Distribution of proi
Querist :
Anonymous
(Querist) 24 January 2021
This query is : Resolved
My Unmarried aunt died intestate .She made me joint account holder in one account with either or survivor clause and Nominee in another account as the other account was pension account .The entire money was her self earned Someone else performed last rights as I could not reach on time .
Kindly guide how will the amount be distributed.
Guest
(Expert) 24 January 2021
When there is " Survivor Clause " the money would come to you. The Pension account balance -- only the Legal Heirs could receive it. Verify in detail with the Concerned Bank.s Officials
K Rajasekharan
(Expert) 24 January 2021
As you are the nominee in the other account you can get the balance amount transferred to your account without any trouble at all by giving an application containing details of your account and your identity.
Guest
(Expert) 24 January 2021
Nominee is Just an Responsibility
Guest
(Expert) 24 January 2021
K Rajasekharan had mentioned in his last sentence as " the money will come to you " which is illegal the sentence should have been completed with " nominee would be receiving the money with the responsibility of distributing it to the Legal Heirs."
SHIRISH PAWAR, 7738990900
(Expert) 24 January 2021
Hello,
You can get the money in joint accout being survivor and in another pension account you can claim the money as you are nominee. Nomination in account does not make you sole claimant to the money but all the legal heirs are entitle for the money. So you have to consider all other legal heir's share to the pension account money.
Guest
(Expert) 24 January 2021
The RBI has already taken better approach to Ensure that banks should discharge their duty effectively and also shielded from legal disputes between legal heirs and nominee over the deposits
Hemant Agarwal
(Expert) 24 January 2021
NO .... an "ANONYMOUS" nominee /legal heir is not entitled to claim Anything.
Keep Smiling .... Hemant Agarwal
VISIT: www.chshelpforum.com
K Rajasekharan
(Expert) 24 January 2021
If the querist wants to know in detail the law governing him/her as a nominee of the deceased depositor in the bank, based on the RBI regulations and Supreme Court judgements, he/ she can go through my write up, which provides some weblinks as well, on this issue at
https://www.lawwatch.in/2020/05/08/nominee/
Querist :
Anonymous
(Querist) 25 January 2021
Sir the deceased was unmarried, intestate hence no Class 1 legal heir . Kindly advise how the amount should be distributed .Will the claimaints have to submit succession certificate .
Querist :
Anonymous
(Querist) 25 January 2021
And does the amount in joint account with either or survivor clause too has to be distributed as it was her earned money only
Guest
(Expert) 25 January 2021
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Guest
(Expert) 25 January 2021
Here Our Learned Advocates including Seniors Provide the Legal Guidance to the Querist only Honorarily
Guest
(Expert) 25 January 2021
Querist -- The Legal Heirs would be classified in to two segments Class I and Class II Legal Heirs. Discuss with your Local Advocate in detail with out hiding any facts
Querist :
Anonymous
(Querist) 25 January 2021
Sir agreed but I need one help to understand that I being 2nd class legal heir also and I am survivor in joint account but I am being told by other relatives to distribute the sum equally
Querist :
Anonymous
(Querist) 25 January 2021
Plz guide one more time
Guest
(Expert) 25 January 2021
Already advised to " Discuss in Detail With Local Advocate and then Proceed " Please.
K Rajasekharan
(Expert) 26 January 2021
The amount in the either or survivor account is yours.
In the other account, as a nominee you can get the amount transferred to you if there is no dispute. The amount belongs to the legal heirs of the deceased. Nominee’s job is to step into the shoes of the deceased and distribute the amount among his legal heirs as per law.
In case there is already a dispute filed before the bank the disputant will have to take the matter before the court. Then the court will decide the distribution, as per law.
The legal heirs in regard to a deceased female are to be found out mainly as per Sections 15 & 16 of the Hindu Succession Act (HSA). (The Class I & Class II legal heirs are there only for a deceased male.) The Sections 15 enlists five groups of legal heirs & the Section 16 provides three rules for distribution among those groups. As per the rules those in the first entry will be preferred over the succeeding one. If more than one persons are there in one entry, each one will get one share each.
In case the nominee cannot make a settlement among the legal heirs in regard to the share of money, he should keep the money with him till a settlement is arrived at, or the disputant goes to the court and get an order. Such bonafide keeping of money is not an offence.
The nominee has no duty to go to the court unless anybody makes him a respondent. But as a legal heir you can also approach the court if the bank is not releasing the money to you as a nominee on the basis of any contrary claim by a legal heir.
The roles of a nominee and a legal heir are quite different. Those roles should not be mixed. The nominee has no share or special claim on the amount deposited by the deceased. His duty is administration of the money.
