§ Mr. Gorstasked the Secretary of State for Trade (1) whether the National Film Finance Corporation consulted him about the sale of the single special preference share in British Lion with particular reference to the £720,000 tax loss benefit that would be made available to the purchaser; if he is satisfied that a fair price for this benefit was £90,000; and if tax losses in other companies which had received public investment have been or are being sold;
(2) whether he authorised the National Film Finance Corporation to dispose of its single special preference share in British Lion so that a £720,000 tax loss benefit could be enjoyed by the purchaser; and whether the Corporation sought advice from his department on the transaction.
§ Mr. Dell,pursuant to his reply [Official Report, 1st November 1976; Vol. 918, c. 447–8], gave the following information:
In reaching its decision to sell the preference share the NFFC kept in touch with my Department and I did not raise any objection.
The price at which the sale took place was decided in negotiation between the NFFC, which had the benefit of professional advice, and EMI, taking account of any rights which might arise from the tax loss.
Information on sales of tax losses by other companies is not available.