Photo: Paul Baik

CKLN’s foundation crumbles on paperwork

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By Sheila Nykwist

Revenue Canada, tipped off by years of unfiled reports, took away CKLN’s Radio Foundation status last month.

In an attempt to become a registered charity, CKLN set up the foundation back in the early 1990s.

“It was an account for the purpose of creating an entity at CKLN that would be able to purchase charitable tax receipts,” says Conrad Collaco, station manager.

However, deterred by the lengthy and complicated process of achieving tax status, CKLN arranged to issue tax receipts through Tractors For Our Daily Bread, a local charity.

“This is not unique,” says Gordon Cressy, v.p. university advancement. He explains that while awaiting charitable status, organizations often make agreements with registered charities to issue receipts on their behalf.

CKLN approached Bruce Hurley, Ryerson’s campaign director, two years ago and made an agreement that allowed the station to use Ryerson’s registration number for this purpose.

Before the year was out though, circumstances changed. When Ryerson became aware of Revenue Canada’s strict regulations on illegally loaned registration numbers, their goodwill came to an end.

“We always knew that this (process) is not actually correct,” says Cressy.

Mike Samuel of Revenue Canada says registration numbers should never be loaned under any circumstances.

“They could end up being revoked and (Ryerson could) lose their charitable status,” says Samuel.

Ryerson advised CKLN that by 2001 they would have to find other means of issuing receipts.

“We don’t want to put Ryerson at risk,” says Cressy. “We cannot do it in the future because the government will not allow it.”

CKLN has an agreement for next year with another sponsor, and are not worried about tighter controls of charitable organizations.

The station gave up their own fight for charitable status years ago after talking to other organizations with similar arrangements.

“We haven’t been given an indication that there’s a problem,” says Collaco.

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