A chara, - I refer to Paul Cullen's article (November 25th) in which it is reported that the Housing Association, Respond, is of the view that the Charities Bill 2007 fails to provide adequate legal protection for directors and trustees.
I would like to clarify the position.
The current situation is that charity trustees are personally liable for any losses accruing to their charity as a consequence of their actions.
I consider this to be patently unfair in terms of the burden it potentially places upon charity trustees, who play a vital role in the operations of charities in this country.
That is why, at Report Stage in Dáil Éireann on November 5th, 2008, I introduced an amendment to the Bill, new section 89, which allows charities to take out insurance to indemnify a trustee from any personal liability in respect of any act done or omitted to be done by the charity trustee in good faith.
Therefore, in the amended Bill, we have actually improved the situation for charity trustees or potential charity trustees.
I hope this clarifies matters. - Yours, etc,