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Introduction

Trust is defined in section 3 of the Indian Trust Act, 1882 as “an obligation annexed to the
ownership of property and arising out of a confidence reposed in and accepted by the owner,
or declared and accepted by him, for the benefit of another or of another and the owner. In
other words, it is simply a transfer of property by one person (the settlor) to another (the
“trustee”) who manages that property for the benefit of someone else (the “beneficiary”). The
settlor must legally transfer ownership of the assets to the trustee of the trust. In India trust is
the second most popular form of registration.

Generally, there are two types of trusts in India: private trusts and public trusts. While private
trusts are governed by the Indian trusts Act, 1882, public trusts are divided into charitable and
religious trusts. The Charitable and Religious Trust Act, 1920, the Religious Endowments
Act, 1863, the Charitable Endowments Act, 1890, the Bombay Public Trust Act, 1950.
Moreover, in recent times, trusts can also be used as a vehicle for investments, such as mutual
funds and venture capital funds. These trusts are governed by Securities and Exchange Board
of India (SEBI). 1

A suit under Section 92 of CPC is a suit of a special nature for the protection of Public rights
in the Public Trusts and Charities. It presupposes the existence of a public trust of a religious
or charitable character. A suit for a declaration that certain property appertains to a religious
trust may lie under the general law, but is outside the scope of Section 92. A suit framed
under Section 92 of the C.P.C., the only reliefs which the plaintiff can claim and the Court
can grant are those enumerated specially in the different clauses of the section. Courts have to
be careful to eliminate the possibility of a suit being laid against public trusts under Section
92, by persons whose activities were not for protection of the interests of the public trusts.
First and the foremost requirement for an application under Section 92 is, the plaintiffs
should bring the suit to vindicate the right of the public. Leave of the Court once granted no
fresh permission is required if the original plaintiff dies. The Suit under Section 92 of CPC is
a representative suit. It is filed representing the public at large. Once leave is granted and it
has attained finality, if persons who are parties initially were to die and in their place others
are substituted, it is not necessary that all those persons who are substituted should again seek
leave of the Court, to prosecute the suit. It is because, the permission is granted to the public
at large and not to the individual plaintiffs. Therefore, if the original plaintiff dies and others
1
Rohit Gehlot, Comparison of a Private Trust with a Public Trust, https://blog.ipleaders.in/comparison-of-a-
private-trust-with-a-public-trust/
are substituted in their place, as the permission is granted for the public, the permission
granted earlier holds good even in respect of them2

Public and private trust can be distinguished in a number of ways. A simple way to
differentiate between a public and a private trust is to know the beneficiaries of the trust. If
the beneficiaries make up a large or substantial body of public, then the trust in question is
public. A public trust exists “for the purpose of its objects, the members of an uncertain and
fluctuating body,” and is managed by a board of trustee. If, however, the beneficiaries are a
narrow and specific group such as the employees of a company, then the trust is private. So
the basic difference between both the trusts is that in the former, the interest is vested in an
uncertain and fluctuating body whereas in the latter, beneficiaries are definite and ascertained
individuals. Supreme Court in also highlighted the difference between public and private
trust. Supreme Court said that in private trust, the beneficiaries are specific individuals,
whereas, in the public trust, they are general public or class thereof.3

2
Christopher Karkada & Ors Church of South India, Madras & Ors. ILR 2012 KAR 725
3
Deoki Nandan v. Murlidhar 1957 AIR 133 1956 SCR 756
Public Charitable trust

Charity is a practice of voluntary giving of help. The term can also be used with
organizations, Section 8 companies (non-profit companies under the Companies Act, 2013),
societies, trusts, etc. Not all non-profit organizations are charitable organizations. Some
charitable organizations may be established as a part of tax planning strategies.

Trust is a form of organization which is formed by obligation annexed to the ownership of the
property, and arising out of confidence reposed by owner. The author or will maker transfers
the property to be used for a purpose. If the objective is to benefit few individuals, it becomes
a private trust and if it uses ‘property’ for common public or for community at large, it is
called a public trust.

