Where the £3m we give to anti-knife ‘charity’s’ collectors REALLY goes

With their eye-catching blue jackets and promises to fight knife crime, the throngs of pushy young fundraisers pleading for donations have become a fixture on high streets across Britain.

But a Mail on Sunday investigation can reveal that the organisation they belong to, Inside Success Union CIC, is raking in millions from the generosity of the unsuspecting public and spending virtually all of it on its own staff salaries – and it is not even a registered charity.

On Saturday night, the Fundraising Regulator watchdog said it was investigating after the MoS discovered:

• The company’s most recent accounts show that it spent more than £3million on salaries and commission in a year, after raising £3.1million;

• More than 50 complaints have been made over claims that Inside Success staff followed, intimidated and forced members of the public to donate to them;

• Young fundraisers are trained to ‘make up’ how Inside Success has helped them when they are appealing for donations;

• Teachers claim the firm has recruited ‘vulnerable’ 16- to 18-year-olds from outside schools;

• The company was recently fined by magistrates for breaking fundraising laws.

Inside Success is a social enterprise company that says it combats the scourge of knife crime by helping to get disadvantaged youngsters off the streets and into jobs.

But our undercover reporter, who contacted the firm, was told that the ‘main job’ on offer was a position selling its £5 magazine outside train stations and busy high streets.

At a training session for new recruits, a manager claimed that young people join up to ‘make a lot of money’ – as much as £500 in a single day – in commission on top of a £10-per-hour salary.

He told the trainees to use ‘triggering words’ such as ‘young people’s mental health’ to persuade members of the public to part with their cash.

It is illegal for people or organisations to collect money on the street without a permit. But Inside Success gets round this by saying it is selling a magazine for £5. However, the trainees were told to sell the magazine for ‘way more than it’s actually worth’. The company employs hundreds of staff, dispatched to raise money outside train stations and on high streets in London, Birmingham, Manchester and Bristol.

It was established in London in 2016 and has been endorsed by celebrities including boxer Tyson Fury and rapper Dizzee Rascal. Former footballer Rio Ferdinand pledged £10,000 in a video, saying: ‘You lot are doing good stuff.’

Inside Success is run by Darren Olawale and David Sonowo, both 42, who met at the University of Bedfordshire. But not much is known about the elusive pair, nor how much they are being paid.

The organisation is registered as a Community Interest Company (CIC), which operates under different rules to a legitimate charity and is not overseen by the Charity Commission watchdog.

Usually, CICs are organisations such as local sports clubs, village halls and community-owned pubs. But critics fear that CICs are increasingly being misused by money-making schemes posing as good causes. Inside Success recruits youngsters via slick videos on TikTok and photos on Instagram, which boast they can make profitable commissions and that ‘no CV or interview is necessary’.

The manager leading the training session attended by an undercover reporter promised recruits would earn a lucrative commission on top of a £10 hourly wage.

He claimed that ‘the most someone has ever given is £4,000,’ adding: ‘If someone gave £1,000, you would keep £576, so there’s this opportunity to earn as much as you want. We know people come here to make a lot of money.

‘This is an organisation that allows young people to make a lot – in one day you can make £300, £400 or £500, it’s possible.’

Last night, Lord Harris, chairman of the Fundraising Regulator, said: ‘Inside Success use quite aggressive tactics. They are in your face and do not take no for an answer – and I think sometimes the tactics border on intimidation.

‘What you have is an organisation which is picking up the public’s general support for charities and distorting it, and that reflects badly on legitimate charities. To the casual observer, looking at what they’re saying and at the magazine, you would think there is this organisation in the background which is doing wonderful work with young people, but it is not clear it exists, and people are being misled.’

A source said that London secondary school leaders had complained that Inside Success recruiters targeted teenagers from low-income families outside their school gates.

After one training session, the staff are dispatched to train stations and high streets across the country, where they wear matching blue jackets and ID badges, similar to those worn by charity fundraisers. The jackets and T-shirts bear a picture of a long blade and large letters reading ‘Stop Knife Crime’.

The fundraisers are told to approach members of the public asking for a ‘one-time contribution’ and claim they are ‘fighting knife crime and youth violence’.

Inside Success staff have been accused of falsely claiming that they are raising money for a legitimate knife crime charity. The boss of the charity, who asked not to be named, told the MoS he had received complaints from the public that they had been ‘aggressively approached’ by street fundraisers – only to later learn that they work for Inside Success.

A recent investigation by the Fundraising Regulator found Inside Success had breached nine of the Code of Fundraising Practice’s guidelines and had pressured the public, including children, to donate. But the company refused to co-operate with the watchdog’s probe.

Last year, Inside Success was fined £665 plus costs for illegally collecting money in Manchester because the company did not have a permit, and was not a registered charity.

Manchester City Council licensing officers saw employees of Inside Success taking cash donations from members of the public, including a child. The officers invited directors from Inside Success to Manchester for an interview under caution but they answered no comment to all the questions put to them.

They denied taking part in unlicensed collections and claimed staff were selling magazines.

Lord Harris raised his concerns about the organisation in the House of Lords and called for a crackdown on Community Interest Companies exploiting the public’s good will.

Last night, he said: ‘The Community Interest Company regulator has got to find a way of distinguishing a legitimate organisation from what is essentially a commercial organisation with what appear to be some hard-sell techniques.’

Louise Smyth, a regulator of Community Interest Companies, said: ‘All complaints regarding CICs are taken seriously and if a breach in CIC legislation is identified, then appropriate regulatory action will be considered.’

A spokesman for Inside Success Union said: ‘We do not employ or instruct young individuals to engage in any form of forceful or disruptive behaviour. Instances where our representatives may have appeared intrusive or non-compliant with regulations are not representative of our organisation’s values.’

Inside Success said it was engaging outside trainers to retrain personnel, reinforcing ‘the importance of ethical selling practices, respectful interactions with the public and strict adherence to age restrictions’.