After Eighteen Years, Paige Patterson Contradicts Himself About Domestic Violence (Updated)

(See “everybody should own at least one” update at the end of the post)
On Saturday April 28, Jonathan Merritt tweeted a link to a blog with an 18 year old audio of former Southern Baptist Convention president Paige Patterson advising women not to divorce abusive husbands.


After a social media explosion, Patterson issued a response on Sunday on the website of the seminary he leads, Southwestern Baptist Theological Seminary. The comments were made in March 2000 at a Southern Baptist Convention conference (co-sponsored by the Council for Biblical Manhood and Womanhood) and had been posted several times over the years on various blogs and websites. Over the years, several writers (including me) have asked Patterson if these views are his current views. Now, 18 years later, he has responded and the outrage is growing.

Black Eyes

Here is what he said in the audio after he is addressed by an unknown questioner (click the link to listen).

It depends on the level of abuse to some degree.  I have never in my ministry counseled that anybody seek a divorce, and I do think that’s always wrong counsel.  There have been, however, an occasion or two when the level of the abuse was serious enough, dangerous enough, immoral enough that I have counseled temporary separation and the seeking of help.  I would urge you to understand that that should happen only in the most serious of cases. I would cite examples of it but the examples that I have had in my ministry are so awful that I will not cite them in public. That’s enough to say however, that there’s a severe physical and/or moral danger that’s involved before you come to that. More often, when you face abuse, it is of a less serious variety but all abuse is serious.
There are two or three things that I say to women who are in those kinds of situations. First of all, I say to them that you must not forget the power of prayer. Just as one of your little children comes to you with a broken heart and crawls up into your arms and looks into your face and with tears running down his cheeks asks you to intervene in a situation. If you have anything in you of a loving parent’s heart at all that’ll bring you to your attention and you’re off and running. And now if you then being evil know how to give good gifts to your children how much more shall your Father in heaven do good if you ask of Him. Do not forget the power of consecrated concentrated prayer.  Get on your face and ask him to intervene and He is a good and a dear heavenly Father at some point He will intervene. I give one brief example of it.
I had a woman who was in a church that I served, and she was being subject to some abuse, and I told her, I said, “All right, what I want you to do is, every evening I want you to get down by your bed just as he goes to sleep, get down by the bed, and when you think he’s just about asleep, you just pray and ask God to intervene, not out loud, quietly,” but I said, “You just pray there.” And I said, “Get ready because he may get a little more violent, you know, when he discovers this.” And sure enough, he did. She came to church one morning with both eyes black. And she was angry at me and at God and the world, for that matter. And she said, “I hope you’re happy.” And I said, “Yes ma’am, I am.” And I said, “I’m sorry about that, but I’m very happy.”
And what she didn’t know when we sat down in church that morning was that her husband had come in and was standing at the back, first time he ever came. And when I gave the invitation that morning, he was the first one down to the front. And his heart was broken, he said, “My wife’s praying for me, and I can’t believe what I did to her.” And he said, “Do you think God can forgive somebody like me?” And he’s a great husband today. And it all came about because she sought God on a regular basis. And remember, when nobody else can help, God can.
And in the meantime, you have to do what you can at home to be submissive in every way that you can and to elevate him. Obviously, if he’s doing that kind of thing he’s got some very deep spiritual problems in his life and you have to pray that God brings into the intersection of his life those people and those events that need to come into his life to arrest him and bring him to his knees.

