A Lancashire gymnastics club is under investigation from the Charity Commission over governance and financial concerns.
The regulator is investigating Flic-Flac Gymnastics Club, in Charnock Richard, amid concerns that payments had been made to trustees.
Flic-Flac's aim is to encourage young people to take part in gymnastics and other activities whilst providing recreation in the interests of social welfare for people under the age of 25.
They raise funds from the public and does not engage with professional fundraisers or commercial partners.
After being identified as being persistently late in filling its accounting information, they were investigated with the offence generally classed as mismanagement or misconduct in the administration of a charity.
Account returns from 2023 are overdue by 216 days and in previous years they had been provided as late as 660 days after the due date.
Further concerns arose on July 23 and a separate inquiry was opened after the Commission identified concerns about payments to trustees that may be unauthorised by the charity’s governing document.
There were also concerns surrounding managing conflicts of interest in relation to any trustees’ payments.
It also found that Flic-Flac was operating with an insufficient number of trustees, with the Charities Register currently stating that only two people are controlling the work, management and administration of the charity.
The inquiry will examine the following charity regulatory issues:
- Whether the trustees are complying with their legal duties, with regard to their accounting and reporting responsibilities; their compliance with the charity’s governing document; and the extent of any unauthorised trustee personal benefit.
- The extent to which any failings or weaknesses identified in the administration of the charity by the inquiry are a result of misconduct and/or mismanagement by the trustees.
The scope of the inquiry may be increased if any regulatory issues emerge.
Flic-Flac Gymnastics have been approached for comment.
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