FRSB has launched an investigation into fundraising agency Listen, and Oxfam has suspended all operations with the agency, following a highly critical Mail on Sunday article.

The newspaper sent undercover reporters into Listen, which raises money for charities including Oxfam, RSPCA and Cancer Research UK, and filmed the techniques used to get donations.

It said that Listen staff harassed "the poor, sick and elderly" and taught new staff to use "callous methods" to extract donations.

It wrote how managers at Listen “refused to remove telephone numbers from the charity’s database even when the people called complained of harassment”, and claimed that undercover reporters were taught how to “extract donations from a 98-year-old pensioner, and a new mother just home from hospital after giving birth to twins”.

The Fundraising Standards Board (FRSB) has said it will investigate these claims and the minister for civil society, Rob Wilson, has said he will personally make sure this happens.

Listen 'fully investigating'

In a statement, a spokesman from Listen said that the organisation “prides itself on its reputation for operational integrity and raising significant sums of money for good causes in an ethical way” and is now “fully investigating the allegations made”.

He continued: “Listen takes its responsibilities very seriously, and strives to operate to the highest professional standards. It is a member of the Institute of Fundraising and is regulated by the Fundraising Standards Board.”

Alistair McLean, chief executive of the FRSB, responded to yesterday’s article. He said: “We are deeply concerned about the allegations that the Mail on Sunday has made. It is critical that fundraisers treat the public with respect, openness and honesty at all times.

“The FRSB will investigate these claims to establish whether any breach of fundraising standards has taken place.”

Wilson, who was reappointed minister for civil society after the last election, condemned the alleged practices.

He said: "If these allegations are true, then they are totally unacceptable. I will personally make sure this is thoroughly investigated by the industry bodies and that they take whatever action is necessary to make sure practices like this are stamped out for good."

Oxfam revealed that is has now suspended its involvement with Listen, after the Mail on Sunday reported on calls made for one of its campaigns. It revealed that calls were made to numbers “harvested” from numbers collected by street fundraisers working for Street Academy, a subsidiary of homelessness charity Shelter, which had asked people to make £4 or £5 donations.

The numbers had been passed on to Listen by Street Academy. A separate undercover reporter for the Mail on Sunday received one of these calls, from the undercover reporter working for Listen, after she was sent to the streets of Newcastle and was approached by some street fundraisers.

Oxfam freezes contracts

Oxfam has also now frozen its contract with Street Academy, after the second undercover reporter revealed that the street fundraiser who approached her in Newcastle failed to declare “that she was working for Street Academy, as stipulated in the code of conduct”.

In a statement, Oxfam’s director of fundraising Tim Hunter thanked the Mail on Sunday for bringing these allegations to its attention, but said: “However, the headline in the Mail on Sunday claiming that we target 98-year-olds is factually incorrect. It is against our policy to target vulnerable people.

“We take these allegations very seriously and have suspended all operations with both Listen Ltd and Street Academy, pending a thorough investigation.

"Oxfam carries out regular quality checks of fundraising calls on our behalf and insists on high standards of training and monitoring.”

Other allegations in the Mail on Sunday made against Listen include the undercover reporter being pressed to stay on the line with people who did not have their bank details with them. In one case the reported asked a man to go into his bank to get his details so he could donate, and in another he said he would stay on the line while a potential donor got a bus home.

Calls were 'harrassing'

In another call, a member of the public told the reporter that the calls were becoming “harassing”, and were asked not to be called again. However, when the reporter asked his trainer he was told “not to remove the man’s details from the charity’s database as he hadn’t used one of three phrases, which were: ‘Remove’; ‘Remove me from your list or database’; and ‘I’m on TPS [the Telephone Preference Service].’”

The Mail on Sunday revealed that Listen also employs Tony Charalambides, a former director of Tag Campaigns, a street fundraising company that went under in 2013 following accusations that it was using “aggressive” and “misleading” tactics by the Telegraph.

Charities launch investigations

Campbell Rob, chief executive at Shelter, said: “We take any accusation of bad practise amongst street fundraisers employed by the Street Academy very seriously, and undertake regular mystery shopping to make sure that they adhere to our strict code of practice and that of the PFRA at all times. We will fully investigate this incident and take necessary action to make sure that we continue to maintain our high standards.”

A spokesman from Unicef UK, which also works with Listen, said in response to the allegations in the Mail on Sunday: "Unicef UK relies entirely on voluntary donations for our work to help children around the world and are extremely grateful to all our supporters. We expect high standards from agencies that we employ to fundraise on our behalf. We take these allegations very seriously and are investigating the issues raised by the Mail on Sunday."

Nick Georgiadis, head of direct giving at Cancer Research UK, another charity who work with Listen, said: “Cancer Research UK relies on people's generosity to fund our life-saving work. Our research has fuelled the progress that has seen survival rates for cancer in the UK double in the last forty years. In the 1970s just a quarter of people survived. Today that figure is half.

“At Cancer Research UK, we are grateful for every donation we receive and would never want anyone who gives us their support to feel pressured in anyway. We’re deeply disappointed to hear these allegations against Listen Limited and we will be investigating this matter urgently."

A spokeswoman from the RSPCA said: "All of our fundraising activity is conducted in line with the Institute of Fundraising’s (IoF) code of practice and we are also an active member of the Fundraising Standards Board (FRSB).

"Both the IoF and FRSB are conducting reviews of current practice within charity fundraising, following concerns raised by members of the public.

"We will be fully involved in these reviews and follow any resulting recommendations to ensure that donors and supporters have confidence and trust in charities and their fundraising."

Last year, Channel 4’s Dispatches launched an investigation into telephone fundraising agencies.

It revealed last month that it was considering a second investigation into charity fundraisers following the increased media scrutiny which charities have faced following the suspected suicide of 92-year-old Olive Cooke.

Cooke, who was found dead last month, had previously said she felt “overwhelmed” by the amount of requests for donations she received. Her family said that charities were not responsible for her death.

An investigation by the FRSB is currently ongoing.