Cap. 331 Art. 40Protection of persons dealing with trustees.

(1) A person acquiring trust property from a trustee in good faith and under an onerous title acquires a good title thereto as if he had acquired it from the person having the absolute title thereto and shall not be affected by the trusts on which the said property is held.

(2) No person paying or advancing money to a trustee shall be concerned to see that such money is required for the purposes of the trust, or that no more than is required is raised, or otherwise as to the propriety of the transaction or the application of the money.

(3) A person dealing with a trustee in relation to trust property need not -

(a) enquire into the terms of the trust; or

(b) obtain the consent of the beneficiaries or any other person, and shall, subject to being in good faith, be entitled to rely on declarations made by the trustee with regard to any matters therein stated.

(4) The trustee may furnish to any person a certificate containing the following information without being in breach of any confidentiality obligations:

(a) that the trust exists and the date the trust instrument was executed;

(b) the identity and address of the current trustee;

(c) that the trustee is duly authorised and empowered to carry out the relevant transaction and has obtained all necessary consents, if any;

(d) the revocability or irrevocability of the trust and, if revocable, that the trust has not been revoked.

(5) When there is more than one trustee, a certificate may be signed and authenticated by any trustee.

(6) Any trustee who issues any certificate containing any statement which he knows or ought to know is false shall be guilty of an offence and shall on conviction be liable to the punishment of imprisonment for a term not exceeding two years or to a fine (multa).