Article talks about The American National Red Cross. American Red Cross has controversial reputation. It's unfortunate that the reputation of American Red Cross can tarnish the good reputation of The International Red Cross.
Another point, not related to this case:
Money from fundraisers for large charities does not necessarily go to the cause they are collecting it. It often comes too late over weeks and months and you have budged and organize everything ASAP. If the money collected goes to fund the next big catastrophe and not the current one, there is nothing wrong with that. People are just emotional and irrational givers. Money is given as function of lobbying effort, not as function of need.