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The Charities Act 2006 (Changes in Exempt Charities) Order 2010
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CHAPTER 1NEW EXEMPT CHARITIES
Inquiries under section 8 of the 1993 Act relating to new exempt charities
6.—(1) The Charity Commission may for the purpose of any relevant inquiry continue to treat a new exempt charity as if it had not become an exempt charity.
(2) The Charity Commission must notify the principal regulator of the relevant exempt charity of any decision to continue any inquiry with regard to that charity.
(3) In this paragraph “relevant inquiry” means, in relation to a new exempt charity, an inquiry which was instituted under section 8 of the 1993 Act—
(a)before the appointed day; and
(b)with regard to that charity or a class of charities into which it falls.
Power to act for the protection of charities
7.—(1) The Charity Commission may take any action, on or after the appointed day, in relation to—
(a)a new exempt charity which is or was the subject of a relevant inquiry; or
(b)the charity trustees of such a charity,
that it could take under the 1993 Act in relation to a charity which is not an exempt charity or (as the case may be) the charity trustees of a charity that is not an exempt charity.
(2) The Charity Commission must notify the principal regulator of the relevant new exempt charity of any action taken in reliance on sub-paragraph (1) above.
(3) In this paragraph “relevant inquiry” has the meaning given by paragraph 6.
Need for an order under section 36 of the 1993 Act in relation to a new exempt charity
8.—(1) Section 36 of the 1993 Act continues to apply to a relevant disposition of land held by or in trust for a new exempt charity as it applies to a disposition of land held by or in trust for a charity which is not an exempt charity.
(2) A disposition of land held by or in trust for a new exempt charity is a “relevant disposition” if—
(a)the charity trustees proposed that the land in question be disposed of (whether by conveyance, transfer, lease or otherwise) before the appointed day; but
(b)the relevant disposition had not been effected before that day.
Need for an order under section 38 of the 1993 Act in relation to a new exempt charity
9.—(1) Section 38 of the 1993 Act continues to apply to a relevant mortgage of land held by or in trust for a new exempt charity as it applies to a mortgage of land held by or in trust for a charity which is not an exempt charity.
(2) A mortgage of land held by or in trust for a new exempt charity is a “relevant mortgage” if the charity trustees—
(a)proposed that the mortgage be executed before the appointed day; but
(b)had not executed it before that day.
(3) For the purposes of sub-paragraph (2) it does not matter whether the mortgage—
(a)will only have effect to secure the repayment of sums paid by way of the proposed loan or grant or discharge of the proposed obligation; or
(b)will also have effect to secure the repayment of sums paid by way of loan or grant, or the discharge of other obligations undertaken, after the date of its execution.
(4) In this paragraph “mortgage” has the meaning given by section 38 of the 1993 Act.
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