§ Baroness Burton of Coventry
asked Her Majesty's Government:
How it is proposed to wind up the Aviation Security Fund.
§ Lord Cockfield
In response to a Question from the noble Baroness on 29th July, I said that the Aviation Security Fund would be wound up with effect from 31st March, 1983, and I promised that detailed arrangements would be announced later. I am now ready to announce these arrangements.
It is important that the fund should not be in deficit on winding up, and that the process of winding up be completed expeditiously. To this end, it is proposed to proceed as follows:—
- (a) The winding up of the fund will be given effect by an order under Section36(l) of the Aviation Security Act 1982, which I shall lay before Parliament after the Christmas Recess; that order will, from 1st April 1983, suspend the obligation on aerodrome managers to pay contributions to the fund; and it will provide for the return to contributors of a share (determined in accordance with the statute) of the net assets standing to the credit of the fund on completion of the winding up.
- (b) The department will only consider for reimbursement from the fund claims that it receives by 31st May 1983 and that relate to expenditure incurred on or before 31st March 1983.
- (c) To ensure that the fund does not end up in deficit, the department will initially withold payment of 10 per cent. of all claims for reimbursement of expenditure incurred in the period 1st January to 31st March 1983 (with the exception of expenditure on detection equipment, which will continue to be reimbursed in full). The withheld proportion of claims will be reimbursed before the winding up of the fund is completed provided that there is sufficient money left in the fund.
- (d) The department aims to return any surplus remaining in the fund to airport managers and to complete the winding up during the autumn of 1983.
I propose to waive any interest I may have in the ownership and disposal of assets purchased with monies reimbursed by the fund with effect from 1st April 1983.