WORKERS were last night assured that they would receive overdue wages from a cancer charity, despite it being plunged into financial chaos.

The Charity Commission has taken control of Breast Cancer Relief, freezing more than £1m in its bank account after allegations of serious mismanagement.

The Manchester group operated by appointing tele-sales staff, including many in the North-East and North Yorkshire, to work from home selling raffle tickets to raise cash. But they have been left out of pocket after a Charity Commission inquiry led to a receiver and manager temporarily taking over the cancer charity.

The appointment was made because investigators decided that the charity's trustees did not have the skills or experience to run a multi-million pound operation.

One employee, from Darlington, who did not wish to be named, had worked part-time for about two years, but stopped receiving payment recently.

"I am owed about £250 but have not heard anything about when it will be paid," he said.

About 600 agents are thought to be employed by the charity, but the commission's report says there was evidence that less than ten per cent of income received was spent on charitable work.

David Rich, head of investigations at the commission, said it was hoped that Breast Cancer Relief could get back on track as soon as possible.

"This charity grew from humble beginnings to a multi-million pound operation relatively quickly," he said.

"The trustees should have played a more active role in the administration of the charity and recognised it needed to be run like a business of the same size. This charity is not alone - from our experience, rapid expansion can be a source of problems."

The receiver and manager's immediate priorities will be to assess the charity's work to date and its current business dealings, but the commission insisted that finances were secure.