Person, group, company, etc. on the receiving end of trusts are called beneficiaries. What
distinguishes public trust from a private trust is their beneficiary. Private trust beneficiaries
are usually a closed group, individuals, company but beneficiaries of public trust is always
uncertain, that is public at large. Public trust is a form of organization that is formed with a
strong motive of charity to public. Diaspora of beneficiaries actually differentiates public
trust and private trust. Charitable trust can be formed by various means and is subject to
various Acts or legislation. Under Article 19(1)(c) ‘Charities and charitable institutions,
charitable and religious endowments’ are under the Concurrent list of the Seventh Schedule
of The Indian Constitution. Here, both the centre and the state are allowed to legislate on
Public Charitable Trust.4

92. Public charities of C.P.C5 (1) In the case of any alleged breach of any express or
constructive trust created for public purposes of a charitable or religious nature, or where the
direction of the Court is deemed necessary for the administration of any such trust, the
Advocate-General, or two or more persons having an interest in the trust and having obtained
the leave of the Court] may institute a suit, whether contentious or not, in the principal Civil
Court of original jurisdiction or in any other Court empowered in that behalf by the State
Government within the local limits of whose jurisdiction the whole or any part of the subject-
matter of the trust is situate to obtain a decree— (a) removing any trustee; (b) appointing a
4
Siddhesh Talekar, Laws Applicable To A Public Charitable Trust In India, https://blog.ipleaders.in/laws-
applicable-public-charitable-trust-india/
5
Part V : Special Proceedings, The Code Of Civil Procedure, 1908,
https://www.nls.ac.in/lib/bareacts/civil/cpc/cpc6.html
new trustee; (c) vesting any property in a trustee; (cc) directing a trustee who has bee
removed or a person who has ceased to be a trustee, to deliver possession of any trust
property in his possession to the person entitled to the possession of such property; (d)
directing accounts and inquires; (e) declaring what proportion of the trust property or of the
interest therein shall be allocated to any particular object of the trust; (f) authorizing the
whole or any part of the trust property to be let, sold, mortgaged or exchanged; (g) settling a
scheme; or (h) granting such further or other relief as the nature of the case may require. (2)
Save as provided by the Religious Endowments Act, 1863 (20 of 1863) or by any
corresponding law in force in the territories which, immediately before the 1st November,
1956, were comprised in Part B States, no suit claiming any of the reliefs specified in sub-
section (1) shall be instituted in respect of any such trust as is therein referred to except in
conformity with provisions of that sub-section.

(3) The Court may alter the original purposes of an express or constructive trust created for
public purposes of a charitable or religious nature and allow the property or income of such
trust or any portion thereof to be applied cy press in one or more the following circumstances,
namely:— (a) where the original purposes of the trust, in whole or in part,— (i) have been, as
far as may be, fulfilled; or (ii) cannot be carried out at all, or cannot be carried out according
to the directions given in the instrument creating the trust or, where there is no such
instrument, according to the spirit of the trust; (b) where the original purposes of the trust
provide a use for a part only of the property available by virtue of the trust; or (c) where the
property available by virtue of the trust and other property applicable for similar purposes can
be more effectively used in conjunction with, and to that end can suitably be made applicable
to any other purpose, regard being had to the spirit of the trust and its applicability to
common purposes; or (d) where the original purposes, in whole or in part, were laid down by
reference to an area which then was, but has since ceased to be, a unit for such purposes; or
27 (ii) ceased, as being useless or harmful to the community, or (iii) ceased to be, in law,
charitable, or (iv) ceased in any other way to provide a suitable and effective method of using
the property available by virtue of the trust, regard being had to the spirit of the trust.6

The person who reposes or declares the confidence is called the ‘author of the trust’. The
person who accepts the confidence is called ‘trustee’. The person for whose benefit, the
confidence is accepted is called the ‘beneficiary’. And the subject matter of the trust is called
‘trust property’ or ‘trust money’ and the ‘beneficial interest’ or ‘interest’ of the beneficiary is
6
Id.
his right against the trustee as owner of the trust property and the instrument, if any, by which
the trust is declared is called ‘instrument of trust’.

