Two trustees of an organisation intended to channel funds to veterinary charity the PDSA spent part of the money on fees for their own professional services, according to a Charity Commission inquiry report published yesterday.
The Charity Commission opened an inquiry in May 2012 into the Amy Marion Dwyer Will Trust, which was set up to administer the assets of a woman who died in 1956.
Dwyer left the income of her estate to the PDSA in her will, requesting in exchange that it look after her mother’s grave in Bournemouth Cemetery. The Trust exists to administer the estate and provides funds for the PDSA.
In 2011 the PDSA complained to the Charity Commission it was owed £66,000 plus interest because trustees had failed to exercise their duties properly. It said the trustees had not charged sufficient rent, had made unauthorised investments, and had paid themselves £31,000 for their own services.
The Commission decided the Trust was a charity and required the trustees to register it, but they at first refused to do so. The Trust was eventually registered with the Commission in November 2012.
The charity had two trustees, Alan Fairley and Martyn Hudson, both partners at HGW Solicitors.
“The inquiry found the trustees had not properly turned their attention to dealing with the issues connected with PDSA's complaints,” the Commission said in a statement accompanying its report.
“It found they did not take the necessary or reasonable steps to deal with the claims and regularise matters despite numerous chances to resolve the situation.”
In January 2014 the Commission issued an order “requiring the trustees to carry out a review of the charity's governance and identify the actions they will take to resolve the PDSA's claims”.
It said the actions must be taken by 20 August 2014 and that the Commission is monitoring the trustees' progress.
A spokesman for HGW Solicitors said: “The partners have seen the inquiry report published by the Charity Commission relating to the Amy Marion Dwyer Will Trust and, due to our duties of confidentiality, are unable to discuss individual trusts.”
