Nominee not giving money to the legal heir

I am not an advocate but am aware of the applicable law. My advise to you would be that RIGHT AWAY without losing any time, you give a letter to the bank claiming that you and your mother are asserting a right on the account and that the bank will be held liable if they release the monies to anyone else. Send a copy also be registered mail and send another copy to their main office. Give all details to them. Make sure that you get acknowledgement from all of them, that they received the letter or your position.

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Once you do this, the bank will be reluctant to release the monies to your uncle or cousin. Then you hire an advocate and file a proceeding to null the nomination claiming that your father had some illness or was mentally unstable during his dying days or some such reason. Make sure you hire an advocate who has knowledge in this area. Advocates typically claim that they are experts in everything. 

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Let the case proceed. Be sure you also ask for compensation for false claim. If you want to be real aggressive, you can also make other allegations since you are a woman... Sorry, I do not want to misguide you but when you are dealing with liars, you need to give them a taste of their own medicine too. I presume that the monies are your father's and not your uncle's which were deposited in his accounts for some reason or the other.

GOOD LUCK!

@ Mrs Bhavana, Send a notice to the bank for not releasing the money to the nominee as you are claiming it being a legal heir and do not trust the nominee that he will pay you the same. There is no need to make any unnecessary allegations upon anybody. The law is clear that a nominee is only a trustee and receives the money on behalf and for the legal heirs. So, nextly you and your mother should file an application for obtaining succession certificate in the civil court in respect of the said money. When the succession certificate is granted the bank shall release the money to you and your mother.

Thank you mam for the guidance! My mother went to the bank then the bank officials denied saying we cant do anything you should go and talk to the nominee and mutually come to a decision. When I called my uncle he said if nominee is supposed to distribute money among the legal heirs then nominee should also get some right in the deceased property. He further said that he is the one who will decide what is to be done with the money. The bank has blocked all the transactions including the debit card which my mom had saying that nominee has instructed us to do so.

Thank you mam for the guidance! My mother went to the bank then the bank officials denied saying we cant do anything you should go and talk to the nominee and mutually come to a decision. When I called my uncle he said if nominee is supposed to distribute money among the legal heirs then nominee should also get some right in the deceased property. He further said that he is the one who will decide what is to be done with the money. The bank has blocked all the transactions including the debit card which my mom had saying that nominee has instructed us to do so.

Whatever your uncle has said is legally incorrect.

DEAR MADAM BHAVNA

                                       IT IS REALLY A PITIABLE SITUATION IN WHICH YOUR LATE DAD HAD PUT YOUR MOTHER AS WELL AS YOURSELF . YOU CANNOT FIND FAULT WITH THE BANK AS FAR AS " NOMINEE " IS CONCERNED . THIS PROCEDURE OF " NOMINATING A PERSON " WAS INTRODUCED ABOUT 10 TO 15 YEARS BACK . BECAUSE BANKS WERE PUT IN A DIFFICULT POSITION AS TO WHOM THE AMOUNT IS TO BE SETTLED , SINCE THERE WERE MANY " CLAIMANTS FOR THE MONEY " . SO TO GET RID OF THE PROBLEM THIS PROCEDURE WAS INTRODUCED IN BANKS . THERE WILL ALSO BE A COLUMN IN THE FORM THAT THE NOMINEE'S NAME SHOULD NOT BE MENTIONED IN THE DEPOSIT RECEIPT OR IN THE PASS BOOK BECAUSE OTHERS WILL FIGHT WITH THE PARENTS IF THEY COME TO KNOW OF THIS . IT IS NOT NECESSARY THAT ONLY LEGAL HEIRS SHOULD BE NOMINATED . THE ACCOUNT HOLDER CAN NOMINATE EVEN A THIRD PERSON . BUT THE NOMINEE WILL HAVE TO SIGN IN THE FORM AND YOUR DAD WOULD HAVE ATTESTED THAT .

                  FIGHTING WITH THE BANK WILL NOT SERVE ANY PERSON . IMMEDIATELY YOU GET A LEGAL HEIR CERTIFICATE IN WHICH YOUR NAME AND YOUR MOM'S NAME MUST BE MENTIONED AS LEGAL HEIRS OF YOUR DAD . THEN APPROACH A GOOD ADVOCATE AND FILE A WRIT PETITION IN WHICH THE REGIONAL MANAGER OF THE BANK WILL BE THE FIRST RESPONDENT , THE BANK MANAGER THE SECOND RESPONDENT  AND THE NOMINEE WILL BE THIRD RESPONDENT . YOU TELL THE ADVOCATE TO FILE A STAY PETITION ALONG WITH THAT . AS SOON AS POSSIBLE YOU GET A STAY AND COMMUNICATE THAT ORDER COPY TO THE REGIONAL MANAGER AS WELL AS THE BRANCH MANAGER . BECAUSE IF THERE IS A " NOMINEE IN A ACCOUNT " THEN THE BANK NEED NOT GET APPROVAL FOR RELEASING THE FUNDS . IF THERE IS NO NOMINEE THEN THE LEGAL HEIRS HAD TO FILE A " CLAIM " AND THAT WILL GO TO THE REGIONAL OFFICE AND ONLY AFTER THAT THE AMOUNT WILL BE RELEASED . IF YOU ARE FROM MADRAS AND IF YOU NEED A GOOD AND RELIABLE ADVOCATE I CAN ARRANGE A SENIOR ADVOCATE FROM THE MADRAS HIGH COURT . BECAUSE I AM NOT A MEMBER OF THE BAR . I WORKED IN A NATIONALIZED BANK AND THEN ON VRS . I JOINED IN ONE OF THE GOVERNMENT LAW COLLEGES IN 2007 . I WAS A 1978 B.Sc ( PHYSICS ) GRADUATE WITH A FIRST CLASS FROM LOYOLA COLLEGE MADRAS WHICH WAS UNDER MADRAS UNIVERSITY AT THAT TIME . I AM NOT INTERESTED IN MEMBERSHIP OF THE BAR . BUT I PREPARE ALL PETITIONS BASED ON JUDGEMENT AND I HAVE MY OWN SENIOR ADVOCATES WHO WILL APPEAR FOR THAT . I DON'T CHARGE ANYTHING FROM ANYBODY- JOSEPH WILFRED - 06/03/2014 AT 10.45 HRS  

