Archived: Love International Limited: charity review

Mini-review of Love International Limited (LI)

The previous review (in black) is used as a base, with comment only if the situation has changed or extra information would be helpful.

as an organisation that (a) seeks donations online, and (b) is an associate member of Missions Interlink, an organisation that, among other things, gives Members income tax exemption^[1]. (Including the answers to the questions that the Australian charity regulator, the ACNC, suggests that you ask.)

See here for last year’s review.

Members of Missions Interlink have to accept a set of standards, the introduction to which includes this statement:

Is LI responsive to feedback?

• When sent a draft of this review, on 21 June 2017, they…did not respond.
• 2018 review: They did not respond to a draft of this review.

Is it registered?

• As a charity, yes.
• Other registrations:
  • As a public company, a company limited by guarantee.
  • LI does not have the necessary provisions in its Articles of Association to allow it to omit ‘Ltd/Limited’ at the end of its name.
    • Their website suggests that maybe they are not always complying with this.
  • LI operates – according to the ACNC Register – only in Queensland. It has a fundraising licence there.
    • The extent to which, after exemptions, it is required to have one in the other six (2018 review: five) states that have a licensing regime depends on whether those states interpret LI’s request for money on its website as fundraising.

What do they do?

• See here on the website.
• This ‘News’ is more specific and later than what is given in the Activities section in the Annual Information Statement (AIS) 2016.
• 2018 review:
  • From the Register:
    • Our activities and outcomes helped achieve our purposes by providing education and food to the very underprivileged and needy children in Africa.
  • AIS 2017:
    • ‘Providing financial assistance for the running of Love International School, Natkiri, Mozambique’
  • The ‘News’ above is still the latest.

Do they share the Gospel?

• No information found.
  • The sixth and seventh (of eight) ‘principal objects’ in the Memorandum of Association (part of the ‘Governing document’ on the ACNC Register), are about advancing the Gospel.

What impact are they having?

• Nothing found.

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

• LI claims that
  • …100% of your donation will go to the persons or project concerned.  We do not use your donation to fund administrative costs.  Everything is done on a voluntary basis…
  • How does this fit with the fact non-gift revenue is less than ‘Other expenses/payments’? That ‘Grants and donations made…’ are not 100% of donations and bequests received? And that ‘Grants and donations made…’ are significantly less than gifts received?
  • 2018 review: If there are no deductions from your donation, how is the charity run?

Can you get a tax deduction?

• No

Is their online giving secure?

• NA

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

• None

Is their reporting up-to-date?

• Yes (four months after their year-end).
  • But if you are considering a large donation, I would ask for more up-to-date financial information – the accounts are for a year end that is now nearly a year ago.

Does their reporting comply with the regulator’s requirements?

• AIS 2016: Almost – no outcomes are reported (ditto AIS 2017).
• Financial Report 2016: Yes (ditto 2017)
  • Its small size means that LI is not required to submit a financial report to the ACNC.
  • LI declares its membership of Missions Interlink (confirmed here):
    • Love International is a member of Missions Interlink, a prominent and well respected organisation in Australia representing colleges, aid and missionary organisations.
    • This membership requires LI to ‘have available for its members and supporters a clear and appropriate financial statement which has been approved by its auditor[iii]. Last year I asked for this statement but didn’t get a reply. I didn’t bother this year.

What financial situation was shown in that Report?

• NA
  • The AIS 2016 [and 2017] shows no liabilities.

What did the auditor say about the last financial statements?

• NA
• 2018 review: An audit should have been done, but it does not have to be lodged with the ACNC.

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

• Yes
  • ‘Phone’ and ‘Website’ are blank, but neither are compulsory.

Who are the people controlling the organisation?

• Not shown on the website.
• These people on the ACNC Register (under ‘Responsible persons’):
  • Tracey Jones
  • Donald Stewart
  • Olivia Stewart
  • Unless the members have, under clause 34 of the Articles of Association changed the composition of the board, it is (still) two members short.
  • Given that Donald and Olivia appear to be a couple, it is questionable wisdom to have a couple as directors of a charity that seeks public money when there are only three directors in total.

To whom is LI accountable?

• To Missions Interlink.
  • For one opinion on the strength of the Missions Interlink accountability, see the section Activities in this review.
• Also to the ACNC, and, for some things still, ASIC (2018 review).

1. Even though they do not meet the “in Australia” test and do not have deductible gift recipient status. ↑