Employee Provident Fund Regulations,1974

THE PUNJAB STATE WAREHOUSING CORPORATION EMPLOYEES PROVIDENT FUND REGULATIONS, 1974 F (From Punjab Government Gazette, dated the 1st March, 1974) AGRICULTURE DEPARTMENT [ NOTIFICATIONS i The 19th February, 1974 No. 434-Agri (VI!I)—74/2974 - In exercise of the powers conferred by the section 42 | of the Warehousing Cprporatlon Act, 1962, and with the sanction of the Punjab State | Government, the Pu'n|ab State Warehousing Corporation hereby makes the following | Regulations governing the employees’ provident fund, namely :- ' 1. SHORT TITLE AND COMMENCEMENT :- (i) These regulations may be called ‘The Punjab State Warehousing Corportation Employees’ Provident Fund Regulations, 1974. (i) These regulations shall be deemed to have come into force from the 1st April, 1962. CONSITUTION OF FUND :- There shall be costituted a Fund to be called ‘The Punjab State Warehousing Corporation Employees, Provident Fund’. DEFINITIONS :- In these regulations, unless the context otherwise requries:- (@) ‘Act'means the Warehousing Corporations Act, 1962. (b) ‘Committee’ means the Committee of Trustees Constituted under Regulation 4 (i) for administration of the Fund, (c) ‘Continuous Service’ means uninterrupted service and includes periods of leave on average or half average pay, and of service proceeding and following the period of extraordinary leave, but not the period of extraoridinary leave. (d) ‘Corporation’ means the Punjab State Warehousing Corporation established under section 18 of the Act, (e) ‘Employees’ means a person in the whole time service of the Corporation, but does not include a person on deputation or employec on daily wages. (f) ‘Family’means (i) . any of the following persons who are wholly dependent on the employee, namely, the employee’s wife, legitimate children, step children, parents, sisters and minor brothers. (i) inthe case of a female subscriber the husband, legitimate children, step children, parents, sisters and minor brothers. Provided that if a female subscriber by notice in writing to the Committee, expresses here desire to exclude her husband from the family, the husband shall no lenger be deemed to be a member of subscriber's family for the purpose pf the scheme, unless the subscriber subsequently cancels in writing any such notice. EXPLANATION :- In either of the above two cases, if the child of the subscribey has been adopted by another person and if under the personal law of the ado.ptery adoption is legally recognised, such child shall cease to be a member of the family of the subscriber. (9) ‘Accounts Officer’ means Accounts Officer of the Corporation. (h) ‘Fund’ means the Punjab State Warehousing Corporation Employeeg’ Provident Fund. () ‘Managing Director’ means Managing Director of the Corporation. () ‘Secretary’ means the Secretary of the Corporation or any officia specifically deputed by the Managing Director to act as Secretary. (k) Pay includes substantive pay, personal pay, spl. pay, actmg allowance, dearness allowance (including, dearness pay) but does not include loca allowance, house rent allowance, transfer allowance, travelling allowance, halting allowance or any other allowance and in the case of re-employed person his pension. (As amended vide no. PWC/COML./C-5/98/53032 dated 1.4.1994) () ‘Year means the financial year of the Corporation. 4. ADMINISTRATION OF FUND ACCOUNTS AND AUDIT : () The fund shall vest in and be administered by a Committee of Trustees comprising the Managing Director, Accounts Officer and the Secretary to-gather nominated by the Managing Director and the Trust so created shall not be recoverable save with the consent of all the beneficiaries. (i) All moneys belonging to the“fund shall be wholly invested either in securities of the nature specified in clauses (a), (b) or (e) of section 20 of the Indian Trusts Act, 1882 (2 of 1882) (Appendix 1) or in a Post Office Savings Bank Account in India. Provided that nothing in this sub-clause shall affect the validity upto the time of maturity of any fixed deposit made with a scheduled bank before publication of these regulations. (i) The' accounts of the fund shall be audited by the same authority which audits the accounts of the Corporation, to in Rule 74(2) of the Income Tax Rules, 1962 as amended from time to time (Appendix Il) every year and at the 31st March and an audited statement of the account will be submitted to a meeting of the Committee to be held not later than the 31st August, in every year and a copy of such statement shall be made available to every subscriber. 