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To all supporters of the work of the Isaiah Trust in Kenya.
Please be advised that, with regret, the Isaiah Trust is no longer working with Rev. James Otieno Okech or his wife, Sabina Otieno in respect of the support of street children, widows and orphans in Kenya.
This decision was taken by the Trustees of the Isaiah Trust, following the discovery of financial impropriety and misappropriation in Kenya, the extent of which is currently under further investigation and the subject of legal action in Kenya. The problems that have been uncovered relate to a visit by one of the Trustees, Tim Broughton, to Kenya in November 2002 when he undertook routine auditing of the financial affairs of the project. A significant number of funds remained unaccounted for and a commitment was obtained to correct this.
A further, unannounced visit was made by Tim Broughton in January 2003 during which further problems were found in schemes of work that were agreed in November, indeed we were told things that were untrue in order to disguise the extent of the inactivity, and no restitution made of problems previously identified.
As a result of these issues, the Trust has agreed to remove James Okech and Sabina Otieno from their roles as Trustees of the project in Kenya. A new team has been put in place and much tighter regulations and controls agreed with those people.
There are a number of issues that I am able to share with you, and others which are the subject of legal action and so I will not detail these here. If you wish to have more information, then please contact Nicky or myself directly. However, the following are just some of the problems that were uncovered on the last visit to Kenya in January: -
1. Funding for salaries not given to employees -- Funds sent for salaries for employees of Mt. Zion had not been paid to those employees for several months, despite funds being sent over from the UK. To clear the names of the ministries and to relieve the financial hardship for those involved it was necessary to make a second payment to those people from the personal finances of the UK Directors for the ministry. When we approached a lawyer in Kisumu, who had previously advised us on land purchase and charity registration in Kenya, it became clear that he was also owed funds by James. Funds which, once again, had already been paid to James from the UK.
2. Funding for supporting children in home based care - Funds sent to support children in home based care were not passed on to the foster parents. In some cases the payments had not been made for 5 months, despite funds being sent across from the UK. This had left the foster parents in a very difficult situation financially.
3. Falsifying needs -- Many times we, along with several other people we know, have been requested to send money for the same need and the cost of the need has been inflated or the need itself has been fabricated. When duplicate funds were received, there was no acknowledgement of that to us or others involved. Specific instances include money requested for rent and for school fees.
4. Buying loyalty with ministry funds -- Pastors have been encouraged to join with James with the promise of cars, houses or other material goods or status including paying salaries and rents and the promise of international travel using money sent for other purposes. Many of these pastors approached us and spoke with us when we were in Kenya in January/
5. In December funds were left to provide clothing, mattresses, mosquito nets, beds and many other things for the first 10 children to be given homes from the streets. On the unexpected visit in January none of these items had been purchased. In fact, mattresses appeared during the week of the visit and we were told that they had been there for some time, but on questioning some of the boys at the house this was found not to be true.
6. Rumours of personal improprieties -- throughout the city of Kisumu there are rumours that include names, locations and relationships that have been extremely damaging to James personally and to the ministries his name is attached to. While rumours are just that, rumours, these stories were heard from different and unrelated sources and all bore the same details which gave great cause for alarm. James has been confronted with these rumours and as a result he offered to step down as Bishop of Skills for Living Ministries and as a Trustee of Mount Zion. (he later refused to step down, causing much dissension and confusion resulting in a meeting together to release him from Mount Zion and Skills for Living)
James has now begun his own, separate organisation, once again planting churches and is seeking support from abroad. With our experience of working closely with him for the last two years we would urge extreme caution prior to committing funds from the UK. James is no longer a part of Skills for Living, Kenya, for which a new overseeing executive has been appointed, working with the Skills for Living Ministry in the UK.
Although it was a very difficult decision, we feel that it is appropriate that we advise you of our decision. If you are continuing to support James and his ministry, then we felt that you should be aware that these funds will no longer be used in the support of the street children project and homeless children projects that we are undertaking.
In spite of all of the above, I must also let you know that our program of rehabilitation and home care is currently helping 24 children live new lives. They are all complete orphans and all have now found new homes and families as a result of the hard work of our people over in Kenya. Please continue to pray for them as they go through this difficult time.
We have taken a number of actions over in Kenya to redress the situation and to ensure that it will not happen again. In particular, all finances are now controlled entirely from the UK. We felt that we should have been able to trust a Bishop and feel sadly let down by what has happened. However, we are determined to continue with the work that God has called us to in Kenya and to see improvement in the lives of desparate children.
We feel a moral obligation to provide you with what information we can so that at some point in the future you do not experience the same shock, disappointment, and betrayal as we in Mount Zion have.
regards
Tim Broughton
Nicky Etherington
The Isaiah Trust
Reg Charity 1095251.
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