Archived: CBI Australia Inc: mini charity review for donors

Mini charity review of CBI Australia Inc (CBI) as an organisation that seeks donations. (Including the answers to the questions that the Australian charity regulator, the ACNC, suggests that you ask.)

(For the situation last year, read the review here.)

Are they responsive to feedback?

• When sent a draft of this review, they…did not respond.

Is CBI registered?

• As a charity, yes.
• Other registrations:
  • As a NSW incorporated association (INC9889557).
  • CBI operates – according to the ACNC Register – in all eight states. Seven have fundraising regimes. CBI has a licence in none of them.^[1].
  • If it’s ‘carrying on business’ outside NSW, as it appears to be, then it doesn’t have the required registration (an ARBN).

What do they do?

• See the website here.

Do they share the Gospel?

• Yes

What impact are they having?

• Nothing systematic found.

What do they spend outside the costs directly incurred in delivering the above impact, that is, on administration?

• The expenses are not classified to allow this calculation.

Can you get a tax deduction?

• No

Is their online giving secure?

• No online giving is offered.

Is their reporting up-to-date?

• Yes (lodged one day late, six months after their year-end).

Does their reporting comply with the regulator’s requirements?

• AIS 2015: No
  • No outcomes are given.
  • None of the expenses match those in the Financial Report.
• Financial Report 2015: No – grossly deficient:
  • Two of the four required financial statements are missing.
  • The Statement of Income and Expenditure is missing a major section.
  • There is only one Note (and that is both incomplete and inaccurate).
  • The audit report is a long way short of what is required by the Auditing Standards (standards that the auditor was required to follow).

What financial situation was shown by that Report?

• The surplus declined from 11% to 8% of income.
• No obvious concerns with the financial structure.

What did the auditor say about the last financial statements?

• Although he gave a ‘clean’ opinion, it was his own version of an audit report, a version quite different to the one that he is required to write under the Auditing Standards (with which, as a chartered accountant, he is required to follow.)

If a charity, is their information on the ACNC Register complete?

• Very nearly – ‘Website’ is blank.

What choices do you have in how your donation is used?

• None given.

Who are the people controlling the organisation?

• Not shown on the website, but shown on the ACNC Register, under ‘Responsible Persons’.
  • They are two short (three if the Public Officer is not also a committee member.)

To whom are CBI accountable?

• Not claimed on the website, but they are members of Missions Interlink, an organisation that has a general accountability regime^[2].
• They are also accountable to the ACNC.

1. The law in this area is not straightforward and advice varies, so check with the charity before drawing any conclusions. ↑
2. For one opinion on the strength of this accountability, see the section Activities in this review. ↑