A mutual crisis

In the first of our series on faith in a financial crisis the Presbyterian Church in Ireland's Moder

‘Britain must have confidence’ said the prime minister, Gordon Brown, a fortnight ago.

His comment underlined the lack of confidence that is dogging the financial system, which he propped up with the introduction of a credit guarantee scheme to the banks last October.

Alert to the implications, some investors in the Presbyterian Mutual Society, based in Belfast, realised their money was not covered by the guarantee. This triggered a run on the liquid assets of the Society.

The Society operated an easy access policy to savings, so savers withdrew their money to the tune of £21 million within a short space of time. The directors applied to the Department of Enterprise, Trade and Industry (DETI) of the Stormont Executive, to put the Society into Administration, and an Administrator took over on the 17th November 2008.

No new business is being accepted and savers cannot gain access to their money. This has placed many people in difficulty since they cannot pay bills due, nor meet commitments undertaken. Not only is lifestyle affected but also property and businesses, with a knock-on effect to jobs and livelihoods.

There are various links between the Mutual Society and the Presbyterian Church in Ireland. Only members of the Church can invest, and the Board of Directors is made up of Presbyterians appointed by the annual meeting of the shareholders. The Church has never had any operational involvement with the Society and the accounts are not presented to it for approval, but each year at the General Assembly meeting of the Church, a verbal report has been given commending the attractive dividend distributed. With that understanding, the Church, in general terms, drew the attention of members to the benefits described with a view to possible investment.

No one anticipated the difficulties that swiftly overwhelmed the Society in the autumn. We now realise that no financial institution is fireproofed against the credit crunch. The god of materialism has clay feet. There are those who feel the Church has misled them, and, because it has been pointed out that the Mutual is an independent organisation, that the Church has disowned them. Confidence in both the Presbyterian Mutual Society and in the Presbyterian Church has been shaken.

The Church is being pressed to do something to free up people’s savings or to return their money. However the Church has had no access to the books of the Society. The Administrator is severely constrained by law from divulging information. Recently he published his initial report revealing a deficit of around £100 million. People fear they will lose a substantial proportion of their money. Investors have had the opportunity to vote on five resolutions proposed by the Administrator in which he indicates how people might vote if they wish an orderly wind down over a period of time and thus get the best return. The alternative seems to be liquidation, increasing the losses. This will only become clear when the Administrator indicates what rate of distribution he can make.

The Church is able to offer limited help through some benevolent funds to those in dire need. As Moderator of the Presbyterian Church in Ireland, I have written to the Prime Minister, asking for a meeting to put our case for government help, which would include the guarantee, but, also, to find some means to improve the liquidity of the Society and so stabilise the situation.

The Prime Minister has agreed, in principle, to meet the First Minister and Deputy First Minister of the Stormont Executive. I have also met several of the Northern Ireland MP’s at Westminster, local MLA’s at Stormont, and the Minister responsible for DETI. We have been encouraging Presbyterians to sign a petition on the Downing Street web site asking ‘…the Prime minister to provide similar guarantees to UK mutual societies as for banks.’ Printed copies of this have been provided for Presbyterians to sign in their local churches.

Christian faith is being tested, and, just as the principle of mutuality in financial terms has been under severe pressure, so the bond of caring fellowship is under strain. At such a crucial time, it is vital for all in the Church ‘…to carry each other’s burdens and in this way…fulfil the law of Christ.’ (St Paul’s letter to the Galatians chapter 6, verse 2)

Rt Rev. Dr W. Donald Patton
Moderator of the Presbyterian Church in Ireland

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In focusing on the famous few, we risk doing a disservice to all victims of child sexual abuse

There is a danger that we make it harder, not easier, for victims to come forward in future. 

Back in the 1970s when relations between journalists and police were somewhat different to today a simple ritual would be carried out around the country at various times throughout the week.

Reporters, eager for information for their regional newspaper, would take a trip to the local station and there would be met by a desk sergeant who would helpfully skim through details in the crime Incident Book.

Among the entries about petty thefts, burglaries and road accidents there would occasionally be a reference to an allegation of incest. And at this point the sergeant and journalist might well screw-up their faces, shake their heads and swiftly move on to the next log. The subject was basically taboo, seen as something ‘a bit mucky,’ not what was wanted in a family newspaper.

