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Charity Commission Exposes Financial Mismanagement at Mountain of Fire and Miracles Ministries

Charity Commission Exposes Financial Mismanagement at Mountain of Fire and Miracles Ministries

Charity Commission Exposes Financial Mismanagement at Mountain of Fire and Miracles Ministries

The Charity Commission’s inquiry into Mountain of Fire and Miracles Ministries International has uncovered significant financial mismanagement, with former and current trustees failing to maintain adequate oversight over the charity’s extensive network of more than 100 bank accounts.

About the Charity

Mountain of Fire and Miracles Ministries International operates through a large network of individual branches, promoting Christianity across over 90 locations nationwide. The charity’s rapid expansion, however, was not matched by corresponding improvements in governance, leading to serious financial risks.

Inquiry Background

The Charity Commission launched a statutory inquiry under section 46 of the Charities Act 2011 on March 27, 2018, following concerns about the potential misappropriation of charitable funds. The investigation focused on the charity’s financial controls and governance structures.

Key Findings of the Inquiry

The inquiry revealed critical lapses in financial oversight, including:

  • Lack of Control Over Bank Accounts: Trustees could not demonstrate adequate oversight of more than 100 bank accounts operated by individual branches, putting charitable funds at risk.
  • Autonomous Branch Operations: Branches opened bank accounts and made significant financial decisions, such as property purchases and lease agreements, without central oversight or trustee authorization.
  • Inaccurate Financial Reporting: The absence of timely income reporting by branches led to inaccurate financial records.
  • Financial Losses: Unauthorized property occupations without planning permission resulted in costly legal action by a council. Additionally, failure to regularize employment contracts led to payments to settle disputes.

These issues stemmed from the charity’s complex structure, which lacked the necessary governance to support its growth from a few branches to a nationwide network.

Regulatory Actions Taken

To address the mismanagement, the Charity Commission took decisive steps:

  • Asset Freeze: The Commission froze the charity’s assets to prevent further financial losses.
  • Interim Manager Appointment: On August 1, 2019, an interim manager was appointed under section 76(3)(g) of the Charities Act 2011 to implement robust financial controls and improve governance. The manager was discharged on September 13, 2024, after completing the necessary reforms.
  • Regulatory Action Plan: The Commission issued an order requiring the charity to follow a comprehensive action plan focused on governance and policy improvements. The trustees have since complied with this plan.

Statement from the Charity Commission

Amy Spiller, Head of Investigations at the Charity Commission, stated:

“The rapid growth of a charity comes with correspondingly larger potential risks, as our inquiry clearly shows. In this case, the trustees’ fundamental failure to maintain financial controls meant donor funds were at serious risk across their entire network. Following the intervention of the Commission and the interim manager, the trustees were better able to implement essential reforms, meaning the charity can now operate effectively and focus on delivering its charitable objects.”

Access the Full Report

The complete inquiry report is available on GOV.UK.

Notes

  • The statutory inquiry was initiated on March 27, 2018, under section 46 of the Charities Act 2011.
  • An interim manager was appointed on August 1, 2019, and discharged on September 13, 2024, due to the complexity of reforms and delays caused by legal proceedings.
 

Meta Description: Charity Commission inquiry reveals serious financial mismanagement at Mountain of Fire and Miracles Ministries International, with over 100 bank accounts lacking oversight.

 

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