A disability charity’s work is at risk of being brought to a halt because of an internal dispute, a regulator has warned.

The Charity Commission has launched an investigation into “serious concerns” about the management of Adapt (North East) following allegations of “significant” payments being made without full approval of trustees.

Adapt’s chief executive Hannah Harniess, who joined a year ago, said she raised concerns about financial arrangements.

Based in Hexham, Adapt provides community transport, wheelchair hire and other help for people with sensory, physical and learning disabilities in Northumberland, Tyneside, Sunderland and Durham.

Commission bosses said they began assessing financial and governance concerns in July this year and later opened a regulatory compliance case to examine possible misconduct or mismanagement.

The inquiry will examine the extent to which Adapt’s trustees, past and present, have complied and are able to comply with their legal duties.

This included whether there had been any “unauthorised personal benefit and potential conflicts of interest” and whether the charity has appropriate financial controls in place.