109-Year-Old Debt: Rs.35,000 Given to British Government Worth Rs.10 Crores Now
A Madhya Pradesh family claims the UK still owes them a Rs.35,000 war loan given to the British in 1917, now potentially worth over Rs.10 crore.
During the First World War in 1917, the British colonial administration in India raised money through war loans. These were government schemes where citizens, traders, princely states and wealthy families were asked to lend money to support war expenses. In return, the government promised fixed interest. These loans were promoted as both a patriotic duty and a good investment. At that time, one of the interest rates offered was about 5.5%.
In the same year, Seth Jumma Lal Ruthia, a wealthy merchant from Sehore in present-day Madhya Pradesh, subscribed to one such war loan. His family owned large landholdings and was involved in agriculture, trade and other businesses. On 4 June 1917, he invested ?35,000 with the British administration in the princely state of Bhopal.
The loan certificate was signed by British political agent L. W. S. Davis, who praised Seth Ruthia’s contribution as a sign of loyalty to the Empire. Seth Jumma Lal Ruthia later continued his business activities and passed away in 1937. However, after India gained Independence in 1947, the ?35,000 loan was neither repaid nor formally settled, according to the family.
More than a century later, in 2026, the certificate was rediscovered by his 63-year-old grandson Vivek Ruthia while he was going through old family documents. He claims that neither he nor his father ever saw any proof that the British government repaid the amount. After searching for records and finding none, the family now believes the money is still owed to them.
The value of the original ?35,000 has become a major talking point. Using simple compounding at around 5.5% for 109 years, the family estimates the amount could now be over ?10 crore. They also compared it with the rise in gold prices, noting that gold is more than 3,000 times costlier today than in 1917, which also puts the value in the crore range.
Vivek Ruthia has said he is consulting lawyers and is planning to send a legal notice to the United Kingdom government seeking repayment of the original loan with interest. However, no formal case has been filed yet. Legal experts say the family may face serious hurdles, including limits on filing such old claims, questions about which court has jurisdiction, and the rule that sovereign governments usually cannot be sued without consent.
For now, it remains unclear whether the matter will move forward legally or whether the family will receive any repayment.
