Humanitarian architecture charity Article 25 has launched an urgent rescue campaign following
unapproved transfers totalling more than £200,000 were made from the organisation’s bank.
The charity’s managing director was informed of irregular account activity by its bank on 29 June.
Article 25’s trustees went on to uncover what they said was a ‘systematic falsification of financial statements’.
Tower Hamlets police have confirmed that it is investigating an allegation of theft by an employee at the charity.
The charity fears it could enter liquidation if it cannot find funds to cover the missing cash and has launched an urgent appeal in what its chairman, Sunand Prasad, called ‘a fight for survival’.
The charity has appointed an insolvency expert and launched a rescue campaign with the aim of raising £130,000.
Prasad, said: ‘Article 25 is a charity that belongs to us all and we now need to fight for its survival.
‘Countless practices and individual in the UK have helped in some way over the past 10 years to make Article 25 the leading organisation of its type anywhere in the world. What has happened is a particularly bitter blow, as Article 25 is currently poised to work on some of the most important projects in its history.
‘The current circumstance will be of concern to every person who has helped us raise money, to our staff and volunteers who give their all in their shared endeavour to improve lives and to the thousands of people whose potential access to basic accommodation for health or education is now in jeopardy.’
The charity commission has been notified.