Public charitable trust accounts
p phipson
(Querist) 06 August 2017
This query is : Resolved
The approved R/R by the Charity Commissioner states that the cheques have to be signed compulsorily by the Hon Treasurer and the Hon Secretary jointly (but if one is out of town then the other signs together with a member authorized by the Managing Committee. The Public Charitable Trust Accounts are with a Coop Bank close by to the Adm. office of the Trust. It is found that the M.Committee has changed this and filled up the Operating Form with a MC Resolution stating that any two of four office bearers can sign the cheques (with the approval of the Charity Commissioner).
Due to differences between the office bearers, more often than not they do not take the signature of the Hon Secretary but get someone else among the 4 to sign.Is this not illegal?
Bank knows that this Saving Bank Account is a Public Trust Account but claims they not concerned with the Trust Rules and only go by Resolution given to them by the President regardless.
There is an allegation that there has been fiddling of the Trust funds in this manner?
Pls give me your valued opinion as I am a Life member of the Trust for the last 35 years.
P. Venu
(Expert) 06 August 2017
It is better that the matter is taken up with the Charity Commissioner.
Rajendra K Goyal
(Expert) 07 August 2017
Inform the Bank that this is trust account and if operation of account permitted against the Trust deed, Bank would be liable.
Meanwhile take up with the Charity Commissioner.
