A charity established to promote religion, enhance education, support social welfare, foster religious harmony, and provide relief to disaster victims is currently under scrutiny for alleged connections to Hamas, a designated terrorist organisation. This charity operates both within the UK and on an international scale.
Last month, the Commission received a complaint asserting that the charity and its affiliates have ties to Hamas and have allegedly provided funding to the group. In response to these serious allegations, the regulator promptly initiated a review and began gathering pertinent information to aid its investigation. The situation has now escalated to a statutory inquiry.
Investigations Underway Following Arrest
The Commission is aware of an individual named Mohammad Yousef Hasna, who is employed by an organisation collaborating with the Al-Khair Foundation in delivering aid to Gaza. Hasna has been arrested in the UK and charged by US authorities for allegedly conspiring to provide material support to Hamas. The regulator is currently considering all relevant information in its investigation, which includes assessing Hasna’s association with the charity and examining the broader allegations surrounding it.
For the financial year ending 31 July 2025, the charity reported an income exceeding £74 million. Given the potential serious risks to charitable funds, the Commission has issued a legal order that restricts specific financial transactions by the charity, requiring prior consent from the Commission.
Focus of the Statutory Inquiry
The inquiry aims to scrutinise the extent to which the charity’s trustees have fulfilled their legal obligations concerning the charity’s administration, governance, and management. It will investigate several key areas:
- The nature and extent of the charity’s connections to Mr Hasna.
- Whether trustees have conducted appropriate checks and due diligence on their international partners.
- Whether trustees are adequately monitoring the end use of funds globally and have implemented appropriate policies and procedures to safeguard these funds from misuse.
- Whether any identified failings or weaknesses in the charity’s administration stem from misconduct or mismanagement by the trustees.
The inquiry’s scope may be expanded should any additional regulatory issues arise during the investigation.
Legal Boundaries of the Inquiry
As the charity regulator, the Commission is not authorised to investigate criminal matters. If evidence of criminal activity is discovered during the inquiry, it will be referred to the police, who possess the authority to conduct a criminal investigation.
Upon concluding the inquiry, the Commission intends to publish a report outlining the issues examined, the actions taken, and the outcomes of the inquiry.
About the Charity Commission
The Charity Commission serves as the independent, non-ministerial government department responsible for the registration and regulation of charities in England and Wales. Its mission is to be a fair, balanced, and independent regulator, ensuring that charities can thrive. This objective aims to foster an environment where charities can enhance public trust and effectively contribute to societal well-being.
On 5 August 2026, the Charity Commission initiated a statutory inquiry into the charity under section 46 of the Charities Act 2011, prompted by regulatory concerns regarding significant risks to charitable property and public trust in the sector. On the same day, a s76(3)(f) order was issued, limiting the charity’s transactions with Mr Hasna, his organisation, or any activities in Gaza without prior permission from the Commission.
This statutory inquiry grants the Commission the legal authority to investigate regulatory concerns within the charity formally and to implement protective measures for the benefit of the charity, its beneficiaries, assets, and reputation. Reports from previous inquiries are accessible on the official government website.
The Commission also provides a variety of guidance for trustees, including a compliance toolkit designed to assist charities in navigating regulatory challenges. This toolkit contains vital information on encountering proscribed entities in their operations and safely managing financial transactions internationally. Furthermore, the Commission offers guidance on the responsibilities of trustees to protect the charity’s funds and assets and avoid activities that could jeopardise their integrity.
Additional resources are available for charities on the procedures that follow the opening of an inquiry by the Commission.
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