The Charity Commission has opened a statutory inquity into a charity amid ongoing concerns regarding trustees' management and administration.

The investigation will look at Zlotchiv, a charity which provides funding, education and relief towards the advancement of Jewish faith, after the regulator found its trustees failed to 'meaningfully engage and cooperate with the Commission about regulatory concerns'.

Zlotchiv showcased irregularities in its financial management, including a series of bounced cheques from its bank account alongside payments, which appear to be related to party payments, that were not disclosed by the charity in its annual returns.

In a statement, the regulator stressed trustees are expected to 'act in the best interests of the charity and property manage any conflicts of interest between the charity and other parties'.

They must also "provide accurate information annually to the Commission, which in this case includes a trustees' annual report, accounts and external scrutiny report", the regulator added.

The inquiry aims to examine if the trustees are complying with their legal duties in respect of the administration, governance and management of the charity.

It will look at the charity’s financial management, including the charity’s viability; the extent of any related party transactions and unauthorised trustee personal benefit; the trustees’ compliance with the charity’s governing document and the extent to which any failings or weaknesses identified are a result of misconduct and/or mismanagement by the trustees.

The regulator said the scope of the inquiry may be extended if additional regulatory issues emerge during the Commission’s investigation.

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