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2025 Supreme(Ori) 107

IN THE HIGH COURT OF ORISSA AT CUTTACK
A.C. BEHERA, J.
 
Devarakonda Leelavati and Another - Petitioners 
Versus
The Branch Manager, Axis Bank, Rayagada Branch, Rayagada and others – Opp. Parties
C.M.P. No.1369 of 2018
Decided On : 22-08-2025

Advocates Appeared:
For the Petitioners: Mr. B. Routray, Sr. Adv., Mr. S.S. Rao, Sr. Adv., Mr. B.K. Mohanty, Adv.
For the Opposite Parties : Mr. A.K. Nath, Adv.

The court clarified that proceedings under Section 372 of the Indian Succession Act are summary and do not grant final adjudication of rights, allowing for provisional determinations to meet urgent needs.

Headnote:(A) Indian Succession Act, 1925 - Section 372 - Quashing of an order of the learned Senior Civil Judge directing impleadment of K.V. Raman Rao as an O.P. in the succession certificate proceedings. The court emphasized that the proceedings under Section 372 are summary in nature and shall not conclusively determine the rights of the parties involved. (Paras 6, 12)

(B) Standard of Review - The court recognized that the nature of the proceeding does not permit roving inquiries or final determinations of title, and a succession certificate is merely an interim arrangement for the release of funds. (Paras 6, 12)

Facts of the case:
The petitioners are the parents of Deverkonda Sridhar, who died in a motor vehicle accident, leaving behind his wife and children. After the potential claim for disbursement of funds from the bank was made, the court ordered the inclusion of an unrelated claimant, which prompted this CMP.

Findings of Court:
The order imposing the impleadment was quashed, as it didn't comply with the principles governing summary proceedings under Section 372, where the urgency and criteria for determining entitlement were not met.

Issues: The court considered whether the impleadment of K.V. Raman Rao after the closure of evidence was sustainable under law.

Ratio Decidendi: The court found that the learned Senior Civil Judge overstepped by allowing the impleadment post-evidence closure in a summary proceeding, which is meant only to discern who has the right to the succession certificate, not to adjudicate broader claims.

Result: CMP allowed and the impugned order quashed.

Table of Content
1. background of inheritance claims (Para 1 , 2 , 3)
2. challenge to court's decision on impleadment (Para 4 , 5)
3. nature of proceedings under the succession act (Para 6)
4. propositions of law on succession certificates (Para 7 , 8)
5. claims and objections in succession proceedings (Para 9 , 10)
6. court's reasoning against the impugned order (Para 11 , 12)
7. final ruling and directives for further proceedings (Para 13 , 14 , 15 , 16)

JUDGMENT :

A.C. Behera, J.

This Civil Miscellaneous Petition under Article 227 of the Constitution of India, 1950 has been filed by the petitioners against the opposite parties praying for quashing the final order dated 07.09.2018 (Annexure-5) passed in C.M.A. No.03 of 2017 under Section 372 of the Indian SUCCESSION ACT , 1925 by the learned Senior Civil Judge, Rayagada.

2. The factual backgrounds of this CMP, which prompted the petitioners for filing of the same is that, they (petitioners) are the parents of their only son Deverkonda Sridhar. Their son i.e. Deverkonda Sridhar died in a motor vehicular accident on dated 07.11.2016 leaving behind his widow wife Santoshi Rupa, his two minor sons, namely, Deverkonda Sai Siddharth and Deverkonda Sai Samarth @ Sairam along with the petitioners as his successors. The deceased son of the petitioners i.e. Deverkonda Sridhar was serving in J.K. Paper Mills as Deputy Manager. After the aforesaid motor vehicular accidental death of Deverkonda Sridhar, his service benefits were credited to the account of his wife i.e. Santoshi Rupa vide her Axis Bank S/B Account No.916110052677316 of Rayagada Branch. The insurance policy benefits of their deceased son Deverkonda Sridhar were also credited to the said account of his wife in Axis Bank, Rayagada Branch. Two accounts were also opened in the name of minor sons of Deverkonda Sridhar i.e. Deverkonda Sai Siddharth and Deverkonda Sai Samarth @ Sairam vide Account Nos.917010028155887 & 917010028106076 respectively in the said Axis Bank, Rayagada Branch for the credit of insurance benefits of their deceased son. In addition to that, LIC Policy bearing No.574356001 of their deceased son had ripened for maturity at the time of his death. After the death of their son Deverkonda Sridhar, his wife Santoshi Rupa and his above two minor sons i.e. Deverkonda Sai Siddharth and Deverkonda Sai Samarth @ Sairam expired on dated 25.05.2017 committing suicide at a time in a house while they were staying at Eluru in West Godavari District, Andhra Pradesh leaving behind the petitioners as their successors. For which, the petitioners approached the Bank Manager of Axis Bank and the Manager of LIC i.e. O.P. Nos.1 & 2 for disbursement of the deposited amounts and policy benefits of Deverkonda Sridhar, Santoshi Rupa, Deverkonda Sai Siddharth and Deverkonda Sai Samarth @ Sairam in their favour, but the O.P. Nos.1 & 2 directed the petitioners for production of succession certificate obtaining from the competent Court of law for the release of the said amounts of the deceased Deverkonda Sridhar, Santoshi Rupa, Deverkonda Sai Siddharth and Deverkonda Sai Samarth @ Sairam in their favour. Therefore, the petitioners (husband and wife) approached the Court of learned Senior Civil Judge, Rayagada by filing Intestate Case No.03 of 2017 under Section 372 of the Indian SUCCESSION ACT , 1925 being the petitioners arraying the Branch Manger of Axis Bank, Rayagada and the Branch Manager, LIC, Rayagada as O.P. Nos.1 & 2 respectively praying for issuance of a Succession Certificate in their favour for releasing the deposited amounts of the aforesaid deceased persons and their policy benefits in their favour by the O.P. Nos.1 & 2.

During the course of enquiry of CMA No.03 of 2017 by the learned Senior Civil Judge, Rayagada, after closure of evidence from both the sides, as per order dated 07.09.2018, on the basis of the evidence of the O.P.W.1 (Branch Head of Axis Bank of Rayagada Branch) and exercising power conferred under O.1 R.10(2) read

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