Community360 urged to give clarity on £200k loan to its CEO

Tracy Rudling, pictured with Colchester City Council leader David King, was loaned £206,341 by her own charity

A charity that loaned its chief executive officer more than £200,000 has been urged to provide clarity about the transaction.

Tracy Rudling, of Colchester charity Community360, loaned herself £206,341 in the financial year to 31 March 2023.

Colchester City Council wrote to the charity on Thursday seeking "clarity and assurances" about the deals.

In a statement, Community360 said it considered allegations of wrongdoing to be a "personal attack" on the charity.

The loan was documented in Community360's published accounts for 2022-23.

Mrs Rudling's husband, Gordon, also received £39,389 and his construction company a further £65,571, they showed.

'Fundamental questions'

"As a statutory partner of C360, the council has a responsibility to ensure that public funds are used appropriately and transparently," a council spokesman said.

The local authority requested written reassurance by Monday that no funding provided by itself or partner authorities was used to finance the loans.

Lib Dem councillor Natalie Sommers said allegations about the money "raised fundamental questions that need to be answered".

"We value our partnership with C360 and the important services they provide to our communities," she said.

"However, we also have a responsibility to ensure that public funds are used properly and transparently."

'Personal attack'

A Charity Commission spokeswoman confirmed to the BBC that it was assessing concerns that had been raised about Community360 to its staff.

In a separate statement, a spokeswoman for the Colchester-based charity claimed it "meticulously" adhered to legal requirements surrounding financial decisions.

"After a thorough due diligence process and independent regulatory approval, we granted a loan to allow us to significantly expand our services - with all money plus interest accrued being reinvested back into the charity," she said.

"The wellbeing and quality of life of the people we support remains our absolute priority, and we will always act in their best interests."

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