What should I do with gifts that are given to me by family members which are Islaamicly prohibited to use?

All perfect praise be to Allaah, The Lord of the Worlds. I testify that there is none worthy of worship except Allaah, and that Muhammad is His slave and Messenger. We ask Allaah to exalt his mention as well as that of his family and all his companions.

You should have clarified the Islaamic ruling to the person who had offered you those gifts, as the Prophet did. Imaam Muslim reported that Ibn ‘Abbaas said: "A man offered a container (water-skin) of alcohol to the Prophet . So the Prophet said: "Did you not know that Allaah has forbidden it?" The man replied: "No". So the man spoke secretly to another man. The Prophet said: "What did you tell him secretly?" The man replied: "I ordered him to sell it." So the Prophet said: "The one who forbade drinking it, forbade selling it." Thus, the man opened the container (and poured it on the floor) until it became empty." This narration is also reported by Imaam Maalik, An-Nasaa'ee and others .

So if you can benefit from these gifts such as melting and reshaping them in a permissible manner, if they are made of gold and shaped in a forbidden way, this is permissible. However, if it is not possible to benefit from them, then it is obligatory to discard them, as the companion of the Prophet did.

Allaah knows best.