Malcolm Pein's CEO manifesto

Debate directly related to English Chess Federation matters.
Paul Cooksey
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Malcolm Pein's CEO manifesto

Post by Paul Cooksey » Sat Sep 25, 2021 8:41 pm

Malcolm has set up a site https://developingenglishchess.com/ hosting his manifesto: https://developingenglishchess.com/wp-c ... ifesto.pdf

Some other points being discussed in other threads, so this one specifically for the policy stuff.

I'll probably have opinions when I have thought about it

Angus French
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Re: Malcolm Pein's CEO manifesto

Post by Angus French » Sat Sep 25, 2021 8:56 pm

Hmm... the filename for the picture at the top of the website is 'Pein-Prince-Andrew.jpg'. I'm pretty sure that's not Prince Andrew.

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Chris Goodall
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Re: Malcolm Pein's CEO manifesto

Post by Chris Goodall » Sat Sep 25, 2021 10:46 pm

So I see two obvious differences from his election address. He is now against moving the BCF funds anywhere other than the ECF without significant safeguards, and his plan to support clubs, leagues and congresses in their CoViD recovery now could include hiring two development officers.

In other words he's taken the two definite promises in his election address and watered them down.

Of course, a vote for Malcolm is still a vote for development officers. The compromise position between hiring two development officers and hiring none, is surely hiring only one. That it "could" be either two or zero, tells us that it'll be two.

What significant safeguards Malcolm wants before the money goes to the Chess Trust, he doesn't say. Is he waiting to see what safeguards they propose, before he declares them not significant enough?

A point I and others have made about fundraising: to look at all the large numbers Malcolm throws around, you would naturally assume that the members' contribution to International over the last decade had gone down, as fundraising and sponsorship take more of the strain. It hasn't, it's doubled. Malcolm seems to be able to "unlock" these piles of sponsor cash only if we fork out an equivalent pile of cash.

Let's be generous and say for every £1 we give Malcolm's directorate, he can turn it into £2. How much of the ECFs money should we therefore give to Malcolm? If our objective is to get the most free money we can, the answer is "all of it, and then borrow some more and give him that too"! But if it's to put it to good use, all we're really doing is getting a 50% discount on everything we buy. Is that a good deal? We don't know, because we don't know what the International money is spent on. I would only point out that some things are not worth buying even at 50% off. If I went out and bought everything in town that was 50% off, I'd have no money and lots of useless stuff.
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Roger de Coverly
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Re: Malcolm Pein's CEO manifesto

Post by Roger de Coverly » Sat Sep 25, 2021 11:03 pm

Chris Goodall wrote:
Sat Sep 25, 2021 10:46 pm
He is now against moving the BCF funds anywhere other than the ECF without significant safeguards
So what's the investment plan or strategy? That's not using the word "investment" in the way politicians use it, meaning spend, but the way that Smith & Williamson (current investment advisers to the PIF etc) would use it. In the PIF and Chess Trust it's invested directly or indirectly in various stock market instruments. To move them to the ECF would require either selling them or transferring them as they are. Either way there may be tax consequences. So if they end up in the ECF, what's the plan going forward? Is it to set up an ECF PIF and leave them invested. Or is it to cash them in and spend the proceeds on development officers etc?

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John Upham
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Re: Malcolm Pein's CEO manifesto

Post by John Upham » Sun Sep 26, 2021 12:05 am

Angus French wrote:
Sat Sep 25, 2021 8:56 pm
Hmm... the filename for the picture at the top of the website is 'Pein-Prince-Andrew.jpg'. I'm pretty sure that's not Prince Andrew.
Indeed. It is, of course, the Earl of Wessex.
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David Sedgwick
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Re: Malcolm Pein's CEO manifesto

Post by David Sedgwick » Sun Sep 26, 2021 2:23 am

John Upham wrote:
Sun Sep 26, 2021 12:05 am
Angus French wrote:
Sat Sep 25, 2021 8:56 pm
Hmm... the filename for the picture at the top of the website is 'Pein-Prince-Andrew.jpg'. I'm pretty sure that's not Prince Andrew.
Indeed. It is, of course, the Earl of Wessex.
HRH Prince Edward Earl of Wessex is the President of the Sport and Recreation Alliance.

