Introduction:
The PS Society Committee faced a challenge when some volunteers involved in a temple construction project attempted to divert donated funds and initiate an unauthorized construction. This case study explores the actions taken by the PS Committee to prevent fraud and maintain transparency throughout the donation campaign.
Background:
The PS Society Committee decided, with AGM approval, to construct a legal temple on their property. To fund this initiative, they engaged building-wise volunteers to collect donations from society members. In an effort to ensure transparency, the committee instructed all volunteers and members to deposit their contributions into the PS Cultural account, which would be regularly audited.
Challenges:
During the donation campaign, some volunteers had ulterior motives. They aimed to form a trust in their own name on society land, diverting funds away from the temple construction project. To accomplish this, they sent a notice to the PS Committee expressing their intent to establish a trust and identified a specific location on the society’s property for this purpose (Refer Letter). The PS Committee promptly rejected their application and requested the volunteers to provide a list of donors and their respective contributions. However, the volunteers refused to disclose this information and commenced construction without the committee’s consent.
Actions Taken:
The PS Committee acted swiftly to address the situation. They halted the unauthorized temple construction and warned the volunteers that no illegal construction would be allowed on society property without legal approval. To maintain transparency, the committee conducted a door-to-door drive to identify the exact donor list and the total amount collected. During this process, they discovered that, apart from the funds deposited in the PS Cultural account, members had also given cash donations to certain volunteers. However, only a portion of these cash donations had been deposited in the account, while some remained in the possession of these volunteers.
To rectify this, the committee released a list of donors and their contributions to all society members, ensuring complete transparency. They also requested the volunteers to deposit the outstanding cash amounts they had failed to transfer to the PS Cultural account. In response to this, some volunteers returned the difference amount and the expenses they had incurred.
Subversion and Emotional Manipulation:
However, these disgruntled volunteers took an alternative route to achieve their aims. They emotionally provoked donors, creating an atmosphere of mistrust within the PS Society. They pressured the committee to release an initial payment to the contractor who had commenced the unauthorized temple construction.
Resolution:
The PS Committee remained steadfast in their commitment to maintaining the rule of law and transparency. They only agreed to proceed with temple construction under one condition – the process must be legally approved. By adhering to this principle, the committee successfully thwarted the attempts of certain volunteers to misuse society funds and form a trust in their own name on the society’s land.
Conclusion:
This case study illustrates the importance of transparent financial management in community projects. The PS Society Committee’s prompt actions to maintain transparency, halt unauthorized construction, and ensure legal compliance helped prevent fraud and safeguard the society’s assets. Their resolute stance against the misuse of funds and property serves as an example of effective governance and financial accountability within community organizations.
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