Transmission of shares with respect to Charitable Trusts


  • There was a successful Businessman in the city of Chennai.
  • He brought various shares in his own name and in the name if his wife.  In addition, there were lot of Real Estate Properties too.They had no children.
  • He died Intestate ( without leaving a will ).  Over three decades back and the real estate properties were transferred in her name. She also obtained a Succession Certificate for the shares to be transferred in their name.
  • Transmission of shares have not even started and she took ill.
  • She wanted to have a trust in the name of her husband and herself and wanted to transfer substantial portions of the properties to the trust.
  • She made a will and named three executors to the will.
  • A trust was also formed, with her as a chairperson and the other three executors as trustees.
  • Soon thereafter, the Noble Lady died and the executors started the process of prorating the will.
  • The will was contested and the case prolonged infinitely and finally award came in favour of the executors.
  • Just before that we started resorting the shares.  Meanwhile, one of the executors died.


  • For starters, we approached the companies that did not require probate and shares whose value was less than the threshold limit of Rs. 2,00,000.
  • We established the fact that one of the executors was no more.
  • We opened a. Joint account in the name of the Executors as joint signatories.  Here we had to overcome KYC Norms issue, since having KYC for ” Mr.ABC & Mr.XYZ, Executors to the estate of                        Is not easy.
  • Once it is opened, we filed all NECS forms so that substantial dividend started getting deposited into the account.
  • We also opened an identical DEMAT Account and we started dematerialising the shares.
  • These accounts have a life of only 6 months and within that period all receipts have to come in. There can be only one payment – Transfer to the trust at the time of closing the account.

We were able to time it out properly and completed the first leg of the project creditably.