In his statement on Sunday, Patterson wrote about that woman with the black eyes:

Many years ago in West Texas, a woman approached me about the desire of her husband to prevent her attendance in church. He was neither harsh nor physical with her, but she felt abused. I suggested to her that she kneel by the bed at night and pray for him. Because he might hear her prayer, I warned her that he could become angry over this and seek to retaliate. Subsequently, on a Sunday morning, she arrived at church with some evidence of physical abuse. She was very surprised that this had happened. But I had seen her husband come into the church and sit down at the back. I knew that God had changed this man’s heart. What he had done to his wife had brought conviction to his heart. I was happy—not that she had suffered from his anger, but that God had used her to move her husband to conviction of his sin. I knew that she was going to be happy for him also. That morning, he did make his decision for Christ public before the church, and she was ecstatic. They lived happily together from that time on in commitment to Christ. There was no further abuse. In fact, their love for one another and commitment to their home was evident to all. She herself often shared this testimony. For sharing this illustration, especially in the climate of this culture, I was probably unwise. However, my suggestion was never that women should stay in the midst of abuse, hoping their husbands would eventually come to Christ. Rather, I was making the application that God often uses difficult things that happen to us to produce ultimate good. And I will preach that truth until I die.

Turning from Bad Advice

I once recommended sexual orientation change efforts. I don’t now. I actively denounce them now. I don’t pretend that I always opposed them. I regret my former advice and I have written many lines since about 2006 to turn from that bad advice.
Rev. Patterson in his Sunday statement wrote, “my suggestion was never that women should stay in the midst of abuse, hoping their husbands would eventually come to Christ.” As Jacob Denhollander first pointed out on Twitter, that’s not exactly correct. Denhollander said:

No, Mr. Patterson, that’s not true. That’s exactly what you did.

Patterson even warned the woman that her husband “may get a little more violent” before he sent her back into an abusive situation with the advice to pray for him.
If Patterson truly believes women should leave abusive situations then he should decisively turn from his prior position. It isn’t just poor politics to share such stories in “the climate of this culture.” Even if this one story is true (and I would like to hear from that couple), that doesn’t make the advice generally correct or wise.
Patterson says he agrees with the Council for Biblical Manhood and Womanhood statement on abuse. If that is true, that is a good thing. He would also do well to recognize that his advice in 2000 and that statement now are incompatible.

Additional information: “I think everybody should own at least one.”

In reading more about Rev. Patterson’s views on women in ministry, I came across a quote that I wanted to check out. See below for the quote about “owning at least one woman.”
According to the May 4, 1997 edition of the Atlanta Journal-Constitution, embattled seminary president Paige Patterson answered a question about ordaining women with the following quip:

“I think everybody should own at least one,” Patterson quipped when asked about women.

The article isn’t in digital format (except here) but has been referred to by several bloggers over the years. I looked it up in a newspaper database. Sure enough there it is.
The article was in response to plans by moderate Southern Baptists to start new seminaries in the wake of the conservative take over of convention seminaries. One of the hopes of the moderates was to ordain women. Patterson didn’t agree and expressed himself with what the reporter took to be a joke.

Sponsor: CA Conversion Therapy Bill Won't Ban Books or the Bible

Some conservative pundits are worried that a bill moving to the California State Senate will ban the Bible or at least some Christian books. Upon examination, I don’t see a basis in fact for that claim.
The bill is AB 2943 and would amend state law on unlawful business practices with a prohibition on performing sexual orientation change therapy for a fee. A fact sheet for the bill provided by bill sponsor Assemblyman Evan Low can be viewed at the link below.

Fact Sheet on AB 2943

Liberty Counsel has been spreading the view that the Bible would be banned by the bill and National Review’s David French has made a serious case that the bill would lead to a ban on certain Christian books.  Essentially, they say that the current law prohibits the sale of “goods” which result in harm from being sold. They argue that books which promote changes in behavior away from homosexual behavior even if the goal is celibacy might be considered within the reach of the statute since the statute defines sexual orientation change as including “efforts to change behaviors or gender expressions.”
Since the entire bill is about sexual orientation change, it seems clear to me that the reference to behavior change is due to the practice of some change therapists to get gay clients to engage in heterosexual behaviors even when it doesn’t seem natural as a kind of behavior therapy. This isn’t a reference to celibacy – which by the way doesn’t reflect a change in orientation.
In fact, the next section of the bill says that sexual orientation change efforts as defined by the statute don’t include interventions which:

(A) provide acceptance, support, and understanding of clients or the facilitation of clients’ coping, social support, and identity exploration and development, including sexual orientation-neutral interventions to prevent or address unlawful conduct or unsafe sexual practices; and (B) do not seek to change sexual orientation.