The photograph was taken at the S+RA's Annual General Meeting in 2012, when CSC received the first of two awards.

Please see Section 1 of my Report at https://www.englishchess.org.uk/wp-cont ... e-2012.pdf

Mick Norris
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Re: Malcolm Pein's CEO manifesto

Post by Mick Norris » Sun Sep 26, 2021 8:47 am

Roger de Coverly wrote:
Sat Sep 25, 2021 11:03 pm
Chris Goodall wrote:
Sat Sep 25, 2021 10:46 pm
He is now against moving the BCF funds anywhere other than the ECF without significant safeguards
So what's the investment plan or strategy? That's not using the word "investment" in the way politicians use it, meaning spend, but the way that Smith & Williamson (current investment advisers to the PIF etc) would use it. In the PIF and Chess Trust it's invested directly or indirectly in various stock market instruments. To move them to the ECF would require either selling them or transferring them as they are. Either way there may be tax consequences. So if they end up in the ECF, what's the plan going forward? Is it to set up an ECF PIF and leave them invested. Or is it to cash them in and spend the proceeds on development officers etc?
I thought it was clear what he wanted to do, but now he's watered it down; seems to suggest he hadn't thought it through, or will say anything to get elected
Any postings on here represent my personal views

John Reyes
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Re: Malcolm Pein's CEO manifesto

Post by John Reyes » Sun Sep 26, 2021 2:45 pm

Can I asked a few question

Do you know how much tax would we have to paid?
Will it be more then one tax would we have to paid?
And what would happen to the chess trust if the board get hold of the funds?
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Roger de Coverly
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Re: Malcolm Pein's CEO manifesto

Post by Roger de Coverly » Sun Sep 26, 2021 3:12 pm

John Reyes wrote:
Sun Sep 26, 2021 2:45 pm
Can I asked a few question

Do you know how much tax would we have to paid?
Will it be more then one tax would we have to paid?
And what would happen to the chess trust if the board get hold of the funds?
The answer to the first two questions is unknown and it isn't necessarily "we" who would have to pay it.

As far as the third question is concerned, the existing Chess Trust is a charity and thus its funds are mostly out of the direct control of the ECF Board. I do however notice from the ECF website.
Ex-officio Trustees of the Chess Trust
Mike Truran, Adam Ashton (both as above)
The row is over whether the Chess Trust should be given funds previously in the BCF PIF to look after and whether such funds were available to spend or otherwise.

The Chess Trust is a relatively recent development. It arose out of proposals to convert the whole ECF into a charity. This was eventually ruled out as charity rules wouldn't permit professional players to be paid to play, thus precluding the ECF from running a British Championship or fielding competitive international teams. It was however possible for donations and legacies to held in a charity. The disadvantage or advantage of this being that those funds cannot be spent at the whim of a CEO, Board or Council.

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Chris Goodall
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Re: Malcolm Pein's CEO manifesto

Post by Chris Goodall » Sun Sep 26, 2021 4:55 pm

Roger de Coverly wrote:
Sun Sep 26, 2021 3:12 pm
The Chess Trust is a relatively recent development. It arose out of proposals to convert the whole ECF into a charity. This was eventually ruled out as charity rules wouldn't permit professional players to be paid to play, thus precluding the ECF from running a British Championship or fielding competitive international teams. It was however possible for donations and legacies to held in a charity. The disadvantage or advantage of this being that those funds cannot be spent at the whim of a CEO, Board or Council.
So really, if you agree with Malcolm that there should be significant safeguards on how the money is spent, you should vote for Mike Truran.
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Roger de Coverly
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Re: Malcolm Pein's CEO manifesto

