Please refer to Master Circular of Unclaimed Deposits issued vide BPD Circular No. 07 dated July 21,2006, wherein banks/DFIs are required to obtain succession certificate from legal heirs, in case of unclaimed deposit refund of deceased account holders/beneficiaries of instrument. In order to facilitate legal heirs of deceased account holder/beneficiary of instrument in obtaining petty amount claims, without going into cumbersome process of obtaining succession certificates, it has been decided that:

2- All banks/DFIs can initiate and submit refund claims cases of the deceased account holders/ beneficiaries of instrument of Rs. 100,000 and below to State Bank of Pakistan (SBP) without obtaining the succession certificate, if they have examined the refund claim and satisfied themselves about the genuineness of the legal heirs. For the purpose, the banks/DFIs will obtain indemnity bond on appropriate value of stamp paper from the legal heirs of the deceased account holders/beneficiaries of instrument along with two personal guarantees. This will also be accompanied by application from all the legal heirs and copies of CNICs and death certificate of account holder/beneficiary of instrument. The indemnity bond has to be invariably signed by all the legal heirs.  Further, the banks/DFIs will also indemnify SBP on Rs. 100/- non judicial stamp paper regarding any risk/loss and legal cost in the matter (specimen indemnity bond enclosed).

3- The banks/DFIs shall continue to obtain succession certificates from the legal heirs of the deceased account holders/ beneficiaries of instrument in all unclaimed deposit refund cases of above Rs. 100,000 as usual.

4- Other instructions on the subject shall remain unchanged.

Please acknowledge receipt.

Encl: Specimen of Indemnity Bond