Peter McVerry Trust internal documents reveal breaches in agreements over use of donations

The charity – currently under investigation by the Charities Regulator – whose “failures” to address public concerns in the sector are to be the subject of a report to air tonight.

It will focus on a “betrayal of trust” which occurred within the Peter McVerry Trust, when up to €40m in restricted donations, designated for specific purposes, were diverted for other purposes, including to cover debts or other spending by the charity over a six-year period.

Internal documents seen by RTÉ show that a significant portion of a €4.73m donation from the Capuchin Day Centre for Homeless People – which was made in September 2022 – was diverted for other purposes.

The donation had come with strict conditions that were outlined in a lengthy, 25-page legal agreement between both organisations, with €1.6m earmarked to buy a large property in north Dublin for housing unaccompanied minors fleeing the war in Ukraine.

Just two weeks later, the then CEO of the Peter McVerry Trust emailed the then head of finance instructing that €1.6m be transferred from the Capuchin Restricted Capital Account to the Capital Development Account..

Over €1.3m of the Capuchin donation was immediately used to pay running costs and charity debts, including over €700,000 owed to the Revenue Commissioners and €500,000 to two other creditors.

A further €1.2m donated to purchase three properties for homeless families was also not used as intended. Neither was a donation of €1.5m for a facility to support homeless people with chronic health issues.

Some €350,000 was transferred to NDP Counselling and Psychotherapy, a non-profit organisation with no commercial or service link to the Peter McVerry Trust.

Prime Time found that just 9pc of the Capuchin donation was used as specified, with the legal agreement allowing the Capuchins to demand repayment if the donation is not used as agreed.

In a statement, RTÉ said The Peter McVerry Trust declined to comment on questions from Prime Time but stated it continues to cooperate with regulatory investigations and remains committed to supporting approximately 3,000 individuals, families, and children weekly.

The “repeated crises” at the former Kerry-based Animal Heaven Animal Rescue and the defunct Cat Haven charity will also be addressed during the report from 9.35pm tonight on RTÉ One.