Clients who decide to live a celibate life can count on a counselor’s help as long as those interventions are neutral regarding change of orientation.

Does the Bill Ban Books?

I wrote Assemblyman Evan Low to ask if AB 2943 prohibited the sale of books or videos promoting conversion therapy by therapists. I also asked if the amended law would prohibit the sale of religious books or videos which advocate that gays should change their sexual orientation by religious means. Finally, I asked if AB 2943 prohibited the sale of books or videos promoting celibate behavior for gays as a way to adhere to religious beliefs.
Low’s Communications Director Maya Polon wrote back to answer all three questions negatively. According to the sponsor, the bill doesn’t relate to books or speech. I followed up by asking if any of the unlawful business practices has ever led to the banning of any books or speech. She wrote back to say that she wasn’t aware of any instance where books about any those practices have been banned. I also asked Mr. French via Twitter if he was aware of books banned in CA due to the unlawful practices law but have not heard back from him as yet.
A few days ago Evan Low responded to this issue via Twitter:


I haven’t decided what I think of the bill yet but unless this part of the law has ever been used to try to ban books before, then it doesn’t seem to be a serious reason to oppose it now. There is a lot wrong with conversion therapy but generally I favor more freedom not less. What makes me think this could be a reasonable response to the harm reparative therapy can do is that there is nothing in the bill that stops a person from trying to make personal changes outside of a professional context. Furthermore, I don’t see how the bill prohibits counselors from helping clients who pursue celibacy. However, it does remove the stamp of approval of the mental health professions for change therapy.

Fact and Fiction About Thomas Jefferson in The Daily Signal

Conservative think tank The Heritage Foundation publishes The Daily Signal as a conservative news source which they say is “committed to truth”

Cover of Getting Jefferson Right, used by permission

and “a reflection of that Jeffersonian notion that the greatest defense of liberty is an informed citizenry.” While a worthy goal, I believe they missed the mark recently in an article about Thomas Jefferson and another one of his notions — the separation of church and state.
In an April 12 article by Lathan Watts on why the left is wrong about Jefferson’s “wall of separation” between church and state, we learn Mr. Watts and The Daily Signal is willing to take liberties with the historical record. Let me examine two points from Watts article.

Did Jefferson Include the Bible in DC Schools?

First Watts claims that Thomas Jefferson wrote an educational plan for the District of Columbia schools which used the Bible and a Christian hymnal for instruction.

While president, Jefferson also served as the chairman of the school board for the District of Columbia, where he authored the first plan of education adopted by the city. His plan used the Bible and Isaac Watts’ hymnal as the principle books to teach reading.*

A close examination of the timeline of Jefferson’s involvement in the D.C. schools finds that Jefferson was out of office and had retired to Monticello when the schools began using the Bible and the hymnal. Furthermore, when Jefferson commented about using the Bible with children he specifically advocated against using it as a tool for teaching. In his Notes on the State of Virginia, Jefferson wrote:

The first stage of this education being the schools of the hundreds, wherein the great mass of the people will receive their instruction the principal foundations of future order will be laid here. Instead therefore of putting the Bible and Testament into the hands of the children at an age when their judgments are not sufficiently matured for religious enquiries, their memories may here be stored with the most useful facts from Grecian, Roman, European, and American history.

For a detailed analysis of the D.C. schools issue, click this link.

Did Jefferson Recommend Attendance for Soldiers at Church?

