No.38/34/2001-P&PW(F)
Government of
Ministry of Personnel, Public Grievances and Pensions
Department of Pension and Pensioners Welfare
Office memorandum
Dated:
29.04.2002
Subject: Rate of interest payable on delayed payment of DCRG and rate of
interest chargeable on refund of pensionary benefits already drawn, in
connection with counting of past service under CCS (Pension) Rules, 1972 and
Department of Pension & Pensioners’ Welfare OM No. 28/10/84-PU dated
29.8.1984 as amended from time to time – reg.
In supersession
of this Department’s OM No. 7/1/93-P&PW(F)
dated 25.8.1994 and 31.10.1995, on the
above subject, the undersigned is directed to say that the President is now
pleased to decide that where the payment of DCRG has been delayed beyond three
months from the date of retirement, an interest at the rate applicable to GPF
deposits determined from time to time by the Government of India will be paid
to retired/dependants of deceased Government servants.
2. The administrative
Ministries/Departments are requested to comply with the instructions contained
in para 2(d) and (e) of this Department’s OM No. 38/64/98-P&PW(F) dated 5.10.1999 in the matter of payment of interest
on delayed payment of DCRG, fixing of responsibility and recover the amount
from the concerned Dealing Official, Supervisor and Head of Office in
proportion of their salary.
3. The President is also pleased to decide
that wherever the employees are required to refund the pensionary benefits
received by them for the service already rendered by them under the Central or
State Government or Autonomous Bodies or in Armed Forces (Military Service), in
order to avail of the benefit of counting of past services for pension purposes
in terms of the provisions of Rules 17 to 20 of CCS (Pension) Rules, 1972 and
Department of P&PW’s OM No. 28/10/84-PU dated the
29th August, 1984 as amended from time to time, the rate of interest
will be at the rate applicable to GPF deposits determined from time to time by
the Government of India, for the period from the date of receipt of pensionary
benefits to date of their refund to the Government/Autonomous Body.
4. In the case of Military pensioners
re-employed in civil service, the interest will be recovered for the period
from the date of joining civil service till the date of refund of pensionary
benefits to Government/Autonomous Body.
5. However, interest calculation in case of
refund of pensionary benefits would be as per the method indicated in
Annexure-A.
6. In cases where after the issue of the
orders by the competent authority on the basis of option exercised by an
employee for counting of past service for pensionary purposes, if an individual
does not deposit the pensionary benefits already received by him within one
months of the receipt of communication from the Government/ Autonomous Body, a
penal interest @ 2 per cent per annum will be charged in addition to normal
rate of interest mentioned above.
7. All the Ministries/Departments are
requested to advise the attached/subordinate offices/autonomous/statutory
bodies under their Administrative control and to settle cases in accordance
with the provision of this Office Memorandum.
8. In
so far as persons serving in the Indian Audit and Accounts Department are
concerned, these orders issue after consultation with the Comptroller &
Auditor General of
( Sujit Datta )
Director
(PW)
To
All Ministries/Departments of
Government of
( With
usual number of spare copies).
ANNEXURE
'A'
INTEREST
CALCULATION IN THE CASE OF REFUND OF PENSIONARY BENEFITS (ILLUSTRATIVE)
A
- For a full year
Balance
on 31st March, 1999 - Rs. 38,6000. Interest @ 12% p.a.**
|
Month |
Subscription |
Refund |
Advance/ Withdrawal |
Balance
at the end of the month |
|
|
|
|
|
|
|
Apr-99 |
1,000 |
- |
- |
39,600 |
|
May-99 |
1,000 |
- |
- |
40,600 |
|
Jun-99 |
1,000 |
- |
- |
41,600 |
|
Jul-99 |
1,000 |
- |
- |
42,600 |
|
Aug-99 |
1,000 |
- |
- |
43,600 |
|
Sep-99 |
1,000 |
- |
- |
44,600 |
|
Oct-99 |
1,000 |
- |
- |
45,600 |
|
Nov-99 |
1,000 |
- |
- |
46,600 |
|
Dec-99 |
1,000 |
- |
6000 |
41,600 |
|
Jan-00 |
1,000 |
500 |
- |
43,100 |
|
Feb-00 |
1,000 |
500 |
- |
44,600 |
|
Mar-00 |
1,000 |
500 |
- |
46,100 |
_________
Total Rs.
520,200
_________
Interest
= 5,20,200 x 1/12/100 = 5,202.
**
GPF interest has been revised as under:
Final Year Rate
2000-2001
11.0%
2001-2002
9.5%
2002-2003
9.0%