The Jerusalem Post has written articles on an Israeli soup kitchen that received a large amount of funds from Canada and other countries around the world.  The Canadian charity was concerned that their agent in Israel was not providing adequate information on the operations and the Canadian charity investigated the matter and subsequently stopped funding the Israeli charity.  This story even has a little intrigue as ex-Mossad agents were apparently hired to do some of the investigating.  I checked the CRA Guidance on foreign activities (http://www.cra-arc.gc.ca/chrts-gvng/chrts/plcy/cgd/tsd-cnd-eng.html) and there does not appear to be any requirement to use ex-Mossad agents – although I guess I cannot hurt!  This story is also a little unusual in that the Canadian charity is discovering a problem abroad AND they are telling the public about it.  Usually these matters are hidden under the carpet.  The Israeli charity denies any wrongdoing.

Registrar looking into soup kitchen complaints (January 27, 2012)
http://www.jpost.com/NationalNews/Article.aspx?id=255367

J’em soup kitchen charity rejects claims it misled donors (January 13, 2012)
http://www.jpost.com/NationalNews/Article.aspx?id=253468