Post by Roger de Coverly » Sun Oct 03, 2021 2:01 pm

Roger de Coverly wrote:
Sun Sep 26, 2021 3:12 pm

The row is over whether the Chess Trust should be given funds previously in the BCF PIF to look after and whether such funds were available to spend or otherwise.
The case still appears to be that the PIF funds can be liberated without incurring a tax bill. I think we know that this can be achieved by transferring to the Chess Trust or some other charity as this has already been happening. The particular piece of financial alchemy or tax avoidance that would place the funds without tax charges in the hands of an ECF CEO for spending or otherwise has yet to be disclosed, if it even exists outside the imagination of those proposing it.

It may not be relevant, but none of the Finance Director and the Finance Committee have yet endorsed the proposals.

Angus French
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Re: Malcolm Pein's CEO manifesto

Post by Angus French » Sun Oct 03, 2021 3:10 pm

Roger de Coverly wrote:
Sun Oct 03, 2021 2:01 pm
Roger de Coverly wrote:
Sun Sep 26, 2021 3:12 pm

The row is over whether the Chess Trust should be given funds previously in the BCF PIF to look after and whether such funds were available to spend or otherwise.
The case still appears to be that the PIF funds can be liberated without incurring a tax bill. I think we know that this can be achieved by transferring to the Chess Trust or some other charity as this has already been happening. The particular piece of financial alchemy or tax avoidance that would place the funds without tax charges in the hands of an ECF CEO for spending or otherwise has yet to be disclosed, if it even exists outside the imagination of those proposing it.

It may not be relevant, but none of the Finance Director and the Finance Committee have yet endorsed the proposals.
We also don't know whether the trustees and directors of the PIFs and Chess Centre Limited have been consulted. They will have the final call on releasing money from the funds and likely will have useful knowledge - e.g. on what taxes may or may not be charged and whether other restrictions exist.

Paul Cooksey
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Re: Malcolm Pein's CEO manifesto

Post by Paul Cooksey » Sun Oct 03, 2021 8:08 pm

I see this slightly differently. I think the important thing is whether there is a proposal to spend the money now through the ECF that is better than putting in trust for the future. Whether some of the amount lost to tax is relevant, but not in itself decisive.

In my opinion giving the money to the Chess Trust is a 7/10 option. Not bad, certainly not wasted. But not transformative either. It seems to me possible that there is some better use it could be put to, but I've not seen it explained yet. To be honest the longer things drift with the campaigning dominated by personality politics, the more sceptical I am that there is a substantive case for using the money now.

I see the whole CEO election in similar terms. Obviously some people consider Mike a 9 or 10 out of 10 CEO. An easy election for them. I've always seen him as an ok CEO - a competent guy, but with a vision of the ECF I don 't really share. So perhaps 7/10 again. Enough room that I might be persuaded by a strong campaign from Malcolm, but I'm not seeing it yet.

John Swain
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Re: Malcolm Pein's CEO manifesto

Post by John Swain » Mon Oct 04, 2021 8:46 pm

Further details about the proposal for two Development Officers have been published:

https://developingenglishchess.com/late ... published/

Jonathan Bryant
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Re: Malcolm Pein's CEO manifesto

Post by Jonathan Bryant » Mon Oct 04, 2021 9:07 pm

John Swain wrote:
Mon Oct 04, 2021 8:46 pm
Further details about the proposal for two Development Officers have been published:

https://developingenglishchess.com/late ... published/

Interesting.

I know that some members of the forum aren't at all keen on this idea, considering the expenditure to be a waste of money. My concern is actually the reverse. £20,000 (maximum) on two part time roles? And that's the proposed ECF expenditure not what the successful candidates to receive.

I can't imagine half of £20,000 minus the ECF's costs as an employer would be an attractive proposition for ... well, almost anybody. In exchange for a day or so per week? But how many folks have a day every week that they can put aside on a long-term basis? And how many of this group would also have the skills, experience and knowledge to do the job well?