CALL FOR A SPECIAL MEETING OF THE INSTITUTION OF MECHANICAL ENGINEERS
Updated: Apr 16, 2018
We, the undersigned, being Corporate Members of the Institution of Mechanical Engineers, call for a Special Meeting of the Institution to be held without delay under the rules of By-Laws 40 and 41.
The significant losses incurred by the Institution in 2016 and further substantial losses expected in 2017 are unprecedented in the 170 year history of our Institution. These losses have seriously damaged the Institution's financial position and cased a large reduction in the unrestricted reserves. The restrained finances and the reduced staffing levels are impacting the ability of the Institution to carry out its core functions, particularly through the operations of the Divisions, Groups and Regions.
The losses associated with the acquisition and subsequent closure (liquidation) of the recently acquired training company, Amber Train, and the resulting damage to the reputation of the Institution raise serious questions about the competence of those responsible for pursuing and managing a policy of acquisition of trading companies.
The annual financial reports make it difficult for members to gain a clear understanding of the true financial situation of the Institution, including its trading subsidiaries. The audited accounts foe the 2016 financial year were not available for presentation at the Institution's AGM in May 2017 and were finally presented to a further General Meeting in November 2017, but only after the auditors had issued a qualification - a most serious matter for any organisation and particularly a charity.
We are increasingly concerned about the sustainability and functioning of our Institution.
The object of the meeting is formally to raise concerns about the current governance and consequent serious financial and repetitional risks.