The Charity Commission has opened a statutory inquiry into four linked charities after finding all charities submitted very similar annual returns.
The charities included in the inquiry are Education for Gondar, Education in Sidama, Education for Nyanza and Education in Western Province, Kenya.
It has now restricted the bank accounts of Education for Nyanza and Education in Western Province, Kenya.
The charity regulator opened the inquiry after identifying concerns that there could be a risk to charitable funds or assets.
Inquiry
One trustee of Education for Gondar is linked to the other three charities, with all four sharing a similar structure, according to the Commission.
Similarities found by the regulator’s registrations team led the Commission to first open compliance cases into each charity.
Analysis of annual return submissions and bank accounts showed that Education for Gondar and Education in Sidama’s accounts followed a pattern of receiving funds that were then immediately transferred to a private bank account.
The inquiry will seek to understand how each charity is generating and applying funds received.
Bank analysis has also revealed that Education for Gondar’s accounts for the financial year ending 31 January 2022 do not match the information supplied in its annual return, raising concerns that the Commission has received inaccurate information.
All charities submitted very similar annual returns and so the regulator will also investigate the accuracy of the information supplied by the other three charities.
The charities have since failed to supply their latest annual accounting information on time.
Financial reporting
Commission data for Education for Gondar states that for the financial year ending 31 January 2022, it recorded a total income of £195,125 and total expenditure of £50,006.
For the financial year ending 28 February 2022, Education in Sidama had a total income of £238,750 and total expenditure of £59,687.
Education for Nyanza reported no income or expenditure for the financial year ending 31 January 2022, as did Education in Western Province, Kenya for the year ending 28 February 2022.
Civil Society has approached Education for Gondar, Education in Sidama, and Education in Western Province, Kenya for comment, but was unable to reach Education for Nyanza.
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