Amy Adams

Wellington, Oct 7 NZPA - A new member's bill aims to stop telemarketing firms pocketing money intended for charity.

National MP Amy Adams has introduced the Fair Trading (Soliciting on Behalf of Charities) Bill.

It would require those who fundraise on behalf of charities to tell consumers if a portion of the donation would be held to cover fees.

If more than half the donation will be held the fundraiser would be forced to disclose the amount.

Some telemarketing firms were keeping up to 75 percent of funds, Ms Adams said.

"To me it's simply wrong to ask for a donation for a specific charity knowing that most of the money won't make it to that charity."

The bill would not apply to charities who fundraise directly through their staff or volunteers.

The bill will enter the member's ballot and will have to be drawn out before it can be debated in Parliament.