One of Oxford’s most venerable colleges has been severely criticised by the Charity Commission over mismanagement and misconduct in a long-running battle to oust its former head.
Christ Church, which was founded in 1546 and has educated 13 UK prime ministers and 17 archbishops, spent more than £6.6m in legal fees and public relations costs in its efforts to force out its dean, the Very Rev Martyn Percy.
The commission said the college, which has charitable status, had not managed resources responsibly and had not been accountable for its spending in what it described as a “very divisive internal dispute”.
The governing body’s three-and-a-half-year battle with Percy involved claims of scandalous behaviour, unsound judgment, avarice and sexual harassment. It ended last November in a settlement involving a payoff to the former dean.
The college also reimbursed Percy’s legal costs and agreed to an independent review of its governance.
The Charity Commission issued an official warning to the college, saying: “The commission has determined there has been mismanagement and/ or misconduct in the management and administration of the charity.”
The commission had “significant concerns” about how legal and other costs in connection with the dispute had risen to more than £6.6m. It found there were “inadequate internal controls and that the charity had not been transparent when asked about costs”.
The college submitted about 800 pages of evidence to rebut the allegations, it said.
At the heart of the dispute was Percy’s pay and his efforts to reform the college’s governance. He was originally suspended after being accused of behaviour of an “immoral, scandalous or disgraceful nature”, the wording of the college’s statutes under which a dean can be removed.
The college hired Sir Andrew Smith, a retired high court judge, to chair a tribunal on the dispute. After a hearing behind closed doors in June 2019, Smith dismissed all 27 complaints against Percy and ordered his reinstatement. However, efforts by the governing body to remove Percy from his post continued.
The dispute is believed to have cost the college millions in cancelled bequests and donations.
Percy, who left his post in April, said: “This is a devastating finding against a charity that was clearly out of control. It is beyond doubt now that a small group of trustees at Christ Church were determined to get rid of me at any cost … Alumni and donors will be shocked that £6.6m – money ostensibly earmarked for education – was instead squandered on lawyers and PR agencies. This was then covered up in the accounts.”
The individuals responsible should be held to account, he added. “Christ Church cannot recover from this episode until that happens.”
A spokesperson for Christ Church said: “In very complex and constantly changing circumstances, trustees made decisions which, having taken professional advice, they judged to be in the best interests of Christ Church.
“Many of the costs were incurred as a result of Dr Percy’s refusal to settle with a governing body which had lost trust and confidence in him.”
A review of Christ Church’s governance was under way, the spokesperson said.
Last December, Chris Patten, the former cabinet minister who is now chancellor of Oxford university, said the “protracted and ongoing dispute” had damaged the university’s reputation.