Querist :
Anonymous
(Querist) 31 January 2021
Dear Rajshekharan sir kindly guide me is there any judgement of Supreme Court which says that Either or survivor clause money would be of survivor
K Rajasekharan
(Expert) 31 January 2021
It seems there is no notable judgement distinctly differentiating the validity of relative claim of the legal heirs of the deceased vis-a-vis the survivor in a joint account. There are many case laws reported in Indian Kanoon showing different factual matrix relating to joint accounts. But there cannot be any straight jacket formula covering all joint accounts in general.
Each one of the joint account created under different schemes operates under different conditions. So in each case, for the legal heirs of the deceased account holder to claim the amount of one of the joint account holder as part of inheritance there should be clarity as to whom the money belongs to and in which proportion it can be divided.
In joint account, all joint holders are treated equal and the bank does not know whose money comes into the joint account but only manages it. Therefore it is not possible for anyone to distinctively differentiate how the money should be apportioned after one joint holder dies.
The either or survivor account allows unhindered access to the entire amount to by the other account holder independently. So the survivor can treat this money as a gift to the latter from the former as well. In many cases joint accounts are created for such purpose.
As per RBI guidelines, the survivor can utilise the account even after the death of the other joint account holder and the bank would be discharged of its liabilities once the amount is paid to the survivor.
If the legal heirs of the deceased have a claim as to the amount in the account they have to approach the court and get a court order to that effect.
Querist :
Anonymous
(Querist) 31 January 2021
Thanks sir ....if the joint account which is either or survivor clause has money belonging only to the deceased Unmarried aunt then will all the legal heirs will have equal share ? And also guide whether the disputants will have to produce succession certificate and will have to go through the court .
K Rajasekharan
(Expert) 31 January 2021
The Succession Certificate, being issued in a summary proceeding under the Indian Succession Act, authorises the person/s (they normally serve as the trustee/s) to receive “debts and securities” of the deceases.
The Certificate does not determine the legal heirs in strict sense of the law, unlike many people, who carried away by the term succession in the certificate, think.
It is true that some banks use this certificate as a document to pay the amount to the certificate holder in order to get a quick discharge from their liability in regard to the deceased rather than waiting for a civil court order conclusively determining the legal heirs.
The only legal document that conclusively determines the legal heirs of the deceased is a civil court order. It normally takes a few years to get an order from a civil court in regard to inheritance. Even to get a Succession Certificate from a court in a summary proceeding to be concluded quickly, it will take two months to three years.
The law that determines the legal heirs of the Hindu is the Hindu Succession Act.
If you know the legal heirs, it is better to make a settlement and distribute the amount among them based on a multi party agreement. If you are acting on behalf of an organisation or so you have no option but to rely on some documents.
The District Legal Service Authority can decide these things in a Pre Litigation Petition ( PLP) based on conciliation and consensus in a Lok Adalat under the guidance of a serving Judge. It is quick and cost free.
Querist :
Anonymous
(Querist) 01 February 2021
Sir does that mean that the amount in the account with either or survivor clause will also have to be distributed ?if the money is only of my late aunt .
K Rajasekharan
(Expert) 01 February 2021
Such matters you have to decide yourself. I have made the law governing such matters clear along with my logic on everything, without even knowing the bare minimum facts.
In essence, Indian law does not permit anyone to get any money which he is not entitled to get (this can be called unlawful enrichment) as per the intention of the owner or by law.
You know whether your aunt intended that you should get the money after her death or not. If so, you have the liberty to either take the money or to wait for the other claimants, if any to approach the court to get that money as per a court order.
If there is a possibility of settlement you can close the matter by a negotiated settlement. Or else you are not interest in the money let the money be in the bank account and forget about it.
Querist :
Anonymous
(Querist) 01 February 2021
Sir my aunt always wanted the money to be with me only .I am not willing to part away with even a single rupee.....the money is still in the bank and will be there itself for ages now .But the claimant s say that Hindu Succession Act will aply here ...is it a fact ?
Querist :
Anonymous
(Querist) 01 February 2021
Sir I have mentioned all the facts
K Rajasekharan
(Expert) 01 February 2021
Then the solution is very simple.
Let her go to the court, prove there that she has a claim on the money and come out successfully with a judgement. Then only you have a liability to dispose of the money.
Till then there is no need for you to do anything.at all
T. Kalaiselvan, Advocate
(Expert) 05 June 2021
As opined by many experts before me in various posts, you are entitled to the money remaining in the E or S account and can avail the same yourself.
However in the account where you have been just nominated , as a nominee you will be able to receive the money as a trustee to distribute the same equally to legal heirs be it class I or class II at a later stage when one comes and claims it.
You cannot become a legal heir to your deceased aunt, hence you may better to the claimant and get something as a service charge for doing this service charge after transferring the amount to her name.
