Charities Bill [HL]

House of Commons

Session 2005 - 06
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Other Bills before Parliament

Charities Bill [HL]

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
148

      (6)
In subsection (5)—
(a)
for “income from all sources does not in aggregate” substitute “gross
income does not”, and
(b)
for “the Commissioners may exercise their” substitute “the
Commission may exercise its”.
5
      (7)
In subsection (6)—
(a)
for “the Commissioners are” substitute “the Commission is”,
(b)
for “the Commissioners have” substitute “the Commission has”,
(c)
for “the Commissioners” (in the third and fourth places) substitute
“the Commission”, and
10
(d)
for “they act” substitute “it acts”.
      (8)
In subsection (7)—
(a)
for “the Commissioners” (in the first and third places) substitute “the
Commission”, and
(b)
for “the Commissioners consider” substitute “the Commission
15
considers”.
      (9)
In subsection (8)—
(a)
for “The Commissioners” substitute “The Commission”, and
(b)
for “their jurisdiction” substitute “its jurisdiction”.
     (10)
In subsection (9) for “the Commissioners shall give notice of their” substitute
20
“the Commission shall give notice of its”.
     (11)
In subsection (10)—
(a)
for “The Commissioners shall not exercise their” substitute “The
Commission shall not exercise its”, and
(b)
for “the Commissioners” (in the second place) substitute “the
25
Commission”.
     (12)
Omit subsections (11) to (14).
     (13)
In subsection (15)(b) for “the Commissioners may exercise their” substitute
“the Commission may exercise its”.
105   (1)
Section 17 (further power to make schemes or alter application of charitable
30
property) is amended as follows.
      (2)
In subsection (1)—
(a)
for “the Commissioners” (in both places) substitute “the
Commission”, and
(b)
for “by them” substitute “by the Commission”.
35
      (3)
In subsection (2) for “the Commissioners” substitute “the Commission”.
      (4)
In subsection (4) for “the Commissioners” (in both places) substitute “the
Commission”.
      (5)
In subsection (6)—
(a)
for “Commissioners” (in both places) substitute “Commission”,
40
(b)
for “if they were” substitute “if the Commission was”, and
(c)
for “to them” substitute “to it”.
      (6)
In subsection (7) for “the Commissioners” substitute “the Commission”.

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
149

      (7)
In subsection (8)—
(a)
for “the Commissioners are” substitute “the Commission is”, and
(b)
for “the Commissioners” (in the second place) substitute “the
Commission”.
106   (1)
Section 18 (power to act for protection of charities) is amended as follows.
5
      (2)
In subsection (1)—
(a)
for “after they have” substitute “after it has”,
(b)
for “the Commissioners are” substitute “the Commission is”,
(c)
for “the Commissioners may of their” substitute “the Commission
may of its”,
10
(d)
for “as they consider” substitute “as it considers”,
(e)
for “the Commissioners” (in the third, fourth and fifth places)
substitute “the Commission”, and
(f)
for “a receiver” substitute “an interim manager, who shall act as
receiver”.
15
      (3)
In subsection (2)—
(a)
for “the Commissioners are” substitute “the Commission is”, and
(b)
for “the Commissioners may of their” substitute “the Commission
may of its”.
      (4)
In subsection (4)—
20
(a)
for “The Commissioners” substitute “The Commission”, and
(b)
for “their own motion” substitute “its own motion”.
      (5)
In subsection (5)—
(a)
for “The Commissioners may by order made of their” substitute “The
Commission may by order made of its”,
25
(b)
for “removed by them” substitute “removed by the Commission”,
and
(c)
for “the Commissioners are of” (in both places) substitute “the
Commission is of”.
      (6)
In subsection (6)—
30
(a)
for “the Commissioners” (in both places) substitute “the
Commission”,
(b)
for “their own motion” substitute “its own motion”, and
(c)
for “by them” substitute “by it”.
      (7)
Omit subsections (8) to (10).
35
      (8)
In subsection (11) for “the Commissioners” substitute “the Commission”.
      (9)
In subsection (12)—
(a)
for “the Commissioners” substitute “the Commission”, and
(b)
for “their intention” substitute “its intention”.
     (10)
In subsection (13)—
40
(a)
for “The Commissioners” substitute “The Commission”,
(b)
for “they think fit” substitute “it thinks fit”,
(c)
for “by them” substitute “by it”,
(d)
for “to them” substitute “to the Commission”, and

