Redlands Timeline

THIS DOCUMENT IS A CHRONOLOGICAL TIMELINE OF EVENTS FROM JOHN ROBERTS FIRST JOINING THE SCEGGS REDLANDS ‘PARENTS AND FRIENDS ASSOCIATION’ RIGHT UP UNTIL THE FINAL PAYMENT OF ALL DEBT TO THE GLEBE ADMINISTRATION BOARD IN 1990

Includes John Roberts Testimony and John Lang Address at the opening of the Lang Building as well as Personal, First Hand Accounting of events

Excerpts taken from hand written notes made by John Roberts in Mosman 1995 (Annex A) and extracts taken from John Lang’s Addresses including the opening of the Lang Building (Gymnasium) 1992 (Annex B), personal correspondence from John Lang – 13 February 2020 (Annex C), personal correspondence from John Lang - 7 February 2020 (Annex D) and Personal Correspondence from John Lang – 11 March 2020 (Annex E)

1960 – John Roberts is present at the establishment of The SCEGGS Redlands Parents and Friends Association and becomes a Founding Member

1967 – “Parents of Redlands had been feeling neglected with no sign of better facilities and there had been resentment of the autocratic and niggardly attitude in 1967 towards the Redlands mother’s request for improved canteen facilities to be constructed under the Assembly Hall, where the canteen is now The total cost was to be $14,000 of which the School Council would only provide $5,500 or $8 per student and the remainder was to be found by the mothers, the old girls or the parents and friends – Otherwise no canteen! As simple and as arrogant as that; I was there. We proceeded on these terms and the finished canteen provided a bare concrete ceiling, noisy, dusty and hardly hygienic, which was left to the mothers to remedy on their own initiative with their own funds”

(John Roberts, Mosman 1995 - Page 4 Annex A)

1968/69 – John Roberts becomes treasurer of the Parents and Friends Association

Middle 1969 – The Canteen opens after a long difficult effort by parents of the school

1970 – John Roberts becomes Secretary of the Parents and Friends Association

Early 1971 – “In early 1971 while Secretary of the Association I became aware confidentially in my employment that representatives of the SCEGGS Council (Mr Glanville, Treasurer, and Mr Furley, Executive Officer) were calling on investment and financial houses in the City of Sydney seeking load funds to finance property development and improvements at the Darlinghurst School” (John Roberts, Mosman 1995 - Page 4 Annex A)

1971 – “At the next P and F Committee meeting without any hint of what I knew, I bought forward the innocent suggestion that some of us as a subcommittee should seek to meet the SCEGGS School Council and discuss what plans there may be for future development of Redlands and in what way the parents might be able to help” (John Roberts, Mosman 1995 - Page 4 Annex A)

4 May 1971 – “It was left to our President John Chiswell, to endeavour to arrange a meeting by contacting the Chairman of the SCEGGS School Council, Rev A.W Prescott” (John Roberts, Mosman 1995 - Page 4 Annex A)

“Against some initial resistance John Chisolm so arranged and on 4 May 1971 some four or five of us (I can remember John Chiswell, Arthur Manning, Ernst Cohen) went to the Council’s Administrative Offices, 129 Yorke St Sydney 6/7pm to meet Re Prescott and two other members Messrs Lowe and Cale” (John Roberts, Mosman 1995 - Page 4 Annex A)

“The Meeting was abortive. The Rev Prescott on his home turf assumed autocratic Chairmanship, refused any information on what was in mind for Redlands”

(John Roberts, Mosman 1995 - Page 4 Annex A)

1971 – The Sydney property boom. – “Many people developed grand ideas of property development, including Chairman and Treasurer of the SCEGGS Council”

(John Roberts, Mosman 1995 - Page 2 Annex A)

Richard Glanville who was handling the money for the Glebe Trust, the bank for the Church of England

August 1971 – Standing Committee receives a letter from the Chairman of the SCEGGS Council stating its desire to develop and extend both the Darlinghurst and Cremorne campuses Context – “The SCEGGS Council had its offices at 29 York Street, Sydney. It was from these rented premises that they conducted five schools” (John Roberts Mosman 1995 - Page 2 Annex A); Darlinghurst under Miss Chisolm, Redlands under Mrs Humphrey, Wollongong under Mrs Woodhouse, Loquat Valley under Mrs Prescott and Moss Vale under Rev C.A Clark Context – The SCEGGS Council was a Body Corporate under the Church of England (Bodies Act) 1938 NSW, an act of Parliament. For all intents and purposes the SCEGGS Council conducted itself like any commercial company although always under the ultimate control of the Anglican Church of Sydney Synod September 1971 – “four months later, the big public announcement by SCEGGS Council to undertake a huge development at Darlinghurst whereby all residential properties bounded by Bourke, Liverpool and Forbes streets, East Sydney, would be acquired and demolished for the partial re-siting of Darlinghurst School in new buildings on that area. Then part of the School, mainly feature adjacent to St Peter’s Street and St Peter’s Church and its buildings would be demolished and on that cleared site would be erected two Towers (one of 40 stories and one of 20 stories) combining commercial offices, residences left to provide income for SCEGGS Council and thereby enable to containment of school fees for all five schools” (John Roberts, Mosman 1995 - Page 5 Annex A) “What a grand scheme, costed at $45 million in 1971 money” (John Roberts, Mosman 1995 – Page 5 Annex A)

October 1971 – “Now the proposed Darlinghurst Project was known publicly I could share my concerns with other members of the P&F Committee and we decided to seek a further meeting with the School Council. This took place in about October 1971 and was as abortive as the earlier meeting. We did glean the knowledge that all five schools were lumped in the one accounting system and then our request for Redlands finances to be separated was very firmly rejected” (John Roberts, Mosman, 1995 - Page 5 Annex A)

“We were apprehensive that collapse of the scheme would drag Redlands down to as there was no separate accounts for the school and the development was not being undertaken as a separate entity” (John Roberts Mosman, 1995 - Page 5 Annex A)