Trust created for the advancement of education, promotion of public health, relief of poverty,


etc regarded as charitable in law is public charitable trust. Though it doesn’t have a definition
of its own, public charitable trust must be created for the benefit of the public.

To look into what laws apply to public charitable trusts in India, we need to understand what
charitable purpose means. Under Section 2(15) of The Income Tax, Act expression of,
charitable purpose is in an inclusive manner. Charitable purpose under Section 2(15) of the
Income Tax Act includes relief for the poor, education, medical relief and the advancement of
any other object of general public utility. The aforesaid definition is not exhaustive and
therefore, purpose similar to the purposes mentioned in the aforesaid definition will also
constitute charitable purpose.

According to Section 9(1) of The Bombay Public Trust Act, 1950, “charitable purpose”
includes relief from poverty, education, medical relief, the advancement of any other object
of general public utility, but does not include a purpose which relates exclusively to religious
teaching or worship. However, there are also public cum private trusts in India. Here, a part
of the income of the trust is applied for public charity whereas and the other part of the
income is used for private business. The only income which is applied for charitable purposes
under public charitable trust is eligible for exemption under Section 11 of the Income Tax
Act. These type of trusts now seize to exist.7

Various laws are applicable to religious trusts such as The Hindu Religious Institutions and
Charitable Endowments Act, 1997, Muslim Wakf Act, 1954. But not all religious charitable
trusts enjoy income tax exemptions. Also, various state laws are applicable to charitable
organizations, trusts, institutes. If a public charitable trust is in the state of Maharashtra, then
it is regulated by the Bombay Public Trust Act, 1950, whereas a public charitable trust in
Rajasthan is governed by The Rajasthan Public Trust Act. And in states where there is no
public trust Act, public trust is legislated by The Indian Trust Act, 1882. In Delhi where there
is no public trust Act of the state/UT, the Indian Trust Act comes into picture.

7
Kshitij Datta Rishi, What laws apply to a public charitable trust in India? Process compliance, best practices,
and applicable law, https://blog.ipleaders.in/charitable-trust/
registration

1. Registering before the Inspector General of Registration/ Charity Commissioner


under the respective State Public Trusts Act e.g. the Rajasthan Public Trusts Act,
the Gujarat Public Trusts Act, the Bombay Public Trusts Act,1950etc.;
2. By seeking interference of civil courts to lay down schemes for governing a Trust
under Sections 92 and 93 of the Civil Procedure Code;
3. Registration of the trust deed (of a Public Charitable Trust) under the Registration
Act, 1908;
4. Notifying an organization in the list of Charitable Trusts and Religious
Endowments which are supervised by the Endowments Commissioner of the State
or by a Managing Committee formed under the Charitable Endowments Act, 1890
or under other State laws on Hindu Religious and Charitable Endowments; and
5. Creating a Waqf under the provisions of the Waqf Act, 1995.8

Based on the choice of persons forming the charity and the purpose, a charitable organization
can be formed in various ways and may be subject to different acts of legislation. Separate
legal provisions exist at state and national levels. Nonprofit organizations are also not
permitted to be involved in any ‘political activity’. Under the Bombay Public Trusts Act,
even ‘political education’ remains outside the scope of ‘charitable purpose’. India, to
maintain being a secular state, does not allow distinction of color, caste and creed in
formation of any charitable organization. However, it is still possible to create a valid trust
for the benefit of a specific section of the community. But then this kind of trust would not be
allowed any income tax exemption. As discussed in the point above, religious trusts
established for the benefit of a specific religious communities are also not allowed to benefit
from income tax exemptions

Ingredients

1. A declaration of trust – binding on settlor,


2. Setting apart of a definite property and the settlor depriving himself/herself of the
ownership, and
3. The beneficiaries(s)- for which the property is thereafter to be held,

