Ohai trust dispute delays grant repayment

The remains of a $12,020 grant given by the Ohai-nightcaps Lions to the Ohai Railway Board Heritage Trust in 2004 must be returned to the Lions but a stoush is holding up repayment.

The money, which was collected from gaming machines at the Railway Hotel in Nightcaps, was given to the trust in March 2004.

The trust had the money in two accounts, which were co-signed by members Eleanor Peneha and Ben Mclean.

However, the cash was never used and the trust became defunct after disagreements about its direction.

Members have dwindled away and only two trustees remain – Mark Bailey and Tiger Watson.

The trust’s lease on the Wairio terminus buildings lapsed, and the money, along with the buildings and other assets, have been in limbo ever since.

Rail heritage enthusiast and former trust member Karl Barkley wanted to re-establish a trust to maintain the buildings, now the property of Kiwirail.

His own Southern F Locomotive Trust was deregistered by the Charities Commission for failing to file financial statements and was left with unpaid advertising debts after an attempt to save the Kingston Flyer, which resulted in Mr Barkley spending $50,000 of donations on advertising.

Kiwirail served him with a trespass notice to stop him entering the Wairio terminus buildings.

At a meeting in Wairio on Sunday, Mrs Peneha told Mr Barkley that he did not have the legal right to access the trust’s funds and she would not sign off on the accounts to repay the re- maining money to the Lions club.

She said there had to be a meeting and the trust had to be wound up properly before Mr Barkley could do anything.

‘‘There has not been any committee or AGM held to give the right to anyone else,’’ Mrs Peneha said.

Mr Barkley argued the trust was defunct and already wound up.

‘‘The Ohai Railway Board Heri- tage Trust does not exist,’’ he said. ‘‘We’ve got a group wanting to reestablish it . . . I keep calling public meetings to do something about it.’’

Mrs Peneha was adamant she would not sign off on the account and believed Mr Barkley had no authority to do anything with the trust.

‘‘You can’t just step into another committee’s shoes.

‘‘There are rules

and

regu- lations to follow so that it keeps everybody honest.’’

Lions chairman Bill Mather said the club wanted the money back but would not get involved in disagreements.

‘‘Part of the legal requirement [for gaming machines] is you must ensure it is spent for the purpose it’s been allocated for. It wasn’t spent and we have written to them requesting the money back.’’