The question of extending Contributory Provident Fund to non-service staff appointed on the personal staff of Ministers/Deputy Ministers and Members of the Planning Commission in lieu of the benefits at present admissible to them in accordance with the orders contained in the Ministry of Finance O.M.No.F.13 (5)-E.V(A)/64, dated the 9^th April, 1964 has been engaging the attention of the Government of India. The President is pleased to decide that the benefits of the Contributory Provident Fund may be allowed to such staff under Rule 4(1)(b) of the Contributory Provident Fund Rules (India) 1962 by treating such posts as non-pensionable as long as they are held by the non-service staff including those who are already in service who exercise an option, within the specified time, for the Contributory Provident Fund benefits.

2. For this purpose, the non-service staff, who hold or are hereafter appointed to hold posts on the personal staff of Ministers/Deputy Ministers and Deputy Chairman Members of the Planning Commission, shall exercise an option in writing in the attached proforma within a period of three months, from the date of issue of this O.M. or the date of their appointment, as the case may be, to elect Contributory Provident Fund benefits or the benefits at present admissible under the orders contained in the Ministry of Finance Office Memorandum No.F.13(5) E.V/64 dated the 9^th April, 1964. The option once exercise will be final and irrevocable. Persons who fail to exercise the option within the specified period will be deemed to have opted for the benefits admissible under the orders contained in the Office Memorandum dated the 9^th April, 1964. The benefits admissible under that Office Memorandum will stand withdrawn in respect of those who opt for Contributory Provident Fund benefits and the provisions of the Rules (India) 1962, as amended from time to time, will apply to them.
3. Non-service staff already in service who opt for Contributory Provident Fund benefits in terms of paragraphs 2, would be deemed to have been admitted to the Contributory Provident Fund scheme from the date of their continuous appointment under the Central Government. Non-service staff appointed hereafter, who opt for Contributory Provident Fund benefits, will be admitted to the Contributory Provident Fund with effect from the 1^st of the month following the month in which they are appointed.
4. The procedure for the exercise and communication of options and adjustment of arrears of the subscription will be as under:-

(i) The option should be exercised in writing in duplicate, and should be communicated by the Government servant concerned to the head of the office if he is a non-gazetted officer and his Accounts Officer, if he is a Gazetted Officer. The declaration, when received from a non-gazetted Government servant, should be countersigned by the head of office and pasted in the service book of the government servant concerned. Similarly option received from gazetted officer may be recorded on the service card by the Accounts Officer under proper attestation. It will be the responsibility of the government servant concerned to ensure that the receipt of his declaration is acknowledged by the head of the office or the Accounts Officer, as the case may be and that he receives an intimation that it has been duly recorded by the authority concerned.

(ii) Non-service personal staff who opt for Contributory Provident Fund benefits and are at present non subscribing to the General Provident Fund will be admitted to the Contributory Provident Fund with effect from the date of their continuous appointment provided they pay arrears of subscription to the Contributory Provident Fund with interest thereon, in such number of instalments no exceeding twenty four, as may be determined by the Department of Personnel, in each case. Government contribution and interest thereon will be credited to their Contributory Provident Fund account only after they have completely paid arrears of their subscriptions to the Contributory Provident Fund with interest thereon.

(iii) Non-service personal staff, who opt for Contributory Provident Fund benefits and where at present subscribing to the General Provident Fund will be admitted to the Contributory Provident Fund with effect from the date of their continuous appointment provided that, in respect of the period during which they did not subscribe to the General Provident Fund, they will have to pay arrears of subscriptions to the Contributory Provident Fund with interest thereon, in the manner in the preceding paragraph. Their balances win the General Provident Fund, with interest thereon, will be transferred to the Contributory Provident Fund. In their case, also, Government contribution and interest thereon will be credited to the Contributory Provident Fund account only after they have completely paid arrears of subscription to the Contributory Provident Fund with interest thereon, if any, for the period during which they had not subscribed to the General Provident Fund.

5. These orders issue with the concurrence of the Ministry of Finance (Department of Expenditure) vide their U.O. No.4016 E.V.(B)/71 dated the 14^th December, 1971 and the procedure prescribed in paragraph 4 has the concurrence of the Comptroller and Auditor General of India vide U.O.No.1942 T.A.II/331-71 dated the 1^st December, 1971.

Note:- (Issued) vide Department of Pension and Pensioners’ Welfare I.D.Note No.20/1/99-P&PW (F) dated 29.3.2000 - The Department of Pension and Pensioners Welfare has no objection in extending the CPF benefits to private/retired employees who have been appointed on co-terminus basis with the tenure of PM and at PM’s discretion to CPF Scheme by treating such posts as non-pensionable and as contained in O.M.No.19/32/70-CS.II dated 20.12.1971.