1971 – “In 1971 I arranged for myself to be elected to Synod as a lay representative for Saint Augustine’s Church, Neutral Bay. That enabled me to receive church publications, reports, yearbooks etc and I was able to learn and who was who and what in the Diocese and particularly how schools were governed” (John Roberts Mosman, 1995 – Page 5 Annex A)

Context: “During 1971, 1971 and 1973 the School Council went further and further into debt but spoke confidently about being able to replace short term bill borrowings with long term borrowings fixed borrowings, possibly form the United Kingdom” (John Robert Mosman, 1995 – Page 6 Annex A)

19 June 1972 – “On June 19 I was advised of the probable intention of the Council to close the School at Moss Vale as from the end of this year. This was subsequently confirmed at a special meeting of Council” (John Roberts Mosman, 1995 – Page 11 Annex A) “In view of these developments on June 19 I took the unusual step of writing to the Chairman of Council. I said that the misuse of funds and closure of the school at Moss Vale, added to the problems inherent in the current economic climate, forced me to the conclusion that there was an urgent need for an independent enquiry into the Council’s financial situation. The Executive Committee of the Council concurred with this statement. I then appointed a panel of enquiry” (John Roberts Mosman, 1995 – Page 11 Annex A) 3 August 1972 – “In August 1971, Standing Committee received a letter from the Chairman of the Council which stated its desire “to develop and extend both Darlinghurst and Cremorne Schools” On August 3 1972, a conference took place between the Finance Committee of Standing Committee and representatives of the council. This meeting was arranged as it had come to the notice of the Finance Committee of Standing Committee that the Council had borrowed large sums of money without first seeking approval of Standing Committee” (John Roberts Mosman, 1995 – Page 11 Annex A)

14 August 1972 – “The Panel undertook as far as possible a thorough examination of the commitments of the Council, and submitted a written report to many on August 14th. This report stated that the position was so complex, both legally and financially, that in its opinion a Committee of Management should be appointed to control all financial operations of the Council, and that other steps should be taken to ensure as far as possible the continuance of the Schools” (John Roberts Mosman, 1995 – Page 12 Annex A)

Context – Arab Oil Embargo as the Organisation of Oil Exporting Countries (OPEC) grips and strangles the world’s oil supply from the Middle East. This was the first global oil crisis, an oil supply disruption which led to the astonishing increase in the cost of fossil fuels worldwide. Inflation in the price of fuel had wide ranging effects on the cost of moving materials and construction in Australia causing the property development market to stall.

3 October 1973 – “The Committee of Management immediately resolved to seek the help of Messrs Allen Allen and Hemsley on all legal issues and Price Waterhouse and Co in unravelling the financial problems. Price Waterhouse and Co were not able to submit a complete statement until Thursday, October 3. This showed the total liabilities of the Council now amounted $7.5 million” (John Roberts Mosman, 1995 – Page 12 Annex A)

11 October 1973 – “A special meeting of Standing Committee was held Friday, October 11 to receive the report and confirm the decisions of the Committee of Management. The position as disclosed is one of enormous complexity, and it will take many months before the problems are solved. It is believed that the Schools have a continuing future though not necessarily in their present form. Certain reorganisation will be essential. Standing Committee was informed that the total accumulated trade debts amounted $312,000 (Close to $1.9m in 2020 equivalency). It was resolved to authorise an immediate advance from the Finance and Loans Board to discharge these debts and to instruct the Finance Committee to recommend a programme of repayment from sources which will not affect parochial assessments or deprive parishes of prospective assistance”

(John Roberts Mosman, 1995 – Page 12 Annex A)

23 October 1973 – The SCEGGS Council is dismissed and replaced by the SCEGGS Committee of Management at Synod 1973 (See John Roberts Mosman, 1995 – Page 13 for full list of Committee of Management Membership). “As soon as the synod adjourned about 7pm for the dinner break I dashed to the public telephone on Town Hall Station and telephoned the news to Mrs Humphrey, who, I think felt saddened but vindicated and to John Lang. John and I agreed on the phone that our first step was to call a meeting of parents. Under the same date a notice was issued by us jointly as Secretary and President respectively on the P&F associations letterhead and despatched the next day to all parents of the School calling a meeting for 23 October, 1974” (John Roberts Mosman, 1995 – Page 13 Annex A)

1973 – “Further meetings with the School Council in 1972 and 1973 but to little avail. Obviously, the scheme could not get off the ground, there was no City Council approval. There was no authority to demolish St Peter’s Church. Never the less that did not stop the School Council from borrowing $4.5 million by way of discounted bills through Bill Acceptance Corporation and commenced buying terrace dwellings and other residences on the Bourke, Liverpool and Forbes Street sites” (Crown Street, Surry Hills) (John Roberts Mosman, 1995 – Page 5 Annex A)

Mid 1973 – “In Mid 1973 Mrs Humphrey’s Headmistress, was told at a school conference by the Headmistress of another Anglican School that it was being strongly rumoured that Redlands was to be closed” (John Roberts Mosman, 1995 – Page 6 Annex A)

Sunday, Late November 1973 – John Roberts and his wife are invited to have tea with Mrs Humphrey. “In late November 1973, received a telephone call from Mrs Humphrey asking me would my wife and I visit her home for afternoon tea and she had something important to discuss with me. We did so and I was shocked when Mrs Humphrey told us that on the Friday the President of Council, Rev Prescott, had called on her at School and advised her that the Council would like her to resign and that it would be in her best interests to do so” (John Roberts Mosman, 1995 – Page 6 Annex A)

