Chris Stoddard, former director of the fundraising firm CS Fundraising, has been asked to repay almost £345,000 to the company, according to a liquidator’s report.
CS Fundraising went into liquidation in January 2015. Stoddard, the firm’s only director and the director of several other now defunct direct-mail fundraising firms, has been asked to repay the money through a claim made to his individual voluntary arrangement, an arrangement to pay off debts.
The latest liquidator’s report for CS Fundraising, published on the Companies House website last month, says three other companies – Inspire Fundraising, Lean Marketing and Our Place Online, which each have Stoddard as sole director – are indebted to CS Fundraising by a combined total of more than £250,000.
One of the companies, Inspire Fundraising, has gone into liquidation and there was no response from the other two companies to requests for payment by the liquidator of CS Fundraising, the report says.
The liquidator also found that "assets sold to the director had been misappropriated as the company had never received any consideration from this sale". The report says that professional fees of £14,973 "benefited the director in his personal capacity" rather than the company.
The total claim from CS Fundraising for repayment from Stoddard was calculated by the liquidator to be £344,827, according to the report.
The report says the supervisor of the IVA responded that Stoddard had yet to agree to the IVA claims from CS Fundraising, and "intends to propose a variation to the IVA due to the quantity of claims submitted".
But the report says that, after making enquiries, the liquidator had found there was not enough evidence to support claims of "a misallocation of funds from the company’s operation of its direct-mail fundraising in respect of its contracts held with various charities".
CS Fundraising has received claims worth a total of £594,450.06 from 13 creditors, the report says, but there are insufficient funds to make any payments to them.
Third Sector was unable to reach Stoddard for comment.