UK says it has no record of Bhopal merchant’s 109-year-old ₹35,000 British war bond investment: What MP family claims

The UK’s Debt Management Office says it found no evidence of a 1917 ₹35,000 Indian War Loan allegedly subscribed by a Bhopal merchant. His Madhya Pradesh family is seeking clarity on whether the investment was repaid, with the century-old claim still unresolved.

The UK government has said it has found no evidence that a 109-year-old Indian War Loan, allegedly subscribed by a Bhopal businessman in 1917, was or remains a liability of the British government, according to a report by The Times of India.

The response has left a Madhya Pradesh family seeking clarity over whether the money was ever repaid.

The UK's Debt Management Office (DMO) conveyed its position in an email dated October 16 to Shreyansh Raniwala, legal counsel for Vivek Ruthiya, 63, of Sehore, the report said.

“We have investigated and can find no evidence that the loan you refer to was or is an obligation of the UK govt,” the DMO said in the email reply, as quoted by the newspaper.

The DMO has not acknowledged any outstanding liability, leaving the family seeking further answers about the historical transaction.

What is the 1917 Indian War Loan?

At the centre of the dispute is a certificate dated June 4, 1917, which the Ruthiya family says has been preserved for more than a century.

The document records a subscription of ₹35,000 by Seth Jumma Lal Ruthiya, a businessman associated with the firm Seth Rama Kishan Jaskaran Ruthiya in the princely state of Bhopal.

It even bears the signature of WS Davis, who was then the Political Agent in Bhopal.

The Indian War Loan was floated during World War I, when the British administration raised money to finance military expenditure.

Such loans allowed governments to borrow from investors, including wealthy individuals and merchants, in return for interest and repayment under the applicable terms.

According to the family's claim, the investment carried an annual interest rate of 5.5%. The family maintains that it has not received repayment of the principal or a satisfactory account of the loan's settlement.

Family questions UK's response

The DMO's email has prompted questions from social activist Vinay Ruthiya, who has called for greater clarity on the historical records and the alleged loan's repayment.

He said the family had authenticated the available documents and submitted the material requested through its legal counsel. He argued that the British authorities should clarify whether the subscription appears in their historical financial records and, if so, how the liability was accounted for.

“If the loan was repaid, there should be a record showing when and how it was settled. We submitted the documents they asked for, including the historical certificate,” he said, as quoted by TOI.

How did the family discover the century-old documents?

Vivek Ruthiya has said he found the documents among papers preserved in his grandfather's will.

He said that the records included correspondence with the then British government that supported the family's account of the transaction.

The family has relied on the certificate and associated papers to pursue its claim more than a century after the investment was made.

Seth Jumma Lal Ruthiya died in 1937, two decades after the alleged subscription, as per TOI.

British rule in India ended in 1947, leaving the family now seeking historical documentation to establish what happened to the investment.

About the Author

Bhanu Pratap is a journalist who reports and writes on foreign affairs, India’s foreign policy, geopolitics and strategic affairs. He closely follows diplomatic developments in New Delhi and has a keen interest in defence and national security.<br> <br> Bhanu also focuses on in-depth, interview-based reports and regularly speaking with experts and policymakers to bring perspectives and context to major developments around the world.<br> <br> He is also interested in stories with strong humanitarian angles.<br><br> One such report examined the cases of Indian nationals who were allegedly recruited and forced into Russia’s war against Ukraine. While reporting the story, Bhanu spoke to the families of those affected and documented their experiences. The report was later taken into account by the United Nations in its findings on human rights violations linked to the war in Ukraine.<br> <br> For Bhanu, the zeal to produce meaningful and impactful journalism remains at the heart of his work.<br> <br>He has previously worked with Firstpost, NDTV, Newslaundry and Republic.<br><br> Bhanu studied at the Delhi School of Journalism, University of Delhi. He initially chose science with plans to pursue engineering, influenced by conventional expectations, but fate had other plans and eventually led him to journalism.<br><br> Beyond the newsroom, Bhanu enjoys exploring culture and history and often spends his days off on heritage walks. He is also passionate about travelling, biking and listening to folk music.<br> <br>For tips, reviews and suggestions, you can reach him at bhanu.pratap@htdigital.in.