In response to a case involving religion in the military, Watts wrote:

In addition to the bills he signed appropriating funds for chaplains in the military, he also signed the Articles of War on April 10, 1806, in which he “earnestly recommended to all officers and soldiers, diligently to attend divine services.”*

Although Jefferson wasn’t theologically orthodox, he often attended church. There is some truth in these statements but the way they are worded, it makes it seem Jefferson personally recommended church to soldiers.
In 1775, Jefferson and John Adams formed a committee to craft Articles of War to guide Washington’s army. According to Adams, he and Jefferson simply took the British Articles of War and recommended them with few alterations. Years later, when Jefferson was president, Congress revised them again and sent them to Jefferson for his signature in 1806.
It is important to note that the British Articles of War which Adam’s referred to required church attendance. However, the American adaptation did not. Although recommended, soldiers were not required to attend. Also, Jefferson did not craft these tenets out of his personal preferences, he simply acquiesced to existing articles, modified slightly to give soldiers some religious choice. Adams wrote that Jefferson did not rise to speak in support of the articles but left the advocacy to Adams. In his autobiography, Adams said:

In Congress, Jefferson never spoke, and all the labor of the debate on those articles, paragraph by paragraph, was thrown upon me, and such was the opposition and so undigested were the notions of liberty prevalent among the majority of the members most zealously attached to the public cause that to this day I scarcely know how it was possible that these articles could have been carried. They were adopted, however, and have governed our armies with little variation to this day.

Saying God or Disobeying Orders?

In addition to taking liberties with Jefferson, Watts leaves out some important details about the cases presented as indicators of religious persecution. For instance, Watts links to the case of Oscar Rodriguez, Jr. and says he was removed from a military ceremony because he referred to God in a speech. However, that isn’t a complete presentation of the situation.
According to the Air Force Times, Rodriquez disobeyed orders to give any speech at the ceremony.

The Air Force Inspector General said in a September 2016 report that Rodriguez was not removed because his speech mentioned God, but because it was unauthorized.

The IG said that Rodriguez had been told multiple times that he could not deliver his speech because the ceremony was an official on-base retirement, and his speech was not the one spelled out in Air Force regulations. He was told he could attend the ceremony quietly as a guest but not as a participant.

Rodriguez ignored those instructions and stood up to deliver his speech. After delivering his opening lines, he was dragged out by four noncommissioned officers while continuing to shout his speech.

While one may debate the wisdom of these enforcement actions, disobedience to a direct order is a factor which Watts did not include in his presentation. Given that Watts wasn’t accurate about his history, I am not inclined to take his word over the Inspector General of the Air Force.

An Informed Citizenry?

Citizens who read the article will think Jefferson did things he didn’t do. If The Daily Signal is “committed to truth” and really wants an “informed citizenry” then this article should be pulled from their website.
 

 
*Both of these paragraphs are lifted nearly verbatim without attribution from William Federer’s America’s God and Country: Encyclopedia of Quotations. Once upon a time, using quotes without attribution was considered plagiarism. Especially in Christian popular writing, it seems copying work without attribution is now common place.

In 2015, Gospel for Asia Privately Feared Investigation of How Donor Funds Were Spent

This post is the second in a series covering a February hearing in Murphy v. Gospel for Asia. Former donors, Garland and Phyllis Murphy are suing the leaders of Gospel for Asia in federal court claiming that GFA did not use donor funds as donors intended. Recently, the transcript of the hearing became available. If you are a GFA donor or are thinking about being one, you should read it. It is available via this link with commentary in my first post on the topic. This post discloses the concerns GFA leaders had about being investigated even as they were telling the public they were no problems.

One of the bombshell revelations in the February hearing is the disclosure of an email from David Carroll to K.P. Yohannan which suggests that both men may have misled GFA staff members in May 2015. The Murphys’ attorney Mark Stanley read the email into the record. According to Stanley, in May 2015 then GFA COO David Carroll wrote to GFA founder K.P. Yohannan about his concerns over financial reports and truthfulness. From page 64 to page 68 of the transcript, attorney Stanley cited the email with his comments interspersed throughout. David Carroll’s words are in quotes. I have reproduced Stanley’s testimony below.

