Grant of Dearness Relief to Central Government Employees who had drawn lump sum amount on absorption in a PSU/Autonomous body

F.No.42/15/2016-P&PW(G)
Government of India
Ministry of Personnel, Public Grievances & Pensions
Department of Pension & Pensioners Welfare

3rd Floor, Lok Nayak Bhavan,
Khan Market, New Delhi - 110003
Date: 16th Dec 2016

OFFICE MEMORANDUM

Subject :  Grant of Dearness Relief to Central Government Employees who had drawn lump sum amount on absorption in a PSU/Autonomous body and are in receipt of 1/3rd restored commuted portion of pension - Revised rate effective from 1.7.2016.

The undersigned is directed to refer to this Department’s OMs 42/06/2016- P&PW(G) dated 11th April, 2016 and 421l5/2016-P&PW(G) dated 16.11.2016 wherein it was decided to issue separate Dearness Relief orders to the Central Government employees who had drawn lump sum amount on absorption in a PSUI Autonomous body and are in receipt of 1131d restored commuted portion of pension and to say that the President is pleased to decide that the Dearness Relief (DR) shall be enhanced from the existing rate of 125% to 132% w.e.f. I st July, 2016.

2. These orders will be applicable to Central Government employees who had drawn lump sum amount on absorption in a PSU/Autonomous body and have become eligible for restoration of 1/3rd commuted portion of pension. These employees will be entitled to the payment of DR @ 132% w.e.f. 1.7.2016 on full pension i.e. the revised pension which the absorbed employee would have received had he not drawn lump sum payment on absorption and Dearness Pension subject to fulfilment of the conditions laid down in para 5 of the O.M. dated 14.07.98 as amended from time to time. In this connection, instructions contained in this Department’s OM No.4/29199-P&PW (D) dated. 12.7.2000 refers.

3. Payment of DR involving a fraction of a rupee shall be rounded off to the next higher rupee.

4. Other provisions governing grant of DR in respect of employed family pensioners and re-employed Central Government Pensioners will be regulated in accordance with the provisions contained in this Department’s OM No. 45173/97-P&PW (G) dated 2.7.1999 as amended vide this Department’s OM No. F.No. 38/88/2008-P&PW(G) dated 9th July, 2009.

The provisions relating to regulation of DR where a pensioner is in receipt of more than one pension will remain unchanged.

5. It will be the responsibility of the pension disbursing authorities, including the nationalized banks, etc. to calculate the quantum of DR payable in each individual case.

6. The offices of Accountant General and authorised Pension Disbursing Banks are requested to arrange payment of relief to pensioners etc. on the basis of these instructions without waiting for any further instructions from the Comptroller and Auditor General of India and the Reserve Bank of India in view of letter No. 528- TA, lI/34-80-II dated 23/0411981 of the Comptroller and Auditor General of India addressed to all Accountant Generals and Reserve Bank of India Circular No. GANB No. 2958/GA-64 (ii) (CGL)/81 dated the 21 st May, 1981 addressed to State Bank of India and its subsidiaries and all Nationalised Banks.

7. In their application to the pensioners/family pensioners belonging to Indian Audit and Accounts Department, these orders issue after consultation with the C&AG.

8. This issues in pursuance of instructions of Ministry of Finance, Department of Expenditure vide their OM No. 1/3/2008-E.II(8) dated 09th Nov, 2016.

9. Hindi version will follow.

(Charanjit Taneja)
Under Secretary to the Government of India

Source: Confederation
Click to view the order

Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners

Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners

Government of India
Ministry of Railways
(Railway Board)

RBA No.94/2016
No.2016/AC-II/21/Misc Matters

New Delhi, dated 08.12.2016

General Managers,
All Zonal Railways & PUs.

Sub: Admissibility of Dearness Relief to pensioners on absorption in PSUs/ employed family pensioners.

Kindly, refer to Board's letter no. 2012/AC-II/21/Misc Matters dated 11.04.2016 followed by reminder dated 07.11.2016 reiterating instructions issued vide Board’s letter No. F(E)III/99/PN1/21 dated 05.08.1999 and letter no. F(E)III/2005/PN1/2. dated 29.09.2009 on the above subject. It was stated that instances have been brought to notice of Vigilance Directorate by one of the PSU wherein Dearness Relief on pension is being paid to certain re- employed pensioner not eligible to the draw the same as no endorsement towards non- admissibility of DR was made on their PPOs. Accordingly, it was requested to conduct a thorough check to detect such cases where DR relief on re-employment in Railway PSU sand other orgaliization has been paid/ drawn in violation of the laid down guidelines an send the compliance report to Board's office. However, reply in this regard is not forthcoming from any of the Railways.

