TRUSTEE ACT 1936 - SECT 69B
TRUSTEE ACT 1936 - SECT 69B
69B—Alteration of purposes of charitable trust
(aa1) Subject to
subsection (1), the purposes for which property is required or permitted
to be applied in pursuance of a charitable trust may be altered by a scheme
approved under this section.
(a1) The powers of the
trustees of a charitable trust in respect of which a trust variation scheme
under this section may be approved by the Attorney-General (on account of the
operation of subsection (3)(b)) to manage or administer the trust may be
altered by a scheme approved under this section.
(1) The purposes for
which property is required or permitted to be applied in pursuance of a
charitable trust may be altered by a trust variation scheme in any of the
following circumstances:
(a)
where the original purposes, in whole or in part—
(i)
have been as far as possible fulfilled; or
(ii)
cannot be carried out, or not according to the directions
given and to the spirit of the gift; or
(b)
where the original purposes provide a use for part only of the trust property;
or
(c)
where the trust property could be more effectively used if combined with other
property applicable for similar purposes and administered jointly with that
property; or
(d)
where it is not reasonably practicable having regard to—
(i)
the value of the trust property; or
(ii)
changes in circumstances that have taken place since the
constitution of the trust; or
(iii)
any other relevant factor,
to apply the trust property in accordance with the original purposes; or
(e)
where the original purposes, in whole or in part—
(i)
have been adequately provided for by other means; or
(ii)
have ceased to be charitable purposes; or
(iii)
have ceased to provide a suitable and effective method of
using the trust property.
(2) References in this
section to the original purposes of a charitable trust shall be construed,
where the purposes for which the trust property is required or permitted to be
applied have been altered or regulated by a scheme or otherwise, as referring
to the purposes for which the property is for the time being required or
permitted to be applied.
(3) A trust variation
scheme may be approved, on the application of the trustee, by—
(a) the
Supreme Court; or
(b) if
the value of the trust property does not exceed $300 000 or another limit
prescribed by regulation—the Attorney-General.
(3a) The authority to
which the application is made (ie the Supreme Court or the Attorney-General)
is referred to in this section as the "relevant authority .
(4) However, the
Attorney-General has a discretion to refer an application to the Supreme Court
if the application raises questions that should, in the Attorney-General's
opinion, be decided by the Court.
(5) Notice of an
application for approval of a trust variation scheme must be given as the
relevant authority directs.
(6) If the relevant
authority is satisfied, on application under this section, that the variation
of the terms of a trust proposed in a trust variation scheme—
(a)
accords, as far as reasonably practicable, with the spirit of the trust; and
(b) is
justified in the circumstances of the particular case,
the relevant authority may approve the trust variation scheme and the approved
scheme prevails over inconsistent provisions of a relevant instrument or
declaration of trust.
(7) The reasonable
costs of an application under this section are payable at the direction of the
relevant authority from the trust property.
(8) In the case of an
application decided by the Attorney-General, the costs—
(a) are
to be fixed by the Attorney-General; and
(b) may
include costs payable to the Crown to defray the cost of investigating and
deciding the application; and
(c) may
be recovered as a debt.
(9) The
Attorney-General must keep available for public inspection a register of
approvals given by the Attorney-General under this section.
(10) In this
section—
"trust variation scheme" means a scheme approved under this section for the
alteration of a charitable trust.