Gospel for Asia Canada Seeks Protection from Creditors Amid Donor Lawsuit

The Canadian iteration of Gospel for Asia has filed for creditor protection at the same time it is being sued in multi-million dollar action by donors who claim the charity did not use funds as donors intended. The action appears to be a stalling tactic since the charity doesn’t have any significant creditors except the possibility of paying back donations that didn’t go where donors thought they would go.

Read the affadavit filed by GFA’s Pat Emerick here

Read the Court order on creditor protection here. 

The order prohibits GFA from disbursing any funds without permission of the court and sets up Price Waterhouse as GFA’s overseer. GFA has asked the court to stay this prohibition but the court has yet to rule on that request.

Of course, the donors don’t want GFA to be able to send money out of the country until GFA can satisfy donors and the authorities that the funds are being used as promised. They favor the hold on sending funds out of the country. I would like to add that funds cannot be sent to Gospel for Asia in India or Ayana Charitable Trust or Believers’ Church or at least two other NGOs because the Indian government removed their ability to accept foreign funds. I hope this court action explores where the funds are actually going and how they get from shell NGOs with no actual structure to the people in need.

This is a missing link that no one at GFA has ever spoken about. No one has ever said how funds get from the U.S. to needy people in India since the organizations with a structure to distribute them can’t accept them. I understand the Believers’ Church has set up shell NGOs but this seems like it could be a stealthy and perhaps illegal way to funnel foreign funds to organizations which the Indian government has prohibited from getting them.

 

Gospel for Asia UK Says K.P. Yohannan is Not on Believers’ Church Board, Church Constitution Says Otherwise

Obviously, Gospel for Asia founder and CEO K.P. Yohannan wants people to believe he doesn’t sit on any boards of Believers’ Eastern Church in India.  Even though he is the Metropolitan Bishop of the church, he told his own staff and the Evangelical Council for Financial Accountability that he wasn’t in authority. Now I have found a financial statement filed in the UK where he claims he isn’t on BEC’s board (see note 10). See below:

10 TRANSACTIONS WITH DIRECTORS/TRUSTEES AND RELATED PARTIES
During the period, none of the Trustees of GFA World received emuneration from the Charity (2015 anil).

On 18th October 2016 a donation of F1,660,000 was made to Believers Church India to further the Charity’s objectives. Kadappilaril Yohannan Punnose, is Metropolitan Bishop of Believers Church, which is GFA World’s primary recipient of funds. Whilst he does not sit on the Board of Believers Church and receives no remuneration from Believers Church, he does exercise spiritual oversight through his role as a member of Believers Church’s Council of Bishops. Daniel Punnose is the son of Kadappilaril Yohannan Punnose and is an ordained minister and is a Bishop of Believers Church (among many), but has no formal leadership role in Asia. He is not on the Board of Believers Church and receives no remuneration from Believers Church India.

Gospel for Asia (US) funded a number of radio broadcasts in the UK and provided some administrative support for many of the appeals and communications with supporters in the UK. Kadappilaril Yohannan Punnose and Daniel Punnose are both members of the Board of Gospel for Asia (US) and received remuneration from Gospel for Asia (US) for their services.

On 24th May 2016 a donation was made to Gospel For Asia (US) for 282,000 for two months of “Road to Reality” radio broadcasts in the US. Two of the trustees of GFA World are also trustees of Gospel for Asia (US), and as such were not present in the meeting where the decision was made to make the grant

I have demonstrated repeatedly that Yohannan is referred to as the head trustee, the final authority, and the one who inaugurates the Bishop’s Council in church documents. The church Constitution makes this extremely clear:

FOrmer GFA COO Appeared to Admit What Seems Obvious

In a February hearing, an email from former Gospel for Asia COO David Carroll to Yohannan was quoted by attorney Marc Stanley. Atty Stanley represents Garland and Phyllis Murphy who are suing GFA and various officers of the organization alleging fraud and misuse of funds. In this citation, Carroll reminds Yohannan that they have told the public Yohannan has nothing to do with finances and is only the spiritual head but implies such a representation isn’t true.

We can say all we want that we don’t have anything to do with the Believers Church or the field and that you are only the spiritual head of the church and that finances are handled by others but you, but as a practical
matter, that will not hold up.

To the charity commission of the UK, GFA World with K.P. Yohannan sitting on the board, again claimed something that is contradicted by the organization’s founding trust documents, the church’s constitution, and many court documents in India. More recently, we have this statement from a former COO.

Perhaps, there is an explanation. The burden is on GFA and Rev. Yohannan to offer it.