A MINING charity at the centre of an investigation last night pledged to continue working for former colliery communities.

The Charity Commission is investigating the Durham Mining Convalescent Homes Fund, which was set up to look after sick ex-pitmen, and has been put in the hands of receivers until the inquiry is completed.

Officials have said they are looking at "inappropriate expenditure and misapplication of charitable funds".

In a statement, the trustees said: "We are aware that an unsolicited press statement by the Charity Commission last week has caused some concern in the Durham mining communities about the fund's future."

They added: "We wish to reassure the communities that the fund is healthy and secure.

"We are determined that it will remain the property of the mining communities in whose interest it was founded and for whose welfare it continues to operate."

In the financial year that ended in March 1999, the charity spent £151,514 on administration - including £114,537 on staff costs - but made grants of only £23,918.

A spokesman for the charity said there had been no wrong-doing.

He said the charity was originally set up to fund the convalescence of sick miners, but with the death of the industry it now focused more on giving help and advice.

"They have been providing help, such as representing people at medical tribunals and claims for industrial disease.

"That doesn't show as cash because it isn't cash."

The charity had four paid staff, but this was being reduced to one.

He said Durham NUM general secretary David Hopper, who had been the charity's administrator, had relinquished his paid role. "The staff cost of £114,000 is not excessive," said the spokesman.

He said the trustees were cooperating with the inquiry and were "absolutely determined that the charity remains a charity for the Durham mining communities and not for anybody else.

"We would argue that the charity is operating not only within the spirit of its charter, but to the letter of it."