K.S. Soundararajan & Ors. v. Commissioner, Hindu Religious & Charitable Endowments (H.R. & C.E.), Tamil Nadu
Background
A testator's registered Will of 1949 left property to his daughters and nephew and set up two charities to be carried out from the income of the property: offering Neivedyam and Pooja to the deity at a temple festival, and feeding people on the day a deity's procession went to the river. Five members of the community asked the state Endowments Commissioner to frame a scheme for these charities, and the dispute turned on whether the trust was a private family trust or a public religious one. The High Court's Division Bench limited any scheme to the temple-linked charities.
Decision Breakdown
The Supreme Court dismissed the appeal and upheld the High Court's decision. It held that the two charities, offering Neivedyam and Pooja to the deity during the festival and the feeding on the procession day, are religious charities and a service to the deity. Relying on the statutory definitions of "religious charity" and "specific endowment", the Court read the word "attached" in Section 64(1) of the 1959 Act broadly, to cover any service or charity connected with a temple. On that basis, the state's endowments authority has the power to frame a scheme for these charities.
Lesson Learnt
A charitable gift that is tied to a temple or a deity's festival can be treated as a public religious endowment, even if it was set up by a private person's Will. The state can then regulate it through a formal scheme, so families that create such trusts should understand that the rules may change.