The former ‘Vicar of Baghdad’ Canon Andrew White has been suspended as the president of the Foundation for Relief and Reconciliation in the Middle East (FRRME).
In a statement on his Facebook page Canon White said it was because of “some inaccurate statements I made”.
The charity, that he founded, said he was suspended with pay after the Charity Commission launched an inquiry.
“The Foundation is cooperating fully with the appropriate authorities,” FRRME said in a statement.
It added: “It would be inappropriate to comment further on an active investigation other than to say that the Foundation believe at this stage that the alleged incident stemmed from a genuine desire by Canon White to help others.”
Canon White said his comments referred to the charity’s work with girls taken by Islamic State to work as slaves.
“What is clear is that at no time did we pay money to any terrorists,” the clergyman stressed.
He added: “Whilst I cannot work on behalf of the FRRME I continue to lead worship and support individuals that we are helping. Please pray for us at this very difficult time.”
The Charity Commission confirmed it had launched an inquiry but told Premier it cannot comment further because the investigation is live.
FRRME’s accounts for 2014 show it made £3,032,097 and spent £1,879,670. It has seven members of staff.