Property Bonds

HC Deb 10 February 1971 vol 811 cc187-8W

Mr. Tom Boardman

asked the Secretary of State for Trade and Industry what consideration he has given to regulation of the sale of property bonds.

Mr. John Davies

I have decided to appoint a Departmental Committee to consider this and related problems. It will have the following terms of referenceTo consider the working of the Insurance Companies Acts 1958–1967, and of the Prevention of Fraud (Investments) Act 1958, in so far as the latter is relevant, in the light of life assurance schemes involving the issue of equity-linked policies, unit-linked policies, property bonds and similar schemes, and to advise on the adequacy of the protection afforded by these Acts to policyholders in these schemes.

I am glad to announce that Sir Hilary Scott, a former President of the Law Society, has agreed to serve as chairman of the Committee. I will announce the names of the other members of the Committee in due course.