THE family of murdered York backpacker Caroline Stuttle is setting up a memorial fund to help other young people realise their dreams.

The York Diocese revealed today that an initial collection for the appeal - which is still in its early stages - will be held at Caroline's funeral, which is to take place on Tuesday.

The vicar of the Huntington Team Ministry, the Rev Chris Cullwick, who will lead the thanksgiving service and give the funeral address, said today: "The family are very keen that some good should come out of what has been such a terrible event.

"There will be an opportunity for people to contribute to this fund at the funeral. The family have not decided what form the fund will take."

Caroline's parents, Alan and Marjorie Stuttle, have previously said they are eager that her death should not put off young people from backpacking abroad, or prevent their parents allowing them to go on such trips.

In a joint statement issued after Caroline's death, they said: "Those of you that have daughters, please believe in their dreams, and let them pursue their desire to travel and experience life. Let them fly." Family friend David Marks said today that it was hoped the fund would be called the Caroline Rainbow Foundation - "because she was following her dream at the end of the rainbow".

The aim was to help backpackers abroad who got into difficulties, for example because thay had been robbed or needed medical help.

He said the family was in the process of registering the charity, but in the meantime a bank account had been set up, and donations were welcome.

"We have already been overwhelmed by people's generosity in response to this," said Mr Marks.

Businesspeople at a York Business Network luncheon yesterday gave substantial donations after being told about the appeal.

Caroline's funeral will take place at noon on Tuesday at All Saints' Church, Huntington, followed by a strictly private burial at New Lane Cemetery, Huntington. The service will also include tributes by family friend Brian Gledhill and Caroline's former psychology tutor at York College, Jo Taylor. The Lord Is My Shepherd and Abide With Me will be sung at the service.

A Bible reading from the book of Revelation will be given by family member Michael Kempson.

Meanwhile, an inquest into Caroline's death was formally opened and adjourned by the York Coroner, Donald Coverdale, in York yesterday.

Mr Coverdale said he was grateful for the courage of Caroline's father in formally identifying her body.

Caroline, 19, from Huntington, York, died on April 10. Police believe she was robbed and then pushed 30ft off a bridge in Bundaberg, Queensland.

A post-mortem report revealed she had died from head and spinal injuries.

"It's neither appropriate or necessary to make further any inquiries at this stage," Mr Coverdale added.

"I adjourn this matter to a date to be fixed, and await the outcome of police inquiries in Australia."

- Police in Australia are still interviewing people and following up on information provided by the public to track down the killer.

Updated: 13:34 Saturday, April 20, 2002