New Delhi: In a dispute around one million pounds transferred in 1948, the high court of England and Wales on Wednesday ruled in favour of the two descendants of the late 7th Nizam of Hyderabad. This historic case which went through several turns from 70 years has come as a major set back to Pakistan which claimed the amount.
Into the story, Mir Osman Ali Khan, the 7th Nizam of Hyderabad state, transferred £1,007,940 from the State of Hyderabad’s bank account in the National Westminster Bank in London to the account held by Habib Ibrahim Rahimtoola, the then Pakistan’s High Commissioner to the UK. Pakistan had claimed that the money on the ground was a payment for supplying arms to the Hyderabad state during India’s annexation in 1948.
The 166-page judgement by Justice Marcus Smith stated that the transfer had anything to do with the purchase of weapons or the compensation of Pakistan and further said that Nizam VII and India were beneficially entitled to the fund. “I will leave it to the Nizam’s family and the Indian government to frame an appropriate form of order for my approval,” said the judge. The amount, including the accumulated interest over the decades, is with the National Westminster Bank in London which now amounts to an estimated value of at least £35 million.