Third Party Funding from Within the UK

Hi Guys
My query relates to investment funds from third parties in the UK (not referring to Venture Capitalists or Angels)
I have read the policy Guidance for the tier 1 entrepreneur visa (i.e 50k -PSW route) and it allows applicants to use investment fund from third parties with in the UK provided
1. The funds will be available for the business in the UK - bank letter certifying that.
2. There is an agreement witnessed by a lawyer that the funder would make the funds available to the investee.
I am aware that many people have gotten their visa via this arrangement and also I am aware that the chance of getting refused using third party funding with in the UK is massive as the Home Office would rather like to see the funds in the applicants' account than in a third party's bank account evidenced by a bank statement. I understand that the Home Office do this in order to prevent the recycling of funds by individuals. I think most applicants have third party funds domiciled in banks outside the UK. That is not what I am asking about.
Has anyone been refused for the reason that the 50k was in a third party's account in the UK evidenced with a bank statement and a bank letter from the third party's Bank confirming the availability of the funds and the accessibility of the investee to the funds in the account and supported by an solicitor-witnessed and signed agreement letter between owner of funds and investee?
Please share your thoughts.

Yes, i have personally seen refusal based on the bank statement of UK third party. HO objected that letter should have been provided stating applicant's name.