It is once again requested to conduct a thorough check to detect such cases followed by necessary recovery from the defaulting retired Railway Pensioner, besides taking further necessary action as per rules.

sd/-
(B.B. Verma)
Adviser Accounts
Railway Board

Source : http://www.indianrailways.gov.in/

LIC Presents the Cheque of Rs.2000 crore as the First Tranche of Funding Assistance to Railways

LIC Presents the Cheque of Rs.2000 crore as the First Tranche of Funding Assistance to Railways

The move Marks the Beginning of a Historic Milestone in the form of Institutional Financing for the First time Becoming Available for Railway Projects

Suresh Prabhu : Fresh Investments to Help Decongest the Network, Increase Traffic Output and Generate Adequate Internal Resources

Life Insurance Corporation (LIC), a PSU of Government of India presented the cheque of Rs.2000 crore to Railway PSU Indian Railway Finance Corporation (IRFC) as the first tranche of funding assistance to Railways for its projects. This handing over of cheque was done today i.e. 27.10.2015 at an impressive function at Rail Bhawan in the presence of Ministry of Railways Shri Suresh Prabhakar Prabhu. The cheque was handed over by Shri S.B. Mainak, MD/LIC to Shri Rajiv Dutt, MD/IRFC. On this occasion, Chairman Railway Board Shri A.K. Mital, Financial Commissioner (Railways) & Chairman, IRFC Shri S. Mookerjee; and other Board Members & other Railway and LIC officials were among those present.

It may be recalled that just within fifteen days of presenting the Railway Budget 2015-16, an important commitment of Budget announcement was fulfilled on 11.03.2015 when Railways and LIC signed an MoU for the highest ever funding of Rs. 1.5 lakh crore from LIC to Railways.

Addressing the gathering, Minister for Railways Shri Suresh Prabhakar Prabhu, pointed out that finding resources for investment in capacity enhancement projects was a major challenge for Railways. Without investment, it would not be possible to decongest the network, increase traffic output and generate adequate internal resources. He said that without the fresh investment, the Railways would have gone further down and down and it would not have succeeded in breaking the vicious cycle. The Railway budget 2015-16 had, therefore, envisaged a new source of funds in the form of Institutional Finance. It was a big achievement that within a few days of presenting the budget, the Ministry of Railways signed a Memorandum of Understanding with LIC for funding assistance of Rs.1.5 lakh crore for financing Railway projects over a period of 5 years. As LIC funding will be of 30 year tenor, it matches the Railways’ requirement of long term funds for investment in projects. LIC funds will carry low interest rates tied to Government security, and the cost of funds are expected to come down further over a period of time. Shri Suresh Prabhakar said that an important beginning has been made today with the release of first cheque of LIC funds. It is now for the Railways to match up to the challenge of utilizing the funds in a productive and appropriate manner for realizing maximum benefit. He said that these funds will not only meet the requirement for the new railway projects but will also be utilised for those ongoing projects which will bring quick benefit to the railway system. He said that this arrangement of funds from LIC will be beneficial for both the organizations. Referring to Railway PSU IRFC, Shri Suresh Prabhu said that IRFC has now emerged as an important vehicle for channelizing investment for Railways.

In his speech, MD/LIC Shri Mainak described it as a Golden Day as LIC has found a partner in the Indian Railways which is a viable and sound organization for investing the long term funds available with LIC. MD/LIC offered continued support for Railway projects in future.

The LIC funds are available to the Railways at a rate of 30 bps over the 10-year benchmark yield. The tenor is 30 years with a moratorium of 5 years followed by payment of only interest from year 6 to year 10. From the 11th to the 30th year the loan will be repaid in equated instalments.

Advisor Finance, Railway Board, Shri P.V. Vaidialingam proposed the Vote of Thanks at the end of the programme. Ms. Namita Mehrotra, Executive Director Finance (Resource Mobilization) Railway Board, conducted the proceedings of the programme.

PIB

assistance to Railways, IRFC, LIC, LIC to Railways, Life Insurance Corporation, PIB News, psu, Railway, Railway Employees - See more at: http://www.centralgovernmentnews.com/#sthash.JqNZTPiA.dpuf