It has been one year and seven months since the Committee of 25 for Handicapped Children lost its status as a charity.

One of the Island’s oldest and most recognised charities, the organisation had failed to submit audited financials — and remains off the list, according to the latest statements submitted to the Registrar General’s office.

Members of the public, as well as former members of the Committee, have questioned why the group continues to run its charity shop when it is listed as inactive on the roster of charitable organisations.

However, Nicola O’Leary, the chairman of the Committee of 25, said that the organisation had taken legal advice and had been approved to continue its retail operation.

Former members of the Committee who have called repeatedly for it to be forensically audited told The Royal Gazette they received no answers from Government, even though the Charities Act was made more stringent as of last year.

“The main things we want to know are why they have not been audited, where the money is going, and why the Bargain Box is still open when the rules have changed,” the former member said, requesting their identity be protected.

“If the land they are on was given to them on the understanding that it would be for charitable purposes, shouldn’t the Government do something about it?”

A popular charity shop on Midsea Lane in Pembroke, the Bargain Box continues to accept donations for sale. Ms O’Leary responded that the Committee had been advised that it was safe to do so.

“We were told that we could — if you are not a charity you are not allowed to solicit funds, but we can continue with the resale of household items,” she said. “We were also advised that we could still operate for charitable purposes, and so we still support families in need.”

Ms O’Leary said the Bargain Box endured as the organisation’s “revenue generating arm”, staffed by volunteers.

Documents for the Committee of 25 confirm that the group’s board has sought to regain its charitable status through legal avenues.

An appeal was sent to the minister in November 2013, and the audited financial statements for the years ending April 30 in 2009, 2010, 2011 were delivered to the Registrar General in October 2013.

The Ministry of Home Affairs upheld the withdrawal of charitable status, however, and the Committee was informed on June 28, 2014.

“In August 2014, management further engaged legal counsel to assist with reapplication for charitable status, which includes the submission of current audited financials,” the statement added.

“Management anticipates the charitable status to be restored in the near future, given the aforementioned issues.”

Ms O’Leary said she was confident status would be restored, but added that it was impossible to give a date yet.

“I just don’t know,” she said. “Right now we’re just trying to put one foot in front of the other.”

According to draft financial statements, the store took in $184,332 in 2013, versus $221,387 in audited figures for the 2012 fiscal year.

Donations totalled $58,329 for 2013, and $227,389 in 2012; rental income was $140,776 in 2013 and $129,018 in 2012, and fundraisers took in $12,380 for 2013 against $7,766 in 2012. The total revenue for 2013 is $395,834, and $585,608 in 2012.

Its total assets for 2013 were said to be just over $5 million — the bulk of it coming from $4.4 million in capital assets.

Up-to-date financials will become available to the public once they are supplied to Government. Several local charities have lost their status in recent years, with a tightening of the legislation governing the third sector.

Richard Ambrosio, chairman of the Charities Commission, said he could not comment on matters pertaining to a specific charity, whether past or present.

“I can say that we always seek to understand the extent and scope of our regulatory powers and authority, especially in light of how new our Charities legislation is,” Mr Ambrosio said.

“These are powers which the Commissioners intend to use and apply robustly so as to ensure we are meeting our statutory objectives, which are to increase public trust and confidence in charities; to promote awareness and understanding of the operation of the public benefit requirement; to promote compliance by charity trustees with their legal obligations in exercising control and management of the administration of their charities; to promote the effective use of charitable resources, and to enhance the accountability of charities to donors, beneficiaries and the general public.”

However, he added: “I will take this opportunity to remind everyone that no person or organisation can solicit donations from members of the public or fundraise in a public place for any charitable or benevolent purpose unless they do so for a registered charity, or under a temporary licence to solicit and collect donations. For any queries on both, members of the public should speak to the staff at the Registry General.”