8
Khaitan & Co, Private trusts, foundations and charities in India,
https://www.lexology.com/library/detail.aspx?g=395abfbb-3ca7-4137-8a8a-c7036651eb15
It is important that the transferor of the property by the settlor or that the author of the trust
must be competent to sign a contract. Along with this, the trustees should also be persons
who are competent to sign a contract. It is also very critical that the trustees identified should
signify their acceptance for acting as trustees to make the trust a legally valid one.9

Reasons

Charitable Trusts are formed in India for one or more of the following reasons:

 Discharge of the Charitable an/or religious sentiments of the Author, in a way that
ensures public benefit.
 For claiming exemption from Income Tax, as the case may be, in respect of incomes
applied to charitable or religious purposes.
 For the welfare of the members of the family and/or other relatives, who are
dependent on the settlor of the Trust
 For the proper management and preservation of property.
 For regulating the affairs of a provident fund, superannuation fund or gratuity fund or
any other fund constituted by a person for the welfare of its employees.10

Section 92 CPC applies only when the religious or charitable trust is for a public purpose. In
order to find out whether a trust is a public trust or a charitable or religious nature
contemplated by Section 92 of CPC, the Court must look to the real substance of the trust and
the primary intention of the creator of the trust. The suit contemplated by Section 92 proceeds
on the allegation of breach of public trust or is founded on the necessity of having direction
from the Court regarding the administration of such trust. The question whether a particular
mutt forms a public religious endowment or is a private institution must be judged in the light
of the evidence in each case. The origin of the mutt if it is known, its antiquity, the nature of
the gifts of property made to it, the way how these have been treated by its head, the long
established usage and custom of the institution, all these throw valuable light on the question
whether the mutt is a public religious endowment or a private institution. All matters relating
to the administration of a Mutt are also intimately connected with the rights and duties of a
Mohunt. The Matadapthi is the head of the institution. He manages the property of the

9
How to Form a Charitable Trust, https://www.indiafilings.com/learn/how-to-form-a-charitable-trust/
10
Id.
institution. He administers its affairs and the whole assets are vested in him as the owner
thereof in trust for the institution itself. The endowed property vests in the Mutt itself as a
juristic person and not in the Mohunt or superior. The position, indeed, would be different if a
formal trust deed is executed. In such circumstances, the legal ownership would vest in the
trustees, and the superior or Mohunt might be one of the trustees or even the sole trustee if
the donor so chooses. The beneficiaries of a math are the members of the fraternity to which
the math belongs and the persons of the faith to which the spiritual head of the math belongs.
It may constitute, atleast a section of the public. Mutts, in general, consequently, are public
trusts.11

11
Shivananda C.R. & Anr Sri. H.C. Gurusiddappa & Ors. ILR 2011 KAR 4624
Private trust

A trust is called a private trust when it is constituted for the benefit of one or more individuals
who are ascertained. Private trusts are governed by the Indian Trusts Act, 1882. A private
trust may be created inter vivos or by will. If a trust is created by will it shall subject to the
provisions of Indian Succession Act, 1925. Individual or a group of individuals or any legal
person should be capable of holding property.\

Ingredients:

There are certain guidelines or ingredients one should keep in mind to open a trust. These are:

1) Declaration made by the author or settlor of property who can set aside certain property for
the benefit of beneficiaries. The author of the trust is a person who declares the confidence.

2) There must be a trustee who manages this property for the benefit of the beneficiaries as
per the trust deed, that is, the transfer of ownership by the author to the trustee. The settlor
can also become a trustee. A trustee is a person who accepts the confidence by the author.

3) There must be a beneficiary or beneficiaries who can get benefits from the property of
settlor.

4) There must be a properly demarcated trust property.

5) The objects of the trust must be clearly specified.12

Private trusts are increasingly playing role in protection of wealth. As the trust route to
succession planning gains popularity in India, the rich are increasingly looking at asset
protection, rather than saving on taxes or passing on wealth to the next generation. According
to Barclays Wealth Insights report, 61 percent of family disputes in India were due to wealth
distribution. Forming trusts can be a good alternative to these disputes because trusts can
function even when one is alive but a person’s will comes into effect only after his/her death.

