FORMATION DEED OF TRUST FOR CHARITABLE INSTITUTION

FORMATION DEED OF TRUST FOR CHARITABLE INSTITUTION

                                                                               THIS DEED OF TRUST

                                            IS MADE ON THIS THE ……. DAY OF ………………….(MONTH),

                                                                              ……………………(YEAR)

 

 

 

BETWEEN

 


  1.  SRI. ________________, S/o _______________, Hindu By Religion, Indian By Citizenship, Business By Occupation, resident of ________________________________________ (Address with pin code, District , State );

 


  1. SMT.______________________ , Wife of Sri._______________, Hindu By Religion, Indian By Citizenship, Business By Occupation, resident of___________________________________(Address with pin code, District , State );

 

 

HEREINAFTER ALL referred to as SETTLORS of the ‘ONE PART’;

 

AND

 


  1. SRI._________________, S/o_______________, Hindu By Religion, Indian By Citizenship, Business By Occupation, resident of ___________________________________(Address with pin code, District , State );

 


  1. SMT.______________, Wife of Sri.___________, Hindu By Religion, Indian By Citizenship, Business By Occupation, resident of ___________________________________(Address with pin code, District , State );

 

 

 

ALL HEREINAFTER COLLECTIVELY referred to as the “TRUSTEES” (which expression shall unless excluded by or repugnant to the context include the Trustees and each one of them for the time being and from time to time appointed and/or holding office under these presents and their survivor or survivors or successor or successors in office) of the “OTHER PART”.

 

 

WHEREAS the Settlers are desirous of establishing a Trust Fund for serving the public with Charitable objects (as defined under the Income Tax Act, 1961)

 

AND WHEREAS the Trustees at the request of the said Settlors agreed to act as the Trustees.

 

 

NOW THIS INDENTURE WITNESSETH AS FOLLOWS:

 

 


  1. In order to give effect to the said desire each Settler have made over to the Trustees a sum of Rs.__________(value) which comes to Rs. _____________ (Rupees Total value) Only to hold the same together with all other properties that may be acquired out of the same or otherwise and may hereafter be subject to the Trust (hereafter referred to as Trust Fund) for the objects and purposes hereinafter expressed with the Power and on the terms and conditions herein contained concerning the same.

 


  1. The name of the Trust shall be known as ________________ (“Trust Name”) having its office situated _______________________________________ (Address with pin code, District , State ).

 

 


  1. The trust shall be deemed to have been formed with effect from date of execution of this trust deed.

 

 


  1.  The OBJECTS & PURPOSES of the Trust shall be :

 

I) ADVANCEMENT OF EDUCATION AND CULTURE AND   

FOR SUCH PURPOSES:

 




    1. To open, establish, set-up, promote, run, maintain, assist, finance, support, and/or aid or help in setting up and/or maintaining, and/or running Pathsalas, Vidyalayas, Schools, College, Academics, Universities, Museums, Libraries, Study Centres, Research Projects, and/or other educational establishments, or institution for the advancement of learning and diffusion of knowledge of Arts, Science, commerce  and Literature.



 




    1. To grant scholarship, stipend, prizes or rewards and/or to render other helps such as supplying of books and equipment and/or paying educational fees and/or expenses of students, teachers, professors, scholars, scientists, artists or other deserving or talented persons;



 




    1. To open, establish, promote, set-up, run, maintain, assist, finance, support and/or help in the setting up and/or maintaining and/or running, boarding houses, libraries, reading room, gymnasium and other training and vocational institutes:



 




    1. To promote, advance and encourage and/or aid in helping promoting, advancing and encouraging Primary, Secondary and Higher education including technical and medical education, physical training, music & dance, tailoring, art & culture, training of handicrafts and other useful crafts among the public;



 




    1. To promote or support studies, researches, or writing or to organize or sponsor lecture, seminars, conferences, missions and/or other activities of the diffusion and spread of knowledge and advancement of education and culture; 



 




    1. To foster and encourage education and training in handicrafts among women folk in general and establish institutions imparting such education and to establish, maintain, support or help by monetary gifts or otherwise,  centres and institution for women and children and to provide social welfare works for women and children;



 




    1. To publish and distribute and/or aid in the publication and/or distribution of books, papers, reports, pamphlets, magazines, or other literature and/or to avail other means and/or methods for the dissemination of knowledge or ideas in furtherance of all or any of the objects and purposes hereof or of general public utility”



 

            II) MEDICAL RELIEF AND FOR SUCH PURPOSES:-

 


  1. To open, found, establish, promote, set-up, maintain, assist, finance, support and/or aid or help in the setting up and/or maintaining and/or running hospital, charitable  dispensaries, maternity homes, child welfare centres, convalescent homes, sanatoriums, hostels, and other similar institutions or centres, for rendering or providing medical relief an/or aid to suffering humanities or for research centres and institution for promotion of research and education for medical science including surgery;

 


  1. To grant aid or render help by way of medical or treatment expenses, fooding, lodging and/or other requirements to the poor and needy persons:

 


  1. To assist in the efforts to fight and control epidemic or other diseases and or in the promotion and improvement of public health hygiene and sanitation.

