Section 4 of CEA : Section 4: Orders Vesting Property In Treasurer

Explanation using Example

Imagine a wealthy individual, Mr. Gupta, has passed away leaving behind a large sum of money with the instruction that it be used to fund education for underprivileged children in his hometown. Mr. Gupta's will states that the money should be held in trust for this charitable purpose. However, the trustees managing the trust face difficulties in handling the funds and ensuring they are used properly according to Mr. Gupta's wishes.

The trustees decide to approach the state government for assistance. The government, recognizing the charitable intent and the need for proper management of the funds, agrees to have the property vested in the treasurer of Charitable Endowments. The government issues a notification in the Official Gazette to this effect, and the terms for the application of the funds are agreed upon between the government and the trustees.

As a result, the funds are now managed by the treasurer of Charitable Endowments, who also receives all the documents of title related to the property. However, the treasurer's role is not to administer the trust but to ensure that the funds are allocated as per the agreed terms, without taking on the full duties of a trustee.