7. SUBSCRIBERTO FUND :- Every employee of the Corporation shall subscribe to the fund :- (a) Incase of an employee who has completed period of his probation and one years continuous service at the time of commencement of these regulations, from the date of such commencement. (b) Inany other case from the beginning of the month following that in which he completes one year’s continuous service from the beginning of the month following that in which he completes his period of probation whichever is later. Provided that any person in receipt of remuneration other than casual remuneration from the Corporation may subscribe to the fund if so permitted by the Committee. 8. RATE OF SUBSCRIPTION :- The subscriber shall subscribe monthly to the fund at such rate of his pay (not being less than 10%) as may be fixed by him from time to time. Such subscription shall be deducted by the Corporation, from the pay payable to the Subscriber every month in amounts calculated to the nearest rupee. The Corporation’s contribution will remain fixed as provided by Regulation 10. Within the above limits, the subscriber can change the rate of subscription with effect from 1st April of each year. The rate once fixed shall remain unaltered throughout the year. (As amended vide no. PWC/COML./C-5/98/53032 dated 1.4.1994) 9. SUBSCRIPTION OF SUBSCRIBER ON LEAVE :- The subscription of the subscriber absent on leave shall, during the period of such absence, be assessed on his leave salary but such subscriber shall be at liberty to subscribe on the full amount of his pay provided notice in writing of his desire to do so is given by him not less than 14 days in advance of the first payment of his leave salary to the officer responsible for paying him. 10. CORPORATION’S CONTRIBUTION :- Same as otherwise provided, the Corporation shall contribute to the fund every month @ 10% of the pay of each subscriber as employer’s contribution to the fund provided that no such contribution shall be made by the Corporation in respect of subscriber who has been permitted to subscribe under provision to Regulation 7. (2) Not-withstanding anything contained in Regulation 7, an employee who immediately before his entry into the Corporation was an employee under the Govt. or under a body corporate owned or controlled by the Govt. shall be allowed employer's contribution at the rate specified in sub-regulation (i) from the date of his entry in such service, if, () Before the date of such entry into the service he was a subscriber to any provident fund recognised under the Income Tax Act, 1961 (43 of 1961); (i) the amount payable to him from the provident fund account of the previoyg ’ employer has been transferred to his Provident Fund Account in the Corporation in a request made in his behalf by the Corporation; and (iii) he subscribes to the fund at the rate specified in regulation 8 for the period commencing from the date of his entry into such servicg; provided that on the acceptance of transfer, the provident fund of the subscriber shall be governed by these regulations. (As amended vide no. PWC/COML./C-5/98/53032 dated 1.4.1994) 11, INTEREST :- All money contributed to the fund (whether by the employer or by the employees) or accruing by way of interest or otherwise to the fund shall be wholly invested in securities of the nature specified in clauses (a), (b), (c), (d) or (e) of section 20 of the India Trust Act, 1882 (2 of 1882) orin a post office Savings Bank Account India in accordance with the provision under Rule 67 of the Income Tax Rules, 1962, as amended from time to time (Appendix ). 12(1) At the discretion of the Committee an advance not exceeding in any case the total of the accumulation of the subscriber’s own contribution and interest thereon contained in the balance to his credit, may be granted to a subscriber on application, out of the amount standing to his credit in the fund subject to the following cenditions; (@) No advance/shall be granted unless applicant’s peculiar circumstancesjustify itand undertaking is given that itwill be expanded on the following object or objects and nct otherwise:- (i) topay expenses incurred in connectio or a member of his family; the committee is satisfied that the n with the iliness of the subscriber (i) to pay for the passage over- sea of a subscriber, or any member of his family, (i) to pay, gxpensu_ss incurred in connection with marriage, funerals or ceremonies, which by the