A NOT-for-profit company was refused permission to conduct doorstep collections in Torfaen after giving just 20 per cent of the £250,000 it made last year to charity.

Tilbury-based Intersecond Ltd applied for a licence to collect clothing from around Torfaen for re-sale.

It said this was on behalf of Lithuanian company Azzara, which works for breast cancer charity Do Not Delay.

At a licensing committee meeting yesterday, the council refused the application after questioning the authenticity of accounts and documents submitted and deeming that 20 per cent is an inadequate amount to give to charity.

Representatives of the company did not attend after stating it was too far to come from their Essex base.

Documents sent to the council show the company has an agreement with Azzara to pay it it £5,000 every calendar irrespective of how much is collects.

Chairwoman Cllr Norma Parish questioned why, if the company is not-for-profit, this figure doesn’t rise if collections are particuarly good. She expressed disappointment a representative didn't attend to answer questions.

Torfaen’s licensing leader Steve Bendell said accounts sent in by the company don’t follow any recognised format used in the UK.

They show the company netted £256,894.13 in 2009/10, giving £51,400 to the charity. It had a £3,117.17 itemised profit after £202,376.42 was taken out for fuel, collection costs, bags and other overheads.

Cllr Ray Mills questioned if it is a not-for-profit organisation, why accounts show a £3,117 profit, adding: “If people want to give money to a breast cancer charity, maybe they’d prefer to give it to a local company.”

Cllr Parish and Cllr Aneurin James both said they’d received bags through their letterboxes from the charity, with Cllr James saying he has received bags from dozens of companies.

Mr Bendell said the issue of doorstep collectors in the local authority area needs to be further investigated.

Intersecond administrator Yevgeniya Haughey said after the decision: "We have 63 licenses to collect nationwide. Some councils believe it is a good cause, some don't."