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False advertising?

If a company is working with, say a festival, and are listed on all the festival posters which state that all profits go to that company, and most the public believe that this company is a charity, is that false advertising?
Because the public believe that this money will go towards charitable work when in fact it is just going into a company.
Does that make sense?
Because the public believe that this money will go towards charitable work when in fact it is just going into a company.
Does that make sense?
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Comments
Plus donations to cahrity don't necessarily go straight into charity work. Take this place. Wages need to be paid, rent, office supplies, those groovy coloured paper clips. It all adds up.