Claim on Historic Funds Dismissed in Favour of Hyd Nizam’s Heirs

A London court reportedly threw out the claim of a descedent of the Nizam who had challenged the 2019 verdict

A London court has reportedly dismissed the claims of one of the descendants of the Nizam of Hyderabad over the historic funds worth Rs 332 crore that had long been the subject of a dispute between the Nizam’s grandsons and Pakistan.

In October 2019, the UK high court had ruled in favour of India and dismissed Pakistan's claim over funds belonging to the late 7th Nizam of Hyderabad at the time of Partition in 1947 and now worth around 35 million pounds., marking the end of a 70-year-long legal battle.

Najaf Ali Khan, on behalf of 116 other descendants of the Nizam had challenged this judgment. However, dismissing the claim and attempt to reopen the case, Judge Marcus Smith said “I have already decided that India and the princes are entitled to the monies,” India Today reported.

However, the court will reportedly continue to hear allegations of impropriety by the administrator of the 7th Nizam’s estate.

In his judgment handed down at the Royal Courts of Justice in 2019, Justice Marcus Smith ruled that the “Nizam VII was beneficially entitled to the Fund and those claiming in right of Nizam VII – the Princes and India – are entitled to have the sum paid out to their order”.

The dispute revolved around 1,007,940 pounds and nine shillings transferred in 1948 from the then Nizam of Hyderabad to the high commissioner in Britain of the newly-formed state of Pakistan, as a “trust for safe-keeping”, in case of a threat of invasion from India. The Nizam had later sought the return of the funds bringing about the dispute.

“Pakistan’s contentions of non-justiciability by reason of the foreign act of state doctrine and non-enforceability on grounds of illegality both fail,” the verdict noted, in a setback to Pakistan,” the judgment had noted in 2019, in a blow to Pakistan.

The Nizam's descendants, Prince Mukarram Jah – the titular eighth Nizam of Hyderabad – and his younger brother Muffakham Jah, joined hands with the Indian government in the legal battle against Pakistan.

(With inputs from India Today)