August 2016

Dear LIPS members,

My name is Stephen Hare and I represent Sovereign Trust (Guernsey) Limited which acts as the Trustee of the Aircrew Protection International (API) Trust in Guernsey, UK.

As you may be aware, in May of 2015 the Emirates Pilot’s Loss of Income Protection Scheme (LIPS) was rebranded as Aircrew Protection International. Over the past year the API leadership has been instrumental in making your loss of license plan and the fund, where you have been making your contributions, more secure and an important part of that effort was the establishment of the API Trust.

Before I go further, let me explain what a trust is. A trust is a legal relationship whereby property (the fund) is held by one party (the trustee) for the benefit of another (the members, who are all beneficiaries of the Trust). While the trustee is given legal title to the fund, in accepting it the trustee owes a number of fiduciary duties to the beneficiaries including: utmost good faith, impartiality and acting in the best interests of the beneficiaries. The Trustee is licensed and regulated by the Guernsey (UK) Financial Services Commission.

Why was the decision made to place your fund into trust? The API (formerly LIPS) leadership has been exposed to the same trials as the members, the closure of salary deductions by EPC, the decision by Standard Chartered Bank to close their Small and Medium Business Account with no notice, the massive workload and cost of credit card payments and the basic unreliability of the UAE banking and legal systems in general and the reflection all these events had on the leadership. The decision was made, therefore, to place the Plan, and the fund, in a stable and regulated environment on behalf of the membership. The leadership approached the Trustee who, on your behalf, has acquired LIPS Holdings, LTD and the ADIB bank account where you have been making your contributions.

What does this mean to you, the LIPS members? First, that the fund is safe and in a regulated environment. Second, that your contributions will continue as they did before. Third, that the Trustee (as advised by the API leadership) will be responsible for the legality, continuity and management of the Plan. Lastly, the Trust will enable you to make separate contributions into a separate retirement savings plan should you wish. More information is available from the API leadership.
What will be required of you, the Membership? Each of you will be required to fill out an Application to the Trust which will then make you a legal beneficiary of the Trust. With the roll-out of the new website at the Trust Application has been incorporated into both the registration page and the page to update your personal information. All you have to do is make sure the information is correct, click ‘submit’ and a pre-populated application will be emailed to you with instructions on how to deliver it locally in Dubai.

You can download a copy of the rules of the Plan from the API website. A copy of the declaration establishing the Trust can be requested, or any questions answered, via a support ticket at

The API leadership realizes the stress the last year has had on the membership and hopes you are as pleased with the new arrangement as they are.
Thank you and warm regards,

Stephen Hare
For and on behalf of
Sovereign Trust (Guernsey) Limited
As Trustee of The Aircrew Protection International Trust