religion of subscriber, it is obligatory upon him to perform; poration in respect of any Y the Corporation. (As amended 2 (a) (b) Recoveries shall commence when the subscriber draws his pay for the full month for the first time after the advance is made. Recovery shall not be made except with the subscriber's consent while he is on leave other than earned leave on fyl| average pay or while he is in receipt of subsistence grant. (c) Recoveries made under this re gulation shall be credited as they are made to the subscriber's amount in the fund :- After the principle of the advance has been fully repaid, interest shall be recovered in accordance with provisions under Rule 71 (4) of the income- tax Rules, 1962 as amended from time to time (Appendix lIl). Whole of interest shall ordinarily be recovered in the month after complete repayment of the principle, but if the period of repayment of advance exceeds 20 months, interest may, if the subscriber so desires, be recovered in two equal monthly instalments. 13. ADVANCES FOR PAYMENT OF PREMIA FOR INSURANCE MONTHLY POLICIES ETC. Advance may be made to a subscriber from the fund lying on account of his subscriptions and interest thereon with the approval of the Committee for following purpose :- (1) Payment towards premium of policy of insurance on the life of the subscriber or of his wife : Provided that the policy is assigned in favc?ur of .the Corporation and deposited within 6 months with the commitee gnd the premia receipts granted by the insurance Company are produced for inspection from time to time. Provided further that the number of policies in respect of which the facility referred to above is allowed will not exceed four at a time and premia shall not be Payable otherwise than annually. NOTE : The amount withdrawn shall be paid in whole rupees rounded to the Nearest rupee, fifty paise and above being rounded to the next higher rupee. 14, INTEREST TO CEASE ON TERMINATION OF SERVICE OR DEATHd.?; SUBSCRIBER : Interest on all sums standing in the books of the fund to the cred! asubscriber shall cease on the day on which he leaves the service of the Corporation or the day of his death whichever is earlier. ER : 15. PAYMENT OF AMOUNT OUTSTANDING TO CREDIT OF SUBSCRIB i anding to (1) Subject to the provisions of Sub-regulations (2) and (3) SfL'J:; Zterviceg ol € credit of a subscriber shall become payable on the termination O on his retirement or on his death. (2) Subject to the directions of the Committee, the whole or any part of the amount of the employer’s contribution together with interest credited in respect thereof may be deducted from the total amount standing to the credit of a subscriber an(j paid to the Corporation which would constitute income of the Corporation and taken in its hand where :- (@) the subscriber is dismissed or removed from employment in pursuance of disciplinary proceeding taken against him, or (b) the subscriber voluntarily leaves his employment otherwise than on account of ill-health or other unavoidable causes before the expiration of the term of his service or within five years of the completion of his period of probation, as the case may be. (8) The employers’ share, together with interest credited in respect thereof, shall not be payable except with the approval of the committee. 16. NOMINATIONS : (1) Every subscriber shall, at the time of joining the fund send to the Head Office of the Corporation a nomination conferring, in the event of his death, on one or more persons the right to receive the amount that may stand to his credit in the fund. Provided that, if at the time of making the nomination, the subscriber has a family, the nomination shall not be in favour of any person or persons other than the members of his family. (2) If a subscriber nominates more than one person under sub regulation (1), he shall specify in the nomination the percentage of share payable to each of the nominees in such manner as to cover the whole of the amount that may stand to his credit in the fund at any time. (8) Every nomination shall be made in such one of the Forms annexed to these regulations Appendix IV (a) & (b) as is appropriate in the circumstances. (4) Asubscriber may at any time cancel a nomination by sending a notice in writing to the Head Office of the Corporation : Provided that the subscriber shall, alongwith such notice, send a fresh nomination made in accordance with the provisions of this regulation. (5) A subscriber may provide in a nomination :- (@) in respect