The headquarters of Shiva School of Meditation and Yoga in Mount Eliza. Photo: Wayne Taylor

A Melbourne ashram is closing and could be wound up amid allegations its members were sexually and physically abused there.

Fairfax Media has reported that detectives from the Mornington Peninsula's sexual offences and child abuse team are investigating allegations of sexual abuse at Shiva School of Meditation and Yoga in Mount Eliza.

Former member Roy Hughson visited the ashram on Tuesday to help other former members collect belongings they had stored there. Mr Hughson, who also lived at the ashram for four years before leaving in 2004, said that the group's chairman, Stephen Stanford, then announced that the school would close and end its public yoga and meditation programs.

Signs advertising the school had been taken down from its entrance, Mr Hughson said.

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The school's founder and "guru" Swami Shankarananda, 73 -also known as Russell Kruckman -resigned as director in January but remained its spiritual head after it was revealed he had had sexual relationships with up to 40 women there.

The school has asked the Swami to retire "in light of the criminal investigation" into his activities, saying in an email to members it would now "consider its options for the future".

Shiva Yoga's lawyer David Galbally, QC, declined to comment.

Its management committee will hold a meeting on Tuesday night to vote on resolutions including "that Shiva Yoga Inc ... be wound up voluntarily as it can no longer achieve its purpose" and that liquidators be appointed to do this.

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Ashram could wind up amid sex abuse allegations