Rich Mix: independent arts venue and cinema faces closure over Tower Hamlets Council repayment dispute

 
Threat: Rich Mix in Bethnal Green Road, Shoreditch (Picture: Rich Mix/change.org)
Alexandra Rucki7 April 2015

An independent arts venue and cinema faces closure following a dispute with Tower Hamlets Council over a money repayment.

Rich Mix, in Bethnal Green Road, Shoreditch, hosts more than 650 arts events a year and screens an array of films not usually shown in mainstream cinemas.

But the venue is being taken to court by the local authority over the non-repayment of a £850,000 loan, which could bankrupt the social enterprise.

The council are demanding the cash is paid in a lump sum and have rejected the offer of a long-term repayment plan.

It was paid to the venue in 2003, but nothing was signed to agree how it would be paid back.

A statement from Rich Mix said they have not borrowed money from Tower Hamlets Council since 2009, with the only source of income from public funding coming from Arts Council England.

More than 8,700 have signed a petition calling on the council to stop an impending court case and to offer more support to Rich Mix.

In a statement, a spokesman for Rich Mix said: “We are particularly proud of our role in supporting emerging artists and in the last year we supported over 140 artists and groups with rehearsal and development space to the value of £315,000. Of these artists, over half were from Tower Hamlets and Hackney, and a similar proportion was from black and ethnic minority backgrounds, reflecting our local area.

“The legal action being taken by Tower Hamlets against Rich Mix has the potential to bankrupt the organisation and cause us to close down and stop providing the services and facilities we offer.”

The statement added the closure would cause a “devastating impact” on the local and artistic community.

Jane Earl, chief executive of Rich Mix, said: "We don't think it is a good use of council taxpayers money to continue with the litigation proceedings, particularly when there is an offer to settle."

She added: "We have really mixed audiences of all ages and ethnicities, local kids from the area wworking with international artists."

A Tower Hamlets Council spokesperson said: “The Council considers that it would be inappropriate to comment on either ongoing litigation or associated settlement discussions. Irrespective of the litigation between the parties the Council remains open to constructive discussions with Rich Mix over possible partnership funding.

"During these difficult times for local government funding and taking into account the Council’s statutory obligations, the Council owes it to local residents to pursue outstanding debts from third parties.

"Where substantial public sector funding has already been provided any further request for Council funding must demonstrate that it is appropriate, affordable and delivers added value for the borough proportionate to the sum requested. The Council does not consider Rich Mix to be in any danger of imminent closure nor does the Council seek it.”

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