And that’s really the way things stayed until 1986 when ChildLine was set up by Dame Esther Rantzen in the wake of a BBC programme about child abuse. For the first time children felt able to speak out about being sexually assaulted by the very adults whose role in life was to protect them.

And for the first time the picture became clear about what incest really meant in many cases. It wasn’t simply a low level crime to be swept under the carpet in case it scratched people’s sensitivities. It frequently involved children being abused by members of their close family, repeatedly, over many years.

Slowly but surely as the years rolled on the NSPCC continued to press the message about the prevalence of child sexual abuse, while encouraging victims to come forward. During this time the corrosive effects of this most insidious crime have been painfully detailed by many of those whose lives have been derailed by it. And of course the details of the hundreds of opportunistic sexual assaults committed by Jimmy Savile have been indelibly branded onto the nation’s consciousness.

It’s been a long road - particularly for those who were raped or otherwise abused as children and are now well into their later years - to bring society around to accepting that this is not to be treated as a dark secret that we really don’t want to expose to daylight. Many of those who called our helpline during the early days of the Savile investigation had never told anyone about the traumatic events of their childhoods despite the fact they had reached retirement age.

So, having buried the taboo, we seem to be in danger of giving it the kiss of life with the way some cases of alleged abuse are now being perceived.

It’s quite right that all claims of sexual assault should be investigated, tested and, where there is a case, pursued through the judicial system. No one is above the law, whether a ‘celebrity’ or a lord.

But we seem to have lost a sense of perspective when it comes to these crimes with vast resources being allocated to a handful of cases while many thousands of reported incidents are virtually on hold.

The police should never have to apologise for investigating crimes and following leads. However, if allegations are false or cannot be substantiated they should say so. This would be a strength not a weakness.

It is, of course, difficult that in many of the high-profile cases of recent times the identities of those under investigation have not been officially released by the police but have come to light through other means. Yet we have to deal with the world as it is not as we wish it would be and once names are common knowledge the results of the investigations centring on them should be made public.

When it emerges that someone in the public eye is being investigated for historical child abuse it obviously stirs the interest of the media whose appetite can be insatiable. This puts pressure on the police who don’t want to repeat the mistakes of the past by allowing offenders to slip through their hands.  And so there is a danger, as has been seen in recent cases, that officers lack confidence in declaring there is a lack of evidence or the allegations are not true. 

The disproportionate weight of media attention given to say, Sir Edward Heath, as opposed to the Bradford grooming gang sentenced this week, shows there is a danger the pendulum is swinging too far the other way. This threatens the painstaking work invested in ensuring the public and our institutions recognise child abuse as a very real danger. 

Whilst high profile cases have helped the cause there is now a real risk that the all-encompassing focus on them does both victims of abuse and those advocating on their behalf a fundamental disservice.

As the public watches high -profile cases collapsing amidst a media fanfare genuine convictions made across the country week in week out go virtually unannounced. If this trend continues they may start to believe that child sexual abuse isn’t the prolific problem we know it to be.

So, while detectives peer into the mists of time, searching for long lost clues, we have to face the unpalatable possibility that offences being committed today will in turn become historical investigations because there is not the manpower to deal with them right now.

Operation Midland, which was set-up to check claims that boys were abused in the 1970s and 80s by a high-level group of paedophiles including politicians, military figures and members of law enforcement agencies, has had up to 40 detectives assigned to it and a similar investigation. Admittedly some of these were murder and major crimes officers but that’s still a large contingent.

In fact if such squads were formed for every historical case the Metropolitan Police would be overwhelmed as last year alone it received reports from nearly 1100 adults – many of them well past retirement age –that they were sexually assaulted when children.

So, now the Goddard Inquiry is in full swing, taking evidence about allegations of child sex crimes involving ‘well known people’ as well as institutional abuse, how do we ensure we don’t fail today’s victims?

If they start to think their stories are going to be diminished by the continuing furore over how some senior public figures have been treated by the police they will stay silent. Therefore we have to continue to encourage them to come forward, to give them the confidence of knowing they will be listened to.

If we don’t we will find ourselves back in those incestuous days where people conspired to say and do nothing to prevent child abuse.

Peter Wanless is Chief Executive of the NSPCC.