Media Release
24 September 2009

Sport funding a non-issue for most

Most gaming machine societies approached by the Department of Internal Affairs say they will continue funding sport, Deputy Secretary Keith Manch said today.

“These include the largest societies which currently fund sport,” Keith Manch said.

Some smaller societies caused alarm with sports groups when they said they could no longer make grants to sport.

“The Department wrote to gaming machine societies asking that they ensure their objects on their trust deeds were consistent with the authorised purposes specified on their gaming machine licences,” Keith Manch said. “There has never been any doubt that gambling money can go to amateur sport where a gaming machine society is permitted under its deed or constitution to do so. There has been confusion over whether gaming machine societies that have charitable obligations can also give money to amateur sport. They can do so, as long as the sports activity is charitable. Guidance on this issue is available from the Department’s website and the Charities Commission.

“We reminded trustees and directors of their responsibilities and to ensure they were operating according to the law and their governing documents. We asked them to advise how they would resolve any inconsistencies.

“The Department wrote to 33 societies and so far, about a third have resolved issues to our satisfaction. Others are still considering legal advice and their options. Seven societies have yet to respond at all and we will be following them up.”

ENDS

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