Housing charity’s ‘significant increase’ in income sparks Charity Commission probe

The Charity Commission has launched a statutory inquiry into homelessness charity Noble Tree Foundation after “identifying a significant increase in its reported income”.

The regulator became involved with the London based charity after its income increased markedly, from £3,220 for the financial year ending June 2019 to £4.24m for the year ending December 2020.

The charity’s financial records for the year ending December 2022 are now 13 days late and its most recent accounts show its spending had increased from £526,510 for the year ending December 2020 to £3.16m the following year.

After its initial contact with the charity the regulator said it “then identified further concerns around related party transactions, including potential unauthorised trustee benefit and unmanaged conflicts of interest”.

Its statutory inquiry will look at whether the charity has enough trustees who are able to manage the charity “in accordance with its governing document”.

Conflicts of interest and connected party transactions will also be explored as will “the extent of the unauthorised trustee benefit”.

The regulator will also examine whether the charity has lost money due to misconduct or mismanagement.

We’ve opened an inquiry into Noble Tree Foundation Limited after identifying concerns relating to unmanaged conflicts of interest and potential unauthorised trustee benefit.

Read more: https://t.co/eql2ws2URP pic.twitter.com/ExxqSpSMiW
— Charity Commission (@ChtyCommission) November 1, 2023

According to the charity’s website its focus is to help homeless people find housing and “set them up for an independent, dignified and successful life”.

This includes supporting domestic abuse survivors, ex-service personnel, and young disadvantaged families as well as people with learning disabilities and addiction problems.

The charity was founded 20 years ago by the charity’s chair Jakob Kinde.

It sparked national media attention in February when it was reported that the charity owed almost £1m in rent to a real estate investment trust that was a landlord for its properties. This dispute was over money the charity said it was owed for repairs and insurance. The charity also reportedly had a “long list of complaints” around issues such as black mould and leaking ceilings.

Noble Tree Foundation has been contacted for comment.