Yes, with grand-parents:
http://www.msn.com/en-gb/news/uknews/christian-girl-fostered-in-muslim-home-can-rejoin-family-judge-rules/ar-AAqXZlP?li=AAmiR2Z&ocid=spartandhp
As for "incompetence" (NJ's post) note that an old friend is involved. From the article:
'Amid the growing row over the child's care arrangements, The Telegraph can disclose that an extremist Islamic preacher helped in the recruitment of foster parents .
The imam, Shakeel Begg, hosted a workshop for would-be foster carers just months after the High Court ruled him an “extremist Islamic speaker” who had “promoted and encouraged religious violence”.
The event was organised on behalf of the London borough of Lewisham as part of a drive to find more Muslims willing to foster children.'
He was the guy who sued (unsuccessfully) the BBC over a remark by Andrew Neil. Oh, and the imam of the Lewisham mosque which gave us the Lee Rigby killers.