PENSION CH 09

 CHAPTER IX 
PAYMENT OF PENSION 

Section I-General 

119. *Apart from special orders, an ordinary pension is payable from the date in which the pensioners ceased to be borne on the establishment 

Note :–**The pension of an employee, who, under rule 40, has received a gratuity in lieu of notice of discharge is not payable for the period in respect of which the gratuity is paid. 

120. The preceeding rule applies to ordinary, not to special cases. If, under special circumstances a pension is granted @ after three years an employee has retired, retrospective effect should not be given to it without the special orders of the Government which granted it; in the absence of special orders, such a pension takes effect only from the date of sanction.@ No Government sanction is necessary, if the pension is granted within three years from the date of  retirement. 

Section II- Payment 

121. The order sanctioning a pension, death-cum-retirement gratuity/residuary, or family pension should be forwarded to the Audit Officer with the application, for issue of authority to make payments. 

The Audit Officer will then communicate to the Officer who is to pay the pension, gratuity or family pension, authority to make the payment; in the case of pension or family pension such authority will be a Pension Payment Order. 

122. Procedure in paying.–A gratuity is paid in a single sum, and not by instalments, on receipt of the Audit Officer’s authority. 

Note :– # In the event of revision of pay, pension and dearness allowance with retrospective effect, Government reserves the right to release the residuary gratuity in instalments. 

123. A pension is payable monthly from the first of the same month under the following rules: ¬

  (i)On receipt of the Pension Payment Order, the disbursing officer will deliver one half to the pensioner, and keep the other half carefully in such manner that the pensioner shall not have access thereto. 

  (ii) Each payment made is to be entered on the reverse of both the pensioner’s and the disburser’s halves of Pension Payment Order, both entries being attested at the time of payment under the dated signature of the disbursing officer. 

(iii) With reference to rules 135 and 136, a pension should, under no circumstances, be paid for the first time in arrears without the special sanction of the Government if it exceeds ` 1,000 and if the arrears do not exceed ` 1,000 payment may be authorized by the Audit Officer. 

*(iv) On the death of a pensioner on any date during the course of a month, family pension, if eligible under the rules, shall commence from the first day of the succeeding month and it shall become payable on or after the first day of the month following that to which it relates. 

124. Liability for attachment.– No pension granted or continued by Government on political considerations or on account of the past service or present infirmities or as a compassionate allowance and no money due, or to become due, on account of any such pension for allowance shall be liable to seizure, attachment or sequestration by process of any Court in India at the instance of a creditor for any demands against the pensioner, or in satisfaction of a decree or order of any such Court. 

Ruling 

Death-cum-retirement Gratuity is not attachable by a Court of law. 

125. Identification of Pensioners. –

As a rule, every pensioner must take payment in person after identification by comparison with the Pension Payment Order. 

Note :–The Heads of Offices should at the time of transmitting the pension papers to the Audit Officer forward therewith two certified copies of the recent photographs of every pensioner, in passport size. 

126 A pensioner specially exempted by the Government from personal appearance, a female pensioner not accustomed to appear in public, a pensioner who is unable to appear in consequence of bodily illness or infirmity may receive his or her pension upon the production of a life certificate signed by a responsible officer of the Government or by some other well known and trustworthy person. 

Note :– The terms “responsible officer of the Government” and ‘well known and trustworthy person’ would refer to the following: 

1 Gazetted Employees of Government. 

2 Sub Registrars 

3 Magistrates 

4 Honourary Bench Magistrates and Judges of Panchayat Court. 

5 Advocates 

6 Municipal Chairman, Councilors and Commissioners and Presidents of Panchayats. 

7            * An Officer including Officers Grade II of the State Bank of India or Agent of any Scheduled Banks 

8         Members of Parliament and the State Legislative Assembly 

9 Mayors, Councilors and Commissioners of Corporation. 

127. A pensioner of any description who produces life certificate signed by some person exercising the powers of Magistrate under the Criminal Procedure Code, or by any Registrar or Sub Registrar under the Registration Act, or by any pensioned officer who before retirement exercised the powers of a Magistrate, or by any Gazetted employee of Government is also exempted from personal appearance. 

