Mr Y received a charity clothing collection bag from an agency working for a charity, despite having a ‘no charity bag’ sign on his door.
We found that the agreement in place between the charity and the agency did not allow the charity to sufficiently monitor the agency acting on its behalf.
We also found that, while it appeared the distributor was delivering either counterfeit or stolen charity bags, the agency were aware of this but did not report the matter to the police when they should have done.
We have recommended that the agency implemented a process to log and report concerns about or evidence of fraudulent activity to Action Fraud or the local police.
We also recommended that the agency consider reviewing its security measures to reassure itself and its charity partners that it was doing as much as possible to prevent fraud.
Finally, we also recommended that the charity ensured that agreements with third parties allow the charity to sufficiently monitor those acting on its behalf.
The charity accepted our findings and recommendations.