Private Trusts can also help insolvency protection. If the settlor is a beneficiary, the share of
the trust’s assets belonging to the settlor or beneficiary can be attached in case of bankruptcy.

Generally, there is no statutory requirement to create trust by any instrument. Supreme Court
in the case of held that no formal document is required to create a trust but still it is desirable
12
Supra note 1.
to create trust in writing in the case of will or where an immovable property is Rs 100 and
more.

Private trust will cease to exist when the purpose of formation of trust is fulfilled or the object
of formation of trust becomes unlawful or the trust is revoked or when there is a destruction
of trust’s property.13

Trust and private rights

To attract the operation of Section 92, the suit must be of a certain character and pray for
certain reliefs. In the first place, the suit should relate to a trust created for public purposes of
a charitable or religious nature. In the second place, it must proceed on an allegation either of
breach of trust or of the necessity of having directions from the Court for the administration
of trust. In the third place, the reliefs claimed must be one or other of the reliefs specified in
the Section and lastly, the suit must be one brought in a representative capacity in the
interests of the public or of the trust itself and not for vindicating the private rights of the
plaintiff. If these conditions are present, the suit can be brought in conformity with the
provisions of Section 92 of the CPC. Further, a suit under Section 92 CPC is a suit of a
special nature for the protection of Public rights in the Public Trusts and charities. It
presupposes the existence of a public trust of religious or charitable character. A suit for a
declaration that certain property appertains to a religious trust may lie under the general law
but is outside the scope of Section 92, CPC. When the defendant denies the existence of a
trust, a declaration that the trust does exist might be made as ancillary to the main relief
claimed under the Section, if the plaintiff is held entitled to it. The suit is fundamentally on
behalf of the entire body of persons who are interested in the trust. It is for the vindication of
public rights. A suit under Section 92 of CPC is thus a representative suit and as such binds
not only the parties named in the suit-title but all those who are interested in the trust. In
deciding whether a suit falls within Section 92 of CPC the Court must go beyond the reliefs
and have regard to the capacity in which the plaintiffs are suing and to the purpose for which
the suit was brought.14 It is only the allegations in the plaint that should be looked into in the
first instance to see whether the suit falls within the ambit of Section 92. 15

13
Radha Swami Satsung v. CIT, (1992) 193 ITR 321 (SC)
14
Suit under Section 92 of CPC, http://www.lawyersclubindia.com/articles/Suit-under-Section-92-of-CPC-
9479.asp
15
Shivananda C.R. & Anr Sri. H.C. Gurusiddappa & Ors ILR 2011 KAR 4624
In order to attract the operation of Section 92 CPC, the suit must be of a certain character and
pray for certain reliefs. In the first place, the suit should relate to a trust, created for public
purposes of a charitable or religious nature. In the second place, the suit should relate to a
trust, created for public purposes of a charitable or religious nature. In the second place, it
must proceed on an allegation either of breach of trust or of the necessity of having directions
from the Court for the administration of trust. In the third place, the reliefs claimed must be
one or other of the reliefs specified in the Section and, lastly, the suit must be one brought in
a representative capacity, in the interests of the public or of the trust itself and not for
vindicating the private rights of the plaintiff. It these conditions are present, the suit can be
brought in conformity with the Section 92 of the Civil Procedure Code. A suit framed under
Section 92 of the Civil Procedure Code, in only reliefs which the plaintiff can Claim and the
Court can grant are those enumerated specifically in the different Clauses of the Section. A
relief praying for a declaration that the properties in suit are trust properties does not come
under any of the Clauses. The suit is fundamentally on behalf of the entire body of person
who are interested in the trust. It is for the vindication of public rights. A with under Section
92 of the Code is a representative suit and as such binds not only the parties named in the
suit-title but all those who are interested in the trust. In deciding, whether a suit falls within
Section 92, the Court must go beyond the reliefs and have regard to the capacity in which the
plaintiffs are suing and to the purpose for which the suit was brought. It is only the
allegations in the plaint that should be looked into in the first instance, to see, whether the suit
falls within the ambit of Section 92.16

