Overview
- Mr Justice Sheldon deemed two paragraphs of the Charity Commission's 2022 report on Kids Company as irrational and unfair, requiring revisions.
- The court found innuendo regarding payments to the charity's 'top 25' beneficiaries and critiques of low reserve levels to be unjustified.
- The broader findings of financial mismanagement and the charity's high-risk operating model were upheld as reasonable and evidence-based.
- Michael-Karim Kerman, continuing the legal challenge initiated by late founder Camila Batmanghelidjh, expressed vindication over the ruling.
- The Charity Commission acknowledged the errors and committed to amending the report while defending its overall conclusions as sound.