• Sweden edition
 
Swedish charity pays millions to telemarketer

Swedish charity pays millions to telemarketer

Published: 27 Oct 2010 09:13 GMT+02:00
Updated: 27 Oct 2010 09:13 GMT+02:00

A national association dealing with child custody issues paid over 80 percent in overhead costs totalling nearly 34 million kronor ($5 million) to a telemarketing company from the donations it received from two campaigns last year.

The National Association of Home and School (Riksförbundet Hem och Skola) received slightly more than 42 million kronor in donations during two campaigns last year.

However, nearly 34 million kronor in contributions went to a telemarketing company, according to an investigative report SVT's Uppdrag Granskning programme published on its website on Wednesday.

The programme will air a report about its investigation on Wednesday evening.

The agreement between the agency and Pool Media gives Pool 800 kronor for every 1,000 kronor donated, the report said.

The agreement with the telemarketing company is not only very expensive for the agency, it is also very long, extending to 2027.

Neither Pool Media CEO Morgan Falk nor Hem och Skola Chairman Ronny Kanstrup were willing to discuss the details of the contract with SVT.

In an application for state subsidies, the agency stated it has 40,000 members, of whom at least half are students or parents. The large number of reported members resulted in the organisation receiving 675,000 kronor in state subsidies last year.

However, the organisation actually has about only 3,900 members. The remainder that are reported as members are companies, municipalities and counties that donated money to its campaigns, according to the report.

According to Swedish Collection Control, which controls collections to other charitable organisations, including BRIS (Barnens Rätt i Samhället) and Save the Children, the rule is that at least 75 percent of the money should go back to the organisation.

TT/The Local (news@thelocal.se)

Don't miss...X
Left Right

Your comments about this article

09:23 October 27, 2010 by StockholmSam
"Neither Pool Media CEO Morgan Falk nor Hem och Skola Chairman Ronny Kanstrup were willing to discuss the details of the contract to SVT."

Of course they weren't interested in discussing the details. It is an obvious corruption kickback scheme between Mr. Kanstrup and Mr. Falk. Both men will walk away from all of this rich and happy, assuming the Swedish legal system performs as usual.
10:17 October 27, 2010 by Rishonim
Indeed StockholmSam. This is corruption 101 and nothing will be done to those fat cats. They probably have political clout since it is a charity organization and the ones who will get screwed are the donors and childrens.
10:58 October 27, 2010 by eppie
How bad I find this, it is not corruption. It is the advancement of capitalism in fundraising. If you can pay a company to fundraise for you and do it better than you would be able to do yourself it fits within all the laws of capitalism. In the US there are companies providing signatures for petitions and in return get paid for this. I think we should seriously look at these excesses of our western 'democracy'.
10:58 October 27, 2010 by EtoileBrilliant
What's Steve Ballmer got to do with any of this ;-)
11:38 October 27, 2010 by Tennin
80% is a bit too extreme for their cut.
15:30 October 27, 2010 by ironman294
A real charity would only spend 10% or less on overhead. If they told donors how much was actually going to overhead they would not receive any donations. Cannot a Swedish government monitoring council shut down this "charity" and take back all the money from the telemarketers and put it towards orphanages and the housing shortage mentioned in the article above?
16:19 October 27, 2010 by Swedesmith
As much as I am in favor of those who have helping out those who have not, one must be very careful about which charity you donate to. Some are little more than scams.
19:30 October 27, 2010 by janswed
I have to say here in Canada this is common, I used to give to charities sponsored by the Police and F irefigther organisations untill it was disclosed that over 75 procent went to the overhead collection co. That was the end for me.Never again. And by the way completely legal,not so moral perhaps.
21:30 October 27, 2010 by Ruby Harrold-Claesson
The information in this article that 'Hem och Skola' is a national association dealing with child custody issues is incorrect. Hem och Skola is in fact the Parent-Teachers' association and they are only interested in school matters.

According to the information in this article the organisation boasts of 40,000 members whereas its only has 3,900 members. Well, this is not the first time that a Swedish organisation "blows up" the number of its members in order to get subsidies. In the late 1970's the social democratic youth organisation, SSU, filled its membership lists with the names of their pets, their grandparents etc - in order to get more money from the state.

Also, congrats Hem och Skola and Pool Media to a very lucrative and well negociated contract. The contract must have been negociated by your most brilliant minds!

Ruby Harrold-Claesson

Lawyer

President of the Nordic Committee for Human Rights

www.nkmr.org
00:32 October 28, 2010 by Toonie
"How bad I find this, it is not corruption. It is the advancement of capitalism in fundraising. If you can pay a company to fundraise for you and do it better than you would be able to do yourself it fits within all the laws of capitalism."

It's the Big Business 'Something-for-Nuthin' model. This isn't real business, which offers a product or service and relies on satisfied customers to make a living. It's a scam, since it is not transparent. If it's 'legal' in the sense that it's not strictly against the law, then there is something very wrong with law-making. Don't know how you're set in Sweden these days, but folks in the UK have had a bellyful of the 'New Labour/Thatcherite/Clintonite/Bushite' model of 'being extremely relaxed about people becoming filthy rich' (as Lord Mandelson put it). He added 'provided they pay their taxes', as he was duty-bound to say, but didn't seem particularly eager to propose (or fund) methods of making sure they did so. The astonishing situation, politically, is that we now have a Conservative-Liberal coalition govt that is way to the left of the previous Labout govt in what it actually does. Labels don't mean a thing. Give 'em hell, whoever they say they are. We've all surely had enough of these jokers.
05:50 October 28, 2010 by Da Goat
Finally someone has found a way to screw small children and donors without getting in serious trouble, while gaining much pleasure, as well as getting well paid!