The Courts have to be careful to eliminate the possibility of a suit being laid against public
trusts under Section 92 by persons whose activities were not for protection of the interests of
the public trusts. First and the foremost requirement for an application under Section 92 is,
the plaintiffs should bring the suit to vindicate the right of the public. In the suit, if they are
seeking a declaration of their individual or personal rights or individual or personal rights of
any other person or persons in whom they are interested, then the suit would be outside the
scope of Section 92 of CPC. In order to find out whether the plaintiff, in such a suit, is
vindicating the right of the public or his personal right, what are to be seen are, allegations in
the plaint. In the first instance, if the allegations in the plaint do not indicate that the plaintiffs
have approached the Court to vindicate the rights of the public, on the analogy of Order 7

16
Christopher Karkada & Ors Church of South India, Madras & Ors. ILR 2012 KAR 725.
Rule 11 of CPC, the plaint can be rejected on the ground that the plaint does not disclose a
cause of action. Further, However, if it is not rejected and enquiry is conducted, evidence is
taken and thereafter it is found that breach of trust alleged has not been made out and that the
prayer for direction of the Court is vague and is not based on any solid foundation in facts or
reason, but is made only with a view to bring the suit under the Section, then the suit
purported to be brought under Section 92 must be dismissed. A suit whose primary object or
purpose is to remedy, the infringement of an individual right or to vindicate a private right
does not fall under the Section.17

Public Trust

Basically, the ancient Roman Empire developed this legal theory i.e. Doctrine of the Public
Trust. The Public Trust Doctrine primarily rests on the principle that certain resources like
air, sea, waters and the forests have such a great importance to the people as a whole that it
17
Shivananda C.R. & Anr Sri. H.C. Gurusiddappa & Ors ILR 2011 KAR 4624.
would be wholly unjustified to make them a subject of private ownership. The said resources
being a gift of nature, they should be made freely available to everyone irrespective of the
status in life. The doctrine enjoins upon the Government to protect the resources for the
enjoyment of the general public rather than to permit their use for private ownership or
commercial purposes.

Public trust doctrine serves two purposes: it mandates affirmative state action for effective
management of resources and empowers citizens to question ineffective management of
natural resources. It is a common law concept, defined and addressed by academics in the
United States and the United Kingdom. Various common properties; including rivers, the
seashore, and the air, are held by the government in trusteeship for the uninterrupted use of
the public. The sovereign could not, therefore, transfer public trust properties to a private
party if the grant would interfere with the public interest

Trusts designed for the benefit of a class or the public generally. In general, such must be
created for charitable, educational, religious or scientific purposes. As stated earlier there is
no Central Act applicable for Public trusts, but various states have enacted their own acts
suitable to their conditions and administration. Public trusts are popular because it is
relatively easy to register and manage them. All one needs to do is to draft a trust deed stating
the trustees, the objectives of the trust, and the intended beneficiaries who are a part of the
general public. The trust is then registered under the State Trusts Act, thereby making the
trust eligible for government tax rebates, namely the Income Tax Act. Generally, a public
trust is of a more permanent nature than a private trust.

Religious endowments and wakfs are variants of public trusts that come into being when an
endowment, usually, property, is dedicated for religious purposes. The creation of religious
charitable trusts is governed by the personal laws of the religion. The administration of these
religious trusts can either be left to the trustees as per the dictates of the religious names or it
can be regulated by statute.18 In case of Hindus, the personal law provisions regulating the
religious trusts have not been codified and are found dispersed in various religious books and
epics.

