The founders of a children’s education charity have appealed disqualifications they were handed after a regulatory probe.
The Charity Commission opened a regulatory compliance case into the Dot Com Children’s Foundation in 2021 after an investigation by the Times uncovered governance concerns at the organisation.
The Times reported allegations of mismanagement of funds at the linked Miss Dorothy[dot]com company, including the misuse of donations for personal luxury purchases, such as designer clothing.
Following its investigation, the commission has now barred Sharon Doughty and Neil Evans, founders of Miss Dorothy[dot]com, from holding positions as trustees or senior managers of any charity.
Alleged fraudulent activity
Miss Dorothy[dot]com, which was first established by Doughty in 2001 to educate children about abuse, had its funds diverted to associated private companies controlled by Doughty and Evans, according to the Times.
Between 2000 and 2008, the charity raised £239,000, but the associated company generated 10 times more revenue, with little of it donated back to the charity, the newspaper reported.
Funds were allegedly used to purchase items including a gold ballroom dress worn by Doughty at a fundraising event attended by Strictly Come Dancing stars and former prime minister Tony Blair and his family, the Times reported, who supported the charity over several years.
The Times also reported that despite the charity’s stated mission to support educational programmes about abuse, the bulk of its income was directed to companies tied to the founders, with Doughty and Evans each taking about £1m in earnings.
It reported that the charity’s associated community interest company, which was set up to handle some of the operations, was later wound up with significant debts and its liquidator’s report highlighted misuse of funds.
Founders appeal bans
The commission disqualified Doughty and Evans from serving as trustees or senior managers of any charity in England and Wales from 1 October but the pair have appealed its decision.
According to the Times, they were disqualified on the grounds that they behaved in a way that is, or likely to be, damaging to public trust and confidence in charities, with Doughty’s ban set to last four and half years and Evans’ to last three and a half years.
The commission’s official report on the findings remains unpublished due to the ongoing appeal.
A commission spokesperson told Civil Society: “Following significant engagement with Dot Com Children’s Foundation as part of a regulatory compliance case, we have taken the decision to disqualify two individuals connected to the charity.
“Our decision has since been appealed by those individuals. Whether they will be disqualified will now be determined by the tribunal.
“As a fair, independent and evidence-led regulator we only decide to disqualify someone from serving as a trustee and a senior manager in a charity when the evidence gathered means we consider it is proportionate and lawful to do so.”
Civil Society has asked the Dot Com Children’s Foundation to comment.