128.(a) In all cases referred to in rule 126 and 127 the Disbursing Officer must take precautions to prevent impositions, and must at least once a year require proof independent of that furnished every month by the life certificates of the continued existence of the pensioner. 

The Pension disbursing Officer must require proof of continued existence of the pensioner (Life certificate) at least: 

(A) Once in 3 yrs 

(B) Once in 2 yrs 

(C) Once in 4 yrs 

(D) Once in a year

Correct Answer:-(D) Once in a year

(b) For this purpose he should (save in cases of exemption from personal appearance granted by the Government) require the production of annual life certificates issued by any of the following officers with the respective office seals affixed thereon as independent proof for the existence of the pensioners, along with the bill for pension for December every year: ¬

1 Gazetted employees 

2 Village Officers 

3 SubRegistrars 

4 Sub Inspectors of Police 

5 Executive Officers of Panchayats in respect of pensioners residing within the local limits of the panchayats concerned. 

The disbursing officer should satisfy himself that the annual life certificate referred to above are only from persons other than those who issued life certificates for drawal of pensions for the preceeding eleven months.  

Note :–The disbursing officer is personally responsible for any payment wrongly made. In case of doubt, he should consult the Audit Officer.

 (c) In respect of pensioners who take pensions in person the disbursing officer should indicate the fact of personal mustering in both halves of the Pension Payment Order, under his dated signature. 

129. Payment to Agents. – 

(a) A pensioner who resides in the state may draw his pension through a duly authorized agent processing a legally valid power of attorney who must produce a life certificate as referred to in Rule 126 and Rule 127 on each occasion unless the duly authorized agent has executed an indemnity bond to refund overpayments in which case he has to produce the life certificate as aforesaid at least once a year. 

Note :– This procedure is applicable to all pensioners who reside outside the State also provided they obtain the previous permission of the Reserve Bank of India for such drawal of pensions. 

(b) The pension of a person drawing his pension through an agent who has executed an indemnity bond to refund overpayments should not be paid for a period of more than one year after the date of the life certificates last received and the Audit Officers and the disbursing officer should be on the watch for authentic information of the death of any such pensioner, and on receipt thereof, should promptly stop further payments. 

130. The pension of an insane person may be paid to a guardian appointed under the Indian Lunacy Act, 1912  (India Act IV of 1912) or to any person authorized by the government (or the pension sanctioning authority) to receive it. Such guardian or person shall be required to furnish with each claim a life certificate as prescribed in rule 126 stating that the pensioner was alive on the last day of the period for which the pension is claimed. 

On the request of such pensioner for payment of pension due to him direct, the disbursing officer shall before making payment insist on the production of a certificate from a Medical Officer not below the rank of a Civil Surgeon to the effect that he is in a sound state of mind. 

131. Transfer of Pensions. – A District Treasury Officer may, on application and on sufficient cause being shown, permit transfer of payment of pension from the District Treasury to a Sub Treasury subordinate to it or vice versa or from one Sub Treasury to another in the same District or to another District Treasury within the State. He shall intimate the Audit Officer the details of the transfer as soon as the transfer is effected. 

Note :– The officer in charge of the Treasury from forward both halves of the Pension Payment Order to the other Treasury Officer with information as to the date upto, which the payment was made. On receipt of both halves of the Pension Payment Order the new Treasury Officer shall arrange for payment of future pensions. 

132. Certificate on Non-employment – 

(a) Pensioner drawing pension is required to append to the bill a certificate as follows: ¬

“ I declare that I have not received any remuneration for serving in any capacity in a Government establishment or in an establishment paid from Local Fund during the period for which the amount of pension claimed in this bill is due.” 

Note :–The term “Local Funds” occurring in the certificate means any of the District, Municipal and Panchayat Funds, Education Funds, etc. and also any Local Funds, under the control of the Government of India. 

