The 64 children aged three to seventeen, including eight who are physically disabled, will have to be put fully under the care of their own families or government agencies.

“I can’t shoulder the debt burden any more,” said 73-year-old Nuannoi Timkul, who founded Ban Kru Noi in 1980 and has operated the shelter since.

She said she had even mortgaged her own house to get money to keep the Ban Kru Noi operation afloat and it was further propped up by occasional charitable donations.

Nuannoi, however, accepted some of the blame for the financial problems, saying she has failed to follow experts’ advice about a clear accounting system.

In 2010, when Ban Kru Noi reported debts of more than Bt10million, donations flowed in fast, enabling the shelter to stay operational for many more years.

But last July, it was reported that Ban Kru Noi had plunged into debt again. Pol General Pongsapat Pongcharoen, then a deputy national police chief, came to the rescue, raising funds to clear the debts of over Bt1million.

Nuannoi said Ban Kru Noi had received few donations recently, partly because of the overall economic slowdown and also due to the shrinking public faith in her.

She said she was aware several people had attacked her through suspicions that she might have spent public donations on other purposes.

“But all those rumours about me buying a new car or new land plots for my own children are groundless,” she said.

She explained that Ban Kru Noi paid Bt3,600 a day to children under its care so that they had money to go to school. Eight officials were hired at the rate of Bt300 a day.

The minimum expense in running the home is Bt180,000 a month but the highest donation in a month has not exceeded Bt120,000 in recent months.

“I had thought hard about it for two months already. I had also tried to ask for help from many people. But donations arrive in such small amounts that I realised it was time to call it quits,” Nuannoi said.

Although Nuannoi said she had no plans to reopen the shelter, Pongsapat went to the Ban Kru Noi yesterday and promised to help find donations to clear its outstanding debts. “I will also talk to her creditors,” he said.

Social Development and Human Security Minister Pol General Adul Saengsingkaew said the children at Ban Kru Noi came from 35 families.

“These families will take back their children,” he said. “But if any family can’t do so, we will put their children under the care of relevant government agencies.”