http://forums.delphiforums.com/n/main.asp?webtag=sammyboymod&nav=messages&msg=76543&prettyurl=%2Fsammyboymod%2Fmessages%2F%3Fmsg%3D76543Minister backs NKF's 'sound record' in using funds
The Straits Times, 20 April 2004
By Wong Sher Maine
THE National Kidney Foundation (NKF) spends more than 80 per cent of its funds on its beneficiaries, which is within the guidelines set for charities, said Minister Lim Hng Kiang (Prime Minister's Office).
Mr Lim, in giving his support to the NKF yesterday, noted that it spent 56 per cent of its money on beneficiaries and put 26 per cent aside into its reserves.
This 'puts the NKF on quite a sound record', said Mr Lim, who is also the Second Finance Minister.
NKF's reserves of $189 million, enough to fund its programmes for two to three years, had sparked controversy recently as many people asked the charity body to explain how it spends the millions it raises.
Some people also urged NKF to hold back its fund-raising efforts in order not to crowd out the smaller charities.
But Mr Lim pointed out that it had to raise tens of millions of dollars a year because it was 'very, very expensive' to treat a kidney patient with dialysis.
The procedure of cleaning the impurities from the blood of a patient with failing kidneys costs $25,000 to $30,000 a year, which works out to around $60 million annually for its more than 2,500 patients.
Also, when the NKF takes on a patient, it is committed to him for life, he said as he applauded its medical record, adding that it is 'better than world standards, so patients... live much longer'.
This commitment also means it made sense to put some of its money in reserves, Mr Lim said in reply to a call by Nominated MP Braema Mathi for more accountability and transparency in how charities spend money.
However, he sympathised with its 'dilemma' in whether to disclose the salary of its chief executive.
'If they don't, then I think there will be critics who say they are not transparent. If they disclose, I think there will also be critics who will say that whatever they pay will be too high.
'So, I think they are caught between a rock and a hard place.'
Mr Lim also defended the 30 per cent cap on expenses used for fund-raising, saying it helped the smaller charities.
They run up higher overheads in fund-raising and would be hit if the cap was lowered, he said.
On the controversial issue of sharing its database of donors with its partners, Mr Lim saw 'nothing objectionable' as NKF had declared that the data would be given only if the donor agreed.
On aquariums and plasma TV sets at its dialysis centres, he said they helped keep patients occupied during their treatment and added: 'We do have aquariums and TV sets also in our blood donation centres.'
Mr Lim does not see fund-raising as 'a zero sum game', maintaining that there is room for big and small charities.
Singaporeans have big hearts, and 'if you convince them of the worthiness of your causes, Singaporeans will open up their wallets'. He also urged the smaller charities to pool their efforts in fund-raising to 'get a bigger share of the pie'.