Charities Administration
Administrative
The Authority, as successor to the Commissioners of Charitable Donations and Bequests, has a range of functions in relation to charities. In addition, the Charities Act conferred a much wider range of regulatory functions on the new Authority.
Where a gift or bequest for charitable purposes is made, the Authority must be notified. It has powers to appoint new trustees of charities and to reorganise and incorporate charities. It may take action to recover charitable funds. They may institute legal proceedings in matters relating to charities.
A particularly important power is the power to relieve charitable trustees of onerous and unnecessary obligations and to supplement inadequate grants of powers. They may facilitate the sale of assets where the original charity powers are inadequate. Without orders of the Authority, the original powers in the charitable trust may be totally inadequate.
Certain Agreements Restricted
There are restrictions and conditions on persons entering agreements for the provision of services to charity in consideration of payments from the charitable funds. The agreement must be in writing. It must not exceed what is reasonable and proportionate having regard to the service provided.
There are restrictions and conditions on entering agreements with persons connected to trustees. They must not in any way vote in favour of the proposal and non-interested trustees only must approve.
The regulatory authority may issue directions and guidelines regarding agreements of the above type. The provisions do not cover ordinary employment contracts or trustees or lawful remuneration.
Power to appoint new trustees of Charity
Where for any reason the appointment of a new trustee or new trustees of any charity appears to the Charities Regulatory Authority to be necessary, the Charities Regulatory Authority on the application of the trustee or trustees of the charity, or if there are no trustees of the charity, or they cannot be found, on the application of any person having an interest, or in any case, of their own motion, may make an order under the seal of the Charities Regulatory Authority appointing a new trustee or new trustees of the charity either in substitution for or in addition to any existing trustee or trustees, or although there is no existing trustee.
Every trustee of a charity appointed under this section shall, as well before as after the property of the charity becomes by law vested in him, have the same powers, authorities and discretions, and may in all respects act as if he had been originally appointed a trustee by the instrument (if any) creating the trust.
The Charities Regulatory Authority shall not less than one month before the date on which they propose to make an order under this section, give public notice of the proposed order, and on the day immediately following the date of the making of the order, give public notice of the making, and of the date of the making, of the order, in such manner as the Charities Regulatory Authority consider most effectual for ensuring publicity for the proposal or order, as the case may be; and for bringing it to the attention of persons interested.
Any person having an interest may, within twenty-one days after the date of the making of an order under this section, appeal to the High Court against the making of the order and on such appeal the High Court may make such order confirming, annulling or varying the order under this section and such order as to costs as it thinks fit.
Power to apply to High Court for directions.
In every case of a breach or supposed breach of any trust for charitable purposes or whenever the direction or order of the High Court is considered necessary for the administration of any trust for charitable purposes, the Charities Regulatory Authority or, with the consent of the Attorney General, any person may apply to the Court for such relief as the nature of the case may require and the Court may make such order thereon as the Court thinks fit.
Duty of executors to publish advertisements of charitable devises and bequests.
Whenever there is contained in any will a charitable devise or bequest, the person (in this section referred to as the personal representative) to whom probate of the will or letters of administration with the will annexed is granted shall, subject to any exemption granted by the Charities Regulatory Authority, do the following things—
within three months after the grant of probate or letters of administration, publish once in Iris Oifigiúil and three times successively in some newspaper circulating in the locality where the devise or bequest or the greater part thereof is directed to be expended or applied, or if there is no direction as to any such locality, then in some morning newspaper published on every week-day in Dublin, the following particulars
- the devise or bequest contained in the will,
- the name of the testator, the date of the will,
- the name of the person to whom the devise or bequest is given,
- the name of the person appointed by the testator for the management and direction of the devise or bequest; and within four months after the grant of probate or letters of administration,
He shall deliver at the office of the Charities Regulatory Authority or forward to them by post three papers (other than Iris Oifigiúil) containing the successive publications.
If a personal representative fails to comply with the above obligation, he is guilty of an offence The expenses incurred by a personal representative in complying with the obligation shall be paid by him out of the estate or funds devised or bequeathed to the charity concerned.
The Charities Regulatory Authority may, in their discretion, having regard to the amount of any charitable devise or bequest or other special circumstances, exempt any person from the obligation imposed either wholly or to such extent and upon such terms as they think fit.
Legal Proceedings
Before any legal proceedings (except legal proceedings instituted with the authority of or by the direction of the Charities Regulatory Authority) in relation to any charity are commenced by any person except the Attorney General, that person shall transmit to the Charities Regulatory Authority notice in writing of the proposed legal proceedings and such information as may be requisite or proper or may be required from time to time by the Charities Regulatory Authority, for explaining the nature and objects thereof.
The above does not make any order in any proceedings in which the Charities Regulatory Authority have not been made parties binding and final as against the Charities Regulatory Authority.
Power of majority of two-thirds of trustees to deal with charity property.
Where the trustees of a charity have power to determine on a disposition of any property of the charity, a majority of two-thirds of the trustees assembled at a meeting of their body duly constituted shall have legal power, on behalf of themselves and their co-trustees, to do, enter into, and execute all such acts, deeds, contracts and assurances as may be requisite for carrying into legal effect any disposition of the property, and all those acts, deeds, contracts or assurances shall have the same legal effect as if they were respectively done, entered into, or executed by all the acting trustees for the time being.
Resignation of a member of governing body and filling of vacancy
The following provisions shall apply in relation to a corporation established by Act or charter as the governing body of a charity—
- a member of the corporation may resign his membership by giving to the corporation not less than one month’s notice in writing of his intention to do so;
- the corporation may appoint another person to be a member of the corporation in place of a member so resigning.