In Brief
A Parsi religious trust sought to sell five immovable properties and reinvest proceeds to generate income for charitable activities and obligations. The Registrar of Public Trusts rejected the application on subjective grounds about the trust's interests, though the sale decision was made through a transparent two-layered process with membership approval and a detailed Vision Document. The Supreme Court held that the Registrar's power to withhold sanction is limited to grounds specified in the trust instrument or statute, not subjective notions of benefit. The Court distinguished the narrower powers under the Madhya Pradesh Public Trusts Act from the broader supervisory powers under the Bombay Act, and allowed the appeal subject to fresh valuation and public tender."
The lawyer headnote and full judgment text are available to registered users.