In the matter of Dudley Mosque
[2024] UKFTT 910 (GRC)
The Trustees of Mountain of Fire and Miracles Ministries International v The Charity Commissioner for England and Wales
27 January 2023
[2023] UKFTT 308 (GRC)
First-tier Tribunal
A charity's trustees challenged an order giving an outside manager full control. A judge said the order was poorly written and didn't work, so they sent it back to be fixed. The charity still needs help, but the manager won't have complete power over the trustees anymore.
Key Facts
- •Mountain of Fire and Miracles Ministries International (the Charity), a large registered charity, was subject to a statutory inquiry by the Charity Commission.
- •An Interim Manager, Dr Adam Stephens, was appointed in 2019 under section 76 of the Charities Act 2011.
- •In 2021, the Charity Commission issued an order (2021 Order) under section 76(3)(g), varied under section 337(6), granting the Interim Manager exclusive management powers, excluding the trustees except for religious services.
- •The Charity's trustees appealed the 2021 Order to the First-tier Tribunal (General Regulatory Chamber).
Legal Principles
The Tribunal must consider afresh the decision appealed against and may take into account evidence not available to the Commission.
Charities Act 2011, section 319(4)
The meaning of "misconduct" and "mismanagement" in section 76 should be given their ordinary meaning; only serious instances justify appointing an Interim Manager.
Mountstar (PCT) Limited v Charity Commission
On appeal, the appellant must demonstrate that the Charity Commission's evaluative judgments and discretionary decisions are wrong.
Knightland Foundation v the Charity Commission
The Charity Commission has statutory objectives (public confidence, compliance, accountability) and functions (improving charity administration, investigating misconduct, taking remedial action).
Charities Act 2011, sections 14 and 15
Section 76 allows for the appointment of an Interim Manager if misconduct or mismanagement exists or if protecting charity property is necessary.
Charities Act 2011, section 76
Schedule 6 to the Charities Act 2011 outlines the Tribunal's jurisdiction and powers regarding appeals against decisions under section 76.
Charities Act 2011, Schedule 6
Outcomes
The appeal is allowed in part.
The 2021 Order, which granted the Interim Manager exclusive management powers, was found to be ineffective and contradictory, relying on trustee cooperation despite removing their powers. The Tribunal found that the conditions for a section 76(3)(g) order still applied, but the 2021 Order's implementation was flawed.
Parts of the 2021 Order are quashed.
Specifically, the parts granting the Interim Manager exclusive powers, mandating a branch contraction strategy, and deferring governance improvements are quashed.
The matter is remitted to the Charity Commission.
The Charity Commission must issue a fresh decision on the quashed parts of the 2021 Order, reflecting the Tribunal's findings and amending the order to address the identified issues.
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