The charity has objects for the relief of poverty and financial need, in particular for those affected by natural or other disasters, and was set up in early 2015.

The commission conducted a compliance visit at the charity in July 2015, when it identified serious regulatory concerns which included poor financial management, lack of records to evidence the end use of charitable funds and poor governance.

The charity’s trustees were issued with an action plan, which was being monitored, and the commission was due to make a follow-up visit in December.

However, in July 2016, the police revealed that a trustee of the charity had been stopped when leaving the UK. More than £3,500 of charitable funds were seized from the trustee under the Proceeds of Crime Act 2002 as officers were not satisfied that the funds in his possession were from a legitimate source or intended for a legitimate purposes.

A hearing at Bedfordshire Magistrates Court on 12 July 2016 granted a seizure of this sum for a period of six months. These funds are currently being detained by the police pending further investigation and are at risk of loss to the charity in the event that a successful application is made for forfeiture.

In response to the cash seizure, the commission obtained the charity’s bank statements and identified a high number of cash withdrawals. The regulator says it has serious concerns about these withdrawals and whether the funds withdrawn can be accounted for.

The commission has made an order to restrict transactions and payments made by the charity’s trustees. The order prohibits certain cash collections and the withdrawal of charitable funds in cash from the charity’s bank accounts without its prior written authorisation.

The inquiry will look at administration, governance and management of the charity by the trustees, and assess its financial controls and whether funds have been properly expended solely for exclusively charitable purposes and can be accounted for. A report will be published in due course.