EMAG

The independent action group for current and ex Equitable Life policyholders, funded by contributions.

Equitable Members Action Group

Equitable Members Action Group Limited, a company limited by guarantee, number 5471535 registered in the UK
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Committee Meeting: 14/08/2002

EMAG committee meeting minutes - 14 August 2002 at the Royal Society of Arts, London

Present: Committee: Alex Henney (chairman), Paul Braithwaite, Rodney Allen, Leslie Seymour, Betty McCann, Colin Slater, Tom Lake.
Members: Oliver Parsons, John Newman, Andrew Pike, Gabrielle de Pauw.
Apologies: Jeremy Lever.

1. Minutes of the last meeting were approved. Treasurer reported that EMAG now has in excess of £100,000 deposited in three bank accounts. It was agreed that some of this to be transferred into a new Abbey National business account paying higher interest

2. WP Annuities investigation: Tom Lake gave a presentation on overhead projector slides on the subject of destabilising ramifications of W P annuities. He will circulate a paper.

3. Legal brief: Rodney Allen (building on a paper by Jeremy Lever) proposed to develop a legal brief for a junior barrister at his Chambers. Rodney Allen was asked to prepared a draft and circulate it to the committee. The committee concluded there was no point in delaying until Penrose, since nothing relevant may come into public domain (the Treasury have already demonstrated unwillingness to publish anything they regard as self-incriminating). It was decided to pursue the course suggested by Jeremy Lever if junior Counsel, having run his eye over the set of issues being prepared by Rodney Allen, Tom Lake and Colin Slater, feels that he can usefully prepare a preliminary opinion.

4. Report on Internationals: Leslie Seymour drew the committee's attention to letters from the solicitors, Irwin Mitchell. They advised that, in conjuction with Class Law, they had liaised with Lovells (the "inbound litigation" lawyers acting for ELAS) and had agreed a "standstill agreement" until 21st March next year, predicating settlement proposals on the delayed findings of Bacon & Woodrow Deloitte. Reference was made to a letter from Lovells which said this report should (hopefully) be published in autumn 2002 (previously due last April). Leslie Seymour will hold a watching brief for EMAG.

Irwin Mitchell represents not just internationals, but any departed ex non GARs policyholders who joined ELAS post 1988 and left before the Se 425 ratification in Feb 2002. Irwin Mitchell will also welcome registration from any policyholders in this category who would be included in the standstill agreement from the date when their details were forwarded to ELAS.

Leslie Seymour will investigate whether he can tie in further information with regard to European Law for the legal investigation. He also advised the committee that he wished to liaise with the Irwin Mitchell "action group" of claimants.

5. Another Black Hole? Oliver Parsons presented a preliminary analysis prepared from ELAS annual statements from 1991 to 2001. It appears to indicate a large, unexplained disparity - another "black hole"? The published figures show that through the '90s there appears to be a steady accumulation of a surplus retained as a smoothing kitty. But this is incompatible with the Independent Actuary's report that by year-end 2000 the Society's liabilities exceeded assets by 10%.

It was agreed that Oliver Parsons would further develop his analysis in conjunction with Colin Slater and John Newman and would seek to involve an actuary to check the figures.

 6. Proposed new governance: Alex Henney's draft letter was discussed. Recommendations for modification were made. To be developed by Alex with further input from John Newman and Jeremy Lever. This to be included in letters to members and petitioners in September.

7. FSA complaints: Paul Braithwaite will prepare a summary of current concerns about FSA indifference to current ELAS practices and draft a possible press release.

8. FOS: Rodney Allen described contradictory correspondence he has had with FOS. He was invited to summarise for posting on EMAG website.

9. AOB: Concern was expressed at the lack of progress in remodelling the website. Tom Lake is evaluating candidates for the work. Regarding car stickers: Paul Braithwaite to obtain costings and develop with Gabrielle de Pauw. Alex Henney will commence work on a draft submission to Lord Penrose. Paul Braithwaite proposed that the committee thank the guests for attending.

Next meeting: Thursday October 3rd, 6.45pm Small Mall, RAC Clubhouse.

Gabrielle de Pauw/Paul Braithwaite

2nd September 2002