I've just been observing a row at a group who had set up to help some people in need.
They had collected donations which were freely given for those people.
The group appears to have decided that some other people are in greater need and are making arrangements to send some of the donations to them.
Some members are up in arms about this because the stuff was donated for these people and not for those people.
It is SEP and quite amusing to watch, but I had wondered previously about the legal question...
I would assume that the law takes a common sense approach to such matters, except that I know that charities have to be very careful about such things and common sense does not necessarily apply.
The group is not a charity, though one or more charities may be involved.
Take me to your lizard...