The Rana Plaza Donors Trust Fund
The payments to Rana Plaza victims foreseen under the Arrangement are to be financed by a combination of funds, including contributions from buyers and other private donors who wish to give to the victims in a spirit of solidarity and compassion. The Rana Plaza Donors Trust Fund was therefore established in January 2014 in order to collect these contributions and to hold them in trust under specified Terms and Conditions.
How will the Fund be used?
The contributions in the Trust Fund will be used exclusively to cover payments to Rana Plaza victims and their families. Payment amounts will be recommended by Independent Commissioners following a claims process, which will be carried out under the terms of the Arrangement to ensure equitable distribution according to the losses suffered and the needs of surviving dependents and family members. The Trust Fund will transfer specified amounts, agreed by a multi-stakeholder Coordination Committee, to a designated Bangladesh bank. The Bangladesh bank will then deposit the specified amounts into the victims' own bank accounts. The Fund will also cover nominal charges incurred for the administration of the Fund.
Who can pay into the Fund?
The Trust Fund is open to any company, organisation, public body or individual who would like to make a voluntary donation to the families affected by the Rana Plaza tragedy.
How do donors contribute?
Contributions should be deposited into the Rana Plaza Donors Trust Fund. The full bank account details are provided on the opening page (article 3) of the Terms and Conditions of the Rana Plaza Donors Trust Fund.
The account will be operated in US Dollars (USD). Contributions received and expenditures incurred in currency other than U.S. Dollars shall be converted into U.S. Dollars at the United Nations operational rate of exchange on the date of the transaction.
Once the contribution has been made, the Trustee will acknowledge receipt of the contribution.
Will donations be made public?
The identity of the donor and amount of the contribution will not be publicly disclosed by the bank or the Trustee, who will have this information. Should the donor wish to make their donation public on their own initiative, they are free to do so on their own initiative or by writing email@example.com and requesting their name (and amount if desired) be added to the Coordination Committee's list of donors.
Who is managing the Fund?
The International Labour Organization, represented by the International Labour Office (ILO), has established the Rana Plaza Donors Trust Fund and is the sole Trustee. The Trustee will act solely upon the instructions of the Coordination Committee acting under the Arrangement and will manage the Fund based on the established terms and conditions.
Does a voluntary contribution by a company to the Fund imply any legal or other liability?
Any donation to the Rana Plaza Donors Trust Fund from any contributor is voluntary and does not imply legal responsibility or obligation for the accident. The Fund is an expression of support for the victims of Rana Plaza.
How much money does the Fund need to cover the payments as calculated under the Arrangement?
Initial estimates suggest that the Fund needs to collect 40 million USD in order to cover the expected claims. This figure may change as the claims process gets under-way and claims are assessed.
What happens if the Fund collects more money than it needs?
Claims are calculated in line with the requirements under ILO standards, and the Coordination Committee has decided to use a higher rate for claims calculation should the funds be available to do so. Therefore any money remaining in the Fund at the end of the process will be apportioned to the victims or their dependants and family members upon instruction of the Coordination Committee.
Can a contribution be paid in installments with a pledge made in advance?
A contributor may opt to make a pledge to the Fund by sending a signed letter to the Trustee (pdf to firstname.lastname@example.org), indicating the number, amounts and dates of each installment to be paid within a period no longer than six months, subject to the Terms and Conditions of the Trust Fund. Each installment payment into the Fund will be acknowledged separately by the Trustee to the contributor, along with an accounting of the total paid to date by that contributor. The Trustee will report to the Coordination Committee on the total amount to be received through pledges. Contributors who wish to publicly disclose a pledge should send their information to email@example.com.
Is a contribution tax-deductible?
Whether a contribution is tax-deductible depends on the operation of national law in the tax jurisdiction of the contributor. To find out the recognized status of contributions to the Trust Fund in a particular jurisdiction, contact the tax authority of that jurisdiction and ask about the tax status it grants the International Labour Organization or any Trust Funds established by the International Labour Organization.
Want to donate but still have questions?
You can read the full terms and conditions at http://www.ranaplaza-arrangement.org/fund/termsandconditions (PDF)
You can also contact the Trustee of the Rana Plaza Donors Trust Fund by email at firstname.lastname@example.org