Click this link to read David Carroll’s email to K.P. Yohannan without attorney comment

MR. STANLEY: What’s really interesting to me also, if I might just take one second and read pretty much one of the key documents in the case. This is an e-mail from Reverend Carroll, David Carroll, to K. P. Yohannan, and I think it’s really important because it really will put it back into perspective what’s going on: “Sir, I need to share with you where I am over this situation.” I’m right here. “I will try to summarize for brevity sake. We have a saying in our country: The numbers don’t lie. The published FC-6 reports” — which they rely on quite a bit in their answers, if you recall — “show westerners that we have either sent money to the field raised for National Ministries and Bridge of Hope to fund the hospital and the corpus fund, or our FC-6 filings are filed wrong. Either way, this is a huge problem. It appears to those reading these that we might have been dishonest to the donors (fraud), or been dishonest to the Indian government, (a PR nightmare at least). Sister Siny’s report below will, in my opinion, do little to satisfy those who are printing out and analyzing our FC-6 reports. I am sorry for not expressing more confidence than this. I think we may have used money raised for National Ministries and Bridge of Hope for the hospital,” [Stanley remarks] which they told us did not happen.

“I think that India feels that we raise money and send it” –[Stanley remarks] by the way, Mr. Mowrey said that in a prior hearing, that none of the money went to the hospital. “I think that India feels that we raised money and sent it to them and they can legally use it any way they deem fit. I hope that I am wrong, but I am doubtful.” [Stanley remarks] This doesn’t sound like someone who has already got accountability, knowing how they spent the money.

“I also don’t think that it is an intentional wrong, but if I am correct, it is a huge wrong. We’ve spoken at hundreds of churches with tears asking for the National Ministries and Bridge of Hope support, and the FC-6 that is public says that we sent much of that money for the hospital and the reserve corpus funds.” Next page.

MR. MOWREY: Could he read the rest of that letter, your Honor?
MR. STANLEY: I am.
MR. MOWREY: Okay. Good.
MR. STANLEY: “It doesn’t matter that we have now moved the money out of the corpus fund” — [Stanley remarks] this is now after the ECFA thing — “because of public FC-6 reports” — I’m sorry. It’s backwards. Sorry. That’s not right, either. That’s right.
“It doesn’t matter that we have now moved the money out of the corpus fund because according to the public FC-6 reports, we have been building them up for years. Moving the money only serves to confirm the feelings of guilt to outsiders.”

Again, they have not been spending the money. They have been building up the corpus funds for years. “I think the only way for us to handle the inquiries raised by Bruce and others is to refer them to our Indian office. Mr. Throckmorton” — that’s the blogger — “(unless a miracle happens) will get this information and may even begin an investigation of us. We can say all we want that we don’t have anything to do with the Believers Church or the field and that you are only the spiritual head of the church and that finances are handled by others but you, but as a practical matter, that will not hold up. Can the field find a way out of this situation? I too am very nervous.”

“I have always believed in total accountability of the field, yet the FC-6 reports provide numbers that, as a former auditor, I cannot just explain away with a simple explanation. I, and the world, will need numerical proof now, and I do not have the ability to get it from the USA end. Only the field can explain it, and I am in the hot seat in this crisis and I feel a lot of pressure.”
[Stanley remarks] I would point out, Judge, this was in 2015, May of 2015, almost three years ago. You pointed out that our discovery was served in August. ECFA asked them for this information in May of 2015. They’ve had three years to compile this information, and they just don’t have it because it doesn’t exist. Nobody ever tracked the designations because they were simply spent out on the — once they were sent to the field, they were done with it. There was no accountability. It goes on to say, “If I say, well, it is not my problem, it’s a field problem, it’s as good as saying we are guilty of misappropriation,” [Stanley remarks] which is true. If I say “The FC-6 reports are filed inaccurately on purpose, due to the hostile environments we work in, it gets the field in trouble and turns the attention to them. I get the feeling that, although we are not financially dishonest, we are financially reckless. The stockpiling of money in the RBC — [Stanley remarks] Royal Bank of India account — “and then the hurried transferring of it to the field, the Hong Kong account, et cetera. Sir, may I please have my name taken off of the RBC account as soon as possible?”

