Attorney General Lisa Madigan has announced a settlement by Illinois and more than 20 other states in a lawsuit accusing a veterans nonprofit of scamming donations.

Madigan sued VietNow National Headquarters after an investigation found the nonprofit had spent 80 percent of its donations on payments to for-profit telemarketers.

Madigan agreed to an order Monday that dissolves the agency’s board of directors and bans its four controlling officers from any fundraising, charity management or oversight of any charitable assets in Illinois.

The nonprofit’s assets will be split between two legitimate organizations that assist Vietnam veterans.