18 April 2009 - Finance Council Minutes

[Justin Hadi]

So who is right and who is wrong then?

The ECF has been formed to take over the former role of the British Chess Federation (BCF) in running chess in England and the Company will formally acquire the entire undertaking of the BCF on 22nd October 2005 with the exception of its Permanent Invested Fund which is held by the Trustees thereof.

As mentioned in 1 above the BCF will retain the Permanent Invested Fund at least until the current Trust Deed expires in 2013.

These two quotes seem to contradict each other as the trustees are not necessarily directors of the BCF. Or are they?

The BCF in practice receives the income from the Permanent Invested Fund annually and will be able to pass this to ECF.

Does this actually happen?

[John Upham]

It would be appropriate to receive independent legal advice on this matter : is there anyone in Forum land who could help?

My definition of independent (and maybe yours also?) requires it to be someone who has not been involved in these matters previously.

Baroness Scotland is rather busy right now so I'm told.

[Roger de Coverly]

from C11.6.1 Report on Matters Arising

http://www.englishchess.org.uk/images/s ... sMajer.doc

In conclusion there are cogent reasons why CCL should not be wound up; consequently the Board will not be pursuing this course of action.

Nothing in the previous discussions said anything about winding up CCL. The original Regan plan, as I understood it, was to "give" it to the ECF lock, stock and barrel. The Hewitt amendment was to asset strip it first for the benefit of the BCF PIF and then transfer it as a shell.

I think we're quite clear that CCL is owned by the Trustees of the BCF PIF who presumably have the power to appoint and dismiss directors. It's somewhat muddy as to the extent to which the BCF PIF "belongs" to the ECF and from whom the BCF PIF Trustees should take instructions and requests.