Trusteeships “on hold”: meeting to attempt to resolve medical centre land ownership issue
As the Golden Bay Medical Centre Trust and the Tasman District Council (TDC) continue trying to resolve their differences over the ownership of the land and buildings at Edinburgh Street, long-serving trust chair Harry Holmwood’s status as TDC appointee is in question.
“The council owns the site and buildings, and money the trust has is held in trust to be used for health in Golden Bay,” said Tasman District mayor Richard Kempthorne. “That means the proceeds of any sale should be available to the integrated health project. When we meet with the trust’s representatives on 28 May we hope to reach a resolution on the ownership issue and on who will be the TDC-appointed trustee.”
However, Mr Holmwood said, “We’ve got a legal opinion that says the trust is the beneficial owner of the land and buildings because of a deed dated 11 November 1999.”
The land was acquired by the trust and its predecessors but registered in the name of the TDC. The Interim Management Group (IMG) of the integrated health project has said in its business case that it is not depending on the proceeds. According to its 2008 accounts, the trust had assets totalling $212,940.
Next Friday, trust representatives Harry Holmwood and Graham Hall, along with the trust’s lawyer Tim Harley, will meet with council representatives. Likely matters for discussion include the process by which the new trustees will be appointed and the trust’s 2009 accounts.
The trust invited expressions of interest from Golden Bay people willing to serve as trustees and, at the time of closing, ten had been received. There are up to seven vacancies on the maximum eight-person trust: one trustee, currently Dr Iain Russell, is appointed by the doctors.
Mr Holmwood said that he preferred not to release the names of all those who have put their names forward until after next week’s meeting with the council representatives, but he did confirm that all the existing trustees have put their names forward. They are: John Crocker, Graham Hall, Harry Holmwood, Betty Manson, Colin Russell, and John Waugh. The trust has been operating without an eighth trustee since its inception. This is permitted under the deed, explained Mr Holmwood: “We can have as few as four trustees.”
Mr Kempthorne said that all trusteeships are “on hold” while the council and the trust attempt to resolve their disagreement over the ownership of the land and buildings at the medical centre. He confirmed that he and deputy mayor Tim King would decide on the TDC-appointed trustee. Councillor Trevor Norriss will represent TDC on the group that decides who else will be a trustee. It is not yet known who will represent the medical centre trust on that group, nor whether the maximum complement of eight trustees will be appointed.
Mr Holmwood confirmed that the trust’s 2009 accounts had been sent to TDC. According to the trust deed, the trust must send its books to the council for auditing each November. He explained that it did not happen last November because the trust and the council were in dispute over the ownership of the land and buildings, making an audit impossible.
Neil Wilson
