Amendment of charitable trust deed and removable of trustees.
Sridhar
(Querist) 04 February 2015
This query is : Resolved
Dear Experts,
I am unsure of how to remove the trustees as there is no clause included in trust deed. What procedure I need to follow?
Also, can you please let me know how to amend the rights of managing trustee. The procedure for amending is not included and no clause is mentioned in trust deed.
Can you please guide me. Thanking you.
Regards,
Sridhar
ROHIT SHARMA
(Expert) 04 February 2015
Dear Mr, Sridhar,
1. The contents of the trust deed are final i.e. if such deed is registered with the Charity Commissioner. Neither the trustees can be removed nor amendments can be made.
2. If need be for private legal consultation get my contact details by clicking my name shown in the L.H.S. margin of this reply format provided that you agree for to pay some moderate remuneration.
Sridhar
(Querist) 04 February 2015
Dear Rohit Sharma,
Thank you for advice. But the charitable trust is registered with Joint Sub Registrar in Andhra Pradesh. Does this have any possibility for amendments or removal. Any advice from you is of great help.
Thanking you.
Regards,
Sridhar
T. Kalaiselvan, Advocate
(Expert) 04 February 2015
You may see the contents of the trust deed in which it will be clearly mentioned about the appointment and removal of trust members including the managing trustee.
Section
72 of the 1993 Act, as amended by the Charities Act 2006, provides a long list of those
who are excluded, including those convicted of offences of dishonesty or deception,
bankrupts and those who have made a composition with creditors, those who have been
removed from charity trusteeship by the Commission or the court and those who are
disqualified from company directorship. To assist them in enforcing such ineligibility,
the Commission keeps a register of those removed from office, and it is also empowered
to waive the disqualification upon application from the person disqualified. The Act also
makes it a criminal offence to act as a trustee while disqualified.
In addition to the general powers and duties of trustees, charity trustees have specific
duties which include seeking registration, informing the Commission of any changes in
the charity, and informing it if the charity ceases to exist. Their powers include the right
to seek the advice of the Commission on any matter to do with the charity. They may be
removed by the Commission for misconduct or mismanagement.
Sridhar
(Querist) 04 February 2015
Dear Mr. Kalaiselvan,
Thank you for your advice. While registering the charitable trust we did not include any rules or clauses about amendment to the existing rules or removal of any member in the trustee. My question is as we did not mention anything about this in the trust deed, how should we approach this situation now.
Any advice will be of great help!
Thanking you.
Regards,
Sridhar
kavksatyanarayana
(Expert) 05 February 2015
@Sridhar, if you have not included and rule or clause in the trust deed, cancel it, and a fresh deed get to be prepared by a senior lawyer or document writer and register the deed.
Advocate Ravinder
(Expert) 05 February 2015
Sections 70 to 76 deal with appointment of new trustees and vacation of the office of trustees. Section 77(d) deal with whether the trust shall be irrevocable or revocable and if revocable under what circumstances. If there is no specific clause in your Trust Deed, the laws of Indian Trust Act will prevail. Go through the following link:
http://www.vakilno1.com/bareacts/indiantrustsact/indiantrustsact.html
T. Kalaiselvan, Advocate
(Expert) 05 February 2015
You have been given the extract of the relevant provision of the law so that no further doubt should arise in your mind in this regard. The law is very clear whether you included the terms governing the conditions for appointment/removal of the managing trustees or other trustees, please consult a local lawyer for further advises and issues.
Rajendra K Goyal
(Expert) 06 February 2015
If the provisions of removal of trustee are not there in the rust deed, consult local lawyer dealing in trusts and get the procedure and scope how to proceed.
Sridhar
(Querist) 06 February 2015
Thank you to all experts for the advice.
I will take help from a local lawyer.
Dr J C Vashista
(Expert) 06 February 2015
Seek help, consultancy and service of a local lawyer.