of any specified nominee, that in the event of his predeceasing the subscriber, the right conferred upon that nominees shall pass to such other person or persons as may be specified in the nomination provided that such other person or persons shall, it the subscriber has other members of his family, be such other member or members. (b) that the nomination shall become invalid in the event of the happening of a contin gency specified therein provided that if at the time of making the nomination the subscriber has no family, he ide in the nomination that it shall become invalid in the event of his subsequently acquiring a family; Provided further that if at the time of making the nomination, the subscriber has only one member of the family he shall provide in the nomination that right conferred upon the alternate nominee under clause (a) shall become invalid in the event of his subsequently acquiring other member or members of his family. (6) Immediately on the death of provision has been made in the nominati (7) Every nomination made and every notice of cancellation given by a subscriber shall to the extent it is valid, take effect on the date on which it is received by the Head Office of the Corporation. 17. PAYMENT ON DEATH OF A SUBSCRIBER — (1) On the death of a subscriber leaving behind a family — (@) If a nomination made by the subscriber in accordance with these regulations is in favour of a member Or members of his family subsists, the amount standing to his credit in the fund or the part thereof to which the nomination relates shall become payable to the nominee or nominees in the proportion specified in the nomination. (b) If no such nomination subsists or if such nomination relates only to a part of the amount stands to his credit in the fund, the whole amount or the part thereof to which the nomination does relate, as the case may be shall become payable to members of his family in equal shares, Provided that no share shall be payable to :- () Sons who have attained majority. (i) daughters . EXPLANATION : For the purpose of this paragraphs a subscriber's posthumous f\h"g’ it born alive shall be treated in the same way as a surviving valid born before IS death, (2) When the subscriber leaves no family, accordanc, o e with these regulations in favour of any person subsists, the amount anding to hig credit in the fund or the part thereof to which the nomination re.lates‘ Sha|! become payable to his nominee or nominees in the proportion specified in the ”Omlnation. a nomination made by him in (3) Inany case to which the provisions of Sub-regulations (1) and (2) do not apply that amount shall be payable to the persons legally entitled to it. 18. AGREEMENT TO BE EXECUTED BY SUBSCRIBER. Every employee on becoming a subscriber shall furnish a declaration in the following form : “I 'hereby declare that | have read and understood the Punjab State Warehousing Corporation Employees’ Provident Fund Regulations and agree to be bound by the said Regulations. WiItness ......coueruruennne. Signature in Full Date 19. WINDING UP OF THE FUND : The fund may be wound up if the Corporation is placed in liquidation under the order of the State Government. In that case the accumulated amount in the Fund shall be distributed amongst the subscribers in accordance with the amounts payable in their accounts. 20. PROVISION FOR RESIDUARY MATTERS. Fo Regulations, the Committee ma: the Administration of the Fund. r matters not provided in these y exercise such powers as may be necessary for 21. EXPENSES OF THE FUND. All expenses relating to the administration of the Fund including the pay and allowances of the staff appointed for the purpose of administering the fund shall be borne by the Corporation and shall not be charged to the Fund. PARAMJIT SINGH Secretary to Government, Punjab. Agriculture Department APPENDIX | (See Regulations 4 and ) Rules 67 of the Income-Tax Rules, 1962 INVESTMENT OF FUND MONEYS. Al moneys contributed to a Provident fund (whether by the employer or b Yy the employees) or occurring b way of interest or otherwise to the fund shall be wholly invested shyay (@) wher.e the employer is not a company (as defined in clause (i) of Sub- Section (1) of Section 3 of the Companies Act, 1956) (1 of 1956), in securities of the nature specified in clauses (a), (b), (c), (d) or (e) of section 20 of the Indian Trusts Act, 18 ! 