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TMI Blog1941 (10) TMI 2X X X X Extracts X X X X X X X X Extracts X X X X ..... roviso to Section 41(1) of the Act? The trust, with which we have to deal, is a trust known as the Lokamanya Tilak Jubilee National Trust Fund , and the principal question which arises is, whether the funds of the trust are held for charitable purposes within Section 4(3)(i). Its objects are set out in the trust deed dated December 31, 1920, clause 11 of which is in these terms- The objects of the said Trust Fund shall be- (a)The advancement of any purpose which might in the uncontrolled opinion of the Managing Committee be national or of national importance for the inhabitants of British India by any means which in the like opinion of the Managing Committee be constitutional. (b)The political advancement of India havin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paragraphs of clause II of the trust deed, with which we have to deal, are in my opinion, clearly distributive. The whole of the trust fund can be applied for any one or more of the objects specified, and if any of those objects do not fall within the purview of the legal definition of charity , the trust cannot be regarded as a good charitable trust. One has, of course, to bear in mind the definition of charitable purposes in Section 4(3) of the Indian Income-tax Act, which provides that charitable purpose includes relief of the poor, education, medical relief and the advancement of any other object of general public utility. That goes further than the definition of charity to be derived from the English cases, because it embraces pu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... quite bona fide, may regard as charitable, but which the law does not so regard. Therefore, I think sub-clause(a) goes too far; and I think, sub-clause(b) goes too far also, because it is really a gift for political purposes. Assuming that the attainment of national autonomy may be regarded as a national purpose accepted generally by, and for the good of, the inhabitants of British India, there is a very keen divergence of opinion as to the methods by which that national autonomy should be attained; and it is impossible, I think, to avoid the conclusion that a gift for the attainment of that object by such methods as the Managing Committee may approve is really a gift for political purposes, and as such falling within the ruling in Bowman v ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s stated to include an object of general public utility. Even so, it is for the assessee to show that his case falls within that extended meaning. Certain propositions of law now appear to be well settled as a result of authorities. First, that when there is a general charitable intention, the Court will uphold it, and if within that limit discretion is given to the trustees to select an object the trust will not fail because of the discretion so given. If a trustee selects an object, which is not charitable according to law, the Court can intervene and rectify the error. Secondly, there are cases, which are compendiously described as locality cases , of which Smith, In re: Public Trustee v. Smith [1932] 1 Ch. 153 is a good illustration ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tance for the inhabitants of British India. It is not possible to hold that the words as used in sub-clause (a) amount to a gift for an object national or of national importance for the inhabitants of British India simpliciter. It is a gift for the advancement of any purpose, and the selection thereof is left to the uncontrolled opinion of the Managing Committee. I do not think under the circumstances it can be properly argued that that clause amounts to a general charitable bequest, and only the manner of application has to be selected by the trustees. Sub-clause (b) clearly is for the political advancement of India, and the goal thereof is only denned. But the object is clearly the political advancement of India. That is pre-eminently a p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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