Can exemption u/s 11 be denied if funds are applied by a trust for purposes other than those stated in the trust deed?

Benefit of exemption u/s 11(1)(a) is available in relation to income derived from property held under trust wholly for charitable and religious purposes, provided

1. Funds are applied in India for such purposes.
2. Income is accumulated or set apart for such application to such purposes in India, to the extent to which the same doesn’t exceed 15% of the income from such property.

In the case of Shanmuga Arts it was held that if the application of funds is for charitable purposes other than those specified in the trust deed then the same cannot act as a ground for denying exemption under section 11 since AO cannot interfere with the discretion of the trustees in the matter of the application of funds. However, if AO is certain of deviation from the objects of the trust then it should apply for withdrawal of registration u/s 12AA as a pre-requisite for denying exemption u/s 11.