The broadcasting watchdog Ofcom has launched an investigation into a London-based Asian radio station after it held on for more than five years to funds raised for those affected by the 2004 tsunami and the 2005 Pakistan earthquake.
The commission last month published the findings of its investigation into two appeals run by the radio station, during which it asked listeners to make donations in response to the two disasters.
The commission’s report said the bank account set up by the radio station in January 2005 to hold the donations contained more than £181,000, which included interest that had accrued since 2005.
The Ofcom spokesman said: "If a broadcaster has a competition or charity appeal and if they are misleading the audience, it’s something we could look into. We are looking at whether the station’s audience was materially misled."
Avtar Lit, chairman and chief executive of Sunrise Radio, told Third Sector he disagreed with the Charity Commission’s report and that there was nothing for Ofcom to investigate.
He said the money was retained for so long because Sunrise Radio was a "cautious company".
"Our job is to ensure it goes to the project it’s supposed to," he said. "There needs to be a paper trail of what happens with the money."