Reference no: EM133710004

Consider incorporated and unincorporated societies.

Fishery NZ has reopened the paua fishery to the public in the Kaikoura region five years after the devastating earthquake. Racheal lives on the coast, close to Kaikoura, and decided that, as she is retiring, she wants to spend the rest of her life dedicated to the conservation of the region's marine environment.

The sheer number of people gathering the paua has raised concerns within the community that paua is at risk of being wiped out. Furthermore, at one of the few breeding sites of the paua, Racheal finds piles of illegally dumped rubbish, and the public is using the sand dunes as toilets. At high tide, the rubbish and effluent are washed into the water - polluting the paua beds.

Racheal immediately challenges Kaikoura City Council to take immediate action for rubbish mitigation, which results in the placement and servicing of public rubbish bins in the region. The Council also installs two public toilet blocks. Yet despite this change - the public still throws rubbish on the beaches, and information about the public toilets is not widely broadcast.

Racheal decides to establish an organisation that will clean up the area surrounding the Kaikoura region area so that the paua can breed safely. Moreover, Racheal wants to establish a training centre where ambassador programmes, education and monitoring of the region will be offered to the public to encourage community participation in the conservation and protection of the region.

Moreover, Racheal wants to establish a training centre where ambassador programmes, education, and monitoring of the region will be offered to the public to encourage community participation in its conservation and protection.

Rachael sees the organisation working with members, partnering with local businesses and supporters to pursue a vision of a healthy, resilient ecosystem for paua to thrive. The local communities are thrilled that someone will spearhead the organisation, and the local small businesses believe the organisation will improve the island's destination as a vibrant network of people intent on fostering a strong relationship with nature. The local Maori iwi also supports Racheal's idea.

Rachael has come to you for advice.

1. Why would you recommend an Incorporated Society over a charity? - explain your answer.

2. What financial accountability will the new organisation officers have?

3. After operating the Incorporated society for 12 months - the officers decide to wind it up. What steps do the officers have to take to wind up the incorporated society?