We are a small charity and I am a Trustee.  I have concerns that in our Governing Document it states clearly that we can use the income from the fund for the purposes of the charity.  Our funds are invested mainly in the stock market.  A few years ago we got a new treasurer who said that we had a lot of capital therefore we should start using it for Grants.  I said that my understand was we were only to use the interest not capital and sent all the Trustees evidence to support my opinion.  At the time the Chairman said they agreed and would only use the interest.  

  In our quarterly report it states our financial position as money invested, donations and expenses, grants.  However on our Financial end of year report it shows Endowment as a figure (which I believe to be the original amount back in the 1970's) then a separate column which states Unrestricted funds which is the balance of our money, which must be the capital growth of our fund and possibly any interest that has not been used although we do tend to spend the interest. I asked about these Unrestriced fund and I am told that we can use this Unrestricted Fund without restriction.  I am concerned as I consider capital growth as capital not interest.  On the end of year Financial Statement there is a statement that reads. "Unrestricted funds comprised of the accumulated surplus of the income and expenditure account:-" 

 I could understand if this was the interest over the years that has not been used but it cannot be that its a very large sum, it has to be the capital growth of our original endowment.  As i told them before my understanding is that the endowment needs to grow in order to protect the fund for the future, thats why interest only should be used.  Im trying to pursue this again but its exhausting or should I just resign.  What should I do?  I am concerned.