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
150

(e)
for “they shall” substitute “the Commission shall”.
107   (1)
Section 19 (supplementary provisions relating to receiver and manager
appointed for a charity) is amended as follows.
      (2)
For subsection (1) substitute—
“(1)
The Commission may under section 18(1)(vii) above appoint to be
5
interim manager in respect of a charity such person (other than a
member of its staff) as it thinks fit.”
      (3)
In subsection (2)—
(a)
for “the Commissioners” (in both places) substitute “the
Commission”, and
10
(b)
for “receiver and manager” substitute “interim manager”.
      (4)
In subsection (3) for “receiver and manager” (in both places) substitute
“interim manager”.
      (5)
In subsection (4)—
(a)
for “receiver and manager” substitute “interim manager”, and
15
(b)
for “the Commissioners” substitute “the Commission”.
      (6)
In subsections (6)(c) and (7) for “the Commissioners” substitute “the
Commission”.
      (7)
In the sidenote for “receiver and manager” substitute “interim manager”.
108
After section 19B (inserted by section 21 of this Act) insert—
20
“19C
Copy of order under section 18, 18A, 19A or 19B, and Commission’s
reasons, to be sent to charity
(1)
Where the Commission makes an order under section 18, 18A, 19A
or 19B, it must send the documents mentioned in subsection (2)
below—
25
(a)
to the charity concerned (if a body corporate), or
(b)
(if not) to each of the charity trustees.
(2)
The documents are—
(a)
a copy of the order, and
(b)
a statement of the Commission’s reasons for making it.
30
(3)
The documents must be sent to the charity or charity trustees as soon
as practicable after the making of the order.
(4)
The Commission need not, however, comply with subsection (3)
above in relation to the documents, or (as the case may be) the
statement of its reasons, if it considers that to do so—
35
(a)
would prejudice any inquiry or investigation, or
(b)
would not be in the interests of the charity;

but, once the Commission considers that this is no longer the case, it
must send the documents, or (as the case may be) the statement, to
the charity or charity trustees as soon as practicable.
40
(5)
Nothing in this section requires any document to be sent to a person
who cannot be found or who has no known address in the United
Kingdom.

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
151

(6)
Any documents required to be sent to a person under this section
may be sent to, or otherwise served on, that person in the same way
as an order made by the Commission under this Act could be served
on him in accordance with section 91 below.”
109
In section 22(3) (property vested in official custodian) for “the
5
Commissioners” substitute “the Commission”.
110   (1)
Section 23 (divestment in case of land subject to Reverter of Sites Act 1987
(c. 15)) is amended as follows.
      (2)
In subsection (1)—
(a)
for “the Commissioners” (in both places) substitute “the
10
Commission”,
(b)
for “by them of their own” substitute “by the Commission of its
own”, and
(c)
for “appear to them” substitute “appear to the Commission”.
      (3)
In subsection (2)—
15
(a)
for “the Commissioners (of their own motion)” substitute “the
Commission (of its own motion)”, and
(b)
omit “or them”.
      (4)
In subsection (3)—
(a)
for “the Commissioners” (in the first and second places) substitute
20
“the Commission”, and
(b)
for “the Commissioners is or are” substitute “the Commission is”.
111
In section 24 (schemes to establish common investment funds), in
subsections (1) and (2), for “the Commissioners” substitute “the
Commission”.
25
112
In section 25(1) (schemes to establish common deposit funds) for “the
Commissioners” substitute “the Commission”.
113
For the heading preceding section 26 substitute “Additional powers of
Commission”.
114
In section 26(1) (power to authorise dealings with charity property)—
30
(a)
for “the Commissioners” substitute “the Commission”, and
(b)
for “they may” substitute “the Commission may”.
115   (1)
Section 27 (power to authorise ex gratia payments) is amended as follows.
      (2)
In subsection (1) for “the Commissioners” substitute “the Commission”.
      (3)
In subsection (2)—
35
(a)
for “the Commissioners” (in both places) substitute “the
Commission”, and
(b)
for “by them” substitute “by the Commission”.
      (4)
In subsection (3)—
(a)
for “the Commissioners for them” substitute “the Commission for it”,
40
(b)
for “they are not” substitute “it is not”,
(c)
for “they consider” substitute “the Commission considers”,
(d)
for “by them” substitute “by the Commission”, and
(e)
for “they shall” substitute “the Commission shall”.

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
152

      (5)
In subsection (4)—
(a)
for “to them” substitute “to the Commission”, and
(b)
for “the Commissioners determine” substitute “the Commission
determines”.
116   (1)
Section 28 (power to give directions about dormant bank accounts) is
5
amended as follows.
      (2)
In subsection (1)—
(a)
for “the Commissioners” substitute “the Commission”,
(b)
for “are informed” substitute “is informed”,
(c)
for “are unable” substitute “is unable”, and
10
(d)
for “they may give” substitute “it may give”.
      (3)
In subsection (3)—
(a)
for “Commissioners” (in both places) substitute “Commission”,
(b)
for “they consider” substitute “it considers”,
(c)
for “to them” substitute “to the Commission”, and
15
(d)
for “they have received” substitute “it has received”.
      (4)
In subsection (5)—
(a)
for “the Commissioners have been” substitute “the Commission has
been”,
(b)
for “the Commissioners” (in the second and third places) substitute
20
“the Commission”,
(c)
for “they shall revoke” substitute “it shall revoke”, and
(d)
for “by them” substitute “by it”.
      (5)
In subsection (7)—
(a)
for “the Commissioners” substitute “the Commission”, and
25
(b)
for “them to discharge their functions” substitute “the Commission
to discharge its functions”.
      (6)
In subsection (8)(a) for “the Commissioners are informed” substitute “the
Commission is informed”.
      (7)
In subsection (9)—
30
(a)
for “the Commissioners have” substitute “the Commission has”, and
(b)
for “the Commissioners” (in the second place) substitute “the
Commission”.
117   (1)
Section 30 (powers for preservation of charity documents) is amended as
follows.
35
      (2)
In subsection (1) for “The Commissioners” substitute “The Commission”.
      (3)
In subsection (2) for “Commissioners” (in each place) substitute
“Commission”.
      (4)
In subsection (3)—
(a)
for “the Commissioners” (in the first place) substitute “the
40
Commission”,
(b)
for “with them” substitute “with the Commission”,

