Audit concludes Archer made up charity total

More than half the £57m Lord Archer claims he raised for the Kurds in his 1991 Simple Truth appeal appears to have been a figment of his imagination, an investigation into the charitable campaign has concluded.

The British Red Cross said on Friday that an independent audit of the cash showed no donations were handled by Archer and any misappropriation was "unlikely". But KPMG, the accountancy firm that ran the investigation, said it could find no evidence to support Archer's claims to have raised £31.5m from overseas governments.

When investigators met the former chairman of the Conservative Party at Wayland jail in Norfolk in July, he was unable to give them details of the sources of the £31.5m.

Questions were first raised over the Simple Truth appeal in July by the Liberal Democrat peer Baroness Nicholson. Within days of Archer being jailed for perjury, she wrote to the Commissioner of the Metropolitan Police alleging that "hardly any" of the money raised by Archer, who was fronting a British Red Cross campaign, actually reached the persecuted Iraqi Kurds for whom it was intended.

After the KPMG investigation cleared Archer and the British Red Cross of misappropriation, Archer's wife, Mary, said: "My family and I are delighted, but not surprised, that KPMG's investigation into the Simple Truth campaign, spearheaded by Jeffrey in 1991, has confirmed that no funds were misappropriated by him or anyone else. We have known this from the outset."

The accountants are unequivocal in their satisfaction that the British Red Cross and Archer can account for every penny paid in the UK.

"KPMG have no concerns as to the accuracy of the figure of £13.8 million raised by the British Red Cross Simple Truth Appeal in the UK," their report says. "The donation handling procedures appear to have been sound and ... the figures tie in to the 1991 audited accounts and underlying accounting records."

The report adds: "Archer had no role to play in collection of funds by the British Red Cross; he had no signing powers or any role in cash or funds handling at the concert and no role in deciding the distribution of the funds. Archer incurred personal costs for which he received no refund, and he gave a personal guarantee for $200,000 to underwrite the concert should it not have covered its costs.

"KPMG have found no evidence of misappropriation and consider it highly unlikely."

Overseas, however, Archer's claims of the amount raised remain unclear. The Simple Truth claim was that £11.7m had been raised from public and corporate sources and £31.5m from overseas governments. By contacting foreign Red Cross societies, KPMG managed to account for £10m of the £11.7m claim, but when it came to the £31.5m it said: "KPMG have been unable to verify the figure of £31.5m and have seen no analysis of the build-up of this figure or contemporaneous supporting documentation. It appears that the British Red Cross substantially relied upon Archer to provide the figure ... when KPMG met Archer in September 2001 he was unable to recall the breakdown of the £31.5m.

Sir Nicholas Young, chief executive of the British Red Cross, said: "I am pleased that KPMG has found no evidence of misappropriation. With regard to the funds raised and disbursed overseas, the KPMG report helpfully explains which figures were not sufficiently documented and which were not presented with sufficient clarity."

Lady Nicholson declined comment until she had studied the report fully. The Metropolitan Police said it would launch a "preliminary assessment of the facts" from the KPMG audit but was not investigating the Simple Truth fund.

Start your day with The Independent, sign up for daily news emails
Have you tried new the Independent Digital Edition apps?
ebooks
ebooksAn introduction to the ground rules of British democracy
Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs General

Recruitment Genius: Freight Forward Senior Operator

£22000 - £26000 per annum: Recruitment Genius: This logistics firm are looking...

Recruitment Genius: Lead Marketing Specialist

£34500 per annum: Recruitment Genius: A lead marketing specialist is required ...

Recruitment Genius: IT Support Technician - 2nd / 3rd Line

£26000 - £32000 per annum: Recruitment Genius: An IT Support Technician is req...

Recruitment Genius: Folder Gluer Operator

Negotiable: Recruitment Genius: There will be a number of exciting opportuniti...

Day In a Page

Seifeddine Rezgui: What motivated a shy student to kill 38 holidaymakers in Tunisia?

Making of a killer

What motivated a shy student to kill 38 holidaymakers in Tunisia?
UK Heatwave: Temperatures on the tube are going to exceed the legal limit for transporting cattle

Just when you thought your commute couldn't get any worse...

Heatwave will see temperatures on the Tube exceed legal limit for transporting cattle
Exclusive - The Real Stories of Migrant Britain: Swapping Bucharest for London

The Real Stories of Migrant Britain

Meet the man who swapped Romania for the UK in a bid to provide for his family, only to discover that the home he left behind wasn't quite what it seemed
Cheaper energy on the way, but it's not all sunshine and rainbows

Cheaper energy on the way, but it's not all sunshine and rainbows

Solar power will help bring down electricity prices over the next five years, according to a new report. But it’s cheap imports of ‘dirty power’ that will lower them the most
Katy Perry prevented from buying California convent for $14.5m after nuns sell to local businesswoman instead

No grace of God for Katy Perry as sisters act to stop her buying convent

Archdiocese sues nuns who turned down star’s $14.5m because they don’t approve of her
Ajmer: The ancient Indian metropolis chosen to be a 'smart city' where residents would just be happy to have power and running water

Residents just want water and power in a city chosen to be a ‘smart’ metropolis

The Indian Government has launched an ambitious plan to transform 100 of its crumbling cities
Michael Fassbender in 'Macbeth': The Scottish play on film, from Welles to Cheggers

Something wicked?

Films of Macbeth don’t always end well - just ask Orson Welles... and Keith Chegwin
10 best sun creams for body

10 best sun creams for body

Make sure you’re protected from head to toe in the heatwave
Wimbledon 2015: Nick Bollettieri - Milos Raonic has ability to get to the top but he must learn to handle pressure in big games

Nick Bollettieri's Wimbledon files

Milos Raonic has ability to get to the top but he must learn to handle pressure in big games
Women's World Cup 2015: How England's semi-final success could do wonders for both sexes

There is more than a shiny trophy to be won by England’s World Cup women

The success of the decidedly non-famous females wearing the Three Lions could do wonders for a ‘man’s game’ riddled with cynicism and greed
How to stop an asteroid hitting Earth: Would people co-operate to face down a global peril?

How to stop an asteroid hitting Earth

Would people cooperate to face a global peril?
Just one day to find €1.6bn: Greece edges nearer euro exit

One day to find €1.6bn

Greece is edging inexorably towards an exit from the euro
New 'Iron Man' augmented reality technology could help surgeons and firefighters, say scientists

'Iron Man' augmented reality technology could become reality

Holographic projections would provide extra information on objects in a person's visual field in real time
Sugary drinks 'are killing 184,000 adults around the world every year'

Sugary drinks are killing 184,000 adults around the world every year

The drinks that should be eliminated from people's diets
Pride of Place: Historians map out untold LGBT histories of locations throughout UK

Historians map out untold LGBT histories

Public are being asked to help improve the map