The Charity Commission has announced that it has opened a statutory inquiry into a Liverpool-based charity and issued an order to prevent its property from being sold.
CG Community Council was established in the 1960s to support the education, health and leisure time of local people in the Liverpool areas of Croxteth and Gillmoss.
The charity was first investigated by the regulator when it opened a regulatory compliance case and found that property belonging to CG Community Council “may be at risk”.
While the charity holds the leasehold for 16 properties, it recorded no income or expenditure in its annual return for the financial year to 31 March 2023. Meanwhile, its accounts for 2023-24 are overdue.
In 2021-22, the charity recorded a total annual income of just over £19,000.
Charity prevented from selling property
The commission has issued an order which prevents CG Community Council’s property from being sold or otherwise disposed of without the regulator’s permission.
As part of the statutory inquiry, the regulator will assess if the trustees of CG Community Council have complied with their legal duties in respect of the charity’s administration, management and governance.
The inquiry will particularly focus on examining if the charity is accounting for its funds and assets in line with legal requirements, and assessing if the charity has suffered any financial losses as a result of any misconduct or mismanagement.
The commission said it may extend the scope of its inquiry if any additional regulatory issues emerge during its investigation.
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