The Shane Warne Foundation has shut down, citing “unwarranted speculation” about its distribution of funds, an official statement said.

Consumer Affairs Victoria (CAV) began monitoring the foundation last year after it failed to lodge an annual statement.

It is believed the foundation, which raises money for sick and underprivileged children, allocates the majority of its funds to administration costs.

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In the statement, it was promised that all accounts would be audited by March 18, when a final cheque would be presented.

“At that time, we hope to have distributed over $4 million”, it read.

Warne had previously hit out at CAV’s demands for an independent audit, describing it as “a disgrace and absurd”.

“We have nothing to hide, but you pay for it, as the foundation would rather spend the $10,000 on children in need rather than on an audit,” he wrote on Facebook.

The foundation was officially launched in 2004 with the aim to “enrich the lives of seriously ill and underprivileged children”.

The statement thanked everyone involved with the charity, including James Packer and Karl Stefanovic, and said their work would continue in other ways.

“All of us will continue to make a difference to children in need,” the statement read.