The Charity Commission has opened a statutory inquiry into
Asia
Pacific Childrens Fund to examine concerns about the
trustees’ administration and management of the charity, including
around payments to connected parties and overseas expenditure.
The charity was established in 2008 to aid those in poverty,
particularly in Asia. It is based in London but funds an
orphanage in Bangladesh.
The Commission first engaged with the charity in 2021 on a
proactive basis over concerns around international cash
couriering. During compliance visits to the charity, the
regulator identified a number of further concerns which
represented breaches of the charity’s governing document and
charity law.
The Commission used its powers to obtain and analyse the
charity’s bank statements and found payments to private companies
linked to some of the charity’s trustees, which the trustees have
been unable to sufficiently explain.
As part of its purposes, the charity states that it funds an
orphanage in Bangladesh, and this is where most of its money
goes. However, the Commission is concerned that the trustees
cannot fully account for all its expenditure to this end, or
clearly explain how the orphanage and the funds it receives are
managed.
These concerns, exacerbated by a lack of documentary evidence and
the charity’s often late statutory annual returns, are evidence
of misconduct and/or mismanagement in the administration of the
charity. Therefore, an inquiry was opened on 3 April 2023. It
will examine the following regulatory issues:
- the administration, governance and management of the charity
by the trustees
- conflicts of interest and or loyalty and related party
payments
- financial controls and management of the charity and whether
its funds have been properly expended solely for the exclusive
charitable purposes and can be accounted for
- whether or not the trustees have complied with and fulfilled
their duties and responsibilities as trustee under charity law
The Commission may extend the scope of the inquiry if additional
regulatory issues emerge.
It is the Commission’s policy to publish a report upon concluding
an inquiry to detail its findings, conclusions, and any
regulatory action taken.
ENDSNotes to Editors
- The Charity Commission is the independent, non-ministerial
government department that registers and regulates charities in
England and Wales. Its purpose is to ensure charity can thrive
and inspire trust so that people can improve lives and strengthen
society.
- The inquiry was opened on the 3rd April 2023, under section
46 of the Charities Act 2011.
