High Court Judge Criticizes Charity Commission’s Kids Company Report as “Extremely Unfair”.  

 

Court Judge Criticizes Report: The Charity Commission has released a statement regarding the High Court judgment on the Kids Company inquiry, highlighting key findings and outcomes. Here’s a detailed breakdown.

 

Key Findings

– Mismanagement of Charity Finances: The High Court judgment upheld the Charity Commission’s finding of mismanagement of Kids Company’s finances, stating that it was based on “ample evidence”.

– No Predetermination: The court firmly rejected allegations that the Charity Commission predetermined the outcome of the inquiry, stating that the threshold for this was “not met in this case by a wide margin”.

– Independent Regulatory Conclusions: The court confirmed that it was entirely reasonable for the Commission to draw independent regulatory conclusions on the demise of Kids Company, based on all the evidence available.

 

Careful Consideration of Evidence

The Charity Commission’s inquiry report noted areas where the charity’s trustees were acting within their duties and responsibilities. The report also highlighted instances where external criticism of the charity was unfounded. Notably, the inquiry report stated clearly that there was “no dishonesty, bad faith or inappropriate personal gain in the operation of the charity”.

Court Judge Criticizes Report

Court’s Decision

While the court dismissed the challenge on all but two grounds, it was clear that the overall findings of the report were not “irrational”. However, the Charity Commission acknowledged the court’s finding that important errors were made in relation to two paragraphs of the report. The Commission has stated that it will act to remedy these errors.

 

Implications

The judgment has implications for the Charity Commission’s future inquiries and reporting. The Commission will need to ensure that its reports are balanced and fair, avoiding unbalanced and one-sided” innuendos that could be detrimental to charities and their trustees.

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