Like the private trusts, public trusts may be created inter vivos or by will. The working of
such trusts can be regulated and supervised by both, the state and the beneficiaries. To create
a charitable trust three certainties are required which are:
18
Tanvi Kapoor, Public Trust Doctrine, http://www.legalserviceindia.com/articles/ptdoc.htm
1. Declaration of trust made by settlor which is binding upon him

2. Setting apart certain property by settlor and thereby depriving himself of the ownership
rights, and

3. A statement of object for which the property is thereafter to be held, that is the
beneficiaries.

It is essential that the transferor of the property viz. the settlor or the author and the trustee
are competent to contract. It is also necessary that trustees should signify their assent for
acting as trustees to make the trust a valid one. Once the trust is created and the property is
transferred to the trust it cannot be revoked.

In case of breach of public trust, either the Advocate General or two or more persons having
interest in the trust can institute a suit regarding following matters:

1. Removal of a trustee

2. Appointment of a new trustee

3. For vesting any property in a trustee

4. for directing a trustee who has been removed as a trustee to provide possession of any trust
property in his possession to the person entitled to the possession of such property

5. for directing accounts inquiries.19

CASE LAWS

1. Chairman Madappa v. Mahanthadevaru:

The main purpose of S. 92 (1) is to give protection to public trust of a charitable or religious
nature from being subjected to harassment by suits being filed against them. That is why it

19
Supra note 1.
provides that suits under this section can only be filed either by the Advocate-General or two
or more persons having an interest in the trust with the leave of the court.20

The object is that before the Advocate-General files a suit or the leave of the court is granted
to two or more persons, the Advocate-General or the court would satisfy himself or itself that
there is a prima facie case either of the breach of trust or of the necessity for obtaining
directions of the court.

2. Bishwanath v. Sri Thakur Radha Ballabhji:

To invoke S. 92 of the Code of Civil Procedure, three conditions have to be satisfied, namely,
(i) the trust is created for public purposes of a charitable or religious nature; (ii) there was a
breach of trust or a direction of the court is necessary in the administration of such a trust;
and (iii) the relief claimed is one or other of the reliefs enumerated therein. If any of the three
conditions is not satisfied, the suit falls outside the scope of the said section.21

3. Swami Parmatmanand Saraswati v. Ramji Tripathi,

“A suit under S. 92 is a suit of a special nature which presupposes the existence of a public
trust of a religious or charitable character. Such a suit can proceed only on the allegation that
there was a breach of such trust or that the direction of the court is necessary for the
administration of the trust and the plaintiff must pray for one or more of the reliefs that are
mentioned in the section.22

4. Kailash Chand v. Bhupal Nath

Section 92 applies only to a public trust. The distinction between a private and public trust is
that whereas in the former the beneficiaries are specific individuals who are ascertained or

20
1966 AIR 878
21
1967 AIR 1044
22
1974 AIR 2141
capable of being ascertained, in the latter they are the general public or a class thereof and
they constitute a body which is incapable of ascertainment.23

Conclusion and Suggestions

Trust is a concept which generally features around the author, the trustee and the
beneficiary/beneficiaries having rights and obligations assigned to each of them. There are
many advantages of trust like protection of wealth, protection of insolvency, taxation, welfare

23
AIR 1973 All 238
of family members, helps in succession of property and much more. If the trust is formed
with all the required legal procedures then it is for beneficial each of the organ of a trust.

From the above discussions on the doctrine and various case laws, it is evident that the state
is not the owner of the natural resources in the country but a trustee who holds fiduciary
relationship with the people. By accepting this task the government is expected to be loyal to
the interests of its citizens and to discharge its duty with the interest of the citizens at heart
and involve them in decision-making process concerning the management of natural
resources in the country. The Public Trust Doctrine may provide the means for increasing the
effectiveness of environmental impact assessment laws. Thus, under this doctrine, the state
has a duty as a trustee under art. 48A to protect and improve the environment and safeguard
the forests and wildlife of the country. While applying art. 21 (right to life), the state is
obliged to take account of art. 48A, a Directive Principle of State Policy. The state's
trusteeship duties has been expanded to include a right to a healthy environment.

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