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Trust/ Trustee/ Loan/ funds

This query is : Resolved 

06 September 2023 Dec 2022: x person decides to join a trust with an aim to join them and make an impact in the society. She starts working for the benefit of fulfilling activities.
Jan 2023: It was agreed she would become trustee after she agreed to pool in 3lkhs for the benefit of running the trusts operations. Mainly an upcoming event.
February 2023: The amount was e-transferred. She pumped in an additional 3 lkhs (total 6lkhs), to address the happenings of the event. Trust agreed to return 3lkhs when any funds were successfully raised at a later point
March 2023: A CA help was taken to draft her inclusion into the trust and legally became a trustee.
August 2023: She decides to demand back 5 lkh with an interest of 7.3% from the trust. ( When the trust has less balance to execute its day to day operations.

Questions:
1) There was no formal writing for this transaction. What are the legalities involved.
2) Can the trustee sue her own trust (or against other trustees) for recovery of the money (that doesn't exist)?
3) What is the impact on other trustees
4) What is the best route out if negotiations fail?

Looking for genuine educated inputs/ advices. Thanks

06 September 2023 1 In such a case no legal action can be taken.
2 Being the trustee she can't sue.
3 No impact.
4 Serve notice and expel her from the trust as she is acting against the interest of the trust.



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