unclaimed money should be handed over to legal heir

I was not aware of this!!! I think there is a specified patter in India for distribution of properties of an intestate person. I dont recollect offhand the provisions. But you might want to check on that in the net before being dejected. As to legal heir, it might depend upon how far you are related to the person. If the person is your distant relative, and you do not come under any of the classes mentioned in the Hindu Succession Act (I am presuming you are Hindu), then you truly dont have rights. I am not aware about the provisions related to Christians, and Muslims.