Trustee Act 1949 (Act 208); Trustees (Incorporation) Act 1952 (Act 258) & Public Trust Corporation Act 1995 (Act 532) [As At 25th March 2024]

Detailed Contents of Trustee Act 1949 :

1. Trustee Act 1949 (Act 208)

The responsibilities, authority, and obligations of trustees are outlined in the Trustee Act 1949, a legislation in Malaysia. According to the Act, a trustee is a person who manages assets on behalf of a beneficiary. Some of the Act's most important provisions include the following:

• The duties of a trustee include acting in the beneficiaries' best interests and exercising authority in a careful and responsible manner. Also, the trustee must maintain correct records and submit frequent reports to the beneficiaries.

• Investing and managing the trust's assets, selling or leasing property, and making decisions on the beneficiaries' behalf are all within the trustee's purview. The level of care that a trustee must use when using these powers is outlined in the Act.

• A trustee is responsible for any loss brought on by a violation of their obligations or authority. In accordance with the Act, trustees may be compensated when they operate in good faith, for example.

2. Trustees (Incorporation) Act 1952 (Act 258)

In Malaysia, trustees may be incorporated by the Trustees (Incorporation) Act 1952. The Act calls for the creation of a corporate entity called a trustee corporation that is qualified to serve as a trustee. Some of the Act's most important provisions include the following:

• Creating a trustee corporation - A group of people who want to serve as trustees can create a trustee corporation. The company is able to hold and administer assets on behalf of beneficiaries because it has a separate legal personality from its members.

• The same rights and responsibilities apply to trustee corporations as they do to individual trustees. The corporation must operate in the beneficiaries' best interests and utilise its authority responsibly and sensibly.

• Liability of a trustee corporation - A trustee corporation's liability is only as great as its assets, and often, its members are not held personally accountable for the corporation's decisions.

3. Public Trust Corporation Act 1995 (Act 532)

A public trust corporation may be established in Malaysia in accordance with the Public Trust Corporation Act of 1995. A corporation called the Public Trust Corporation is established by the Act and given the power to serve as a trustee. Some of the Act's most important provisions include the following:

• Creation of the Public Trust Corporation - The Public Trust Corporation is established by the Act as a perpetual succession body corporate. The Corporation is permitted to keep and oversee property on behalf of beneficiaries, such as nonprofits and private citizens.

• The Public Trust Corporation has the same rights and obligations as a trustee in terms of its powers and responsibilities. The Corporation must act in the beneficiaries' best interests and utilise its authority responsibly and sensibly.

• Government of the Public Trust Corporation: Under the Act, the Public Trust Corporation is governed by a Board of Directors, which is in charge of running the Corporation's business. The Minister of Finance appoints the Board.

• The Act stipulates how the Public Trust Corporation would be financed, including through grants from the government and other sources. The Company is obligated to keep complete financial records and to report to the government on a regular basis.

Trustee Act 1949 Contains:

Trustee Act 1949 (Act 208)
Trustees (Incorporation) Act 1952 (Act 258)
Public Trust Corporation Act 1995 (Act 532)