at last a legal form of paedophilia! and one can be dickless and still pull it off!
Today's headlines

Three rescued after cruise ship sinks boat

Three Saturday morning sailors had a lucky escape after their small boat collided and sank after it crashed into a cruise ship whilst sailing in the Stockholm archipelago. READ () »

Missing Swede found alive and well in UK
Sofie Marie Jansson. Photo: Metropolitan Police

Missing Swede found alive and well in UK

British police have found the missing Swedish girl Sofie Jansson in London, exactly a week after she was last seen, with authorities saying she is doing well. READ () »

Social Democrats make tax pledge to elderly

Social Democrats make tax pledge to elderly

Sweden's opposition party have stepped up its efforts to secure the pensioner vote by pledging to lower taxes for the elderly and make higher earners pay more. READ () »

Malmö Nazi attack victim on the mend
Showan Shattak pictured in Malmö before his attack. Photo: Facebook

Malmö Nazi attack victim on the mend

The 25-year-old man, whose stabbing by neo-Nazis sparked mass demonstrations across Sweden, has made a strong recovery in hospital and took to social media to thank supporters for campaigning against fascism. READ () »

Police seeking missing Swede in London

British police have issued a plea for tips in the search to find Swedish national Sofie Marie Jansson who hasn't been seen for almost a week. READ () »

University applications rocket to record high

University applications rocket to record high

Swedish universities continue to draw vast amounts of applicants with the number of prospective students seeking a third level education increasing for the seventh year in a row. READ () »

Man jailed in US over Lars Vilks murder plot
Swedish artist Lars Vilks pictured in New York in 2012. Photo: Linus Sundahl-Djerf/TT

Man jailed in US over Lars Vilks murder plot

American authorities have sentenced a 20-year-old accomplice of 'Jihad Jane' to five years in prison for an attempted terror plot to kill Swedish artist Lars Vilks, after getting involved with the murder plans when he was a teenager. READ () »

Sweden scraps 'new start zones' after EU input
Integration Minister Erik Ullenhag visits a school in Tensta, one of the neighbourhoods mentioned when he and his colleagues first floated the new start zone proposal. File: TT

Sweden scraps 'new start zones' after EU input

Sweden has abandoned a plan to ease taxes for small companies in blighted areas after the European Commission challenged its legality. READ () »

'Easter eggs an invitation to spread germs'
A typical Swedish Easter egg. Photo: Jessica Gow/TT

'Easter eggs an invitation to spread germs'

A Swedish microbiologist has warned that traditional Swedish Easter eggs laden with candy are an open invitation to the spread of bacteria and viruses. "Is this really a good idea?" he asked. READ () »

Jammed truck snarls Stockholm rush hour
Photo: Anders Wiklund/TT

Jammed truck snarls Stockholm rush hour

PICTURES: A truck got wedged inside a tunnel in central Stockholm on Thursday, with authorities concerned the accident may have damaged cables in the tunnel's ceiling. READ () »

RECEIVE OUR NEWSLETTER AND ALERTS
Society
Swedish supermarket Ica pulls contested Easter commercial off air
Kungahuset
Society
Swedish royals set baptism date for princess
finest.se
Gallery
People-watching April 16
Politics
Who's the prime minister's heir?
Alfie Atkins
Society
Are children's books the key to families integrating in Sweden?
National
'Sweden Dem protests cater to party's martyr image'
National
'Swedish research grants were fantastic, but now it's like Australia'
Society
Only in Sweden: The ten problems you'd never encounter elsewhere
National
Swedes stopped to take my picture, but didn't look me in the eyes
Business & Money
A swipe of the hand replaced cash and cards in Lund
YouTube
Features
Video: Oliver Gee finds out how to embrace The Swedish Hug
TT
National
Abba duo hints at reunion
Advertisement:
Private
National
Flash mobs hug it out across Sweden
Finest.se
Gallery
People-watching April 11-13
TT
Politics
Swedes to give six-hour workday a go
TT
Society
Aussie choir member wows Abba in Sweden
YouTube
Society
Stockholm magic a surprise YouTube hit
Fastighetsbyrån
Society
Gallery: The Local's Property of the Week
Private
Society
Swedes find 200-year-old gravestone in living room
Stockholm School of Economics
Sponsored Article
Why a bachelor's degree is no longer enough
Deepti Vashisht
Features
Deepti Vashisht dissects the magic of Sweden's personal ID number
Shutterstock
Society
Ten signs you've been in Sweden too long
Society
Jimi Fritze heard every word when doctors discussed taking his organs
Society
A Swedish farmer explains why the new bestiality ban is 'pointless'
ESL
Sponsored Article
Learning Swedish the easy way
Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Germany

More news from Germany at thelocal.de

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Blog Update: The Diplomatic Dispatch

28 October 15:16

The Green Growth Group Summit »

"Today on the 28 October in Brussels, a large group of key EU Ministers and business people, including UK Secretary of State for Energy and Climate Change Edward Davey, and Swedish Environment Minister Lena Ek, will meet to discuss green growth. They all have a stake in resolving a challenge which, although it is crucial..." READ »

751
jobs available
Swedish Down Town Consulting & Productions
Swedish Down Town Consulting & Productions is an innovative business company which provides valuable assistance with the Swedish Authorities, Swedish language practice and general communications. Call 073-100 47 81 or visit:
www.swedishdowntown.com