A charity under investigation by the Oregon Department of Justice has continued to advertise for paid fundraisers in the Portland-Vancouver area four months after telling state prosecutors it was shutting down.

In June, saying Olympia-based Autism Awareness United appeared to have broken state laws, DOJ threatened legal action if the organization did not agree to stop raising money in Oregon. However, as of Friday, the group had not signed any agreement, and according to autism activists, has continued to raise money from Oregonians using paid fundraisers who set up tables outside supermarkets and other stores.

The state's investigation turned up receipts showing the nonprofit's debit card was used to pay for meals, cocktails, Chianti and other, unidentified expenses at a local casino. While not illegal, such expenses raise questions with charity oversight experts about a group's effectiveness. Meanwhile, Autism Awareness spent just 3 percent of its funds from late 2010 through early 2012 on direct assistance to needy families or autism-related agencies, according to documents obtained by The Oregonian under public records law.

In late March, the state launched its investigation after receiving an inquiry from The Oregonian as well as a citizen tip that the group had been selling raffle tickets in Oregon, which, if involving $10,000 or more, is legal only for charities that are federally tax-exempt. Autism Awareness United is a state-approved nonprofit, but not federal.

The group's president, Joe Searles, denied wrongdoing in an interview early this year but declined to respond to follow-up requests for information, including for this story.

Searles is a latecomer to professional charity work. He pleaded guilty to illegal gambling in 1985 for running a sports-betting operation from a government car on work time as a state mail courier in Washington. Last year he agreed to a five-year ban from the mortgage business after a Washington state administrative action and several lawsuits were filed accusing his real estate businesses of fraud.

In April 2010, Searles and his wife started fundraising for the Autism Society of Washington, a long-standing group, under a 12-month contract that let the Searles keep 80 percent of what they collected. The society's board later canceled the contract and sent documents to the state of Washington alleging Searles' group used "deceptive practices in soliciting the money."

The nonprofit's stated mission is "to spread awareness about autism spectrum disorders, and to raise funds to assist low-income families in gaining access to available interventions, therapies and resources."

According to documents turned over to DOJ, the group raised about $276,000 between late 2010 and early 2012, while dispersing $8,750 in direct grants to families and other groups that help autistic people, including $2,000 in Oregon.

The group submitted a financial report to Washington state earlier this week saying it raised $199,760 in 2011 and spent $122,000 on "program services." However, it's unclear whether the charity included salaries and payments to fundraisers, because the state does not clearly define program services, according to state charities officials.

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Autism charity continues fundraising despite Oregon warning, probe