This organization was made to see how shinobi react to certain treatment and environment. Normally they are put in cells and at a certain point of the day, they are allowed to roam around and fight each other to the top of the ranks to gain respect from the other prisoners. Their is a barrier jutsu put on top of the whole place to make sure no one can escape and only the leader can let people go threw it like workers trying to find more people. Certain people were even given certain gifts, heard about events from the outside world, and were allowed to leave early because of their skill.