Community360 has told of how it will be the charity which “financially profits” from loaning its boss Tracy Rudling more than £200,000 – not her.
Mrs Rudling, who is the chief executive of the Colchester-based charity, has been under scrutiny since accounts revealed the organisation loaned her £206,341 in the financial year ending 2023.
Community360 bosses say the money has gone towards building long-term storage facilities for the charity - on Mrs Rudling’s land in Tiptree.
The Gazette understands that money has now been fully spent and is being paid back to the charity by Mrs Rudling in monthly instalments.
It is unknown, however, how long it will take for the loan to be fully repaid.
Now, a spokesman on behalf of Mrs Rudling and Community 360 has said it is the charity which will be the ultimate beneficiary of the loan – and not Mrs Rudling.
When approached by the Gazette about whether the storage facilities had increased the value of Mrs Rudling’s land, Community360’s spokesman also said the land has not been valued since the building work took place.
They added the loan is being paid back to the charity “at an above market standard”. But no more details were given.
A spokesman said: “The land has not been valued since undertaking the works to expand the storage space.
“However, Mrs Rudling was determined the charity should not pay for works that would alter her land, and therefore accepted the loan which is being repaid at an above market standard interest rate to ensure the charity financially profits from the agreement.”
The charity has also defended its use of Mrs Rudling’s husband’s building firm, Godden and Rudling Building Services, to build the storage facilities, saying the contract was awarded after the contract went out to tender.
The spokesman added: “All works require us to request a minimum of three competitive quotes before contracts are granted to ensure we are achieving best value for money, and in many circumstances building work is put out to tender through an independent architect.
“Godden and Rudling Building Services was contracted following a competitive quotation process that was approved by our insurers.”
It is understood that Community 360 is leasing the facilities from the Rudlings under a long-term lease which will run until 2028.”
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