London, Nov 4 : A man charged over an alleged blackmail plot involving a member of the Royal Family got thousands of pounds from Prince Charles.

Sean McGuigan, who was arrested along with Ian Strachan for blackmailing a minor royal, received the cash from the Prince's Trust to set up a carwash business.

According to sources, McGuigan spent a 1,500-pound loan on buckets, sponges and cleaning fluid and a further 1,000-pound grant for other start-up costs for the firm Star Craft in Fulham, London.

McGuigan got the cash from the Prince's Trust in 1993 under its scheme to offer training and financial help for people aged 14 to 30, and ended his partnership with the charity in August 1995.

"Sean was really keen to set up his business and a carwash seemed like a great idea. He knew the Prince's Trust offered money for new ventures so he thought he would get a loan,” News of the World quoted a friend of McGuigan, as saying.

"It certainly got off the ground, he made a few quid for a while until it all wound down,” the friend added.

A spokesman for the Prince's Trust confirmed giving out a loan to McGuigan in 1993.

"We can confirm Sean McGuigan received a loan and a grant from the Prince's Trust in 1993,” the spokesman said.

Strachan and McGuigan are accused of claiming to have video evidence relating to a royal engaged in a sex act and demanding 50,000 pounds for it not to be made public. (ANI)