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Midlands Air Ambulance Service 'misused public donations'

Thu Aug 13, 2015 12:40 pm

An air ambulance service has been criticised by the Charity Commission after it lost £111,000 by booking tickets for a London musical premiere.

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The Midlands-based Air Ambulance Service made the booking in 2012 for the stage version of Whitney Houston film The Bodyguard.

It is also accused of making a £27,000 loan to an employee without informing its board until after the event.

The charity said it was ensuring governance was tightened.

The commission said it had been called to investigate the service, which serves Warwickshire, Northamptonshire, Rutland, Derbyshire and Leicestershire, following complaints about "significant losses".

It said the 2012 event, in which the charity bought seats to resell for The Bodyguard, was "poorly planned".

The service said that buying and reselling theatre tickets was "a method of fundraising used by other UK charities".

"Unfortunately the event was not commercially successful due to poorer than anticipated ticket sales," it said.

The Bodyguard received mixed reviews at its West End premiere, with one critic describing it as "loud" and "soupy", although its star, Heather Headley, was praised.

Regarding the loan, the commission said a loan totalling £27,000 was made to a senior employee at the charity.

"It was not clear on what legal basis the loan was made," it said.

"We established the loan was put in place by the CEO and the chair. The wider trustee board was only informed after the event. The staff member in question is repaying the loan."

It called on the charity to review its policies.

The service said: "The loan referred to in the report was a one-off and made to a valuable employee facing unforeseen personal circumstances. We have worked closely with the Charity Commission to ensure governance is tightened."

:bbc_news:
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