The identification of nominee whether resident or non-resident, the procedure is the same. The nominee can be identified by:
- Nominee swearing an affidavit before a Notary/Judicial Authority. Or
- Two officers of the Bank. Or
- Clients of the Branch or persons of repute known to the Branch.
The settlement of the claim involves the following procedures.
- If the nominee, whether a Resident or Non- Resident, wants to utilise funds locally, payment can be made in Indian Rupees.
- If the nominee is a non-resident Indian and he/she desires to repatriate claim proceeds abroad, same may be allowed if the deceased account holder was a Non-Resident at the time of death and the nominee is also an NRI at the time of claim;
- The claim proceeds can be credited to nominee’s NRE a/c or repatriated abroad as per his/her instructions on fulfilling the below conditions. (i) The nominee shall submit an application in form LEG for remittance of balances along with a death certificate. (ii) In the case of all legal heirs of the deceased depositor are NRIs, a declaration to the above effect is to be obtained from the nominee, duly signed and witnessed.
- In case of resident nominee wants remittance of funds outside India for meeting the liabilities of the deceased account holder, (if any) or similar other purposes, the application of the nominee should be forwarded to RBI for consideration.
- In all other cases which do not satisfy the aforementioned terms and conditions or in case nomination is not registered by the depositor where the amount is in NRE/FCNR (B) account and same is claimed by a person other than the nominee, should be referred to the concerned Regional Office of Reserve Bank of India for prior approval by the AD (Authorised Dealer) branch in form LEG* supported by documents indicated therein together with the legal representation issued by an Indian court.
(The LEG application should be completed and submitted through an authorised dealer through whom the remittance is sought to be made to the office of Reserve Bank under whose jurisdiction the applicant resides).
*LEG refers to “APPLICATION FOR REMITTANCE OF LEGACIES, BEQUESTS OR INHERITANCES TO BENEFICIARIES RESIDENT OUTSIDE INDIA”. This is a statement of Indian assets of the deceased person, indicating the form in which they are held. The number and date of Reserve Bank’s approval for holding or acquiring shares of Indian companies and immovable property should be indicated, wherever applicable.