The Charity Commission has launched an investigation into Muslim faith-based charity Al-Khair Foundation over its alleged links to Hamas.

The foundation was established to advance religion, promote education, support social welfare, build religious harmony and offer relief to victims of disasters.

The commission, in a statement on Friday, said the investigation followed complaints alleging that the UK-based aid charity funded Hamas, designated as a terrorist organisation by the UK and U.S. governments.

“Last month the Commission received a complaint alleging the charity and its partners had connections to Hamas, a proscribed terrorist organisation. It also alleged the charity had funded the organisation. 

“The regulator immediately started examining the serious concerns raised and gathered more information to inform its assessment. The Commission has now escalated its engagement to a statutory inquiry,” the statement stated.

The commission noted that it was aware that Mohammad Yousef Hasna, an individual employed by an organisation that the charity worked to deliver aid in Gaza, was arrested in the UK and charged by US authorities for conspiring to provide material support to Hamas. 

It added, “The regulator will be considering all relevant information as part of its investigation, which will include verifying his connection to the charity, and wider allegations made about the charity.”

Noting that the charity recorded an income of over £74 million in financial year ending 31 July 2025, the commission said it issued a legal order restricting certain financial transactions by the charity without the commission’s prior consent amid concerns of possible serious risk to charitable funds.

It explained, “The inquiry will examine the extent to which the trustees are complying or have complied with their legal duties in respect of the administration, governance and management of the charity.”

According to the commission, the investigation will seek to establish, the nature and extent of the charity’s links to Mr Hasna and whether trustees have carried out appropriate checks and due diligence on international partners.

It also seeks to know whether trustees have carried out appropriate checks and due diligence on international partners.

The commission stated, “The scope of the inquiry can be extended if additional regulatory issues emerge. As charity regulator, the Commission cannot investigate criminal matters. In line with the regulator’s policy, if evidence of criminal activity is found, this will be referred to the police which has the power to investigate.”