NI Presbyterian mutual society, Short of funds for withdrawal?

ballyblack

Letter in N/letter


http://www.newsletter.co.uk/community/letters/was_pms_news_a_political_opportunity_1_2455932

BETRAYED

Belfast NewsLetter 21 Feb.

Dr Carson said the Church had received a formal request for increased money only two or three weeks ago.
He told the News Letter: “We have now received a letter from the Department of Enterprise Minister asking us to consider increasing our contribution from £1m up to a possible £5m.
“At this stage we have had to take legal advice as to whether or not the Church can contribute to the PMS mutual access fund. The legal issue at stake is whether a charitable organisation such as the Church can make a contribution to a business and yet still retain its charitable status. The Church is currently considering its response, which has been requested by March 15.”
He said the general board of the Church, which handles Church business between annual general assemblies, would meet on March 10 to discuss the issue. He confirmed the meeting would be open to the public as normal.


I would imagine that the Administrator can not put his proposal to creditors until he knows what PCI are prepared to donate or offer in terms of a loan.

expat68

BETRAYED wrote: »

Belfast NewsLetter 21 Feb.

“At this stage we have had to take legal advice as to whether or not the Church can contribute to the PMS mutual access fund. The legal issue at stake is whether a charitable organisation such as the Church can make a contribution to a business and yet still retain its charitable status. The Church is currently considering its response, which has been requested by March 15.”

Am I missing something here - did PCI not take legal advice before agreeing to the £1m contribution last year? Or maybe £1m they could live with as a token but £5m seems a bit too much and they are searching for a reason to avoid putting their hand too deep into their considerable pockets.

As for PCI being a charity I dont think too many PMS savers would subscribe to that notion based their performance to date.

no_more_f.w.o

BETRAYED wrote: »

Belfast NewsLetter 21 Feb.

Dr Carson said the Church had received a formal request for increased money only two or three weeks ago.
He told the News Letter: “We have now received a letter from the Department of Enterprise Minister asking us to consider increasing our contribution from £1m up to a possible £5m.
“At this stage we have had to take legal advice as to whether or not the Church can contribute to the PMS mutual access fund. The legal issue at stake is whether a charitable organisation such as the Church can make a contribution to a business and yet still retain its charitable status. The Church is currently considering its response, which has been requested by March 15.”
He said the general board of the Church, which handles Church business between annual general assemblies, would meet on March 10 to discuss the issue. He confirmed the meeting would be open to the public as normal.

Anyone planning to go?

Should we bring our placards?

Flinflon

no_more_f.w.o wrote: »

Anyone planning to go?

Should we bring our placards?

I believe I will be going to the meeting on Thursday--but in the afternoon. I'm told by church house that yes, "technically" the meeting is open to the public--meaning, I suppose, that the public rarely attends. Anyway, the secretary told me that the PMS issue is the second item on the agenda and would be discussed shortly after 1.30 p.m., after the board members return from lunch. Hopefully, I might learn the board's reasons for rejecting or accepting any increase in the £1 million proposal.

freddiemae

http://www.bbc.co.uk/news/uk-northern-ireland-12665955

joylikes2shop

http://www.u.tv/News/Church-allowed-to-donate-funds-to-PMS-bailout/ccb5b4aa-7fdf-4210-b6ed-562ebc915406

goodbyepci

http://www.bbc.co.uk/news/uk-northern-ireland-12692628

goodbyepci

http://www.bbc.co.uk/news/uk-northern-ireland-12699972

Flinflon

Latest re PMS
I attended today's meeting of the PCI general board and would encourage all savers to watch tonight's news on UTV and BBC. The bottom line is that the board unanimously approved the payment of £1 million into a fund to assist savers in the PMS. This follows a court judgment earlier in the day that this was legally acceptable.
The board also approved unanimously two other resolutions which are more detailed (and should be viewed word for word--hopefully on the blogs of PCI and/or Stafford Carson).
Essentially, one of those resolutions (direct quotes from the resolution before the board) empowers Carson's panel "to seek ways to enhance" the £1 million contribution "so that our long-term goal to enable small savers (up to £20,000) to have their shareholding paid back in full may be achieved."
The other resolution says "there may be an opportunity for creditors to voluntarily defer the return" of their savings. Specifically, this would be aimed at congregations and larger creditors. In other words, as I understand it, those congregations and creditors would be encouraged to leave some or all of their savings in the PMS for a period, so that accrued interest may be apportioned to the same fund as the £1 million. The details of how much, and how long, etc will be proposed in a report from the PMS administrator, Arthur Boyd.
It was hoped that report might be ready by the end of this month, but I would bet it would be at least a week later. In any case, there will be seven information meetings, featuring Stafford Carson, happening probably in April. One meeting to be held in Belfast, and one each in the six northern counties; no word on what is to happen in the south. Carson said that, after those meetings, a vote would be held among savers to determine if the proposal (detailed by Arthur Boyd) is acceptable.
Personally, I'm optimistic. We now have a tighter timeline, some general points to mull over, and the promise of more detail arriving soon which will enable us to make informed decisions. Will we get all our money back, pound for pound? For savers under £20,000, it's looking more and more likely. For those with more than £20,000, a good chunk appears likely, and reasonably soon at that (my guess is before the summer). But the question for those with more than £20,000 in the PMS is complicated somewhat by the question of deferral. I would bet there will be a respectable return, but the question for those larger savers is WHEN. I should note that Carson and his team have worked hard, and he paid tribute to the lobbyists and other letter-writers and so on who kept up the pressure. That said, I and others still maintain that the church bears a major responsibility for this whole mess and could have handled much of it a lot better, right from the start. Still and all...I'm cautiously smiling now.