lif
Mr Stone
HKD
Reference
нко 28611
43
necessay
SIR S K TANG'S DONATION
I refer to your minute of 4 October 1989, and apologise for the delay in replying.
1.
2.
I share your concerns about arranging for the Cancer Research Institute to receive their money quickly and to make sure that the UK/HK scholarships fund is properly controlled and organised. My problem is to know how we should proceed to try to achieve these objectives. That is why I think it would be useful to have the views of the Charity Commissioners. I would be quite happy to put to them the suggestions in your fourth paragraph as an alternative way of proceeding. Could you agree to my approaching them on that basis? (We could take parallel advice from the Legal Advisers to the Hong Kong Government about how a trust could be set up in Hong Kong to implement your suggestions.)
3.
Your sixth paragraph raises questions of trust law - exactly the kind of question which the Charity Commissioners could help us with. On the first point you raise, my understanding is that only the nominal value of the donation needs to be preserved, but this is obviously a point we would want to look at. As to the second point, the powers of trustees to invest, and the nature of the kind of investments they can make is controlled, in the UK at least, by statute. Again, the Charity Commissioners would be able to advise in detail. I cannot say what the position is in Hong Kong, but, like you, I doubt if the most prudent use of the funds is to leave them on deposit.
4.
5.
I note the points in paragraph 8 of your minute.
If you agree with my proposals, please send me back the file and I shall write to the Charity Commissioner without further delay.
CODE 18-77
25 October 1989
IM5ABS
А
& Mach
Maule.
Iain MacLeod Legal Advisers K157A 270 3066