LEADERS of a troubled racial equality group have taken the first step towards shutting down the organisation.
A crisis meeting of Hyndburn and Rossendale Racial Equality Council's executive committee agreed to start winding up the group, which recently lost £90,000 in grants from Hyndburn and Rossendale Councils, Lancashire County Council and the Manchester-based Commission for Racial Equality. The organisation's work could now be put out to tender. Groups which could be in a position to take over include the Citizen's Advice Bureau or Welfare Rights.
The executive committee's decision must now be approved by a meeting of the full REC on March 15.
In November, REC director Mohammed Hanif was suspended after claims he did not follow correct procedures when purchasing computer equipment.
His contract expires in March along with the lease on the group's headquarters in Oak Street, Accrington.
The group's long-standing financial difficulties are not related to Mr Hanif's suspension.
A source said the cash crisis was the result of poor performance and a general lack of investment.
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