High Court Upholds Most Charity Commission Findings on Kids Company

The High Court ruling on the Charity Commission's report into Kids Company upheld the overall findings of mismanagement and financial issues but identified two specific paragraphs as 'irrational' and unfair, particularly concerning the portrayal of payments to the charity's top beneficiaries. Mr Justice Sheldon criticized the Commission’s insinuations as unbalanced and damaging to the trustees' reputations, emphasizing the report's failure to acknowledge previous judicial findings that supported the trustees' reasonable actions. The Charity Commission defended its report, with the court affirming that the inquiry was based on ample evidence and that there was no predetermined outcome. While the Commission acknowledged errors in two paragraphs and pledged to address them, it maintained that the majority of its conclusions were justified and not irrational. Meanwhile, advocates for Kids Company hailed the judgment as a vindication, highlighting previous court and police findings that rejected claims of financial mismanagement and safeguarding failures, and criticized the Commission for pursuing a flawed report. This complex legal outcome underscores tensions between regulatory oversight and the defense of charitable organizations' reputations following Kids Company's collapse.