5Approval of trustee may be revoked

5 Approval of trustee may be revoked

5 Approval of trustee may be revoked

(1) The Minister—

(a) may by notice published in the Gazette revoke as on and from a day (not being earlier than the date of publication of the notice) to be specified in the notice the Minister’s approval under this Part of any trustee appointed under a trust deed, and

(b) shall in any such notice specify a date on or after which the Minister proposes to exercise the Minister’s powers under subsection (3) unless a new trustee, approved in writing by the Minister, has before that date been appointed to act in the place of the former trustee.

(2) Any such revocation shall take effect on and from the day specified in the notice and referred to in subsection (1) (a) and thereupon the trustee shall cease to hold office as such trustee for all purposes. The Minister shall as soon as practicable after publication of the notice cause a copy of the notice of revocation to be served on the trustee and the vendor by whom, or for whom and on whose behalf, the trustee was appointed.

(3) Where the Minister revokes the approval of any trustee as aforesaid and the vendor fails, before the date referred to in subsection (1) (b), to appoint a new trustee, approved in writing by the Minister, to act in the place of the former trustee the Minister may, by a trust deed executed by the Minister for and on behalf of the vendor (which trust deed the Minister is hereby authorised to execute) and that complies with the provisions of this Part, appoint, upon such terms and conditions as the Minister thinks fit, a new trustee to act in the place of the former trustee but only as regards the powers, authorities, duties and functions of the former trustee so far as they relate to sales of lots made before the appointment of the new trustee and to purchasers of such lots and the new trustee so appointed shall be deemed for the purposes of this Part to be the trustee under the trust deed in respect of sales of lots made before his or her appointment.

Any terms and conditions (including terms and conditions providing for the remuneration of the new trustee by the vendor or out of moneys held by the new trustee on behalf of the vendor) upon which the appointment of a new trustee may be made as aforesaid and that are expressed to be binding on the vendor and any covenants or provisions in the trust deed appointing the new trustee that are expressed to be made on behalf of, or to be binding on, the vendor shall be deemed to be terms and conditions binding on, covenants by and provisions binding on, the vendor.