Archive · 13 Nov 2025
Maharashtra Ordinance Caps Perpetual Trustees to 25% of Board
Imagine a club that helps people, called a public trust.
This club needs people, called trustees, to run it.
Before, some trustees could stay forever, like a permanent president.
Now, a new rule in Maharashtra says that only one out of every four trustees can be a permanent one.
The other three must be on shorter terms, like a regular member.
This new rule is like a temporary law called an ordinance and it started on September 1, 2025.
It helps make sure that running the trust is fair and clear, and that new ideas can come in.
If the state's lawmakers like the rule, it will become a permanent change to the law.
Maharashtra government issued an ordinance effective September 1, 2025, amending the Maharashtra Public Trusts Act.
The ordinance limits perpetual or life trustees to a maximum of 25% of a trust's board strength.
This rule applies even if trust deeds or prior internal decisions allowed for more permanent trustees.
The ordinance aims to standardize trustee appointments, reduce disputes, and prevent concentrated control within trusts.
Trusts must review and potentially restructure their boards to comply with the new 25% cap, and the ordinance requires legislative ratification to become permanent.
- Who
- Maharashtra Government and Public Charitable Trusts in Maharashtra
- What
- An ordinance has been issued to limit the number of perpetual or life trustees on the board of public trusts to 25% of the board's strength.
- When
- Effective September 1, 2025, and requires legislative ratification within six months plus six weeks of the legislature's first sitting.
- Where
- Maharashtra, India
- Why
- To end inconsistencies, prevent concentration of control, reduce disputes over succession, and ensure predictable and legally sound trustee appointments, especially when trust deeds lack clarity on trustee categories.
- Ordinance Effective Date
- September 1, 2025
- Perpetual Trustee Limit
- 25% of board strength
- Governing Law
- Maharashtra Public Trusts Act
- Ordinance Ratification Period
- 6 months plus 6 weeks of legislature's first sitting