A charity which campaigns for justice for Britain’s nuclear test veterans is facing a demand for return of a £25,000 grant from the Ministry of Defence.
It comes five months after the British Nuclear Test Veterans Association fired its chief executive, and the Charity Commission opened an inquiry into its governance.
The charity has now admitted that for a brief period last year it was “effectively insolvent” but was now "financially viable".
A spokesman for the BNTVA said that “articles such as this are reckless and will achieve nothing other than causing reputational damage... [any] allegation of insolvency will cause distress to veterans and widows alike”.
The BNTVA has waged a high-profile battle for recognition against the MoD since 1983, on behalf of those who were ordered into Cold War radiation experiments and later claimed to have suffered a horrific legacy of cancers, miscarriages, and birth defects.
At the start of the year, the BNTVA fired chief executive Ceri McDade for gross misconduct, after compiling a report listing 32 alleged misdemeanours.
Mrs McDade denies the claims, and has lodged a claim with an employment tribunal.
Last year, the BNTVA won a £100,000 grant for a two-year project to research the “moral injury” of taking part in the weapons tests. The first £25,000 of the money was paid, but the work was not begun.
Now the Armed Forces Covenant Trust, which administers £10m of MoD funds every year for veterans projects, wants its money back, and has met with BNTVA trustees.
“We have asked politely, and then we will ask sternly,” said a source. “It is not clear how the project could be delivered. Where we go from here is unclear, but this is taxpayers’ money.”
The BNTVA is believed to have a current account balance of less than £23,000, and numerous creditors. A phone-a-friend service for veterans, using mobiles administered by the charity, has been terminated without explanation.
The BNTVA has yet to send a mailshot to veterans or their families about how to apply for the nuclear medal, which was made available in March. The Mirror has offered to do so, but was rebuffed by trustees over data protection concerns.
The BNTVA is required by law to file annual accounts with the Charity Commission by the end of July. The commission has already opened a 'regulatory compliance' case over how the charity is run.
If it is not granted a deadline extension, or the accounts raise questions, the commission could send in 'interim managers' to run or wind up the charity. In the event of finding misconduct, it could also launch a statutory inquiry.
A spokesman for the MoD said: “We are grateful for the work carried out by the BNTVA and have met directly with trustees. However, the trust has taken the decision to withdraw the grant. We will continue to engage with the BNTVA throughout this period. We recognise there are vulnerable veterans within the nuclear test veteran community, and continue to encourage applications to our current open programmes.”
A spokesman for the BNTVA said the charity was “not insolvent” but added: “The charity was effectively insolvent during September 2022 but managed to recover by October 2022.”
He added: “The BNTVA remains a financially viable organisation but an in-depth appraisal of the organisation has been undertaken by the trustees with an eye to the future. We are currently engaged in an employment tribunal and investigation by other regulatory bodies which means that it is not proper for us to share any detailed information until these have run their course and matters are resolved.”
