Former cricketer Shane Warne has hit back at critics of his charitable foundation, which is under scrutiny from Victoria's consumer watchdog, amid concerns about mismanagement and poor accounting.

The Shane Warne Foundation (TSWF) stages charity sports and poker events to raise money for sick and underprivileged children, but it is believed the majority of the charity's funds are used for its administration.

Consumer Affairs Victoria (CAV) began monitoring the foundation last year after discovering inconsistencies in its financial reporting.

CAV said Shane Warne's foundation failed to lodge an annual statement last October, as required under the law.

"CAV subsequently made a number of requests for the required financial information, however what was provided was not sufficient," a CAV spokesperson said.

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"Because of this, on 24 December 2015 the director of CAV ... issued a formal request with TSWF for an independent auditor's report on its fundraising activities for the past three-and-a-half years."

The audit, which must be done by a registered company auditor, has to be completed by February 29.

The CAV said Mr Warne's foundation had "advised that it will comply with the notice".

But in a 600-word statement published on Facebook, Warne said the foundation should not have to pay for an audit.

"Re: Consumer Affairs, they now want an audit as a reaction to incorrect journalist reporting, which the foundation has to pay for, sorry?" he wrote.

"This is a disgrace and absurd and will go down as an expense.

"Go through everything you want at anytime as we have nothing to hide, but you pay for it, as the foundation would rather spend the $10,000 on children in need than on an audit."

He said the foundation had raised $7.8 million, and given away $3.8 million of it.

"Add to this a cheque of $4/500,000 (approx) which will be presented over the next few months, then the total equates to $4/4.1 million dollars given away," he wrote.

"Well done and congrats to everyone that has made this possible."

Shane Warne foundation had 'a few bad years'

Warne said despite a "couple of bad years" the foundation was above board.

"The foundation puts on events to raise money pure and simple like all charities do, but unfortunately some events just don't raise as much funds as we would like," he said.

"True we have had a couple of bad years. But the reasons for this are varied, fixed costs have been too high, times are tough, not charging enough for a seat, auction items going under what we thought they would sell for etc," he wrote.

"What I can promise you is that nothing untoward or inappropriate has ever occurred at the foundation and anyone that thinks like that are totally wrong and is just ludicrous to suggest this."

He said the criticism of his foundation was malicious and the result of a personal vendetta by certain journalists, describing it as frustrating, "not fair" and hurtful.

"We have absolutely nothing to hide, no-one on the board has ever received one cent from the foundation in any way shape or form," he said.

Last year a media report said TSWF passed on just 16 cents in every dollar raised to its nominated charities.

The majority of money raised reportedly pays for the staging of glitzy events and even providing an income to Warne's brother Jason, who was listed as the general manager of the organisation.

TSWF filed 2014 statement to national regulator

The foundation is registered with the national independent regulator, the Australian Charities and Not-for-profits Commission (ACNC), which requires charities to lodge annual financial reports.

The Shane Warne Foundation annual information statement for 2014. ( Australian Charities and Not-for-profits Commission )

From financial statement lodged by TSWF for 2014, it appears the foundation was given $465,059 and gave $99,558 of that to charity.

The statement said the foundation's expenses for the year were $417,596.

But the ACNC's Murray Baird said there was no national benchmark for how much of the money charities raised had to be passed on.

"We're not so concerned with ratios at a national level although we work with state agencies who sometimes do have ratios, we're concerned that the money gets through," he said.

"Sometimes that will involve some administration, but if the administration is so high that it rings alarm bells we would want to look into that."

Financial statements for 2015 are due to be received by the ACNC by the end of January.

The ABC has asked TSWF for comment.