Watchdog freezes bank accounts of refugee aid charity
The Charity Commission has opened an inquiry into the We Care Foundation over concerns about payments from the organisation to its trustees
The watchdog has frozen the bank accounts of a Bristol charity which helps refugees, victims of war and natural disasters.
The Charity Commission has opened an inquiry into the We Care Foundation, which was based in Bristol, but now operates in Coventry, over a number of issues - including concerns about payments from the organisation to its trustees.
They tell us their priority remains carrying our their 'mission with integrity'.
We understand the inquiry was opened on 25 January 2024 - with the Charity Commission for England and Wales looking into concerns around trustees’ decision-making and payments from the charity to its trustees and their related companies.
The Commission have revealed they began engaging with the charity in June 2022, and a statutory inquiry was opened after concerns were identified in its governance and financial management.
Concerns raised by the watchdog include 'substantial payments from the charity to its trustees and companies for which they are directors' - which weren't revealed in their set of accounts, nor were the details of the payments explained to the Commission 'adequately'.
They also say they're 'concerned' over a period of time when the charity was managed by two trustees - who were married at the time.
They say 'significant decisions about the charity's finances and management' were made during that time - which triggered the Commission to freeze the organisation's bank accounts.
The inquiry will now look in to:
- Whether the trustees are complying with their legal duties
- Failures by the charity’s trustee board to engage with the Commission including whether the trustees provided true and accurate information to the regulator at all times
- Any unauthorised connected-party payments and trustee personal benefits, including an examination of the charity’s contractual arrangements with third parties
- If any failings or weaknesses identified in the administration of the charity were a result of misconduct and/or mismanagement by the trustees.
The We Care Foundation tell us, despite the inquiry opening in January 2024, they only became aware of the inquiry after their 'constant attempts for an update'.
Since March 14, 2024, we're told the charity has 'actively engaged with the commission, welcoming guidance, support, and an action plan' - however they claim that 'no such assistance has been offered'.
The Trustees tell us they are 'fully committed to working with the Commission to resolve matters swiftly' - and includes them providing 'substantial evidence to support the investigation'.
A spokesperson from the charity told us: "We are fully cooperating with the commission and are dedicated to resolving this matter as quickly as possible.
"Our priority remains serving our community and fulfilling our mission with integrity.
"We Care remains committed to transparency and accountability in all its operations and looks forward to a swift resolution of the inquiry with the commission's support."
One the watchdog has completed its searches, then they will be writing a full report.