Context – “Mrs Humphrey asked me for my advice and I said “Refuse” she said it was already too late as she had already agreed to retire as she was vulnerable having no contract. I then advised that she should insist that the announcement of her resignation after 28 years of service and without notice to staff, students and parents be made by Archbishop Loane at the Speech Night in early December. That was done and the assembled Redlands Community was absolutely stunned” (John Roberts Mosman, 1995 – Page 6) (Letters between Rev Loane and John Roberts reproduced on Pages 6 – 9 Annex A)

1974 – “In 1974 the “rats” start to desert the sinking ship and children were being withdrawn, mainly to enrol at Queenwood and Wenona. One parent in particular who was my Vice President of the P&F Association and in line to succeed me at the end of the year, disgusted me by taking his two daughters to PLC Pymble. The only good news was that John Lang had become Secretary of the P&F Association and he agreed to step in and double as Vice President subsequently taking over from me as President in 1975” (John Roberts Mosman, 1995 – Page 10 Annex A)

“So, ‘the partnership’ was started and John and I used the first two terms of 1974 to send letters to parents, hold general meetings and tried to instil confidence in both the parent body and the wider community” (John Roberts Mosman, 1995 – Page 10 Annex A)

1973/74 – “We met with official from the SCEGGS Corporation, and engaged a CA from an Accounting Group to maintain or establish the fiscal position of the school Group, Bankers, Teachers, SCEGGS Executives, Independent schools executives for understanding the needs of operating schools, and in particular to establish our perspective on how we the Parents at Redlands after 84 years in operation might find an appropriate solution/solutions to maintain a further continuance of the school into the years ahead” (John Lang, 13 February 2020 – Page 1 Annex C)

“We were asked to undertake a continuing role of Trustees engaged to recommend what steps could be taken by us at Redlands to keep Redlands operational” (John Lang 13 February 2020 – Page 1 Annex C)

“As will be remembered we did reach a conclusion that we should purchase the school, if we can, as it was apparent the Diocese had no funds available to prop up the School Group, which left it up to us (Three Trustee’s) to negotiate a sale (Moss Vale) to take the Diocese out of its dilemma, and establish the new SCEGGS Parent Corporation for its survival” (John Lang 13 February 2020 – Page 1 Annex C)

“During one meeting with the Managing Partners then engaged in the SCEGGS Group operations Mr Rodney Moore after listening to some thoughts from John Roberts and John Lang, he asked us did we think we could manage the school, and how we would do it” (John Lang 13 February 2020 – Page 1 Annex C)

“We suggested that we could commence the operation with a six- year program for establishing our finances. This was a three- fold need. A) Without the closing the school we could expect a significant loss of students with probably insufficient income to meet the expenses in the first two years; B/ During the next two-year period we expected trading at best only with break-even results, and in the last two years of operations we should be able to generate a smallish amount of surplus to make a deposit into the seventh year” (John Lang 13 February 2020 – Page 1&2 Annex C)

1974 First two school terms – John Roberts and John Lang hold meetings and send letters trying to instil some sense of security into the Redlands Community

28 March 1974 – “The SCEGGS Council’s financial accounts were balanced at 31 December each year, reported to Standing Committee and tabled at Synod the following October. The Auditors declined to certify the 1972 accounts and yet this was not reported to 1973 Synod but kept secret. Company Directors acting in such a way in the commercial sphere would have been prosecuted” (John Roberts Mosman, 1995 – Page 14 Annex A)

“Why did this happen? Because the “Old Boys” closed ranks and because the Treasurer and Solicitor of SCEGGS Council, Mr RGS Glanville, had defrauded the council of a miserable $200,000 (of which $100,000 was recovered from the law societies fidelity fund) and he became the scapegoat and provided the whitewash” (John Roberts Mosman, 1995 – Page 14 Annex A) “Attention was focused on the misdeeds of Mr Glanville who had conveniently absconded to Brazil in the same year. Little attention was given to the $7.5 million of debt accumulated by the SCEGGS Council borrowing far beyond its resources while the Church hierarchy looked the other way” (John Roberts Mosman, 1995 – Page 14 Annex A)

19 June 1974 – “On June 19, I was advised of the probable intention of the Council to close the school at Moss Vale from the end of this year. This was subsequently confirmed at a special meeting of Council” (John Roberts Mosman, 1995 – Page 11 Annex A)

“In view of these developments, on June 19 I took the unusual step of writing to the Chairman of the Council. I said that the misuse of funds and the closure of the school at Moss Vale, added to the problems inherent in the current economic climate, forced me to the conclusion that there was an urgent need for and independent inquiry into the Council’s financial situation. The Executive Committee of Council concurred with this statement. I then appointed a panel of enquiry” (John Roberts Mosman, 1995 – Page 11 Annex A)

3 October 1974 – “Price Waterhouse and Co were not able to submit a complete statement until Thursday October 3. This showed the total liabilities of the Council now amounted to $7.5 million” (John Roberts Mosman, 1995 – Page 12 Annex A)

18 October 1974 – “I sought and was granted a private meeting in his office with the Archdeacon Cameron (Later Bishop) who had been appointed Chairman of the Committee of Management of SCEGGS. I told him of my involvement with the Church and School, of my wife’s association with Darlinghurst that we were donors of the building funds of both schools and I gave him a list of the funds and equipment which the Parents of Redlands had donated” (John Roberts Mosman, 1995 – Page 14 Annex A)

23 October 1974 – “240 very angry people in the Assembly Hall. I stood at the microphone with John Lang and Mrs Foote seated at the table and Mrs Diane Weaver taking notes. I gave the parents the whole background of the situation and details of the continuing endeavours of their P&F Association, commencing in 1971, to protect Redlands from the inevitable collapse of SCEGGS Council which we had anticipated” (John Roberts Mosman, 1995 – Page 15 Annex A)

“Several resolutions were passed but perhaps the most important was:

That a small committee be appointed to be prepared to make a bid for the School if collapse of the present school system does eventuate” (John Roberts Mosman, 1995 – Page 15 Annex A)

