12 December '02 - Minutes
of the 25th meeting of EMAG Committee
Held at:
RAC, Pall Mall, London
Present: Alex Henney,
Paul Braithwaite, BettyMcCann, Colin Slater, Rodney Allen, Leslie Seymour
Also present (part):
Allan Asher, Campaigns Director of The Consumers' Association
EMAG members: Chris
Canaghan, Peter Sterry, Gabrielle de Pauw and Sir Jeremy Lever
Apologies for absence:
John Newman, Tom Lake
1. Treasurer's report:
Circa £100,000 unfettered, with nearly 9,000 paid subscriptions. A further
mail shot will take place to members before Christmas. The letter was circulated,
with the "SHIRTS to MPs" appeal as lead item plus update.
2. EMAG member Gabrielle
de Pauw was formally unanimously seconded to the committee of EMAG, and thanked
for sterling contribution to date.
3. Allan Asher,
Campaigns director of the Consumers' Association made a presentation about
the work of the CA. He developed the themes of where EMAG and the CA's interests
are congruent. He went on to make a number of suggestions about highly targeted
initiatives that he thought EMAG could embrace. (This item edited for tactical
reasons.)
Allan Asher pointed out
that FSA's dual regulatory responsibility for smooth running of the financial
services industry (and funded by that industry) and also for protecting policyholders
represent a conflict of interest, in which the policyholders' interest are
unlikely to prevail.
4. Legal discussion:
led by JL and RA. JL reported that he had received no replies to his letters
to VT or CT. RA circulated an outline draft brief, embracing addressing Denton
Wilde, EC, Section 65 etc. JL to progress discussion on briefing solicitors
prior to seeking counsel's opinion. PB to liaise with RA. Preliminary five
figure budget agreed.
5. AH reported on his
letters to the FSA re major failings to protect our policyholders, governance
issues, reluctance of EL to tell members basis of their values etc. PB pointed
out that FSA appears to be facing the wrong way, leaning on IFAs but doing
nothing re our policyholders' requests to compel ELAS to divulge information.
Reported Sir Howard Davis' resignation, effective September 2003.
6. CS reported on progress
on "forensic analysis" of ELAS report and accounts back to early
1990s. Study is sufficiently illuminating that committee authorised Burgess
Hodgson to move to second stage study immediately, and were authorised to
commission actuarial help ad hoc. Budget approved. This to form the bedrock
of EMAG's formal submission to the Penrose Inquiry.
7. PB reported on the
Ned Cazalet press conference and the unsatisfactory response received from
P O, Ann Abraham. Agreed to renew efforts to pursuade her to change her decision
re "waiting for Penrose".
8. Strategy. A
group discussion aired committee's views. Consensus of three core strands:
1. Explore legal avenues apparently not being embraced by the ELAS board.
2. Influence the Society on Governance and mutuality. 3. Political activity
to influence Government and MPs.
9. Governance.
PB pointed out that ELAS board's Governance consultation required response
by Dec 16th. Committee asked for an E mail out to all members to remind on
limitations of board's proposals and to encourage responses. Agreed to drop
previous EMAG suggestion of pre-requisite that directors must have ELAS policy
funds of £25,000.
10. Political.
PB was asked to explore appointing a political consultant to target influence.
11. International contacts.
LS was authorised to act, via the EMAG website as facilitator to effect introductions
for international policyholders. Committee rejected the idea, on advice from
Jane Saunders, of operating any form of EMAG bulletin board.
AOB. Concern was
expressed about the latest letter from ELAS re GAR rectification which has caused
anxiety. PB to explore obtaining general professional advice. Committee thanked
Mr C Canaghan and Mr P Sterry for attending and contributing.
Next meeting: RAC
Clubhouse, Seagrave Room 6.45pm for 7.00pm on Tuesday 21st Jan 2003. Jackets
and ties required. Any member wishing to attend, please contact PB at emagpr@yahoo.com
in advance, please.
Gabrielle de Pauw and Paul
Braithwaite
20th Dec, 2002
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