Skybus letters to be released

Press, 28 November 1980, Page 4

Skybus letters to be released

Parliamentary reporter All correspondence between the Securities Commission and the Aqua Avia Society, promoter of Skybus, will be released. The chair~«a.i of the Securities Commission (Mr C. I. Patterson) said yesterday that amendments put up by the society did not go very far towards reducing members’ liability. The Securities Commission, with the Minister of Justice (Mr McLay) and the Minister of Civil Aviation (Mr McLachlan), issued a memorandum early this month saying that the society’s powers to levy members to cover costs were not >mentioned in its publicity material or application forms. It was in the public interest that ... this information, which was on the society file held by the Registrar of Industrial and Provident Societies, should be made public, the memorandum said. Rule 6 of the society empowers a general meeting of

the society or its directors • to impose a levy covering costs. Rule 18 empowers the directors only, to levy for borrowing. Mr Patterson said yester- ■ day that the memorandum had been sent to the society on November 13. A short letter giving draft amendments; was received on No- ; vember 14, On November 17, the commission replied saying that the amendments did not. meet the points made in the memorandum. Since then he had received no correspondence from the . society, except a letter invit- : ing him to a meeting in Auckland at which the ; Skybus proposal would be explained. Mr Patterson said he replied that such a meeting was outside his brief, and inviting a response to his earlier comments that the were 1 inadequate. ’ His brief covered only the s society’s mode of incorporation and the application of its rules, Mr Patterson said. The commission has no ’ enforcement powers.