7 November 1974 – “Our next effort was to arrange a further meeting of parents on 7 November 1974 at the request of the of the SCEGGS Management Committee. Attending were Archdeacon Cameron (Chairman), Messrs Stacey Atken, G.R Christmas and J.M Dixon, members of the Committee, Mr N.M Cameron of Allen, Allen and Hemsley Solicitors and Mr R.I Moore of Price Waterhouse and Co Accountants” “Archdeacon Cameron handed the meeting to Mr Moore who gave some details of the expected enrolments and financial situation for Redlands in 1975”

“Mr Moore on behalf of the Committee of Management subsequently wrote to me and conveyed the Committee’s “Sincere thanks and appreciation for the assistance and moral support lent to it by yourself, Mr Lang, Mrs Zehnder and Mrs Lang”” (John Roberts Mosman, 1995 – Page 15 Annex A)

Context – “It was clear to me that Mr Rodney Moore was controlling the day to day affairs of SCEGGS and controlling finances so I phoned him at Price Waterhouse and took him for lunch at the Imperial Services Club” (John Roberts Mosman, 1995 Annex A)

“We had a mutually beneficial exchange of information and views. He was impressed that we had foreseen the collapse and had made constant endeavours as far back as 1971 to safeguard the interests of Redlands” (John Roberts Mosman, 1995 – Page 16 Annex A)

1975 – Rodney Moore, John Lang, Bruce Adams, Mrs Foote and I had further meetings from time to time and these helped to establish a good rapport. Rodney Moore came to understand how unfair it would be to sell Redlands to help clear the mess of Darlinghurst” (John Roberts Mosman, 1995 – Page 16 Annex A)

1975 – “Throughout 1975 there was much telephoning and letter writing on our part to keep pressure on the Church and Committee of Management. John Lang having taken over from me as President of the P&F Association, was really in his element and excelled himself” (John Roberts Mosman, 1995 – Page 16 Annex A)

September/October 1975 – “To our great surprise one day toward September/October 1975, Rodney Moore asked John and myself whether we thought we could manage a school on the Redlands site. Hardly believing our ears we both answered immediately “yes”. Then Rodney explained his idea that the SCEGGS Committee of Management would give us licence to occupy the campus and use all equipment and facilities and also to take over management of the peripheral cottages not used for school purposes. We would become responsible for raising all income (tuition fees, cottage rents etc) and for meeting all expenditure (Salaries, main and colour mortgage interest on cottages etc) and to run the school” (John Roberts Mosman, 1995 – Page 16 Annex A)

15 October 1975 – “On 15 October 1975, somewhat taking things for granted, I formulated and moved at the meeting of Church Synod the following motion:

Synod notes that SCEGGS Redlands, privately founded 1884 and governed by Councils elected by Synod and Standing Committee since 1945, will pass in 1976 to the management and control of the company to be established by SCEGGS Redlands Parents and Friends Association. Synod desires that the School remains a Church of England school and to that end requests Standing Committee, SCEGGS Council and The Parents and Friends Association to take such steps to ensure this for the future. Furthermore, Synod wishes to the parents and friends of the school in their new endeavour and pays tribute to their dedication, and devotion to providing a Christian education for their daughters in these difficult financial and social times”

“The motion passed and became Resolution 40/75 but not before quite a lot of debate and opposition” (John Roberts Mosman, 1995 – Page 16 Annex A)

Remainder 1975 – “1975 continued to be difficult for us and student numbers were falling as year 12 departed with insufficient new enrolments to replace them. Also, parents continue to withdraw their children through lack of confidence and in some cases, through dissatisfaction with discipline. One parent who took two daughters to Queenwood School told me that during his interview with the Headmistress there, she told them she knew for a fact Redlands was to be closed” (John Roberts Mosman, 1995 – Page 17 Annex A)

“As we all know well the Parents, understood the message, and stated “Buy the school – the alternate is not a choice” (John Lang, 11 March 2020 – Page 2 Annex E)

24 December 1975 – “Fortunately Rodney Moore Managed to succeed with his idea for Redlands to be separated as an interim measure, allowing us time to incorporate SCEGGS Redlands Ltd, the Committee of Management agreed to a Deed of License to occupy and manage Redlands between SCEGGS Council and three Trustee’s Bruce Adams, John Lang and myself. This deed was executed on 24 December 1975 thereby enabling us to commence operations on 1 January 1976. When incorporation of SCEGGS Redlands Ltd was affected 23 January 1976 a replacement deed between and our new company in place of the three trustees was executed on 1 March 1976. The subscribers to the new companies memorandum and articles of association were John Lang, Bruce Adams, Rodney Pegus, Charles Goldberg and myself” (John Roberts Mosman, 1995 – Page 17 Annex A)

“The deed of license gave us occupancy rights for six years expiring 31 December 1981, with an option to purchase at any time during that period. The Church gave us $50,000 so that, as Directors, we would not contravene the law by incurring liabilities without reasonable prospect of being able to effect payment. The loan was interest free and made on the basis that if our operating losses prevented us from making repayment of principle would be forgiven” (John Roberts Mosman, 1995 – Page 17 Annex A)

End 1975 –

“We had committed to undertake the steps necessary, to turn the school into a profitable operation, an improvement of the life and presence of our children, and above all to continue with the wonderful education tuition previously offered and in current practise” (John Lang Correspondence, 11 March 2020 – Annex E Page 3)

“A restatement of the 1975 business plan is;

Recognise a likely collapse in the school enrolments, believe or understand a dramatic student departure will occur, and a needed management/ownership plan will be needed for the Community at large, a dynamic student recruitment program will be very necessary, as well as a suitable six year financial plan to turn the school around to develop and gather enough finance, whilst above all else, “continuing” the same high standards of education, previously provided over almost a century” (John Lang 11 March 2020 – Page 2 Annex E)

