Mr Taiboys spells out reason for Corso cut

Press, 25 September 1979, Page 1

Mr Taiboys spells out reason for Corso cut

PA Wellington The Deputy Prime Minister (Mr Talboys), told Corso’s chairman, (the Rev Gavin Sharp), at a brief meeting yesterday that the Government no longer wanted to continue its “special relationship” with Corso because Corso had become “politically orientated.” Mr Talboys met Mr Sharp and the deputy chairman, Mr John L’Estrange. for about 15 minutes yesterday afternoon.

The Corso controversy had been discussed briefly at a Cabinet meeting earlier in the day. “I explained fully to Mr Sharp the reasons the Government had decided not to continue its annual grant in support of Corso’s administration costs, and to introduce legislation to remove Corso from the list of overseas aid organisat-

ions eligible for taxdeductible donations,” Mr Talboys said.

The Government was concerned about the policies Corso had begun to follow in recent years.

The organisation was founded originally to assist in relief and rehabilitation overseas, Mr Talboys said. “In the immediate postwar years it represented all but a few of the voluntary agencies engaged in overseas service. It carried out various fund-raising activities on the Government’s behalf and the Government instituted annual grants to help with the organisation's administration expenses.” Now. however, Corso was directing an increasing proportion of its time and energy tn nnhlicitv and to other activities which could only be described as nnlitica’ly orientated, said Mr Talboys.

“It is significant that nearly half of the voluntary agencies which were under Corso’s umbrella ten years ago have now left the organisation.” Ml Talboys said that a former chairman of Corso, the Rev. Haddon Dixon, had described Corso as now much more of a protest organisation similar to H.A.R.T. and C.A.R.E. than a true aid organisation.

“I would like to make clear that the action of the Government in no way inhibits individuals from making donations to Corso if they so wish,” Mr Talbovs said.

As well, Corso was eligible, along with other voluntarv agencies working overseas, to receive assistance through the voluntarv agencies support scheme administered under the external aid programme the external aid

programme for overseas development project. Mr Sharp said later he had not given up hope that the Government would reverse its decision to remove the tax rebate on donations to Corso.

“Mr Talboys did not sav yes or no. so perhaps there’s a little bit of hope,” he said. Corso's main concern was not the Government’s axing of its annual $40,000 grant, but its decision to remove the rebate, said Mr Sharp. Yesterday, Mr Dixon said that the Government’s removal of tax concessions on donations to Corso was a mistake. But, he said, he could understand why the Government had stopped the $40,000 grant Corso had received since 1961.

If peonle wanted to give monev to a more politically oriented aid organisation, thev should have the free-

dorn to make the choice. The removal of the concession would not really affect those who wanted to give to Corso.

The concessions conferred a “recognised, approved” status on Corso. Government removal oi this was "very serious,” Mr Dixon said.

The grant of $40,000 had begun at a time when Corso was one of the biggest aid organisations, coordinating the smaller aid groups. “Corso is not the largest any more. There is no reason now why Corso should get this money rather than other aid agencies such as World Vision.” Mr Dixon said he had written to the Government in June after the furore over the Corso film, “A Fair Deal.”

He had resigned from Corso in 1974 because of the “increasing politicking” of the organisation. Mr Dixon noted that

Corso was still using the same name, although it had changed its title completely. It was now called the New Zealand Association for International Relief. Rehabilitation and Development.

Corso was using legacies for its ordinary income, which had been left so that it could continue as an aid organisation, Mr Dixon said. Mr Sharp said earlier that all bequests that did not specify how they were to be used were treated in the same way as donations. If they specified they were to go to aid projects, Corso had to satisfy the lawyer: involved that the money was used for that purpose He believed the Government had taken away th’ grant because it wanted Corso to be seen as independent from the Government. He was still amazed that donations would no longer be tax deductible. The president of the

Methodist Church in New Zealand (the Rev. Bruce Gordon) has criticised the Government’s action on Corso. “The cancellation of the Government grant was predictable as Corso had angered the Government with its new emphasis on poverty in New Zealand.” he saicl. “Corso has apparently followed this line because it feels that the causes for poverty need to be challenged. “Corso will still receive my financial support, and, I trust, that of many concerned people,” Mr Gordon aid. The Auckland Anglican liocesan Committee on Public and Social Affairs .aid yesterday that the termination of support for Corso was clear evidence that the Government would not tolerate the voices and actions of a critical opposition. Bishon’s protest, Page 6.