrieved. NOTE: Candid’s seals are based on charities’ self-assessments and do not include a financial measurement of how efficiently a charity is using its donations.

Charity Name	Charity Watch Rating	Fiscal Year	Charity Navigator Rating	“Data Up Until” Fiscal Year	Candid Seal	Candid Seal Calendar Year
Dreamchaser PMU Horse Rescue & Rehabilitation	F	2023	1-Star	2023	Platinum	2024
Front Range Equine Rescue	D / F	2023	4-Star	2023	Bronze	2023
Paws of Honor	F	2023	3-Star	2023	Platinum	2024
Pilots to the Rescue	D	2023	4-Star	2023	Platinum	2025
Project K9 Hero	D	2023	4-Star	2023	Platinum	2024
Redwings Horse Sanctuary	D	2023	2-Star	2023	Platinum	2024
SPCA International	F	2023	3-Star	2023	Platinum	2024
Tiger Creek Animal Sanctuary	D	2023	2-Star	2023	Gold	2025
Tiger Haven	D	2024	3-Star	2024	None	N/A

Peculiar Audit Presentation

When charities share the same governing body and one relies on the other as a primary source of revenue, their financial activities typically must be presented in their audited financial statements on a consolidated basis in order to comply with Generally Accepted Accounting Principles (GAAP) in the United States. This means that the finances of all the related organizations are added together, and that related party transactions such as grants or transfers of funds from one charity to another are reconciled and eliminated from final figures to prevent double counting. In addition, notes to the audited financial statements typically include descriptions of any transactions among related legal entities. Had such an audit been conducted in accordance with Generally Accepted Auditing Standards (GAAS), any theft or other diversions of the charities’ assets, if any occurred, likely would have been uncovered, and the financial transactions in question would have reconciled. 

CharityWatch asked Grillo in 2022 and again in 2025 to cite the specific accounting guidance his organization relied upon when deciding to issue an audit that included the financial activities of only D.E.L.T.A. Rescue, and when deciding to not have the books of Living Earth Productions and Horse Rescue of America audited at all. In our inquiry we added that the existing audit presentation that excludes the financial activities of Living Earth Productions and Horse Rescue of America does not appear to comply with GAAP.

In response to our 2022 inquiry, after an extensive email exchange in which CharityWatch pressed him on the issue, Grillo eventually lashed out. “Your proposed statement about us is EXTREMELY libelous, and we can lose donations because of it. Since estate p[l]anning is a major part of our fundraising, those damages could be quite large. If you insist on damaging us in this way, the next letter will be from our lawyers,” he stated in an email.

Grillo’s response to our 2025 inquiry was friendlier but provided no more clarity on the issue than the first. “Basically, we follow the law and there is no need to file a consolidated return,” Grillo stated in an email, adding that “it is not against accounting principles which they [the auditors] proved.” As he did in 2022, Grillo failed to provide the requested accounting guidance that was relied upon when making this determination so that it could be fact checked by CharityWatch.

Governance

At least in recent years, cash transfers from D.E.L.T.A. Rescue (as reported in Schedule R of its tax Forms 990) appear to be the primary source of revenue for both Living Earth Productions and Horse Rescue of America. The governing bodies of the three related charities consist of the same three people, including Leo Grillo, Charles Leonard, and John Rustin. All three are identified in public tax filings to be both officers and directors of D.E.L.T.A. Rescue, but the charity does not identify which officer position each occupies. For this reason, it is unclear which person is primarily in charge of which functions of the organization, such as finances, governance, or regulatory compliance.

In contradiction with D.E.L.T.A. Rescue’s tax filings, Grillo told CharityWatch via email that “THEY ARE JUST BOARD MEMBERS AS REQUIRED BY IRS. NO TITLES. NOT OFFICERS.” Tax filings reflect that the two work an average of only 2 hours per week. If Grillo, as the only officer of D.E.L.T.A. Rescue, is not focused on the business aspects of this charity, it means that no one in any official position of authority at the organization is. 

Living Earth Productions reports in its tax filings that it has no officers at all, with Grillo, Leonard, and Ruskin each reported only in the role of “individual trustee or director.” Horse Rescue of America reports that it has no board of directors at all, and that Grillo, Leonard, and Ruskin are officers. Horse Rescue of America’s tax filing does not identify which officer position any of them occupies.

Lawsuits

Grillo has been involved in several legal actions over the years in his capacity as leader of D.E.L.T.A. Rescue and its related charities. In 1992 he sued the National Geographic Society, alleging that they utilized his expertise during the development of a show called “Cats: Caressing the Tiger” and that they subsequently failed to provide promised credit to D.E.L.T.A. Rescue. The court dismissed the case.

Grillo initiated a legal dispute between D.E.L.T.A. Rescue and the Los Angeles County Department of Animal Care and Control in 2006, alleging that the County had agreed to waive annual inspection and licensing requirements for the charity’s animal facilities. The court ruled in favor of the county on the basis that such an agreement would violate public policy.  

