There is an old adage in the world of public relations that, when you find yourself in the middle of a media storm, it is best to get the entire truth out there, regardless of how difficult or damaging that may seem.
Only Watch, the blockbuster bi-annual auction of unique watches that raises money for Duchenne Muscular Dystrophy research, is right at the centre of such a storm.
It is facing increasingly shrill calls to explain where $100 million raised at its auctions since 2005 is being spent, and whether the event’s creator, Luc Pettavino, has been personally profiting from the sales.
There is what appears to be a detailed description of where around half the money has gone, including grants to 50 researchers around the world who are working on treatments for DMD.
But the vast majority of grants so far, €39.6 million between 2013 and 2023, has gone to biotech companies Synthena and its parent company SQY Therapeutics.
There are public accounts for SQY Therapeutics. Download them here.
SQY Therapeutics is 49% owned by Association Monégasque contre les Myopathies (AMM), a charity founded by Mr Pettavino, and who remains its chairman. Its purpose is to oversee the dispersal of the money raised by the Only Watch auctions.
AMM is not currently subject to any scrutiny of its operations, so we do not know, for example, what its running costs are. It is entirely reasonable that there is a cost associated with putting the auction together — a full time job requiring negotiation with at least 76 brands — promoting it around the world, diligence on how grants are dispersed, etc.
But AMM is based in Monaco, where there is no equivalent of the UK’s Charity Commission, to which all charities must submit accounts, and which acts as a watchdog for the work of all charities in this countries.
Without this oversight, we do not know how much of the $100 million (around $50 million so far) has been dispersed, and how much has been taken up by overheads.
This is why questions persist about whether Mr Pettavino is taking a reasonable income or enjoying too much of the high life for a humble man inspired by the suffering and premature death of his son to develop an incredibly successful fundraising project.
Monaco is about to pass a law that will subject charities like AMM to greater scrutiny, so we may find out more about its operations in the coming months.
My advice to Mr Pettavino is that, if there are any grey areas or hard to explain expenses, it is better to go public with them immediately rather than wait for Monaco authorities to shed light on them (which may be a forlorn hope since the Principalities’ Prince Albert is a patron for the charity).
He should also be transparent about how the $50 million that has not yet been assigned to DMD causes is being managed, and why it has not yet been donated.
Simply stating, as Mr Pettavino did earlier this week, that the vast sum of money is being “rigorously managed” ahead of future dispersals, is not good enough if the organisation wants to maintain support of both the brands that make the one-of-one watches and the people who try to buy them.
I have been a supporter of Mr Pettavino, and remain so for the incredible fundraising he has managed for a just and important cause.
But $100 million is too much money to be raised and distributed without rigorous, to use Mr Pettavino’s adjective, oversight.
We need audited accounts for Association Monégasque contre les Myopathies so that no doubts remain about where the $100 million has gone and the outstanding fundraising work of Only Watch can continue for many years to come.
