"Endowment is dedication of property for purposes of religion or charity having both the subject and the object certain and capable of ascertainment".

Question: "Endowment is dedication of property for purposes of religion or charity having both the subject and the object certain and capable of ascertainment". [BJS 1984]

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Answer

The definition of endowments recognised by the court [C.I.T v. Pensel, (1891) AC 531] since long includes the properties set apart or dedicated by gift or devise for the worship of some particular deity or for the maintenance of a religious or charitable institution, or for the benefit of the public or some section of the public in the advancement of religion, knowledge, commerce, health, safety or for any other object beneficial to the mankind.

In the case of Pratap Singhji v. Charity Commissioner, AIR 1987 SC 2064, the Supreme Court of India discussed the concept of endowment in relation to religious and charitable purposes. The case dealt with a dispute over the management and control of certain properties that had been dedicated for religious and charitable purposes.

The Court defined an endowment as a

"dedication of property for the purposes of religion or charity having both the subject and the object certain and capable of ascertainment."

This means that for a property to be considered an endowment, it must be dedicated for specific religious or charitable purposes, and the subject and object of the dedication must be clear and able to be determined.

The Court also emphasized that an endowment must be created with the intention of benefitting the public, and not just a particular individual or group. This is important because endowments are intended to be used for the public good, and not for the personal gain of any individual or group.

Furthermore, the court also stated that an endowment must be created with the intention of it being permanent, and not just for a temporary or limited period of time. The court said that endowments are meant to continue in perpetuity and provide benefits to future generations. The court also went on to say that any person who creates an endowment must ensure that the property is managed and controlled in a manner that is consistent with the purpose of the endowment. This means that the person who creates the endowment must ensure that the property is used for the specific religious or charitable purposes for which it was dedicated, and not for any other purpose.

In this particular case, the court held that the properties in question were valid endowments and that the management and control of the properties should be in accordance with the religious and charitable purposes to which they were dedicated.

So far as the subject of endowment is concerned a Hindu is free to dedicate all of his property for religious or charitable purpose, which he can validly dispose of by gift or will. A Hindu can even dispose whole of his property. It was held in Venkata Krishna v. Sub-Collector, AIR 1969 SC 563, that a tank can be a subject of endowment.

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