Decree issued by Lok Adalat
Bhushan K
(Querist) 09 June 2011
This query is : Resolved
In one of the investment folio (mutual fund)with us the investor had nominated his son as a noominee. After the death of the investor the three sons of the investor entered into a family settlement and filed a petition for decree with Lok Adalat. The Lok adalat issued a decree with instructions to Banks, Post Offices, LIC MF etc to divide the amount and transmit.
Are Lok Adalats authorised to issue such orders. Are such decrees issued by Lok Adalats shall be sufficient for transmission purpose and shall such decrees be accepted in place of legal heir certificate ?
Thanks
M V Gupta
(Expert) 14 June 2011
Generally reference to Lok Adalat is made by the Court in the pending litigations. Any settlement reached before the Adalat is submitted to the Court for passing decree. The Adalat by itself does not pass any decree. Further when all the brothers have reached a settlement amicably and executed the deed of settlement where was the need for them to go before the lok Adalat? The MF can pay up the amounts/ effect transfer of the units as per the deed of settlement.