 

III) REMOVAL OF POVERTY AND PROMOTION OF HUMAN WELFARE, RELIEF TO THE POOR AND FOR SUCH PURPOSES.

 




    1. To open, establish, promote, set-up, run, maintain, assist, finance, support and/or aid to or help in the setting up and/or maintaining and/or running orphanages, widow homes, lunatic asylums, poor houses or other establishments for relief and/or help to the poor houses or other and infirm people and/or destitutes;



 




    1. To give provide and/or render help and assistance in cash or kind to poor and/or destitute people widows etc.



 




    1. To give provide and/or render help and assistance to and/or implement any scheme for providing livelihood and upliftment of the poor;



 




    1. To give, provide and/or render food, medicine and other help and/or assistance in any shape or form to the poor deserving and needy persons;



 




    1. To give, provide and/or render monetary and/or other help and assistance for the relief of persons, animals effected by natural and other calamities such as flood, pestilence, drought, epidemic, unbearable cost of living and the like, to give donations, subscriptions or contributions to institutions, establishments, centres or persons doing relief work on such occasions;



 




    1. To Start maintain and provide relief measures in those parts which are/or become subjected to natural calamities such as flood, fire, drought, famine, cyclone, earthquake, epidemic, storm, accident, pestilence etc.



 




    1. To give, provide, distribute, dhotis, blankets, rugs, woolen clothings, quilts of cotton, woolen, silk or other varieties of cloths or other articles of necessity and facilities for the poor;



 

 

IV) ADVANCEMENT OF ANY OTHER OBJECT OF GENERAL PUBLIC UTILITY NOT INVOLVING CARRYING ON ANY ACTIVITY FOR PROFIT AND FOR SUCH PURPOSES:

 




    1. To open, establish, promote set-up, run, maintain, assist finance, support and/or aid or help in the setting up establishment & maintain and/or running of vocational training centre and for making them self employed;



 




    1. To open, establish, promote, set-up, run, maintain, assist, finance, support and/or aid or help in the setting up establishment, maintenance and/or running Dharamasala, lodges, wells, deep tube-wells, tanks, road in Siliguri and/or other places in India.;



 




    1. To open, establish, promote, set-up, run, maintain, assist, finance, support and/or aid or help in the setting up and/or maintaining and/or running by monetary gifts or otherwise, centres ply-grounds and parks for public use, sports and games and other social welfare works and/or activities in Siliguri and or other place in India.



 




    1. To open, establish, promote, set-up, run maintain, assist, finance, support and/or aid or help in the setting up and/or maintaining and/or running institutions, centres, auditoriums and the like for the running of welfare and other services to the public and to provide meeting-room for socially useful activities and functions.



 




    1. To promote, organize, administer, establish, support, maintain and/or grant aid to any person, institution or society or organization whatsoever having for its objects or charitable purposes and to incur expenditure in connection therewith.



 




    1. To renovate or repair such temple, mosque, gurudwara, church or other places which is notified by the Central Government in the Official Gazette to be of historic, archeological or artistic importance or to be a place of public worship of reknown throughout any State or States;



 




    1. To promote, assist and/or maintain all activities by whosoever carried on or wherever carried in India in conformity with the objects of the Trust and as are conducive for advancement of any object or objects or general public utility not involving/carrying on any activity for profits.



 


  1. The number of the Trustees shall not be less than Two and more than Twenty one. If the number of the Trustees shall fall below Two then the Trustee shall not act except for the purpose of filling up the vacancy, so long as the number of Trustees is below the said minimum.

 


  1. The Executive Board of the said trust shall be elected by the trustees of the said trust comprising of minimum three executive board members and maximum eleven executive board members. The eleven executive board members can either be elected or selected for a period of three years by the trustees in the general meeting of the trustees..

 


  1. Every trustees of this trust shall have the right to appoint any nominee in his lifetime. The trustees can appoint nominee only among their immediate successor or spouse. The said nominee shall become the trustee of the trust after the death or disqualification of the trustee. The appointment of nominee as trustee of the trust has to be first approved by the Executive Board of the trust. 

