The Charity Commission, the agency that regulates charity organisations in U.K, has declared a U.K branch of Christ Embassy, owned by Pastor Chris Oyakhilome as broke and insolvent.
In the belated 2015 financial Statement of the church which was published in 2017, the church admitted that its subsidiary, Christ Embassy Limited, valued with a net asset of more than N1 billion (£2 million) entered into liquidation from November 1, 2016.
The commission said a charity is considered as being insolvent, when it is “unable to pay its debts.”
“In practice there are two separate tests for insolvency and failure of either might be an indication of insolvency: The charity cannot pay its debts as they fall due for payment; The value of its liabilities exceeds its assets.
“Charities will be flagged as insolvent on our register when we are made aware of an insolvency situation and we are provided with verification from a qualified, independent insolvency practitioner.” the commission explained.
The church’s financial misery came after Pastor Chris Oyakhilome, lost a fierce power tussle over the church in the UK with his ex-wife, Anita in 2014. It was gathered that though Anita was the head of the UK branch of the church, Pastor Chris Oyakilome presided over the charity’s board of trustee since inception until he was forced to resign in 2014.
However five months after he was kicked out of the church’s board of trustee, Pastor Chris and Anita experienced a marital crisis that led to a divorce.
An inquiry into the possible financial misplacement of the church’s fund between 2008 and 2012 by Government-appointed auditors commissioned by the U.K Government, raised eyebrows over suspicious payments worth N2.14 billion (£4.28 million) made to companies and organisation closely related to the church in 2013.
In 2012 Christ Embassy, UK was in perhaps its best position financially. Its membership was growing in multiples and donations including tithes and offerings were ballooning. New chapters were opened all across the UK. In England, new chapters were opened in Bridgend, Peterborough, Swindon, Stockton and a third chapter in Manchester. Similarly, in Scotland, new chapters were opened in Aberdeen, Edinburgh, Dundee and Glasgow.