82 (2 of 1882) orin a post office Savings Bank Account in India, and where employeris a company (as defined in clause (i) of sub-section (1) of section 3 of the Companies Act, 1956 (1 of 1956) in accordance with provisions of sub-sectio n (1) of section 418 of the Companies Act, 1956 (1 of 1956). . so, however, that in all cases the securities in which the contributions made by employees after the date of recognition of the provident fund and the interest on the accumulated balance of such contributions are invested are payable both in respect of capital and of interest in India. SECTION 20 OF THE INDIAN TRUSTS ACT, 1882. INVESTMENT OF TRUST MONEY :- Where the trust property consists of money and cannot be applied immediately or at an early date to the purposes of the trust the trustee is bound (subject to any direction containing in the instrument of trust) to invest money on the following securities and no others :- in promissory notes, debentures, stock or other securities of any State Government or of the Central Government or of the United Kingdom of Great Britain and Ireland; Provided that securities, both the principle whereof and the interest where on shall have been fully and unconditionally granted by any such Government shall be deemed, for the purpose of this clause, to be securities of such Government. (b) in bonds, debentures and annuities charged or secured by the Parliament of the United Kingdom before the 15th day of August, 1947, on the revenues of India or of the Governor General in Council of any province Provided that, after the fifteenth day of February, 1916 no money shall be invested in any such annuity being a terminable annuity unless a sipkmg 1ynd has been established in connection with such annuity; but nothing in this proviso shall apply to investments made before the date aforesaid; h i t stock, India | i ia three and a half per cent stock, India .three per cen i | © lti}vl(l;“:md half per cent stock or any other capital stock which before tdh.e E 15th day of August 1947, was issued by the Secretary of State for India in council under the authority of any Act of Parliament of the Uniteg Kingdom and charged on the revenues of India or which was issued by the Secretary of State on behalf of the Governor General in council under the provision of Part XlII of the Government of India Act, 1935; (d) in stock of debentures of, or share in, Railway or other Companies, the interest where on shall have been guaranteed by the Secretary of Stats for India in Council by the Central Government or in debentures of the Bombay Provincial Cooperative Bank Limited the interest where on shall have been guaranteed by the Secretary of State for India in Council his State Government of Bombay; (e) in debentures or other securities for money issued, under the authority of any Central Act or Provincial Act or State Act by or, on behalf of any municipal body, or trust or city improvement trust in any Presidency town orin Rangoon Town or by or on behalf of the trustees of the port of Karachi: Provided that after the 31st day of March, 1949, no money shall be invested in any securities issued by or on behalf of a municipal body, port trust or city improvement trust in Rangoon town or by or on behalf of the trustees of the port of Karachi; - (f) onafirst mortgage property situated in any part of the territories to which this Act extends; Provided that the property is not a leasehold for a term of years and that the value of the property exceeds by one-third, or, if consisting, or building exceeds by one-half the mortgage money; or () onany other security expressl by any rule which the Hi behalf; y authorised by the instrument of trust, or gh Court may from time to time prescribe in this Provided that, where there is person com possession to receive the income of the tru APPENDIX 11 FORM NO. 41 (See Regulation 6) Sg| sI 'SH j0 Jeak ayy 10y Aejes yig/} Buipasoxs jou uonnquiuod O Buipasdxs jou a)el je pamojje g Jeak J0 $s90Xa Ul Uo ° c S w o “ <] o 2 5] [a] Lapsed to employer to fund- Recovery for employer to fund Dol Y P i35 D Q H P H r H Q He] H e Paid to employee.. Accountclosed ................. Date ..o jeak ay} Joy A u e j e s Jo Buipeeaxa jou J e k o d w a Aq uoinquiuod 'Jop uojsaisyul ‘G9 [EOL "alnjeu juabuyuod jo y e w s S| Aq uoinqujuod ‘gakoldwa Ag panquiuod f e e s o "loQ) pamolje q S| E m c E fl w n m Uuo Junoddy Exempt Not Exempt (z1 L} '10D) swodul O} SUOHIPPY 0L-€ g G v ght forward Yiuow puetesp Contributions Balance brou April May March Total Form for maintaining account of subscriber to a Name Form for maintaining account of subscriber to a recognised provident fund