The London-based charity’s objects include to relieve poverty, distress and suffering amongst children and young persons throughout the world, with a focus on Haiti. It reported annual income of £1.3m in the financial year ending 31 March 2012, falling to £489,121 in 2016.

The Commission will examine whether the trustees responsibly managed the charity’s resources and financial affairs, particularly with regard to the charity’s significant debts, fundraising costs and the proportion of fundraising income applied directly for charitable purposes.

It will also consider whether they acted with reasonable care and skill in respect of its fundraising agreement with a US based direct mailing agency and associated risks to the charity’s property, and whether they adequately managed risks to the charity and protected the charity’s reputation, especially with regards to the conduct and transparency of fundraising activities.

The Commission says it has a history of regulatory engagement with the charity regarding concerns over high fundraising costs and a significant debt owed to the direct mailing agency. It has already undertaken proactive monitoring of the charity amid further concerns about its fragile financial position and the trustees’ apparent failure and inability to address ongoing issues within the charity.

However, the trustees have failed to provide reassurance to the Commission with respect to an action plan issued to the charity in January 2016, which was designed to address these concerns.

Following its inquiry, the Commission will publish a report on its findings and the outcomes.