TRUST DEED

BEAUFORT WEST STUDY TRUST

1.      ESTABLISHMENT AND NAME OF THE TRUST FUND

In order to give effect to the purposes set out herein, the FOUNDERS, Matheus stefanus Jacobus Louw (381228 5061 08 6) and Kholekile Joseph Wilfred Renene (passed on 1996) establish a Trust Fund, which for all lawful purposes shall be known as THE BEAUFORT WEST STUDY FUND (hereinafter referred to as TRUST).

1.1  REUNION BASTIAANSE SECONDARY SCHOOL 1999:

A resolution was taken to provide bursaries to indigent matriculants of the four high schools in Beaufort West, thus enabling them to pursue their studies on tertiary level.

2.      AIM OF THE TRUST:

(A)   The aim of this TRUST is the collection and receipt in whatever ways, in co-operation with the principals, educators, secretaries, parents, learners, ex-students and the broad community, of monies, funds, donations and other contributions for direct of indirect application for the advantage, welfare and education of students in Beaufort West by the allocation of study help on such conditions as the trustees in the exercise of their sole discretion may determine.

(B)   To establish a special fund in the Republic of South Africa for the sole purpose of receiving donations to be used exclusively for the defrayal of any expenditure directly incurred in providing educational or training facilities (including expenditure on board and lodging facilities but excluding any expenditure in respect of tuition or boarding fees for, or the granting of any bursary to any person nominated by a donor to the Trust) for the benefit of the students or trainees of tertiary institutions. (Refers to Beaufort West students).

3.      BOARD OF TRUSTEES:

(A)   The TRUST shall be administered and managed by a Board of Trustees (hereafter referred to as the BOARD) and the FOUNDERS shall initially act as the BOARD until such time as a full BOARD of ten (10) members is appointed.

(B)    Should a Trustee resign, pass away, for reasons of health become incapable of carrying out his/her duty, or for other reasons in the opinion of the BOARD become unfit to hold office, such vacancies shall be filled by way of nominations by the remaining Trustees. It shall not be required of the original Trustees or any Trustees appointed thereafter to furnish security to the Master or any other person for the proper execution of their duties as such.

(C)   The Trustees shall be required to accept their nomination as members of the BOARD in writing and to bind themselves to the carrying out of the duties set out

hereunder.

(D)  The Trustees are hereby indemnified against liability for expenses properly incurred by them in the execution of their duties as Trustees in terms of this TRUST DEED, as also for any loss which the TRUST may suffer or for any reduction in the value of the assets of the TRUST or for any act or omission of any Trustee, provided that this indemnity shall lapse in the case of any Trustee who acts fraudulently or dishonestly.   

4.      MEETINGS OF THE BOARD OF TRUSTEES:

(A)   The BOARD shall choose from its own ranks a Chairperson and a Deputy Chairperson who will office for a maximum period of two (2) years.

(B)   The BOARD shall arrange its own meetings but shall meet no less than twice yearly. SIX (6) members of the BOARD shall constitute a quorum.

(C)   The powers of the BOARD shall be carried out by way of decisions of the BOARD taken by a majority of two-thirds of Trustees present at a meeting, but in the event of a deadlock being reached the Chairperson of the meeting, apart from his ordinary vote, shall have a casting vote.

(D)  The Chairperson shall act at all meetings of the BOARD at which he/she is present. In his/her absence the Deputy Chairperson shall act in his/her place, and in his/her absence any other Trustee who is chosen as Chairperson by the of Trustees present at the relevant meeting , shall act as Chairperson at that meeting.

(E)   The Trustees shall determine the procedure for their meetings, provided it is in accordance with the provisions of this DEED.

(F)    The BOARD shall elect a Secretary from amongst its members or appoints as secretary some other person; in the latter event the Secretary shall have no voting right. Written Minutes shall be kept of all meetings of the BOARD.

5.      DUTIES AND OBLIGATIONS OF THE TRUSTEES:

The BOARD shall have the right and authority to take and carry out such actions as may be necessary from time to time in order to give effect to the provisions of the TRUST. Without in any way derogating from the generality of the aforementioned, the BOARD shall have the right and authority to:

(i)                 Receive and administer contributions and bequests on behalf of the BOARD.

(ii)               Invest and reinvest monies of the TRUST in savings accounts, fixed deposits, letters of credit, shares, immovable property or in any other form of investment whatsoever, provided the cash resources which are available for investment may only be invested with one or more financial institutions as defined in Section 1 of the Financial Institution (Investment of Fund) Act of 1984. 

