The Christina Noble Foundation confirmed last night that a Garda investigation was under way into the possible misappropriation of funds at the charity's Dublin office.
According to the charity, an estimated €60,000 was misappropriated over a three-year period. The charity works with impoverished children in Vietnam and Mongolia.
In a statement last night, Ms Noble said she was "devastated" by the development and felt pain for everyone who had contributed to the charity.
"I am so very sorry that the public have been let down," she said. "All I can say at this point is that we will ensure that everything possible is being done so that nothing like this can ever happen again.
"The misappropriation of funds that occurred is a travesty for the many impoverished children in Vietnam and Mongolia, for whom these funds were generated, as well as for those who have given so generously of their time and resources to raise money.
"The board and I have co-operated fully with the relevant authorities to ensure that those involved will be brought to justice. On behalf of the board and myself, I wish to convey my sincere regret that this deceitful, premeditated and carefully concealed fraud occurred in our Dublin office."
Ms Noble issued the statement after an RTÉ news report.
She said a number of actions had been taken since by the charity to ensure that this could not happen again.
Last October a reconstituted board held a "root-and-branch" review of the charity's audit and control procedures and a series of financial control measures had been implemented. In addition, financial accounts for 2002 and 2003 which were in arrears were filed in the Companies Office, she said.
Ms Noble set up the charity after she had experienced an impoverished and abusive upbringing in the slums of Dublin and in an orphanage.