1 January 1976 – SCEGGS Redlands Ltd commences operations. “John Lang forecast that we would lose more than $50,000 in two years, break even in the third year and after that commence operating profitably” (John Roberts Mosman, 1995 – Page 18 Annex A)

19 January 1976 – “Rodney Moore joined our Board on 19 January 1076 but was forced to resign by Church pressures over a possible conflict of interest on 1 November 1976. His help was guidance were invaluable” (John Roberts Mosman, 1995 – page 18 Annex A)

Context – “Despite Rodney Moore’s support we never felt we had the acceptance from the SCEGGS Committee of Management. We were quite confident that the hidden agenda remained for Redlands to fail, be sold and the proceeds applied to the benefit of Darlinghurst. With our holding the License the blame for failure would be ours, and the Committee of Management exonerated and cleared to pursue its agenda. The License in draft form originally divided the Redlands properties into two lots, Lot A and Lot B. Lot A comprised the property of school itself, while Lot B comprised the peripheral cottages held under mortgages and let to tenants. When the engrossed deed was presented to us for execution we discovered a new Lot C had been created which comprised the whole Military Road frontage back to a depth of about halfway across our only tennis court and all the present staff cottage

“We were dismayed at the introduction of Lot C without consultation because under the terms of the deed it could be withdrawn from our six years control and we would lose our option to purchase. When we protested we were told it had been done at the insistence of the principle creditor Bill Acceptance Corporation, although the Company held no security over Redlands properties, only over Darlinghurst. However, the Committee of Management gave us an assurance that we could be consulted before any action was taken regarding Lot C.

We immediately sought a conference and asked why the Committee of Management had not honoured its promise to consult us. The Committee’s line response was that it had no record of having given any undertaking. No denial of the undertaking, no apology, just “no record”. Eminent Anglican churchmen” (John Roberts Mosman, 1995 – Page 19 Annex A)

“However we thwarted the devious plan to create a very saleable commercial site with main road frontage. I wrote a letter to North Sydney Council giving as many reasons as I could to retain the school zone (trees, space, the children, off street parking for staff etc) and we were rewarded when the Council refused the application for subdivision and rezoning” (John Roberts Mosman, 1995 – Page 19 Annex A)

Mid 1976 – “Bill Acceptance Corporation started calling in its debtors and you will remember it had advanced bill finance of $4.5 million to SCEGGS Council with security taken over the Darlinghurst School and properties. With unpaid accrued interest the amount owing had grown to $5.9 million and Bill Acceptance Corporation demanded repayment” (John Roberts Mosman, 1995 – Page 19 Annex A)

October 1976 – “When the Archbishop had made his statement in 1974 advising the financial predicament of the SCEGGS Council he also announced the establishment of the SCEGGS Assistance Fund” (John Roberts Mosman, 1995 – Page 21 Annex A)

“By October 1976 the SCEGGS Assistance Fund comprised” over $1.4 million” (John Roberts Mosman, 1995 – Page 21 Annex A)

“John Lang and I had always hoped Redlands would receive some substantial share of this Assistance Fund but we sat at the second meeting of Darlinghurst parents and listened while the Committee of Management promised the bulk of it towards the clearance of Darlinghurst indebtedness” (John Roberts Mosman, 1995 – Page 21 Annex A)

End of 1976

“Now, all these years we had been refused any information on the financial situation in the borrowings of the SCEGGS Council. However, we had done our own ‘sleuthing’ and we were able to piece together little by little the following picture:

Darlinghurst owed $5.9m – to The Bill Acceptance Corp Wollongong owed $1.9m – Bank of NSW Moss Vale owed an unknown amount – likely to MLC Redlands owed $0.8 – Beneficial Finance

We started to develop our strategy. By the end of 1976 the position of the five schools was;

Darlinghurst – sold to Parents

Loquat Valley – Sold to Council for the promotion of Sydney Church of England Diocesan Schools

Moss Vale – Closed and properties sold

Wollongong – Integrated with Illawarra Grammar and properties to be sold

Redlands – Managed under license by SCECGS Redlands Ltd” (John Roberts Mosman, 1995 – Page 22 Annex A)

Although Bill Acceptance Corporation had agreed to discharge its Darlinghurst mortgages for $3.4 million it still remained an unsecured creditor of SCEGGS Council for the balance owing, that is $2.5 million” (John Roberts Mosman, 1995 – Page 22 Annex A)

“At this stage you will recall that MLC Assurance and Beneficial had equally ranking mortgages over both Moss Vale and Redlands. We obtained an interview at Management level with Bank of New South Wales and put our case. We had no right to discuss with the Bank the affairs and indebtedness of their customer SCEGGS Council but we personally knew the Assistant General Manager concerned and he trusted us. We urged the bank to take a mortgage over Redlands. What would be the value of a third mortgage ranking behind MLC Assurance and Beneficial Finance we were asked. Keep Redlands operating until Moss Vale is sold and those two mortgagees are paid out from the proceeds and your third mortgage on Redlands would become a first mortgage, successfully keeping Bill Acceptance Corporation at bay. We replied.

Thank goodness the Bank of NSW saw the logic of our request, and took a mortgage over Redlands.

In due course Wollongong was sold, proceeds to the Bank of New South Wales. Then Moss Vale was sold and proceeds were sufficient to clear Beneficial Finance and partly clear MLC Assurance with the balance of $339,000 being provided by the Glebe Administration Board of the Church which took over MLC Assurances mortgage on Redlands to finally clear MLC Assurance. This arrangement left the Bank of New South Wales as a second Mortgagee in Redlands securing a debt of $1,407,000 reduced from $1,892,000 by the sale of Wollongong for $485,000. (Note: some of the dealing between MLC Assurance and the Glebe Administration Board is surmised only and was not known to me at the time but has been constructed as a probability from later events.

