The Sikh Channel has had some reprieve from media regulator, Ofcom after it found that the service had been using money from its various appeals correctly.Ofcom investigated the channel's income after six complaints were made by viewers last year for "improper use" of donations.
Ofcom did not find any specific evidence that the funds raised by the appeals were used for any purpose other than to fund the running of the channel.
This conclusion was supported by the chartered accountants whose review did not identify any misuse of funds and also indicated that expenditure on the channel was in excess of that raised by donations.
Ofcom did not therefore find a breach of the Code in respect of this area of its investigation.
However, Ofcom was concerned about the disorganised presentation of the accounting information provided by the licensee, which did not assist the investigation.
The licensee has since demonstrated to Ofcom that it has taken steps to improve its record-keeping, and consequently Ofcom considers this issue to be resolved.
Separately, Ofcom considered that on balance, the description of the broadcaster as a not-for-profit company was not in breach of the Code. Sikh Channel Community Broadcasting Company Limited became a registered charity on 2nd June 2010.
http://media247.co.uk/bizasia/newsarchive/2010/07/ofcom_clears_th.php
Related link:
The Sikh Channel pledges for finance support
Ofcom did not find any specific evidence that the funds raised by the appeals were used for any purpose other than to fund the running of the channel.
This conclusion was supported by the chartered accountants whose review did not identify any misuse of funds and also indicated that expenditure on the channel was in excess of that raised by donations.
Ofcom did not therefore find a breach of the Code in respect of this area of its investigation.
However, Ofcom was concerned about the disorganised presentation of the accounting information provided by the licensee, which did not assist the investigation.
The licensee has since demonstrated to Ofcom that it has taken steps to improve its record-keeping, and consequently Ofcom considers this issue to be resolved.
Separately, Ofcom considered that on balance, the description of the broadcaster as a not-for-profit company was not in breach of the Code. Sikh Channel Community Broadcasting Company Limited became a registered charity on 2nd June 2010.
http://media247.co.uk/bizasia/newsarchive/2010/07/ofcom_clears_th.php
Related link:
The Sikh Channel pledges for finance support
