§ Sir J. Leechasked the President of the Board of Trade whether he has notified the managers of fixed and/or unit trusts that they will be required to conform to Section 16 of the Prevention of Fraud (Investments) Act, designed to render the trustees independent of the management; and whether he proposes that such adjustment shall be achieved by reorganisation of the businesses concerned or by modification of the trust deeds?
§ Mr. StanleyThe attention of unit trust interests has been drawn to the relevant provisions of the Prevention of Fraud (Investments) Act. The nature of the adjustment of existing arrangements which may be necessary in order that the Board of Trade may be satisfied that the particular condition to which my hon. Friend refers is fulfilled will be considered in each case as it arises, but in general I should not regard any change which may be required in this respect as being satisfactorily achieved by means of modification of trust deeds.