CRISIS meetings are being held over the future of a community enterprise in Powys after it was struck off by the Financial Conduct Authority.

Ashfield Community Enterprise, which is based in Howey outside of Llandrindod Wells, was deregistered as a community enterprise by the Financial Conduct Authority (FCA) after having failed to provide accounts for over two years.

Once struck off, an organisation cannot be readmitted to the register in the same form.

A new interim board has been established to discuss the next steps that can be taken and a special general meeting has been arranged.

In a statement the FCA said: “The ground for the cancellation is that the society has wilfully violated a provision of Co-operative and Community Benefit Societies Act 2014 after notice by us.

“We have reached this view because the society has failed to submit annual returns and accounts acceptable for filing within the required deadlines for the following: 2019 and 2020.”

Ashfield Community Enterprise was founded in 2011 after receiving £434,743 from the National Lottery’s Village SOS fund.

The funding was used to re-develop a dilapidated tree nursery in Howey and transform it into a community-owned market garden.

The seven-acre site at one time had multiple allotments, one of which was used by a local primary school, five polytunnels, an orchard, greenhouses, training rooms for hire and an office. Three micro-businesses were established on-site.

It also acted as a local food service providing affordable cooked meals to anyone who was “struggling or vulnerable”.

The site gained a lot of support from the local community with more than 200 people becoming shareholders in the enterprise.

Ashfield has since received multiple sets of funding from various sources - including a further five grants from the National Lottery Community Fund that came to £52,396.

The National Lottery Community Fund has confirmed it is investigating the use of funds at Ashfield.

A spokesperson for The National Lottery Community Fund in Wales said: “Having received a complaint about Ashfield Community Enterprise Ltd we are following our usual procedures and investigating the allegations. We will not comment further while that investigation is underway.”

The special meeting is on Tuesday, September 20 at 6pm at the PAVO Offices, 30 Ddole Road, Llandrindod Wells.

A spokesperson for the interim board said: “Ashfield Community Enterprise has about 200 ethical shareholders and clearly the de-regulation issue is of particular interest to them, so our priority is to report back to them first and foremost.”