Exhibit 99.1

                     CAPITAL ALLIANCE INCOME TRUST ANNOUNCES
                             DIRECTOR'S RESIGNATION


SAN FRANCISCO - (BUSINESS WIRE) - August 17, 2007 - Capital Alliance Income
Trust Ltd. ("CAIT") (AMEX:CAA-News) a real estate investment trust ("REIT"),
announced that H. Thomas Fehn has resigned from its Board of Directors. Mr. Fehn
noted that no disagreements existed with CAIT's Board of Directors or its
management.

CAIT will promptly address the need for a replacement independent director to
join its Board of Directors. CAIT's Board is now comprised of three
non-independent directors and two independent directors. As an AMEX small
business company, CAIT is required to maintain at least an equal number of
independent directors.

CAIT is a specialty residential lender, which primarily invests in high yielding
mortgage loans located in California. Historically, only residential loans with
a combined loan-to-value of 75% or less are accepted for investment.

This document contains "forward-looking statements" (within the meaning of the
Private Securities Litigation Reform Act of 1995) that inherently involve risks
and uncertainties. CAIT's actual results, operations and liquidity may differ
materially from those anticipated in these forward-looking statements because of
changes in the level and composition of CAIT's investments and unseen factors.
As discussed in CAIT's filings with the Securities and Exchange Commission,
these factors may include, but are not limited to, changes in general economic
conditions, the availability of suitable investments, fluctuations in and market
expectations of fluctuations in interest rates and levels of mortgage payments,
deterioration in credit quality and ratings, the effectiveness of risk
management strategies, the impact of leverage, the liquidity of secondary
markets and credit markets, increases in costs and other general competitive
factors.


Contact: Capital Alliance Income Trust
         Gregory Bronshvag, Vice President and Corporate Secretary
         (415) 288-9595   gbronshvag@caitreit.com
         www.caitreit.com