The model and celebrity Naomi Campbell has been banned from holding any charity trustee roles for five years following a Charity Commission inquiry.
Naomi was a trustee of Fashion for Relief and the inquiry found that charity funds had been used to pay for, amongst other things, spa treatments, hotels, cigarettes and security for Naomi. The ban also extends to fellow trustees, Bianka Hllmich and Veronica Chou who have been banned from trustee roles for nine and four years respectively. It was found that £290,000 had been paid to Bianka for consultancy services and a total sum of £345,000 has been recovered from the charity following the investigation.
The case brings the role of charity trustee into the media spotlight. The following is a useful aide memoir to those who hold such roles.
THE ROLE OF TRUSTEE
Charities are governed by the Charity Commission. Helpful guidance has been produced (CC3_feb24.pdf (publishing.service.gov.uk) setting out the key duties of trustees.
Trustees have independent control over and legal responsibility for a charity’s management and the charity must carry out its purposes for the public benefit.
Charity trustees’ duties are:
- To ensure compliance with the charity’s constitution/ governing document.
- To ensure compliance with the law.
- To act in the charity’s best interest.
- To manage the charity’s resources responsibly.
- To act with reasonable care and skill.
- To ensure the charity is accountable (by complying with statutory accounting and reporting requirements).
- To act with reasonable care and skill, exercising such care and skill as is reasonable in the circumstances (Trustee Act 2000).
Trustees are generally protected by the law for personal liability in circumstances where they have acted honestly and reasonably. However, trustees may be held to be personally liable where they have caused financial loss by acting improperly.
HOW CAN WE HELP?
We are regularly instructed by charity trustees faced with allegations of breach of duty. The Inheritance & Trust Disputes Team are vastly experienced in such matters and are able to sympathetically and diligently guide you through a complex area of law.
Craig Smith and Monica O’Neill can advise you on all aspects.
Contact our disputes team :
Call us;
South Devon 01803 213251
Exeter 01392 274006
North Devon 01271 342268