(iii)             Buy or otherwise acquire movable or immovable property, corporeal or incorporeal property, or any right thereto, to make improvements thereto, to sell, exchange, mortgage or hypothecate or otherwise burden, to rent or to hire out, on in any other way to alienate such property at profit, provided that the Trustees may not acquire immovable property for letting purposes nor may they engage in ant trading operations or speculative transactions. This include inter alia ordinary trading operations in a commercial sense, speculative transactions, dividend stripping activities as well as letting of property on asymmetrical or regular basis and provided further that no building owned by the Trust may be occupies (free of charge) by any other person except the beneficiaries.

(iv)              Call up or reinvest any investment from time to time, provided the cash resources which are available for investment may only be invested with one or more financial institution as defined in Section 1 of the Financial Institutions (investment of Funds) Act 1984 or as amended.

(v)                Borrow and lend money either with or without security and either with or without interest charges, provided that only loans to beneficiaries may make.

(vi)              Open bank accounts and deposit monies therein or withdraw monies there from, and to discount, issue and execute cheques, acknowledgements or debts, bills of exchange or any other negotiable or transferable document.

(vii)             Donate monies, to contribute monies or guarantee monies for any purpose which directly or indirectly will further the purposes and business of the TRUST.

(viii)          Act as plaintiff or defendant in any legal proceedings in its’ own name.

(ix)              Employ, remunerate, and if necessary, to dismiss officials and other employees or professional advisers.

(x)                Pay any costs (documentary proof), which may be incurred in connection with the administration, running and managed of the TRUST. Such costs and disbursements must be paid out of the income of the TRUST, and in the exercise of the sole discretion of the Trustees, also out of the capital of the TRUST, if necessary, before the funds of the TRUST are used for any other purpose.

(xi)              All donations to the TRUST must be irrevocable and subject to the terms and conditions of the DEED OF TRUST and the TRUST is to be administered in such a manner as to preclude any donor from deriding any monetary advantage from monies into or out of the special fund.

6.      SIGNING POWERS:

Notwithstanding anything to the contrary contained in this DEED, any TWO (2) of THREE (3) Trustees who have been properly authorized by the BOARD may sign any power of attorney in order to effect transfer of immovable property or shared and securities, or in order to institute or defend Court proceedings or in order to give consent to the cancellation or session of bonds.

7.      REGISTRATION OF IMMOVABLE PROPERTY:

Immovable property by the TRUST shall be registered in the name of THE BEAUFORT WEST STUDY FUND. 

8.      BOOKING AND BANK ACCOUNTS:

The BOARD shall keep proper books of the administration of the TRUST and the books and the supporting documents shall be audited at least once yearly by a qualified accredited accountant. All funds shall be deposited in the usual manner in the bank accounts and withdrawal shall take place only against the signatures of any TWO (2) of THREE (3) members of the BOARD. A return of all liabilities of the TRUST and the manner in which the funds and assets of the TRUST have been utilized, shall be drawn up at the end of each financial year. The financial year of the TRUST shall run from 1 March to 28/29 February in the following year.

9.      FURNISHING OF SECURITY:

The Trustees shall not be required to furnish security in terms of the Trust Monies Protections Act of 1934 or any other legislation which may now hereafter become of force and effect, the intent and purpose being that no person who shall at any time be Trustee under this Deed shall be required to give security in connection with, or arising out of his/her appointment as such.

10.  NO PROFITS:

It is recorded that the Trust is a non-profitable organization.

11.  AMENDMENT OR DISSOLUTION OF TRUST:

(a)   If the BOARD is of the opinion that the aim set out herein have been substantially achieved or that there is any other reason why the activities of the TRUST should not be continued, the BOARD may dissolve the TRUST, in which event the remaining assets of the TRUST shall be applied for the purposes set out herein, as amended or for purposes as close as possible thereto, as the Trustees may approve. The BOARD shall also have the power to amend, change or supplement this TRUST DEED, provided that at least EIGHT (8) Trustees vote in favour thereof.

(b)   Upon dissolution of the TRUST, the whole of the capital and accrued income is to be paid to an Educational Institution in the Republic of South Africa which is exempt from Income Tax, Donations Tax and Estate Duty and which is an educational fund as defined in Section 18A of the Income Tax Act. Neither the income nor the capital of the TRUST shall be transfer to any school in Beaufort West.

(c)    No amendment shall be made to the DEED OF TRUST without the prior approval of the Minister of Finance.

12.  Seventy-five percent (75%) of the net income (including donations), of the TRUST may be expended in the furtherance of its objects within a period of twelve (12) months from the end of the financial year during which it accrued, except where funds are to be accumulated for a specific capital project. The permission of the Receiver of Revenue to whom the TRUST submits its annual income tax returns shall be obtained and the Appearer declared further that:

The TRUSTEES hereby accept their appointment as Trustees on terms and conditions set out in this Deed.

THUS DONE and executed by

 Appearer on the ------------------------------------a

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before me,

the Notary, in the presence of the undersigned witnesses.

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