First, let me say that a miracle didn’t happen, if you know what I mean.

David Carroll expressed anxiety about accountability in this email. He acknowledged that either donor funds were diverted from Bridge of Hope and National Ministries to the Believers’ Church Medical Center or the reports were filed incorrectly with the Indian government. There seems to be little doubt that the funds were used for the hospital as I first reported in May 2015. Carroll was fearful that Bruce Morrison and/or I would launch an investigation into the obvious discrepancies. He was right about that. In response to us, he refused to answer any questions and denied any problems.

Furthermore, in a telling admission, Carroll said to Yohannan:

We can say all we want that we don’t have anything to do with the Believers Church or the field and that you are only the spiritual head of the church and that finances are handled by others but you, but as a practical matter, that will not hold up.

GFA leaders told ECFA that they had no control over Believers Church. See yesterday’s post for a run down of what GFA told ECFA about that. In addition, K.P. Yohannan told his Texas staff in May 2015 that he didn’t sit on any boards and had no authority in India. David Carroll was sitting right beside him. This email suggests that he knew it wasn’t accurate when Yohannan said it.

Publicly, GFA said they were operating in accord with the law, ECFA standards, and best practices. However, behind the scenes we now learn that there was worry, pressure, and a more candid assessment of the situation even as the confident and sunny messages were being disseminated to the staff and to the public. I wonder if they knew all along that it was illegal to send cash into India through student backpacks, thus exposing college students to criminal charges.

What should we believe now?

Every Gospel for Asia Donor Should Read This Federal Court Document

On February 16, 2018 a hearing was held in Fayetteville AR before federal Judge Timothy Brooks in the case of former GFA donors Garland and

Admirer kissing the hand of K.P. Yohannan. From his 2017 birthday video.

Phylliss Murphy v. Gospel for Asia, K.P. Yohannan, Gisela Punnose, David Carroll, and Pat Emerick. The Murphy’s complaint accuses GFA and named defendants of conspiring to defraud donors and misrepresent the way donated funds have been spent.

This hearing was convened to resolve an ongoing dispute regarding the discovery of evidence in the case. While the transcript is long (over 90 pages), if you donate to Gospel for Asia or are considering it, you should read it.

The context for the hearing is the claim by former GFA donors Garland and Phylliss Murphy that GFA diverted funds away their intended purpose. At this point in the case, the Murphys and their attorneys have requested documents which would demonstrate a link between donations and expenditures. Over several months, GFA attorneys have promised such evidence but have not provided it. The reason Judge Brooks called the hearing was to resolve the situation.

My goal now is to outline two high points of this hearing in the context of many months of reporting on the GFA scandal.

Groundhog Day

Judge Brooks actually asked the following question in the hearing:

I’ve next got a question for everyone. Will you please raise your hand if you’ve ever seen the movie “Groundhog Day.”

He explained:

I feel like I am Phil Connors who was portrayed by Bill Murray in the movie “Groundhog Day” in dealing with this discovery dispute; and I am of the view, having read the motion and the response, that the defendants, at least in their answers — their answer to these requests for admissions, and in their response to the motion for sanctions, are like all of the people that Phil Connors was dealing with in the movie “Groundhog Day.”
He woke up every day repeating February 2nd, over and over again, but the people that he was interacting with in the plot of this movie didn’t realize that; and I feel like when I read the defendants’ answers and when I read their response that it is as if this Court had not already addressed and ruled on some of these same issues at least twice, if not more and, yet, here we are again.

Judge Brooks had already ruled twice that GFA needed to produced documents in response to questions from the Murphys about where money was spent. They have failed to do so. By this hearing, Judge Brooks summarized the situation:

Plaintiffs now once again seek answers to the same questions that they’ve been asking for months: Was donated money diverted to other causes and do defendants have information or documents that would prove how the money was spent.

