The regulator which oversees Approved Housing Bodies has criticised the Peter McVerry Trust for "significant breaches of regulatory standards" in an inspector's report.
The Approved Housing Bodies Regulatory Authority found there were "inadequate controls and procedures" in place in the Peter McVerry Trust.
AHBRA CEO Fergal O'Leary said: "This report highlights serious failings in governance, financial management, and conflict of interest handling within the Peter McVerry Trust."
He said the findings "underline the urgent need for robust reforms" within the Peter McVerry Trust.
He said the trust "acknowledged the seriousness of the findings and has committed to undertaking a comprehensive programme of corrective actions to address the deficiencies".
The report follows a series of concerns about the financial management of the Peter McVerry Trust.
The regulator's inspectors found there was no adequate register of assets maintained by the organisation.
The report found "no one" within the organisation acknowledged responsibility for maintaining a register.
It said the recording of land in the register was "not accurate" and "could not be relied upon to provide a fully comprehensive record of the fixed assets".
It added the board of the Peter McVerry Trust "did not have appropriate oversight" of procurement and expenditure.
It said financial controls which were supposed to be in place for spending of over €50,000 had not been implemented.
It said the board was not provided with adequate details in respect of expenditure incurred by the Peter McVerry Trust.
It found there was potential conflicts in respect of some suppliers but these conflicts "were not declared by those potentially conflicted" to the board of the organisation.
It also found the use of the sinking fund was not appropriate and restrictions imposed by the board were "not adhered to".
The AHBRA will appoint an independent expert which will oversee reforms in the Peter McVerry Trust over the next six to nine months.
The regulator said it was not proposing to use enforcement powers at this stage but this would be "kept under review."
Speaking on RTÉ's News at One, ABHRA CEO Fergal O'Leary said the Trust needs to make sure it shows over the next couple of months that "all of its infrastructure, in terms of its control environment, all of the things it does to manage the organisation are correct for a body of that size".
"It's up to the board to prove that to everybody," he said.
Mr O'Leary said that the ABHRA wants to make the Trust compliant with AHBRA standards and will work with the Trust to put appoint an independent expert to monitor the work required to become compliant.
He added that it was important that government trust and regulatory trust are restored.
Operations 'very different today', says McVerry Trust
Responding to the findings, the board of the Peter McVerry Trust acknowledged its overall responsibility and expressed deep regret at what transpired.
It said it was of "particular regret" that matters were kept from the board "by persons who should have acted otherwise", and it said operations of the trust "are very different today" as a result of "intensive work" since mid-2023.
Outlining actions taken, it said that financial oversight had been improved substantially.
It added that operations and process improvements have been implemented including the appointment of a new CEO, Head of Finance, Director of Assets and Facilities, Director of Corporate Services and procurement manager.
It also pointed out that the trust would continue to work closely with AHBRA, and the Charities Regulator, to ensure that it meets their expectations.
It concluded that it continues to carry out critical work in communities throughout Ireland and thanked the team for their "enduring efforts, despite the recent challenges", to meet the needs of those most vulnerable in Ireland, providing adults and children experiencing homelessness with accommodation and other supports.
"The trust is committed to continuing this vital work on a sound footing now and into the future," it said.