It may not be accurate but the results are the same and this mortgage ex-MLC Assurance would become part of the ‘GAB Mortgages’ held over our heads until 16 April 1994, being 10 years after the completion of the purchase of the school)” (John Roberts Mosman, 1995 – Page 23 Annex A)

1977 – “In 1977 the SCEGGS Council was again reconstituted (taking control back from the Committee of Management), the new Members being Messrs RHY Lambert (Chairman), W.A Drain, R.S Gould, G.B.V King and W.O Wilson and the new Council appointed the Glebe Administration Board as manager of its activities in place of Price Waterhouse and Co.

Under the terms of our Deed of License to occupy and manage Redlands dated 1 March 1976 , it was required by clause 13 (I) that representatives of Redlands and the SCEGGS Council should ‘meet together in the presence of a representative of the Bank of New South Wales from time to time on days which are acceptable to them and to the said bank during the first 21 days in October 1976, in October 1977 and in October 1978 for the purpose of considering whether the school should be continued and if so, the basis on which the School should be continued.

The meetings with the Bank in 1976 and 1977 gave us the message that the bank was hardening in its attitude towards SCEGGS Council and was looking for proposals to clear its debt. On the other hand we felt that SCEGGS Council would be happy for its problems to be solved by us failing and Redlands being closed and sold along with Wollongong. So, we became the meat in the sandwich and our position was most tenuous” (John Roberts Mosman, 1995 – Page 23 Annex A)

Closing months 1977 – would see two events that would be vital to Redlands survival.

October 1977 – “In October 1977, Mr Robert Sauer (now a parent of the school), Solicitor of Priddle Gosling (now Barker Gosling) advised that Mr Richard Fahl whose late daughter, Lynette, had died while a student if the school, had drawn a new will leaving his residuary estate to the School” (John Roberts Mosman, 1995 – Page 24 Annex A)

November 1977 – “in November 1977 the School Board resolved that boys who had enrolled that year in the form 6 would be allowed to progress to form 7 in 1978 and also boys would be allowed to enter the School in Form 7 in 1978 thereby inaugurating co-education in the senior school” (John Roberts Mosman, 1995 – Page 24 Annex A)

1978 – Church tries to sell St Peters Church (RD Records)

1979 – “So now we faced 1979, the year of financial reckoning with the bank” Student enrolments of 290 and an operating income of $581,448, promising a profit for the year of $17,512. However, although that would represent a successful turnaround from our beginnings in 1976 it did not provide much financial strength to face the mortgagees of our School, Mainly the Bank of New South Wales $1.407 million and unknown to us (thank goodness) Glebe Administration Board $339,000 (taken over from MLC Assurance). These debts secured by mortgages over our School were the debts of the SCEGGS Council, the owner of the school and its properties. We sat there between the two parties trying to run the School under a License scheduled to expire at the end of 1981 and with the Bank’s patience exhausted over the failure of SCEGGS Council to offer any proposals for solution of the impasse” (John Roberts Mosman, 1995 – Page 25 Annex A)

28 April 1979 – On 29 April 1979 we forwarded a letter setting out our understanding of all the difficulties which had arisen over the years between the bank and its debtor-customer SCEGGS Council. We then proceeded to point out that a dedicated group of parents had been endeavouring since early 1971 to save Redlands School from being submerged in a financial morass in which it should never have been involved. We expressed our desire to cooperate as far as possible in seeking a reasonable settlement of the SCEGGS Council’s indebtedness but we advanced the opinion that the publicity that would arise from a mortgagee’s forced sale of a church school would not be in the best interests of any of the parties involved. Also we submitted that a large portion of the SCEGGS Council debt would be accrued interest and that surely the Bank, knowing the unlikeliness of its payment would not have taken into profits and paid tax thereon. Therefore, we proposed determination of an appropriate figure for early settlement and suggested that figure should be the original principle loan and interest accrued as at October 1974 reduced by proceeds of sale of the Wollongong School. We assessed this figure as being $400,000 and asked would the Bank be prepared to release SCEGGS Council from its total indebtedness and discharge all securities against payment of that amount” (John Roberts Mosman, 1995 - Page 25 Annex A)

11 May 1979 – “the Bank acknowledged receipt of our ‘constructive and reasonable’ letter but deferred a reply until the return from leave in early June of the Manager concerned” (John Roberts Mosman, 1995 – Page 25 Annex A)

25 June 1979 – “we were requested to attend a meeting with the Bank and SCEGGS Council on 25 June 1979. We duly attended with feelings of great anxiety and wondered what would happen whereas the Church representatives appeared rather confident and complacent.

Both sides received a shock

After opening pleasantries Mr Tom King of the Bank, Royal Exchange Branch went straight to the point, saying that at the time of introduction in 1967 of the new year 12 school year the church had approached the Bank for its assistance and understanding of the financial strains which would be placed on Church schools. Mr King then stated “the Bank was assured by a senior dignitary of the Church that it would suffer no loss. The Bank now feels abandoned.

Mr King went on to say Redlands letter was “greatly appreciated as a tangible step forward” and that the Bank would release the School for $400,000 for “the school to survive” but the bank would require a “definitive arrangement within three months”. Mr King then stated that the Bank’s gesture was made “for the benefit to flow to the parents” that is not just SCEGGS Council (John Roberts Mosman, 1995 – Page 26 Annex A)

4 July 1979 – “On 4 July 1979, Secretary of the Diocese wrote” (John Roberts Mosman, 1995 – Page 26 Annex A) The letter is reproduced on page 26. A portion of this letter states - “As I understand the position, a further meeting is to be held on 11 July and your Company’s representatives have been invited to submit an offer to purchase the Redlands properties.

An offer of that kind could well involve the Standing Committee and, if it is the case I have been authorised to invite up to three representatives of your Company to attend the first half hour of the Standing Committee meeting at 6pm on Monday 30 July in the Cowper Room at St Andrew’s House” (Portion of letter – John Roberts Mosman, 1995 – Page 26 Annex A)

8am 11 July 1979 – “Subsequently we held discussions with the SCEGGS Council representatives at 8am om 11 July 1979 to discuss in general terms the results of our meeting with the Bank and to explore our proposals for purchasing the School.

