Australians are being misled into paying millions to a multi-national company that represents some of our biggest charities, according to a number of former contractors, Yahoo News reports.
In the past two years Appco has made $100 million from Australian charities through selling merchandise and signing up donors to monthly pledges.
Some of Appco’s mega profits come through the work of vibrant young people who many Australians would have encountered door knocking neighbourhoods and fundraising at shopping centres.
Referred to as “chuggers”, short for “charity muggers”, the frontline workers solicit donations on behalf of charities, sometimes claiming that more than 90 per cent of the donations they receive will make it into the hands of the needy.
Not so, said Ivan Alloshe, a former Appco contractor who worked his way up the ranks in the empire he now wants to expose.
“The reality is the amount of money that doesn’t go to the cause is unethical,” he told Sunday Night.
Appco contractors told donors that 100% of the funds went to the charity.
On the Camp Quality sign-up form it stated that 100 per cent of the money given would go to the charity’s bank account.
Alloshe said while that might be true at first, the detail about what really happens is “in the fine print”.
“There’s a deal done between Appco and the charity, and the money goes back to Appco in a payment form,” Alloshe said.