Sir thank you for the advice! But my uncle came to know about his name as a nominee in the bank only after my father's death. My father did not disclose this to uncle when he was alive. So i think my uncle has not signed any document. How can i give notice to the bank? Im out of station can i go to the nearest branch so that atleast till i go to the home branch they will do the necessary?

Sir thank you for the advice! But my uncle came to know about his name as a nominee in the bank only after my father's death. My father did not disclose this to uncle when he was alive. So i think my uncle has not signed any document. How can i give notice to the bank? Im out of station can i go to the nearest branch so that atleast till i go to the home branch they will do the necessary?

Pls follow the steps detailed in this thread.

In the meantime you may obtain the email id's/fax number of the BM,RM, Nodal Officer, Chairman of the bank from its website and submit a representation narrating the visits and contact made with the bank officials, and ask them to block the payment to Nominee.

The nominee would require the death certificate (that he may not have) to lodge any claim.

The guidelines issued by central Bank RBI are clear and are mandatory to be kept on its website, in branch and also to provide a free copy to customers, and is to be followed by the banks:

Master Circular on Customer Service

19.	Nomination Facility
20.	Settlement of claims in respect of deceased depositors Simplification of procedure.

20.2 Accounts without the survivor / nominee clause

20.4 Treatment of flows in the name of the deceased depositor

 

 

 

please be informed as under,

1. The nominee in your case shall act as a conduit as he not a legal heir of your father.

2. Though the bank shall be discharged of his libility by making the payment to the nominee , you should act as under:

a) File an RTI application  for getting the complete details of the bank account  and deposite.

b) Inform the bank through registered post that the nominee is not a legal heir, and give in shape of an affidavit , the details of the legal heir. 

c) Please note and also inform the bank that the nominee will receive the payment  on their behalf only.

d) You may refer the latest decision by the SupremeCourt in the case of, Ramchander Talwar Vs Dawinder kumar Talwar vide which Supremecourt has declared , That the nominee will receive payment on behalf of all the legal heirs .

 

Mrs. Bhavna

You cannot stop the bank from disbursing the moneys to the nominee by simple letter/legal notice. Banking Regulation Act provides sufficient safeguards to a banker who hands over the money to the nominee. your only option is to approach the court and obtain a prohibitory order, which the bank would gladly and diligently obey, for the BR Act directs so...

you can always give notice to the bank sitting from anywhere, better make it a legal notice.

what my other brothers/sisters said is not incorrect as to the nominee being the trustee, but equally the banker is within his right to absolve his liability by paying the amounts to the nominee....8973259359

Thank you sir but till the time i approach the court for prohobitory order i should inform the bank about the legal heirs identity and the issues right? The original death certificate is still with my mother can a nominee obtain a copy without our consent? Nominee has not disclosed the legal heirs identity to the bank is he not suppose to give NOC or indeminity bond or anything like that to the bank?

Mrs. Buhvana

you cannot stop a bank from disbursing the amounts, as Banking Regulation Act provides sufficient safeguards to a banker if he disburses the amounts as per nomination, better approach the court for necessary prohibitory orders, then, only then you could stop the bank from distributing the money to the nominee, this time the bank would gladly obey.... 8973259359

The clause and languages of the clauses in     ‘Master Circular on Customer Service’ is crystal clear.

The judgment quoted by Mr. Cheema and advice of the LCI experts/members is crystal clear.

Therefore without any hesitation you may supply a representation titles as ‘Notice’ and/or followed by legal notice to BM,RM, Nodal Officer, Chairman of the bank, and BM should desist from making the payment to Nominee.

20.1 Accounts with survivor/nominee clause

20.1.1. In the case of deposit accounts where the depositor had utilized the nomination facility and made a valid nomination or where the account was opened with the survivorship clause ("either or survivor", or "anyone or survivor", or "former or survivor" or "latter or survivor"), the payment of the balance in the deposit account to the survivor(s)/nominee of a deceased deposit account holder represents a valid discharge of the bank's liability provided :

 

(a) the bank has exercised due care and caution in establishing the identity of the survivor(s) / nominee and the fact of death of the account holder, through appropriate documentary evidence;

 

(b) there is no order from the competent court restraining the bank from making the payment from the account of the deceased; and

 

(c) it has been made clear to the survivor(s) / nominee that he would be receiving the payment from the bank as a trustee of the legal heirs of the deceased depositor, i.e., such payment to him shall not affect the right or claim which any person may have against the survivor(s) / nominee to whom the payment is made.