This is the crux of the case. If GFA defendants would like to clear their name, they could produce evidence which shows how donations were spent. They haven’t done so. As I pointed out in December of last year, GFA is dragging this out. Anyone who says differently simply isn’t dealing with the case documents.

Donors should ask GFA why a federal judge is exasperated over GFA’s inability to document how donations are spent.

GFA Staff Authorized Transfer of Money from Canada to India to the U.S.

Source TT Architects website

A stunning revelation in this transcript is the disclosure that GFA’s former Chief Operating Officer David Carroll and CEO K.P. Yohannan allegedly had wire authority to move $20 million dollars from India to Texas, presumably for the completion of GFA’s headquarters. Staff were initially told that an anonymous donor gave those funds. Then in May 2015, Carroll told staff that one of GFA’s field partners in India took out a loan for nearly $20 million and sent it to Texas. Carroll and Yohannan told staff that the decision to give the funds was made by the Indian leadership without any influence from Yohannan. According to Yohannan, he had no authority over the decision.

In the February hearing transcript, plaintiffs’ attorney Mark Stanley presented evidence which contradicts this narrative. Here is the relevant portion of Stanley’s testimony.

MR. STANLEY: They [GFA’s attorneys] say that the defendants [GFA] don’t control these third-party entities. I have two documents, if I might — let me find them — showing just the opposite. Here’s one. This document is 2015, April 2015, produced by them from Reverend Dr. K. P. Yohannan, president, asking them to transfer Canadian dollars, or CAD — I don’t know. CAD, those are cash deposits — for Gospel For Asia (India), for further credit to Gospel For Asia (India). These are from — remitting it to the state bank of India in Canada, and I can show you that account number is Gospel For Asia (India). I have the accounts for that. That’s K. P. Yohannan doing that.
David Carroll says he has no control over it. I’ve got David Carroll requesting a document — sorry. There it is. This is David Carroll who says, “I have no control over the field partners,” right? “We have no control; we have nothing to do with them”; yet, David Carroll sends a letter to Sarah Billings from the Royal Bank of Canada asking them to transfer $20 million from Gospel For Asia (India) to GFA’s account in the United States, signed David Carroll, CEO, Gospel For Asia. How could he authorize money coming out of a Gospel For Asia (India) account? We know it’s a Gospel For Asia (India) account because it’s account number — 489 is the last four digits. Here it is. There’s a statement from the Royal Bank of Canada, Gospel For Asia (India), care of Teresa Chupp, in Carrollton — that’s their old address before they moved to Wills Point — for Gospel For Asia (India), and there’s the account number.
So clearly the spin that they have been told that these folks have no control over the field partners is simply not true. They have control over it. They have wire instructions, wire authority. K. P. Yohannan is the metropolitan of that. You read the constitution from prior hearings. It talks about all of his roles in the constitution.

All of these folks, Mr. Carroll, Reverend Carroll, Mr. Emerick, the Reverend Emerick, all the others have sworn total loyalty to K. P. Yohannan. His niece, Siny Punnose also have sworn loyalty to K. P. Yohannan. They have absolute control of that.

According to Stanley, he has documentation that K.P. Yohannan authorized the movement of funds from the Canadian GFA to GFA-India. He also claims documentation of David Carroll authorizing a transfer of $20 million from the India field partner back to the United States organization. If Stanley’s representations are as they seem, this information contradicts what the Evangelical Council for Financial Accountability said they were told by GFA’s leaders and it contradicts what GFA leaders told staff in 2015.

What Did GFA Tell ECFA?

