Singapore legislation
Section 24
Section 24
Reversionary interests, valuations and audit
(1)
Where trust property includes any share or interest in property not vested in the trustees, or the proceeds of the sale of any such property, or any other thing in action, the trustees on the same falling into possession, or becoming payable or transferable, may —
agree or ascertain the amount or value thereof or any part thereof in any manner that they think fit;
accept in or towards satisfaction thereof, at the market or current value, or upon any valuation or estimate of value which they think fit, any authorised investments;
allow any deductions for duties, costs, charges and expenses which they think proper or reasonable;
execute any release in respect of the premises so as effectually to discharge all accountable parties from all liability in respect of any matters coming within the scope of the release,without being responsible in any such case for any loss occasioned by any act or thing so done by them if they have discharged the statutory duty of care.
(2)
The trustees are not under any obligation and are not chargeable with any breach of trust by reason of any omission —
to apply for any stop or other similar order upon any securities or other property out of or on which any share or interest or other thing in action mentioned in subsection (1) is derived, payable or charged; or
to take any proceedings on account of any act, default or neglect on the part of the persons in whom those securities or other property or any of them or any part of them is for the time being, or had at any time been, vested,unless required in writing to do so by some person, or the guardian of some person, beneficially interested under the trust, and unless also due provision is made to their satisfaction for payment of the costs of any proceedings required to be taken.
(3)
Nothing in subsection (2) relieves the trustees of the obligation to get in and obtain payment or transfer of the share or interest or other thing in action on the same falling into possession.
(4)
Trustees may, for the purpose of giving effect to the trust, or any of the provisions of the instrument (if any) creating the trust or of any statute, from time to time (by duly qualified agents) ascertain and fix the value of any trust property in any manner that they think proper and any valuation so made in discharge of the statutory duty of care is binding upon all persons interested under the trust.
(5)
Trustees may, in their absolute discretion, from time to time, but not more than once in every year unless the nature of the trust or any special dealings with the trust property make a more frequent exercise of the right reasonable, cause the accounts of the trust property to be examined or audited by an independent accountant, and must, for that purpose, produce such vouchers and give such information to the accountant as the accountant may require.
(6)
The costs of the examination or audit, including the fee of the auditor, must be paid out of the capital or income of the trust property, or partly in one way and partly in the other as the trustees, in their absolute discretion, think fit, but, in default of any direction by the trustees to the contrary in any special case, costs attributable to capital must be borne by capital and those attributable to income by income.