(b) In the case of a pensioner permitted under Chapter VII to draw pension after re-employment, he shall append to his bill a certificate as follows: ¬ 

I declare that I have been employed/ re-employed in the office of the. …………………and was in receipt of the following emoluments during the period for which the amount of pension claimed in this bill is due: -` 

Pay …… …… 

Special Pay …… ……

 Allowance …… ……

 Total  …… …… 

(c) A pensioner who immediately before retirement was a Grade 1 Officer should furnish in his bill a certificate in the following form till the expiry of two years from the date of his retirement:¬

“ I declare that I have not received any remuneration for serving in any capacity which comes under the definition of commercial employment under the Note to Rule 106 without the sanction of Government during the period for which the amount of pension claimed in this bill is due.” 

133. Renewal of Pension Payment Order – 

    When the reverse of a Pension Payment Order is used up or when the pensioner’s half is found to be worn out or torn, both halves should be returned to the District Treasury Officer concerned for renewal. 

134.  If a pensioner loses his half of the Pension Payment Order, a new order may be issued by the District Treasury Officer who should see that no payment is made on the half alleged to be lost by strict observance of sub-rule (ii) under rule 123. 

Note :–Whenever a pensioner loses his portion of the Pension Payment Order; he should make an application to the Treasury Officer for a duplicate copy thereof with a fee of Rupees Two. This rule will not, however, make it less necessary to hold a strict investigation into the circumstances of the alleged loss. If the loss of the Pension Payment Order is due to accident or causes beyond the pensioner’s control, or if the pensioner is too poor to pay the fee, the Director of Treasuries may exempt him from payment. 

 When a pensioner loses his portion of PPO copy is issued by

A:-Head of Department

B:-District Treasury Officer

C:-Government

D:-Accountant General

Correct Answer:- Option-B:-District Treasury Officer

135. Lapses and forfeiture –

     If a pension remains undrawn for more than * three years the pension ceases to be payable. 

Pension ceases to be payable if it remains undrawn for more than

A:-Four years

B:-One year

C:-Three years

D:-Two years

Correct Answer:- Option-C

136. If the pensioner afterwards appears the disbursing officer may reclaim the Pension Payment Order and renew his payments. But the arrears cannot be paid (a) without the orders of the Audit Officer, and (b) if the pension in arrears is to be paid for the first time or if the amount of arrears exceeds **` 75000/- without the previous sanction of the Government to be obtained through the Audit Officer. 

137. If the suspension of payment is attributed to error or neglect by any Government employee, the Audit Officer may direct payment of the arrears without the order of the Government. 

138. Deceased Pensioners : –

 † (a)   On the death of pensioner/family pensioner, payment of any arrears actually due may be made to his heirs/nominees as laid down in sub-rule (b) below without obtaining fresh sanction from Pension Sanctioning Authority.

 (b) A pensioner/family pensioner may nominate any person in the family as defined in Rule 71 who shall receive after the death of the pensioner/ family pensioner all moneys payable to him on account of such pension accrued before or after the date of such nomination which remains unpaid immediately before the death of the pensioner, as per the procedure laid down below:— 

(1) Every pensioner/family pensioner who has not nominated  person prior to the notification of these rules, shall nominate any person as laid down in clause (b) above, in ‡ Form 16  and submit it in triplicate to the respective pension disbursing authority through whom pension is drawn, within 3 months  from the date of this notification.

 (2) Within thirty days of the receipt of nomination in ‡ Form 16 as  referred to in sub-clause (1) the pension disbursing authority  shall get the particulars of the pensioner/ family pensioner as mentioned in ‡ Form 16, verified with reference to the available  records and return to the pensioner, after obtaining a receipt  thereof, the duplicate copy of the nomination in ‡ Form 16 duly attested by him or an officer authorised by him in this behalf. 

The triplicate copy shall be sent to the pension sanctioning  authority while the original copy of the nomination shall be  recorded.

 (3) Every employee who is due to retire shall also submit nomination  in triplicate in ‡ Form 16 to the Head of Department/ Head of  Office (Head of Department/Head of Office referred herein is the  Authority who is competent to receive the pension application  and to certify the remarks of the Receiving Authority) along  with the pension application (Pension Book).