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
153

(c)
for “officer of the Commissioners generally or specially authorised
by them” substitute “member of the staff of the Commission
generally or specially authorised by the Commission”.
      (5)
In subsection (4) for “the Commissioners” substitute “the Commission”.
      (6)
In subsection (5)—
5
(a)
for “the Commissioners” substitute “the Commission”,
(b)
for “by them” substitute “by the Commission”, and
(c)
for “with them” substitute “with the Commission”.
118   (1)
Section 31 (power to order taxation of solicitor’s bill) is amended as follows.
      (2)
In subsection (1) for “The Commissioners” substitute “The Commission”.
10
      (3)
In subsection (3) for “the Commissioners are” substitute “the Commission
is”.
119   (1)
Section 32 (proceedings by Commissioners) is amended as follows.
      (2)
In subsections (1) and (3) for “the Commissioners” substitute “the
Commission”.
15
      (3)
In subsection (5)—
(a)
for “the Commissioners” substitute “the Commission”, and
(b)
for “by them of their own” substitute “by the Commission of its
own”.
      (4)
In the sidenote, for “Commissioners” substitute “Commission”.
20
120   (1)
Section 33 (proceedings by other persons) is amended as follows.
      (2)
In subsection (2) for “the Commissioners” substitute “the Commission”.
      (3)
In subsection (3)—
(a)
for “The Commissioners” substitute “The Commission”,
(b)
for “their opinion” substitute “its opinion”, and
25
(c)
for “by them” substitute “by the Commission”.
      (4)
In subsections (5) and (6) for “the Commissioners” substitute “the
Commission”.
      (5)
In subsection (7)—
(a)
for “the Commissioners” (in both places) substitute “the
30
Commission”, and
(b)
for “they think” substitute “the Commission thinks”.
121
In section 34 (report of inquiry to be evidence in certain proceedings), in
subsections (1) and (2), for “the Commissioners” substitute “the
Commission”.
35
122
In section 35(1) (application of certain provisions to trust corporations) for
“the Commissioners” substitute “the Commission”.
123   (1)
Section 36 (restrictions on dispositions) is amended as follows.
      (2)
In subsection (1)—
(a)
for “sold” substitute “conveyed, transferred”, and
40
(b)
for “the Commissioners” substitute “the Commission”.

Charities Bill [HL]
Schedule 8 — Minor and consequential amendments
154

      (3)
In subsection (3) after “subsection (5) below,” insert “the requirements
mentioned in subsection (2)(b) above are that”.
      (4)
In subsection (5) after “consideration of a fine),” insert “the requirements
mentioned in subsection (2)(b) above are that”.
      (5)
In subsection (6)—
5
(a)
for “sold” substitute “conveyed, transferred”, and
(b)
for “previously” substitute “before the relevant time”.
      (6)
After subsection (6) insert—
“(6A)
In subsection (6) above “the relevant time” means—
(a)
where the charity trustees enter into an agreement for the
10
sale, or (as the case may be) for the lease or other disposition,
the time when they enter into that agreement, and
(b)
in any other case, the time of the disposition.”
      (7)
In subsection (8)—
(a)
for “The Commissioners” substitute “The Commission”,
15
(b)
for “the Commissioners are satisfied” substitute “the Commission is
satisfied”, and
(c)
for “for them” substitute “for the Commission”.
124
In section 37 (supplementary provisions relating to dispositions), in
subsections (2) and (4)—
20
(a)
for “sold” substitute “conveyed, transferred”, and
(b)
for “the Commissioners” substitute “the Commission”.
125
In section 38(1) (restrictions on mortgaging) for “the Commissioners”
substitute “the Commission”.
126   (1)
Section 39 (supplementary provisions relating to mortgaging) is amended as
25
follows.
      (2)
In subsections (2)(a) and (4) for “the Commissioners” substitute “the
Commission”.
      (3)
After subsection (4) insert—
“(4A)
Where subsection (3D) of section 38 above applies to any mortgage
30
of land held by or in trust for a charity, the charity trustees shall
certify in relation to any transaction falling within that subsection
that they have obtained and considered such advice as is mentioned
in that subsection.
(4B)
Where subsection (4A) above has been complied with in relation to
35
any transaction, then, in favour of a person who (whether under the
mortgage or afterwards) has acquired or acquires an interest in the
land for money or money’s worth, it shall be conclusively presumed
that the facts were as stated in the certificate.”
127
In section 41(4) (obligation to preserve accounting records) for “the
40
Commissioners consent” substitute “the Commission consents”.
128   (1)
Section 42 (annual statements of accounts) is amended as follows.
      (2)
After subsection (2) insert—