Although the bank had made a generous offer there was still no decision on what actions would follow. However there seemed to be a more favourable attitude towards us developing in Church governance circles probably helped by members of the SCEGGS Council who now knew us better, by Bishop Donald Robinson (Later Archbishop) who had met with John Lang and by Mr Warwick Lewarne, a Member of the Church Property Trust, auditor of our Company and parent of the school” (John Roberts Mosman, 1995 – Page 27)

23 July 1979 – “On 23 July 1979 we accepted the amount of $23,332 in final settlement of our long-standing claim against SCEGGS Council for long service entitlements accrued prior to the commencement of 1976 of our management of the School” (John Roberts Mosman, 1995 – Page 27)

30 July 1979 – John Lang address to the Standing Committee of Synod and put our case for acquisition of the School. Standing Committee was quite a formidable body comprising the Archbishop as Chairman, five Bishops, 18 clergy and 25 laymen, a total of 49 in all were present, many of whom were hostile towards us. In his usual style John was thoroughly prepared and his presentation was first-class and straight to the point. He was excellent and I felt like cheering but that would never do in such company” (John Roberts Mosman, 1995 – Page 27 Annex A)

“Subsequently we met representatives of SCEGGS Council on site at the school to discuss the proposed sale of all peripheral cottages and the Scout Hall with its land (now the main playground of the Preparatory School) We pleaded a case for retention of cottages 25 and 27 Waters Rd, 7 Gerard Street and the Scout Hall but because of cash needs regretfully agreed to the sale of cottages 9 and 13 Gerard street and 8,10,12 Winnie street. Of course, we were not privy to the negotiations which were proceeding between the Bank of NSW and Glebe Administration Board. We knew of the bank’s mortgages over the school and some cottages, but we did not know of the Glebe Administration Board Mortgage over the school which it had taken from MLC Assurance at the time of the Moss Vale sale. In the long run it appeared the Glebe Administration Board acted as banker to the SCEGGS Council and paid out the Bank of NSW some $700,000 of the debt of $1.4m, the Bank apparently receiving $400,000 for the School, some $300,000 for the cottages and forgiving a balance of $700,000 (Largely accrued interest” (John Roberts Mosman, 1995 - Page 28 Annex A)

10 August 1979 – “The situation became clearer when we met representatives of the SCEGGS Council on 10 August 1979” (John Roberts Mosman, 1995 – Page 28 Annex A) (Full Memorandum Reproduced pages 28,29& 30 Annex A)

Without commitment from any party ‘firm common ground’ was established which on my understanding is as follows:

1. The Glebe Administration Board would approach the Bank of NSW for it to accept a cash settlement of $700,000 against assignment of all its mortgages to the Board and release in full of SCEGGS Council from any indebtedness

2. Full details of arrangements with Redlands, to continue the School, will be divulged to the Bank including [Churches] intention to apply for rezoning and development approvals for some cottages”

(John Roberts Mosman, 1995 – Page 28 Annex A)

Context – “At first reading of the Memorandum you may think the Glebe Administration Board was being generous with its deferred, subordinated and interest free mortgage but remember that was simply keeping a grip on us by using the $700,000 forgiven by the Bank of NSW and keeping undischarged the mortgages over our School assigned to the Board at settlement by the bank and, earlier by MLC Assurance. These mortgages became the GAB mortgages held over our heads until 16 April 1994, which was the date 10 years the date when we made our final payment of the principle and interest for purchase of the school” (John Roberts Mosman, 1995 – Page 30 Annex A)

Context – “Purchase was a stumbling – stuttering process from 1975 (last term) through to October 1979, and then through up to 1991, when the purchasing process had come to an end” (John Lang, 7 February 2020 – Page 1 Annex D)

“This period was from 1981 until 1991, or earlier if it could, and should payments have been made been paid at higher rates during and prior to the end of 1991. That of course did happen and settlement was met I believe, and prior to the specified timeframe. We were less concerned than we had been prior to the 1991 deadline, for we had in 1989 negotiated the purchase of a second and vacant campus, adjacent to our own campus for $15 million, and we were quite busily minded in that transaction, prior to 1991” (John Lang Correspondence, 11 March 2020 – Annex E Page 3)

August 1979 – “Following our meeting of 10 August 1979, then ensued a period of protracted negotiations between the three parties involved namely The Glebe Administration Board, SCEGGS Council and the new SCEGGS Redlands Ltd. The other two parties engaged the services of Mr N.M Cameron of Allen Allen and Hemsley, and we were assisted superbly by the late Mr Alastair Bluett Priddle Gosling who displayed excellence, great patience and wisdom at our many conferences.

We were forced to accept several amendments to our Memorandum and Articles of Association, notably those giving membership of our company to the Church Secretariat, the Secretariat’s right to Board representation, the Secretariat powers of appointment and removal of chaplains, the Secretariat’s powers of veto regarding the appointment and removal of Principals and a special Article 38 giving the Secretariat complete control if it chose, over General Meetings of Members. We had no choice and accepted reluctantly” (John Roberts Mosman, 1995 – Page 31 Annex A)

JOHN ROBERTS SAID TO MANY SENIOR MEMBERS OF THE COMPANY IN THE 1980’S AND 90’S AND MORE RECENTLY THAT “WE EFFECTIVELY HAD A GUN HELD TO OUR HEADS AND WERE FORCED TO ACCEPT THE AMENDMENTS AND THIS NEW ‘ARTICLE 38’”

John Roberts emphasised that it was in the negotiations with the Church well after the full agreement was made for the Church to sell, and the SCEGGS Redlands Company to buy the School that these amendments were introduced… “We were seeing them for the first time” (John Roberts, 1995)