In 2009 D.E.L.T.A. Rescue was alleged to have violated laws in Pennsylvania related to its solicitation of donations in the state on the basis that it was not properly registered due to some required data being omitted from its filing. About 40 states require charities of D.E.L.T.A.’s size to be registered and to submit financial reports and governance information annually as a condition of being allowed to raise money from the public within their respective borders. Many require charities to file copies of their IRS tax Forms 990, and about half require charities of D.E.L.T.A. Rescue’s size to also submit copies of audited financial statements.

In an email to CharityWatch Grillo described the dispute with Pennsylvania regulators as “…A MAFIA CONTROLLED DEAL!” In response to CharityWatch’s question about whether or not D.E.L.T.A. Rescue is in compliance with registration requirements in all states that require it, Grillo went on to say, “OUR LAWYERS WENT TO FEDERAL COURT AND RESOLVED IT IN OUR FAVOR. HAVEN’T HEARD FROM THEM IN MANY YEARS…WE USED TO GO NUTS KEEPING UP WITH ALL THIS WHEN WE WERE IN DIRECT MAIL. AND WE WERE BIG INTO IT. MY UNDERSTANDING IS THAT WE NOW FILE THOSE STATES THAT REQUIRE IT. I THINK THEY SEND US REMINDERS EVERY YEAR. BUT AGAIN I AM NOT IN THAT END OF THINGS. BUT WE ARE LEGAL. AND WE DO NOT SOLICIT NATIONALLY EXCEPT FOR EXISTING DONORS. WE GET 80% OF OUR INCOME FROM BEQUESTS.”

(NOTE: CharityWatch is not aware of any state laws in Pennsylvania or in other states that exempt charities from regulations and filing requirements on the basis that the charity is only soliciting its existing donors. As of the publication date of this article we are reaching out to several states for clarification on relevant laws.)

Discrimination

Grillo confirmed to CharityWatch in March 2025 that he is currently in the process of appealing a ruling against D.E.L.T.A. Rescue in the case Duarte Valentines v. Dedication and Everlasting Love to Animals, Case No. 21STCV01322 (Cal. Super. Ct. Los Angeles Cnty. filed Jan. 12, 2021). In November 2024 a jury awarded $6.7 million to a former D.E.L.T.A. Rescue employee, Adriana Duarte, who alleged wrongful termination and discrimination related to her pregnancy.

According to the Judgment, the jury found that Duarte was paid lower than the legal overtime compensation rate for the hours she worked; that her “sex, gender, pregnancy, and/or national origin” was a “substantial motivating reason” for the charity’s decision to terminate her; and that D.E.L.T.A. Rescue engaged in “retaliatory conduct” that was “a substantial factor in causing harm” to Duarte. Specifically, the jury found that Duarte proved “by clear and convincing evidence that Leo Grillo engaged in conduct with malice, oppression, or fraud in committing one or more violations” for which it awarded non-economic damages of nearly $5.5 million. Total damages awarded by the jury amounted to $6,696,952, according to the Judgment.

Grillo objected to the judge’s decision that the jury should not be informed of Duarte’s undocumented immigrant status, her alleged use of a falsified social security number for employment, or of D.E.L.T.A. Rescue’s status as a nonprofit organization that relies on donations, when considering the case.

Grillo, who told CharityWatch he could not comment directly on the case he is appealing, pointed CharityWatch to a website, Frankreport.com, saying that an article posted there was reflective of his views on the matter. During Grillo’s deposition he referred to Duarte as a “bimbo” and a “lettuce picker,” according to the article. The article also states that D.E.L.T.A. Rescue had a policy against allowing pregnant employees to work with cats due to the increased risk of miscarriage that toxoplasmosis, a cat-borne parasite, poses. It further alleges that Duarte concealed her pregnancy for this reason, in part, so that she could allegedly continue to engage in theft of supplies that had already amounted to upwards of $350,000.

“You don’t want to tell an obese woman that she looks pregnant,” Grillo stated, according to the article, in reference to rumors of Duarte’s pregnancy that had been floating around the sanctuary. In response to the question, “Did D.E.L.T.A. Rescue prove that they had a good-faith belief that Adriana Duarte Valentines was stealing at the time they decided to terminate her?” all 12 jurors responded “No.”  

Conclusion

Grillo, a retired actor nearing his 8^th decade on earth, who by his word claims to work more than 80 hours a week managing 3 charities while simultaneously appealing a multi-million-dollar lawsuit, has some important decisions to make. If Grillo’s legal appeal fails, the $6.7 million financial judgment will make a huge dent in D.E.L.T.A. Rescue’s resources, posing a significant threat to the sanctuary’s operations and the well-being of the animals in its care.

The charity’s 2023 tax filing (the most current available as of the date of this article) reflects that it held net assets of just under $14.9 million as of the end of that year, of which about $11.5 million consisted of cash. The lack of adequately large and involved boards of directors at Grillo’s charities, along with potential financial losses that may be occurring due to inadequate financial oversight, call into question the organization’s ability to continue as a going concern. What will happen to the sanctuary’s animals if and when Grillo is unable to continue in his current capacity, or if donations dry up and the money runs out, is anybody’s guess.

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