Allahabad High Court: The Allahabad High Court has said in an important decision that upon the death of an account holder, the candidate will be entitled to receive the amount deposited in the bank, but this amount will remain subject to inheritance laws. This means that the candidate will receive the money, but the legal heirs will retain their rights to it and will also be able to claim this amount.
Candidate Rights Under the Banking Regulation Act of 1949
This decision was given by Justice Shekhar B. A division bench of Justice Saraf and Justice Vipin Chandra Dixit ruled on a petition. Petitioner Manoj Kumar Sharma had claimed that he was the representative of his late mother’s fixed deposit and was entitled to the bank’s money, as Banking Regulation Act of 1949 Section of 45ZA Mentioned in. The court cited the old Supreme Court decision in this case, which said that the candidate has the right to receive the deposited amount only after the death of the account holder, but this money will not be considered the personal property of the candidate. , but it will be considered legal property. It will have to be distributed among the heirs.
challenge the will
Manoj Kumar Sharma had approached the court to recover the money from his mother’s fixed deposit in the Bank of Baroda. His mother died on February 8, 2020. However, his succession application was rejected by the Moradabad High Division civil judge as his mother’s will was being challenged.
judicial instructions
Lawyers for the defendants argued that section 45ZA gives the candidate the right to receive the money, but not the right to change the inheritance laws. If money is paid to the candidate, he must respect the rights of the legal heirs and the amount will be held in trust for them.
The nominee has the right to receive money from the bank.
After this, the court, while giving its decision, said that the candidate has the right to receive the amount from the bank, but this amount cannot be considered the personal property of the candidate. The court directed the Bank of Baroda to hand over the amount to the petitioner within three weeks, provided he submits an affidavit that the money will be held in trust for the legal heirs and distributed to them as per the court decree.
