Charity to be scrutinised

Amy Foundation ‘shocked’ by probe

AMY Foundation donors have become reluctant to be associated with recent events that have unfolded at the organisation.

The foundation has been accused of maladministration, misappropriation of public funds and harassment of employees. The claims came from employees who then embarked on a strike, that led to the closure of the foundation’s offices in Athlone.

The staff alleged that the foundation had been carrying out retrenchments, following the closure of one of its aftercare services.

The Department of Social Development is investigating the foundation.

Yesterday officials from the department went to the foundation to conduct a monitoring and evaluation exercise. The department has found that the Amy Foundation has become non-compliant with the terms of its funding agreement with the department.

MEC for Social Development Albert Fritz said: “The Department of Social Development has been forced to suspend funding to the organisation and has been trying to assist them to become compliant with the terms of their contract. With these latest developments, the department will conduct an on-site monitoring and evaluation visit to confirm whether the organisation has in fact closed, and to initiate a forensic audit should any evidence indicating potential fraud or theft of public funds be uncovered.”

Spokesperson for the foundation, Michelle Bagley said they were not aware of the visit by the department.

She said some donors were reluctant to be associated with the protests.

Managing director Kevin Chaplin said the board decided to close the Sybrand Park offices in light of recent protest as it made it, “difficult to work in the office”.

He said he was shocked by the department’s investigation.

“I read with great interest that the Department of Social Development is looking into the temporary closure of the head office of the Amy Foundation. It is a board and management decision to close the office which we are authorised to do.”

Chaplin added that they welcomed the audit and he refuted any implication that there is maladministration or a misappropriation of public funds, and the audit will prove it.

“The foundation does not infringe any contract with the department as there is no current contract in place. The last contract ended in March this year.

“I am very happy to show the department that the reason for non-compliance was a direct result of outsourcing the compliance to NGOs that do not have the necessary bureaucratic competence to conduct the requirements timely and efficiently.”