Allahabad HC asks State to enhance compensation for dependents of advocates under financial aid scheme

The Allahabad High Court has directed the State government to consider enhancing the amount of compensation payable to the dependents of deceased advocates [Jyotima v State of UP and 2 Others].

A Division Bench of Justice Ajit Kumar and Justice Garima Prashad noted that the compensation under the ‘Financial Assistance Scheme for Advocates’ was fixed at ₹5 lakh in 2015 and since then, the corpus for the scheme has swollen to ₹330 crore from ₹20 crore. 

However, the Court observed that the compensation amount has remained static at ₹5 lakh. It thus called upon the government to consider increasing the compensation amount.

“Let the Government come up with an affidavit as to what amount it proposes to enhance towards the compensation under financial assistance scheme, and we leave it to the wisdom of the State Government. If a proper affidavit in this regard is not filed by the next date fixed, this Court will be compelled to take a serious view of the matter,” the Court directed. 

The Court was hearing a petition moved by a widow of an advocate for payment of interest on account of the delayed disposal of her application seeking compensation of ₹5 lakh. She had applied for compensation in 2020 but the same was paid only in 2025. 

On July 7, the Court took a serious view of the delay and directed Member Secretary of the Uttar Pradesh Advocate Welfare Fund Trustee Society, Lucknow (trust), to explain the delay in disbursing the compensation to the needy and eligible dependents of deceased advocates. 

In response, the Court was told that applications under the scheme are routed through the Bar Council of Uttar Pradesh and that due to non-compliance with relevant guidelines, the applications either remain pending there or are even sent back to the State Bar Council for further verification and compliances.

At present, 1,207 applications are pending on account of such deficiencies.

The Court criticised the Bar Council for delaying the verification of such applications. It noted that the council already has a roll of registered advocates and once a dependent moves an application for compensation, it should get all the forms duly filled up with all supporting documents and only then forward them to the trust for disbursement. 

“We fail to understand as to why the Bar Council sends to Trust such applications with insufficient details or forwards deficient application for not being accompanied by relevant material documents that results in delayed disposal of the applications,” the Bench said.

It directed the Bar Council of Uttar Pradesh to file an affidavit on proposed guidelines to expedite the forwarding of applications moved by the dependents of deceased advocates in future.

The Court also noted that the trust was using only the interest earned on its corpus to pay compensation to the dependants of advocates.

This was resulting in the delayed disposal of the applications, the Court observed. It added that the interest may not be sufficient to meet the trust's requirements.

The Court said the trust would have to either start using its principal corpus to pay compensation to eligible applicants or seek financial assistance from the State.

“The amount of interest which is generated upon the corpus is stated to be Rs.5.64 Crore per quarter, coming to approximately Rs.22.4 Crore annually, out of which only about 440 applications can be disposed of. We are still in the financial year 2026-27, with only two more quarters to go and, therefore, all the 939 pending applications may not be disposed of even if forwarded by the Bar Council of Uttar Pradesh as directed hereinabove. In the circumstances, therefore, the Trust will have to utilise the corpus amount which is lying there with it or may demand further financial assistance from the State as one time to maintain the corpus as it is,” the Court said.

Considering the financial situation, the Court directed the trust to seek further financial assistance from the State government within the next 30 days. It added that in case the government delays the payment, the trust can liquidate the fixed deposits of the corpus to pay compensation without undue delay.

“We hope that the State Government will take a pragmatic view in the matter in providing necessary financial assistance to the Trust,” the Bench said.

The matter will be heard next on October 5.

Advocate Kuar Singh represented the petitioner. 

Additional Advocate General MC Chaturvedi and Additional Chief Standing Counsel PK Shahi represented the State.

Advocates Abhishek Srivastava and Ashok Kumar Tiwari represented other respondents.

[Read Order]