unlawful for a person to provide benefits only to persons of a particular sexual orientation, if (a)he acts in pursuance of a charitable instrument, and. (b)the restriction of benefits to persons of that sexual orientation is imposed by reason of or on the grounds of the provisions of the charitable instrument It should be noted at the outset that Reg 18 is not a "legal loophole" nor is it something specifically added to the SOR's so as to disadvantage homosexuals, the same provision applies in all the other varieties of Anti-discrimination law and allows Charities to obtain exemptions from those laws. This is is based on the recognition that people can set up Charities for a wide range of reasons. For example lets say a successfull Black businessman wanted to set up a fund to give scholarships to poor black youths or a Scottish businessman wanted to set up a charity to help homeless Scots in London; such Charities would be racially discriminatory but that discrimination would be allowed under Race Discrimination legislation. Similarly a Charity helping battered women would discriminate on the grounds of sex and a Charity helping the deaf would discriminate on the grounds of disablity but in both cases that discrimination would be legal. Catholic Care therefore decided to amend its Charitable objects to add the following clause "The Charity shall only provide adoption services to heterosexuals and such services to heterosexuals will only be provided in accordance with the tenets of the Church. For the