 


  1. The books of account of the trust has to be mandatorily audited for every financial year ending on 31st day of March by a qualified Chartered Accountant and duly placed and approved in the Annual General Meeting.

 


  1. If any Trustee becomes unfit or incapable to act, resigns, retire, ceases or dies, the continuing or surviving board of Trustees will be competent to appoint a Trustee in place of the Trustee so becoming unfit or capable to act, resigning, retiring, ceased or dies or otherwise aforesaid.

 


  1. The Executive Board of the Trust shall have the power to appoint such office bearer of the Trust, viz. President, Secretary, Treasurer and etc. from amongst the Executive Board Members. The office bearers shall hold the office for three years.

 


  1. The President, Secretary and the Treasurer can be re-called by 2/3rd (two-third) majority of the total Trustees members.

 


  1.  A Board of Trustee shall cease to be a Board of Trustee member either (i) if he/she without leave of absence does not attend three consecutive meeting of the Board of Trustees, or (ii) if he/she is requested to resign by all the other Trustees for the time being.

 


  1. Every Trustee will be at liberty to resign on giving one month notice of his/her intention to do so in writing addressed to the trust.

 

 


  1.  


  1. The Trustees may from time to time frame rules for the conduct and regulation of the meeting of Trustees in the absence of such regulation.

 


  1. The trustees shall hold at least 1(one) General Meeting of Trustees in every 6 (six) months and 1(one) Board Meeting in every 3 (three) months in a given accounting period.

 


  1. 1/3rd (One third) of the Board members for the time being shall form a quorum for a Board meeting of the Trustee.

 


  1. The President in consultation with the Secretary, or the Secretary in consultation with the President, or the President himself can convene a General meeting of the Trustees. If the President or the Secretary fails to call such a meeting, the Trustees may themselves convene a General Meeting by making a requisition of 2/3rd of the total Trustees.

 


  1. That if any amendment / alteration / modification / addition / deletion of any clause in the Trust Deed will be effected by registering a supplementary (amended) trust deed to be read with the main trust deed and such supplementary (amended) trust deed will be registered in the office of the Appropriate Authority and the President and Secretary are jointly empowered to register the same on behalf of the trust.

 


  1. All matters will be decided by majority.

 


  1. Resolutions passed without any meeting of the Trustees but by circulation thereof and evidenced in writing under the hands of Two-thirds of the Trustees for the time being shall be as valid and effectual as a resolution duly passed at meeting of the Trustee.

 


  1. 1/3rd (One third) of the total number of trustees for the time being shall from a quorum for a General Meeting of the Trustee.

 


  1. In absence of a quorum for a General Meeting, the meeting shall stand adjourned for next half hour and then the adjourned general meeting can continue and resolutions can be discussed and approved, if 15% of the total Trustee members are present in the said meeting.

 


  1. Two out of three office bearer, namely President, Secretary and Treasurer shall jointly operate and/or close any account of the trust with any Bank or Bankers, withdraw interest or principal on any securities or any other investment made of the said funds, and to give receipts, releases and discharges of the same.

 


  1. The rules and regulations of the Trust, for the conduct and regulation of the affairs and business of the Trust and also relating to the conduct and regulation of the appointment of trustees may be amended if agreed by 2/3rd of the Trustee members of the said trust.

 


  1. The Trustees shall cause true and accurate accounts to be kept of all money received and spent and of all matters in respect thereof in course of management of trust properties or in relation to the carrying out of the object and purposes of the Trust as well as of all assets, credits and effect of the Trust Properties.

 


  1. The trustees shall be at liberty to sell or transfer or mortgage such portion or portions of the movable or immovable properties forming part of the Trust Estate either by public auction or by private contract at such price or prices and on such terms and conditions relating to title or otherwise in all respects as they may in their absolute discretion think fit and to rescind or vary any contract for the sale thereof and to execute all conveyances or other assurances and to pass valid and effectual receipts and discharges for all moneys received by them. Such Sell / Transfer / mortgage shall be authorised by at least 2/3rd (two-third) majority of the Total Number of Trustees at a duly convened General Meeting of the Trustees or by circulation. In the said resolution authorizing the sale or transfer or mortgage. The Trustees shall authorize any two out of President, Secretary and Treasure to execute the required documents on behalf of the trust.

 


  1. The TRUSTEES shall cause true and accurate accounts to be kept of all moneys received and spent and all matters in respect thereof in course of management of TRUST properties or in relation to the carrying out of the objects and purposes of the TRUST as well as of all the assets, credits and effects of the TRUST fund and draw the Receipts and Expenditure and other accounts and a balance sheet at the end of every year (to be decided by the TRUSTEES) and cause the same to be audited by a Chartered Accountant and present it in the Annual General Meeting.