recognised provident fund Adjustment on account of temporary withdrawals account of (columns 8, 9 and 10 only) Adjustment on account of non repayable withdrawals account column 11,12 & 13). Total carried over. Non-repayable Withdrawal Account Temporary withdrawals Account Amount Balance brought forward April April May May June June July July March ... March Advance repayment interest Balance B/Forward Balance carried over *NOTE :If desired column may be divided into sub-columns to show separately the interest on columns 3 and 4 and 5 respectively. APPENDIX 11l (See Regulation 12) Rule 71(4) of the Income Tax Rules, 1962 71.4. In respect of withdrawals referred to in sub-rules referred to in clause (viii) of sub-rule ( with the following table :- ’ (2) and (3) of the amount 2) of Rule 69, interest shall be paid in accordance TABLE Where the amount is repaid in not more than 12 monthly instalments. Where the amount s repaid in more than 12 but not more than 24 monthly instalments. Where the amount is repaid in more than 24 monthly instalments but not more than 36 monthly instalments. Where the amount is repaid in more than 36 monthly instalments but not more than 48 monthly instalments. t is refunded under Where the amoun clause (viil) of sub-rule (2) of Rule 69, One additional instalment of 4 percenton the amount withdrawn. Two additional instalments of 4 percent on the amount withdrawn. Three additional instalments of 4 percent on the amount withdrawn., Four additional instaiments of 4 percent on the amount withdrawn. 4% of the amount which is refundable. Provided that at the discretion of t recovered on the amount aforesaid or the 2t 1 percent above the rate which is payal sund at the credit of the employee. (See Regulation 16) Form of Nomination (When the subscriber has a family and wishes to nomi minat member thereof). es more than one To The Committee of the Punjab, Warehousing Corporation, Employees’ Provident Fund. Gentlemen, I, hereby, nominate the persons mentioned below, who are members of my family as defined in the Punjab Warehousing Corporation Employees’ Provident Fund Regulations 1974 to receive the amount that may stand to my credit in the Fund, in the event of my death before the amount has become payable, or having become payable has not be paid and direct that the said amount shall be distributed among the said persons in the manner shown below against their names :- Nzme and address Relationship with Age Amount Contingencies Name, Address of nominees the subscriber of share on the happening & relation of of accomulations of which the the persons if any to be paid nomination of the nominee to each shall be vaild should passinthe event of his predeceasing the subscriber or on the happening of the contingency or contingencies spcified in the preivous column. Date this... ............................................................... (Immediate superior authority) Note: This column should be filled in so as to cover the whole amount that may stand to the credit of the subscriber in the Fund at any time. (See Regulation 16) FORM OF NOMINATION (When the subscriber has no family and wishes to nominates more than one person) To The Committee of the Punjab, Warehousing Corporation, Employees’ Provident Fund. Gentlemen, I, having no family as defined in the Punjab Warehousing Corporation Employees’ Provident Fund Regulations, 1974, hereby nominate the persons mentioned below to receive the amount that may stand to my credit in the Fund, in the event of my death, been paid and direct that the said amount shall be distribufed among the said persons in the manner shown below against their names - Name and Relationship Age Amount Contingencies Name, Address & relationship address with the of share on the happening of the persons if any to whom of nominee subscriber of accomu- of which the amount the right of the nominee shall lations to be paid pass in the event of his/her to each predeceasing the subscriber or on the happening of the contingency or contingencies specified in the previous column. fiyo witne sses to sign. . (Signature of Subscriber) (Subscriber’s Signature verified by me) (Immediate superior authority) Note: This column should be filled in so as to cover the whole amount that may stand to the credit of the subscriber in the Fund at any time. Note : Where a subscriber who has no family makes a nomination, he shall specify inthis column that the nomination shall become invalid in the event of his subsequently acquiring a family.