Cap. 492 Art. 16Temporary organisations.

(1) A voluntary organisation may be established as a temporary organisation, by using the form in the Fourth Schedule, if it is an organisation formed with one specific purpose, including the raising of funds for a specific public purpose or to support another enrolled voluntary organisation or, subject to article 16A, funds are being raised to help a specific individual or individuals who may suffer from needs which would qualify as a social purpose. purpose within a short time not exceeding one year, signed by the promoters and listing the acts which are necessary to achieve the purpose for which it is established;

(b) may not carry out any acts except those listed in the constitutive instrument and ancillary and connected acts and may not borrow money or enter into binding financial obligations in advance of raising the necessary funds to perform such obligations;

(c) must pay out, apply or otherwise distribute all its assets for the achievement of the purpose by the date of its expiration; and

(d) must submit to the Commissioner a closing statement of account prior to the date of its expiration signed by the administrators -

(i) explaining how it has achieved the purpose for which it was established;

(ii) explaining how it has applied all its assets; and

(iii) attaching thereto any original documents or agreements which may have been entered into by such temporary organisation in connection with the disposal or application of such assets.

(3) Upon being satisfied of compliance with this article, the Commissioner shall:

(a) enrol a temporary organisation on submission of the relevant constitutive instrument; and

(b) cancel enrolment of such temporary organisation without the need of winding up procedures on submission of the relevant closing statement of account in terms of subarticle (2).

(4) The Commissioner may, on the written request of the administrators, consent to an extension of the expiration date of a temporary organisation.

(5) If a temporary organisation does not comply with subarticle (2)(c), its administrators shall be obliged to:

(a) establish such organisation as a foundation or an association in terms of the Second Schedule to the Civil Code and apply to enrol it in terms of this Act; or

(b) pay all monies and other assets raised to the intended purposes or the Voluntary Organisations Fund to be applied to the purpose intended within two months of the expiry date.

(6) If it appears to the Commissioner that a temporary organisation has been set up repeatedly for the same or similar purpose and by the same persons, or by some of them, then the