More than £40m of charity income accounted for through double defaulter probes

Charity Commission investigations into charities that have persistently failed to submit their accounts has resulted in £40m of income being accounted for.

The figures related to charities that finally filed their accounts between April 2021 and March this year with the regulator after having failed to do so for two or more years over the last five years.

This includes 21 charities that were part of the regulator’s inquiry into double defaulters.

Late accounts submitted by this group of charities amounts to more than £35m in income that had previously not been accounted for. This list includes the Joshua Wilson Brain Tumour Charity, Wellington Methodist Church and Guildford City Swimming Club.

Income of more than £4m has also been accounted for by a group of 14 charities that were issued with a warning at the pre-inquiry stage.

In total £40,630,826 has now been accounted for through action involving double defaulters over the last financial year.

The regulator says that five charities were found to have already closed and have since been removed from the charity register, including Big First Aid Project, Acton Community Forum and Centre of Life Church International.

Among double defaulters three charities have been issued with an official warning due to persistent failures. These are Welling Community Centres Trust, which is now up to date with its filing requirements following the warning.

The two other charities to receive an official warning, Citygate Christian Outreach Centre and Shire Way Community Centre are now subject to separate inquiries due to concerns raised during the Commission’s investigations.

“Failure to submit the annual documents to the Commission may be a criminal offence,” warns the regulator.

“The Commission also regards it as mismanagement and/or misconduct in the administration of the charity.

“Providing timely, accurate and informative financial information that will help funders, donors, beneficiaries and others to understand the charity and its work, will encourage trust and confidence in it.”

Last month the Charity Commission opened a statutory inquiry into a religious charity that failed to submit its accounts for four years in a row. Accounts from Dudley Central Mosque and Muslim Community Centre dating back to March 2018 are still outstanding, said the regulator.

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