 


  1. For the furtherance of the objects of the Trust and in according with the Provisions of the Income Tax Act, of the time being in force, the trustees will have the following Power:

 

a) To accept any donation, contribution, grant or subscription in cash or in kind from any person, body of persons or trust which will form the corpus of the trust

 

b) To apply the income of the Trust Fund or accumulation thereof which is part of the corpus of the trust fund, for any one or more of the objects of the Trust as the Trustees may in their discretion determine from time to time.

 

c) To convert and deal with the Trust Property and/or to carry the investment for the time being.

 

d) To invest and keep invested the Trust Fund either in the purchase or immoveable property or in deposits with any banks and/or in any such investment as the Trustees may be in their discretion think fit from time to time.

 

e) To borrow or raise or secure payment of money from any Bank or Financials Institutions or private party and also to lend money either with or without securities.

 

f) To sell, dispose of, alienate or otherwise deal with any property comprising the Trust Fund.

 

g) To let out, demise any immovable Property comprised in the Trust Fund for such period and at such rent, terms and conditions as the Trustees in their discretion may think fit.

 

h) To open account with any bank or banks, to operate such account and to give instructions to them and to provide for opening and operation of such account by one or more of the Trustees or by an agent appointed by the Trustees.

 

i) To adjust, settle, comprise, compound refer to arbitration all actions, suits, claims, demands and proceedings, regarding the Trust Fund.

 

j) To appoint Constituted attorney or agents and to delegate to such attorneys or agents all or any or the power vested in them under these presents and from time to time remove such Attorneys or agents to appoint or others in his or their place

 

k) To appoint or make Provision for the appointment of any person (including all or any the Trustees as Committee or Administrator or Managing Trustee or Trustees or otherwise) for the purpose of the administration of the trust in such manner and subject to such rules and regulations as the Trustee may prescribe and also to appoint or provide for the appointment of separate trustees to sell any property or any fund or investments subject to the provisions of this deed in such manner and subject to such rules and regulations as the trustees may from time to time think fit.

 

l) To make, vary, alter or modify scheme, rules and regulations for carrying out the objects of the trust and for the management and running of any institution in furtherance of the objects of the trust and otherwise for giving effect to the objects of the trust.

 

m) To start, abolish, discontinue and restart any charity of the charitable institution or institutions for the benefit of general public and to impose any condition on any subscription or donation made by them.

 

n) To set apart the whole or part of the income or the corpus of trust fund or part thereof for any of the objects or the trust.

 

o) To join, co-operate or amalgamate this trust in the other or others having allied objects upon such terms and conditions as the trustees may in their discretion think fit particularly having regard to end in conformity with the object and nature of this trust.

 


  1. The Trustees shall be chargeable only for such moneys, stocks, shares and funds as shall actually come to their hands and a trustee shall not be answerable or accountable for neglect, default, acts of omission or commission of the other trustees nor of any banker or other firm or person with whom the trust properties or any security may have been deposited or kept.

 


  1. The receipt of a person authorized by the trustees or a resolution of the Board of Trustees, for any money paid or any property transferred or delivered to the Trustees in execution of any of the power hereof or for the purchase, money or any property authorized to sold shall effectually discharge any person or persons so paying or transferring or delivering.

 


  1. The trustees will not be entitled to receive any remuneration as Trustees but may re-imburse themselves of all expenses actually incurred by them in connection with the Trust or their duties relating thereto.

 


  1. It is expressly declared that no part of the Trust Property or its income of Trust fund shall be applied for any purpose outside India or for any purpose which is not a public charitable purpose in law and all provisions hereof shall be construed accordingly.

 


  1. In the event of dissolution of the Trust, all the properties (whether movable or immovable), assets, rights, titles and privileges of the Trust shall be transferred and handed over to any one or more of the trust, society, institutions or associations having objectives similar to the objects of the Trust or other allied charitable objects.

 

 

 

 

IN WITNESS WHEREOF THE SETTLORS have executed these presents on the day, month and year first above written and SIGNED AND DELIVERED by the Settlors,

WITNESSES

 

 

1.

 

 

 

2.

 

 

                                                                                                 _______________________________

                                                                                                                    SETTLORS

                                                                                                                                                                                                                                                                                                                                                                        

                                                                                             Drafted  by  me and Printed  in my Office

 

 

                                                                                            Advocate / _________ (Name of Place)

                                                                                       ____________________ (Advocate’s Name)

                                                                                            Regn No. _______________

 

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