Beginning in May 2015, the ECFA began talking to GFA leaders, some of whom are now defendants in this fraud case, about alleged violations of financial management policies. In contrast to the evidence presented in the February 16, 2018 hearing, GFA told ECFA representatives that GFA leaders in the U.S. had no control over the field partners in India.
From the ECFA letter to GFA:

During our review on June 3, ECFA staff raised questions regarding GFA’s oversight and control of funds sent to foreign field partners. GFA’s staff indicated that the foreign field partners are completely independent organizations and therefore GFA did not exercise any direct control over field partners. GFA staff also indicated that they did not have a foreign grant process in place to oversee the use of funds.

The ECFA letter specifically refers to the near $20-million transfer of cash. From the letter:

GFA’s financial statements do not appropriately report transactions with foreign partners. During our review on June 3, GFA staff indicated that funds transferred to GFA India were actually transferred to a number of related entities instead of the single entity reflected in the 2013 audited financial statements. Additionally, on August 24 we learned that GFA received a $19,778,613 donation from GFA India, which was classified as a related party elsewhere on the 2013 audited financial statements (also see #8 below). On August 27, GFA staff confirmed that this donation was neither disclosed in the footnotes of the 2013 financial statements as a related-party transaction nor to the GFA board of directors. This inconsistency within the financial statements and lack of disclosure to the GFA board of directors about a significant related-party transaction appears to violate ECFA Standards 2, 3, and 6. On July 20, ECFA was informed that GFA engaged a new audit firm and they are in the process of reviewing related-party transactions.

The ECFA report letter then pointed out the impropriety of moving funds from India which had been given originally as donations exclusively for mission work in Asia.

Use of funds restricted for the field for other purposes. On June 3, ECFA discussed GFA’s claim that 100 percent of field funds are sent and used in the field. GFA staff confirmed that this was accurate. On August 24, ECFA was informed that GFA India made a gift to GFA of $19,778,613 in 2013 to complete GFA’s new office. On August 27, GFA’s staff confirmed that the funds relating to this donation were originally received by GFA as gifts restricted for the field and GFA transferred to field partners to fulfill donor restrictions.

Two important issues are raised:

A. Reallocating gifts donated for field purposes and using them to pay for headquarters construction appears to be a violation of ECFA’s Standards 7.2. GFA staff stated in a recorded GFA staff meeting that you approached the field partner and explained that GFA could borrow the funds in the U.S., at less than desirable terms, for the headquarters construction. However, a gift from the field partner, in lieu of GFA borrowing the funds, would allow GFA to complete the new headquarters and thereby save interest. Therefore, GFA would be able to send more money to the field in future years. ECFA believes that the potential savings resulting from the GFA India gift is an inadequate basis to reallocate gifts donated for field purposes.

B. Reallocating gifts donated for field purposes contradicts GFA’s claim that 100 percent of funds are sent to the field. In fact, a significant amount of donations restricted for the field made a circuitous trip back to GFA and were used for the headquarters construction, as though they had never gone to the field. This appears to be a violation of Standard 7.1.
In a GFA staff meeting, GFA indicated the field partner took out a loan to cover the use of the $19,778,613 gift and GFA staff confirmed on August 27 that India-generated income was used to repay the loan. Our review of the board minutes did not indicate the GFA board had approved, or even been notified, of the $19,778,613 reallocation of donor-restricted gifts.

Now we learn from attorney Stanley that the funds may have simply been transferred by GFA leaders in the U.S. from GFA-India’s Royal Bank of Canada account. Was the office complex finished via a gift from GFA-India? Or did GFA defendants simply transfer $20-million of donor money from one account to another? In either case, plaintiffs attorney presented evidence to allege that GFA leaders had sufficient control to authorize the transfer of funds which were not subsequently spent as intended by donors.

Other Misrepresentations Revealed

There are other revelations in this transcript which I will detail in future posts. For now, I will conclude by repeating my advice to donors to read this document as well as the ECFA report. Some of the same issues which led to the removal of GFA from the ECFA membership are still current today and have come to the attention of the presiding federal judge in this case. Although the trial isn’t slated until next year, consumers and donors can use the evidence available to make their own judgments now.

SEE THIS 2019 UPDATE