A trustee is a person or an entity created and entrusted with property to deal with for the benefit of certain person or persons called beneficiaries. A trust is created by means of written document known as trust deed. The trust deed contains important details. Object of the trust, Names of trustees and power vested with them, The Beneficiaries and terms and conditions to administer the trust property. The person who transfers his property to the trust is called “settler” or “author of Trust”. A trust can be formed for charitable or religious or educational or scientific purposes. The Trust formed for the promotion of public welfare is called Public Trust. The Trust which is created for charitable purpose is called a charitable trust. A trust created for the benefit of specified /definite ascertainable individuals is called private trust. The Certified copy of the Trust Deed document is generally required for opening a Trust account in the banks, if there is no Trust Deed, a certified copy of the order from a competent Court in this regard to be submitted.
For KYC purpose folowing documents are required;
1. Copy of the Trust deed,
2. Registration certificate of the Trust,
3. If the Trust is not registered, PAN Number/Acknowledgement copy of Income Tax return,
4. Certified copy of the resolution regarding opening and operation of the account.
5. Details of all the present trustees, settlers, beneficiaries and signatories with their identity and address proof,
6. Copy of power of attorney granted to any employees to transact business of the trust.
7. Registered & communication address of the Trust with Telephone/fax number/e-mail address.
While opening opening Current Accounts of all categories of depositors including proprietor, partners, trustees, settlers, beneficiaries and those holding power of attorney, founders, managers, directors etc.the customers needs to submit ‘know your customer’ related official valid documents of the entities and natural persons behind the entities. As per RBI guidelines, in addition to seeking NOC from the existing bankers of the prospective current account customer, banks should seek information from CRILC and verify the data received from the CRILC, whether the prospective customer is enjoying credit facilities from another bank. Also, banks have to seek ‘No Objection certificate’ from the drawee bank where the initial deposit to current account is made by way of a cheque.In addition to KYC related documents, other common procedure for opening new current accounts are published in this website, let us now examine, what are the other requirements for opening captioned accounts.