Fund Probe
On 31 May 2010, the Office of the Commissioner of Charities(COC) and the Commercial Affairs Department(CAD) of the Singapore Police announced that 17 individuals linked to the City Harvest Church, including church founder Pastor Kong Hee and his deputy, Pastor Tan Ye Peng, were under investigation after complaints alleging the misuse of church funds. The joint press statement stressed that the investigations are neither linked nor initiated from its acquisition of a stake in the Suntec Convention Centre The police also visited the offices and homes of these individuals and brought back computers and financial records for investigations. The police were looking into some financial transactions among these individuals and related companies, involving the possible falsification of accounts and criminal breach of trust amounting to millions of dollars which dated back a number of years. The authorities said that regular church activities and services for the congregation need not be disrupted during ongoing investigations, which is expected to take several months.
The investigation followed requests by church members for the COC to review the church's constitution, which denied ordinary members the chance to attend general meetings, or be privy to its annual reports and financial statements. Some members felt that the church board had utilised the church's building fund and committed it to "future liabilities" without consulting members at its latest AGM.
On 2 April 2011, The Straits Times article reported that CHC actively planned to improve its image and reputation in the congregation and public through corporate crisis management and working with cell group leaders and pastors. The church encouraged the cell leaders and pastors to talk with members and public openly, clarifying about inquires about the fund probe.
In June 2012, Kong Hee and four other members of the church were arrested by the CAD. All five face multiple charges of criminal breach of trust, while three face multiple charges of falsifying accounts of the church. The charges were filed against the five individuals and not the church itself, which would be allowed to continue its services and activities. They were released on $500,000 bail each. In July, charges were brought on one additional individual, a former finance director. There will be three pre-trial conferences held before the actual trial to allow defense lawyers and prosecution to exchange information and evidence. The last of the pre-trial conferences is set for November 22. Some Christians have expressed concern that the slow pace of the trial may have a negative impact on public opinion.
On the same day as the initial arrests, the COC released a press statement detailing the results of its inquiry. It stated that there were misconduct and mismanagement in the administration of the charity. There were irregularities of at least $23 million in the charity's funds, which were used to finance Sun Ho's secular music career to connect with people. There was also a concerted effort to conceal this movement of funds from stakeholders. Eight members were suspended from their duties with the charity. The eight included the five arrested, Sun Ho and two others. The COC is considering further course of action under the Charities Act.
Prosecution claims that $24 million was taken from church building funds and put into sham investment bonds in two companies, one of which was Ho's artist management firm Xtron Productions. After church auditors raised questions about the bond investments, an additional $26.6 million was moved around to "create the false appearance that the purported sham bond investments had been redeemed". In reply to the allegations, the Church has stated that money for the investment bonds were returned to the church in full, with interest, and it did not lose any funds in the transactions. It also stood by the five accused, stating that they have "always put God and CHC first." "As a church we stand with them and I believe fully in their integrity. Pastor Kong is still our Senior Pastor."
In August, donations were solicited within the church seeking funds as "personal gifts" to the 6 people charged. The Commissioner of Charities warned the church and its employees against raising funds for legal expenses. The church states that pastors involved have relinquished their roles in the effort. The church itself was notified earlier that they are restricted from paying the legal fees of the 6 accused.
Read more about this topic: City Harvest Church, Controversies
Famous quotes containing the words fund and/or probe:
“School success is not predicted by a child’s fund of facts or a precocious ability to read as much as by emotional and social measures; being self-assured and interested: knowing what kind of behavior is expected and how to rein in the impulse to misbehave; being able to wait, to follow directions, and to turn to teachers for help; and expressing needs while getting along with other children.”
—Daniel Goleman (20th century)
“The middle years are ones in which children increasingly face conflicts on their own,... One of the truths to be faced by parents during this period is that they cannot do the work of living and relating for their children. They can be sounding boards and they can probe with the children the consequences of alternative actions.”
—Dorothy H. Cohen (20th century)