A Sikh charity that was cleared last year of political breaches of charity law has been issued with an official warning amid concerns around its financial management.

Slough gurdwara Sri Guru Sabha has been issued with the warning over “lapses in financial reporting” after it failed to file its annual accounting documents on time for five years between 2017 and 2024.

Auditors also raised concerns about accounts filed in 2022 and 2024, which highlighted the need for better controls over banking cash donations and ensuring a “proper accounting system” was in place.

The regulator found that the repeated late filing and concerns “amounts to a breach of trust or duty and either misconduct or mismanagement”.

However, the Commission recognises that most of the current board of trustees were not in post when the failures took place.

Also, the regulator notes that a regulatory action plan put in place at the end of 2024 has been acted on and its investigation into the charity is now closed.

This plan had asked the charity to improve its government document around the appointment and removal of trustees, implement a safeguarding policy and introduce Disclosure and Barring Service (DBS) checks and to ensure future accounts are not late.

“Trustees have a duty, in law, to file their accounting information on time and owe it to their beneficiaries and the public to be transparent and accountable,” said the Commission’s head of compliance visits and inspections Joshua Farbridge.

“This charity failed to meet this duty repeatedly and so we have acted – by issuing a formal warning.

“Our case, which assessed a number of concerns raised, has now come to an end. We are satisfied, based on evidence supplied by the charity, that steps have been taken to address governance weaknesses. The charity can now move forward in a stronger position.

Cleared of political breaches

Last year the Commission found that the charity was not in breach of charity law regarding political activity regarding its display of boards with the word Khalistan, which is a separatist movement calling for the setting up of a Sikh homeland in the Punjab region.

“Following substantial review of the evidence, last year, the regulator accepted that Khalistan has an important religious meaning within Sikhism,” said the regulator.

“In this case, the Khalistan boards displayed by the charity simply displayed the word Khalistan, without other wording or any image.

“They did not contain material promoting Khalistan as an independent state. As such, the regulator concluded that the charity is acting within its religious objects.

Farbridge added: “This case involved a complex and sensitive matter regarding the display of ‘Khalistan boards’.

“It required time for us to thoroughly review a substantial amount of material and consult with experts and stakeholders.

“This finding will help bring clarity to others – ensuring religious charities are freely able to honour an important aspect of their faith without breaching the laws that apply to all registered charities.”

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