A formal inquiry has been opened into Catz Club, whose working name is Schoolfriend etc, which runs hundreds of breakfast, out-of-school and holiday clubs in England, after new evidence came to light regarding a payment of £15,000 made to the Labour Party in 2007, in connection with an event the charity attended.
The charity told the Commission that the Labour Party had characterised £5,000 of this payment as a donation.
Donations to political parties are not permitted under charity law.
The Commission said the discovery of the donation had led to the opening of a statutory inquiry.
This is the second time an illegal donation by Schoolfriend etc to the Labour Party has been discovered by the Commission.
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