John said many times over recent years ‘we had no choice, we had no choice’. For us to reach agreement and for the school to remain open we had to accept these new amendments…

‘It was clear that if we had not accepted these articles that the SCEGGS Council and Glebe Administration Board, would have drawn out negotiations without resolution and probably would have led to Redlands closure’

1992 – John Lang, at the opening of the Lang Building (Gymnasium) said;

“SOME YEARS AGO, WE PURCHASED THE SCHOOL. We have, however, to remain on site until 1994 to conclude the last of the purchase conditions and then we shall be home free of any hiccups with the Cremorne site. We are, as funds permit, purchasing properties around the campus, not because we want to be landlords, but rather because we need those properties to help us serve the students (John Lang Address 1992 – Page 2 Annex B)

“Perhaps I could say “We (SCECGS Redlands Ltd) have only just begun” – when I say – we have picked up the ball, we have redressed the problems of the early seventies, and now we are re-launched to take the school, as a leader of education in this country, into the twenty first century”

(John Lang Address, 1992 – Page 2 Annex B)

28 March 1980 – “Finally, compromise having been reached, we achieved ownership of the school on 28 March 1980 with execution of three documents;

1. Contract for Sale of Land between SCEGGS Council and our Company – purchase price $1

2. Deed of Agreement between Glebe Administration Board and our Company governing terms of our payments of $591,000 for actual acquisition of school

3. Deed of agreement between SCEGGS Council and our Company authorising use of “SCEGGS”, the badge, the motto, “Church of England” and “Anglican” (John Roberts Mosman, 1995 – Page 31 Annex A)

30 June 1983 – “Fortunately the sale of peripheral cottages, especially Nos 8,10 & 12 Winnie Street attracted higher than expected prices and the minimum sales proceeds figure of $432,000 required under our deed with the Glebe Administration Board was exceeded by some $176,000. In terms of the Deed this excess benefited SCEGGS Redlands Ltd and correspondingly reduced our original settlement liability of $591,000. Together with some advance payments we had made in addition to our annual instalments in 1981 and 1982 cover our balanced view was reduced to $170,000 by 30 June 1983. By 16 April 1984, the amount owing had been further reduced to $155,000 plus current interest due of $3,180, and at this stage we decided to borrow from the bank and pay out the Glebe Administration Board in Full.

Under the terms of our Deed with the Glebe Administration Board governing our acquisition of The School we were required to make upfront payment of $150,000 and annual instalment’s commencing $20,000 in 1980 rising annually in steps to $60,000 until 1990” (John Roberts Mosman, 1995 – Page 31 Annex A)

1989 – “Before 1991 came all our obligations at Redlands had been completed and in fact we had already paid out the ten Glebe Management Trust instalments we accepted to meet that decade. Prior to 1991 to ensure our torturous process of purchase had been completed, I should have imagined a loud Hallelujuh rang out about 1989 when this major achievement was marked and entered into our diaries” (John Lang Correspondence, 13 February 2020 – Page 2 Annex C)

1992 – John Lang addresses the opening of the new Lang building gymnasium; “It is singularly the largest undertaking we have attempted since we purchased the school in 1976 and it will create many bonuses for us” (John Lang address - Opening of the Lang Building, 1992 – Page 1 Annex B)

“It is my belief however, that Redlands has made many contributions in recent years as it turned its campus into a co-educational institution, as it appointed a Chief Executive as Headmaster whose based on the future of education and not just historical achievements” (John Lang Address - Opening of the Lang Building, 1992 – Page 1 Annex B)

“PP McGuiness of the Financial Review touched base on why we should be interested, when he wrote the following at the end of his April 19th (!992) comment on “Testing the Schools”

I Quote “If the teacher dominated State school system cannot be trusted to produce reliable assessments of student, teacher, and school performance these will have to come from outside the system. A little competition can do wonders” end quote. To add to Mr McGuiness comments we at Redlands are accountable in all we do. (John Lang Address – Opening of Lang Gymnasium 1992 – Page 2 Annex B)

Summary Commentary Taken from John Lang (Various Sources) and John Roberts 1995 Memorandum

“Our first estimate after the period of 1981 had enabled us to return Boys into the school, after many many years, and enabled us to return Redlands into “A FAMILY SCHOOL” rather than a Co-Educational School hence the need for the Family School to become parent owned, and managed school with an Anglican Ethos, the goal we in Redlands had set out to achieve back in 1975/76” (John Lang, 11 March 2020 – Page 3&4 Annex E)

“This despite its request as early as 1976, when I as Chairman elected to follow my business experience that states you should never let outsiders of your business control your business, and so throughout the period 1975 – 2000, I always insisted on a show of hands with a singular solo-vote on all business needs” (John Lang, 13 February 2020 – Page 3 Annex C)

“Two major events in late 1977 affected the school. One was the enrolment of boys in senior classes and the other was the notification of Mr Richard Fahl’s will naming the school as residuary beneficiary. Sadly, Mr Fahl Died on 21 October 1978and the main residual asset of his estate, his home at 11 Pretoria Avenue Mosman, was sold on 20 March 1979 for $112,000 with settlement on 21 August 1979. The distribution of the estate provided us with the bulk of the funds to make our upfront payment” (John Roberts Mosman, 1995 – Page 32 Annex A)

“The school survived for many reasons but one major reason was the benevolence of the late Richard Fahl, and we should honour his memory in perpetuity”

(John Roberts Mosman, 1995 – Page 32 Annex A)

“All we were acquiring was a wonderful educational body but in need of business repair. It was logical we would lose some students and some income, lo and behold out of the 686 students we lost about 500, which means we lost 72.88%, as well as quite a few of our subsidised scholarship students and the staff and Diocese parent children. It proved to be a correct business assumption and regretfully it did hamper our corrective processes of that six years” (John Lang, 13 February 2020 – Page 5 Annex C)

Note: This timeline is an official document as written by Joshua Cornish.