Two fraud arrests in dog charity finance probe

Two women have been arrested for suspected fraud offences as part of an investigation into the finances of a dog rescue and rehoming charity, police have said.

The Charity Commission said on Monday it had launched a statutory inquiry into Animal Lifeline, based in Stoke-on-Trent, over the "potential misuse of charitable funds".

Staffordshire Police confirmed a 44-year-old woman from Stone was arrested in February for fraud offences and money laundering following a report of alleged business fraud.

A 68-year-old woman, from Stoke-on-Trent, was also arrested last month on suspicion of fraud by abuse of position. Both have been released on conditional bail.

Animal Lifeline said it was cooperating fully with the inquiry but "strongly refute any suggestion that it had actively engaged in wrongdoing or misused charitable funds".

The charity added that it was also fully supporting Staffordshire Police, but that it was individuals under investigation, not the charity itself.

The Commission said its inquiry would particularly focus on "the financial management of the charity, including the extent of any loss, misapplication or misappropriation of the charity's funds".

In a statement, Staffordshire Police said a 44-year-old woman was arrested on 14 February on suspicion of fraud by abuse of position, fraud by false representation and money laundering.

The second woman was arrested a day later for one offence.

"Officers are working closely with the Charity Commission as part of the investigation, which remains at an early stage," a spokesperson said.

Animal Lifeline said it took its responsibilities as a registered charity extremely seriously and measures were in place to ensure it continued to operate smoothly during the inquiry.

Follow BBC Stoke & Staffordshire on BBC Sounds, Facebook, X and Instagram.