 (4) Within thirty days of the receipt of the nomination in ‡ Form 16  under sub-clause (3), to the Head of Department/ Head of Office  shall get the particulars of the employee, as mentioned in 

‡ Form 16, verified with reference to the records of the  establishment and return to the employee, after obtaining receipt  thereof, a duplicate copy of the nomination ‡ Form 16 duly attested by him or by an officer authorised by him in thisbehalf. The original copy duly accepted shall be sent to the pension sanctioning authority along with the pension application(Pension Book) who shall pass it on to the pension disbursing authority through the Accountant General (A&E) along with the pension payment order.  If the pension payment order has already been issued in a particular case, the nomination shall be sent separately through the Accountant General (A&E) quoting the pension payment order, number and other particulars of the pensioner to enable the pension disbursing authority to link it with the pension payment order. 

  (5) A notice of modification of nomination including cases where a nominee predeceases the pensioner/employee shall be submitted in triplicate in * Form 17 to the pension disbursing authority or Head of Department/Head of Office, as the case may be, in the manner as laid down in clause (b) above and thereafter the provisions of sub-clause (2) or (4), as the case may be, shall apply mutatis mutandis to effect the modifications. 

  (6) A nomination or a fresh nomination or a notice of modification of nomination shall be signed by the pensioner/family pensioner or if he is illiterate, shall bear his thumb impression given in the presence of two witnesses who shall also sign a declaration to that effect in the nomination, fresh nomination or notice of modification of nomination, as the case may be. 

  (7) A nomination or a fresh nomination or a notice of modification of nomination shall take effect from the date of receipt thereof by the pension disbursing authority or the Head of Department/ Head of Office as the case may be. 

  (8) A nomination made under sub-clause (1) or (3) or a notice of modification of nomination made under sub-clause (5) and accepted by the pension disbursing authority or the Head of Department/Head of Office shall be a conclusive proof with regard to the person nominated to receive arrears of pension of the pensioner/family pensioner under these rules. 

Note:–(1) If the nomination is filed in favour of one or more members the amount or share payable to each member should be specified.

  (2) Nomination shall also be made in favour of a person other than the members of the family as defined in Rule 71 in case:— 

  (a) the person is a guardian legally authorized to look after minor children or physically disabled/mentally retarded childeren;

  (b) the person is a Mother Superior of Convent/Head of the religious institution to which the pensioner Nun/Priest of Church belong to.

  (3) A registered “Will” proved by letters of administration or probate shall also be accepted as valid nomination in the case of those who have not filed nomination provided that the employee had no family at the time of death. 

  (4) The right conferred upon the nominee shall pass on to such other nominee as specified in the nomination in the event of nominee predeceasing the pensioner/family pensioner.

  (5) Nomination of unmarried person shall become invalid on getting married;

  (c) After payment of the arrear of pension, both halves of the Pension Payment Order should be returned to the Audit Officer with a report of the date of death of the pensioner, except in the case of pensioners governed by the Contributory Family Pension Scheme in which case the pensioner’s portion of the Pension Payment Order will be returned to the person nominated to receive the family pension and the disburser’s portion retained by the Treasury Officer.  

Note :–The fact of the death of the pensioner who is governed by the Contributory Family Pension Scheme and the fact of payment of family pension should be reported to the Audit officer quoting the relevant Pension Payment Order No. as soon as the information is brought to the notice of the Treasury. 

139. Subject to the provisions of the preceeding Rule, the arrears of pension of a deceased pensioner may be paid to the heirs of the deceased without the production of the usual legal authority, to the extent of * ` 75,000/¬on production of an heirship certificate issued by a Tahasildar (under the State Government) in whose jurisdiction the heirs of the deceased live. Any excess above * `75,000 may similarly be paid under the order of Government on execution of an indemnity bond in Form 8 with such sureties as they may require, if they are satisfied of the right and title of the claimant and consider that undue delay and hardship would be caused by insisting on the production of legal authority