MANAGEMENT OF TRUST


There are no statutory provisions or guidelines available for the management of Trust. For the good management of a Trust, it is important that the Trust Deed should specify rules and regulations with regard to :

i)
Holding of Meetings
ii)
Quorum of Meetings
iii)
Chairman of Meetings
iv)
Adopting a resolution
v)
Delegation of Functions
vi)
Fixing of Accountability
vii)
Sources of Income, including receipt of grants
viii)
Modes of Investment
ix)
Modes of application of funds, towards attainment of the objectives
x)
Prohibition on use of funds for specified purposes
xi)
Treatment of unutilized funds in the event of windingup
xii)
Statutory audit and other legal formalities
xiii)
Opening & Operation of Bank Accounts

 

 

 

 

 

 

 

 



STATUTORY AND MANAGEMENT COMMITTEES

Unlike a company or a society, the trust does not have a General Body, from which the Governing Body is elected. The trustees are the ultimate authorities of a trust. Therefore, all the Trustees form the Governing Body of the Trust and the issue of electing a Governing Body is not relevant. However, Trustees can elect office bearers among themselves at periodic intervals. It is important that the Trust Deed is drafted accordingly.