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Change of charitable purpose and amendment of constitution
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9. The Principal Act is amended by the insertion of the following section after section 42:
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“42A. (1) A registered charitable organisation shall make an application to the Authority in order to—
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(a) change its charitable purpose, or
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(b) amend a specified clause.
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(2) An application under subsection (1) shall—
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(a) be made in writing in such manner and form as may be specified by the Authority, and
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(b) contain such information as may be prescribed.
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(3) A registered charitable organisation shall not change its charitable purpose or amend a specified clause without the consent of the Authority and the Authority shall not give such consent if the Authority is of the opinion that—
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(a) in the case of an application referred to in subsection (1)(a)—
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(i) the proposed purpose is not a charitable purpose, or
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(ii) the charitable organisation has not demonstrated that it has or will have the organisational structure or expertise required to advance the proposed charitable purpose,
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or
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(b) in the case of an application referred to in subsection (1)(b), the proposed specified clause would be contrary to this Act.
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(4) The Authority shall, as soon as practicable after receiving an application under subsection (1), by notice in writing inform the charitable organisation of its decision and where the Authority refuses to give its consent under subsection (3), the notice shall include—
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(a) the reasons for the decision, and
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(b) the entitlement under section 45(1B) to appeal the decision.
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(5) A charitable organisation that is a body corporate that contravenes subsection (3) shall be guilty of an offence.
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(6) Where, in relation to a charitable organisation, there is a contravention of subsection (3), each of the charity trustees of the organisation shall be guilty of an offence.
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(7) This section does not apply to an education body.
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(8) In this Act, a ‘specified clause’ means a clause in the constitution relating to—
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(a) the objects,
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(b) the income and property, or
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(c) the winding up,
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of the charitable organisation.”.
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