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Siddhi   17 June 2024

Is nominee absolute owner of property?

Just came accross a SCI order making nominee absolute owner of the property there by depriving other legal heirs of their share in it.

In a case Consent terms were filed in City Civil Court in Mumbai in 2009 by all legal heirs including the nominees that all have equal Share in the property but occupants thereafter didn't allow sale of property due to ulterior motives to deprive the legal heirs of their share and a case is pending in Bombay High Court since 2017 for execution of decree passed by the district court and still pending.

Kindly help how the SCI judgement affects the legal heirs. TIA


 9 Replies

T. Kalaiselvan, Advocate (Advocate)     17 June 2024

The SC judgment what you refer here is ambiguous, until and unless the judgement is perused or what your exact problem is known, no proper opinion can be rendered.

Dr. J C Vashista (Advocate )     18 June 2024

Can you post title and ratio of judgment referred ?


Nominee is only a person who is the custodian to pass on the benefits to the legal heirs and he may not be a beneficiary unless untill he is also a beneficiary.

Siddhi   19 June 2024

Dr. J C Vashista (Advocate )     20 June 2024

Originally posted by : Siddhi

Is it a citation ??????

P. Venu (Advocate)     20 June 2024

It appears that the querist is referring to the decision of the Supreme Court of India in the case of Indrani Wahi v. Registrar of Cooperative Society & Others in Civil Appeal No. 4646 of 2006 where in it was held -

19. Insofar as the instant aspect of the matter is concerned, there is no doubt in our mind, that even Rules 127 and 128 of the 1987 Rules, lead to the inference, that in case of a valid nomination, under Section 79 of the 1983 Act, `the Cooperative Society' is liable to transfer the share or interest of a member in the name of the nominee. We hold accordingly.

20. Having recorded the above conclusion, it is imperative for us to deal with the conclusion recorded in paragraph 6 (already extracted above) of the judgment of this Court in the Usha Ranjan Bhattacharjee case (supra). In this behalf, it is necessary to clarify that transfer of share or interest, based on a nomination
under Section 79 in favour of the nominee, is with reference to the concerned Cooperative Society, and is binding on the said society. The Cooperative Society has no option whatsoever, except to transfer the membership in the name of the nominee, in consonance with Sections 79 and 80 of the 1983 Act (read with Rules 127 and 128 of the 1987 Rules). That, would have no relevance to the issue of title between the inheritors or successors to the property of the deceased. Insofar as the present controversy is concerned, we
therefore hereby direct `the Cooperative Society' to transfer the share or interest of the society in favour of the appellant – Indrani Wahi. It shall however, be open to the other members of the family (presently only the son of Biswa Ranjan Sengupta – Dhruba Jyoti Sengupta; we are informed that his mother – Parul Sengupta
has died), to pursue his case of succession or inheritance, if he is so advised, in consonance with law.

The above decision had been given in the light of the provisions of the West Bengal Cooperative Society Act and Rules thereunder. While holding that the the Cooperative Society is laible to transfer the property to the nominee, it is open to the other legal heir(s)  to pursue their case of succession or inheritance in consonace with law.

Siddhi   20 June 2024

Sir, thanks but I want to know if this order will affect me as I have 20% share in the property being one of the legal heirs and even consent terms were filed in Mumbai District Court by all legal heirs! Thanks for your response and valued time.

T. Kalaiselvan, Advocate (Advocate)     21 June 2024

If you are entitled for a share in the property you can very well claim your share in the property on the basis of your rights of inheritance or succession. 

The judgment what you referred was only a direction to the society to transfer the property to the nominee whereas the nominee is just a trustee hence he has to transfer inturn to the legal heirs 

Siddhi   21 June 2024

Thanks T Kalaliselvan sir.

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