The Charity Commission's investigation revealed that Fashion for Relief, founded in 2005 to address poverty and humanitarian causes, was plagued by financial mismanagement. The commission found a lack of proper documentation regarding the charity's finances, and many of its claims of donor reimbursements were unsubstantiated. Between 2016 and 2021, the charity raised £4.8 million from various fundraising events, but only allocated 8.5% (around £389,000) to actual charitable grants.
The commission's report uncovered that the majority of the funds raised by Fashion for Relief were not being used for their intended charitable purposes. Instead, the money was being spent on personal security, spa treatments, and luxury accommodations for the charity's trustees. For example, during a 2018 event in Cannes, France, the charity covered a €3,000-per-night stay and over €8,000 in personal expenses for Naomi Campbell.
The financial mismanagement extended beyond Campbell's involvement. The commission found that her fellow trustee, Bianka Hellmich, had received £290,000 in unauthorized consultancy fees, leading to a nine-year ban from working for a charity. Another trustee, Veronica Chou, also faces a four-year ban.
In response to the allegations, Naomi Campbell claimed that she was not in control of the charity's operations and had entrusted all the financial matters to a team of legal representatives. This attempt to shift responsibility raises concerns about the level of oversight and accountability within the charity's leadership.
The Charity Commission has taken action to recover the misallocated funds, appointing interim managers to recoup around £344,000, which has been distributed to organizations like Save the Children and the Mayor's Fund for London. Additionally, Fashion for Relief has been dissolved and removed from London's register of charities, effective March 2024.
The Fashion for Relief scandal has exposed the need for greater scrutiny and accountability within the charitable sector, particularly when it comes to high-profile initiatives led by celebrities and public figures. This case serves as a cautionary tale, highlighting the importance of robust financial controls, transparent reporting, and effective oversight to ensure that donated funds are used for their intended purposes and benefit those in need.