36. Conditions governing grant of pension to persons on
absorption in or under a corporation, company or body:-
(1) The Government servants opting for permanent absorption in the public enterprises on or after 16th June, 1967 may be given the following pensionary benefits:- (a) The pro rata pension or Retirement Gratuity, as the case may be, with reference to the pension rules by which he is governed before his absorption in the autonomous body and retirement gratuity based on the length of his qualifying service under Government till the date of absorption. The pension will be calculated on the basis of average emoluments for *10 months preceding the date of absorption and the Retirement Gratuity on the basis of emoluments drawn immediately before absorption. (b) In cases where an officer at the time of absorption has less than 10 years service and is not entitled to pension, the question of proportionate pension will not arise. He will only be eligible to proportionate service gratuity in lieu of pension and to Retirement Gratuity based on length of service. (2) The amount of pension/gratuity and the Retirement Gratuity should be currently worked out and should be intimated to the officer as well as the undertaking as and when an officer is absorbed. (3) The pro rata pension, gratuity, etc. admissible in respect of the service rendered under Government would be disbursable only from the date the Government servant would have normally superannuated had he continued in Government service. 1 [Provided that in the case of Government servant who is absorbed in any public undertaking or any state owned autonomous company, corporation or body, either on the basis of his application or otherwise, the prorata pension, gratuity etc., admissible in respect of the service rendered by such employee under the Government would be disbursable immediately on the date of such absorption or if the absorption took place prior to the 1st February, 1980, then on or after the 1st February, 1980, if he had put in a qualifying service of not less than twenty years on the date of such absorption. In case, he had not put in twenty years of qualifying service on the date of his absorption, the prorata pension, gratuity etc, shall be paid on or after the date on which he would have completed twenty years of qualifying service had he continued in Government service. Note: The absorbed employee before drawing the prorata pensionary benefits as indicated above, shall be required to give an undertaking to the effect that in the event of his service with the public undertaking, corporation or body etc., terminating at the instance either of the employer or himself within a period of two years from the date of his retirement from Government service and permanent absorption in the public undertaking, corporation or body he would obtain the approval of Government before he takes up any private employment. The undertaking should invariably be obtained by the concerned authorities before allowing the pro rata pensionary benefits to the absorbed employee] 2 (3-A) In cases covered by the proviso to sub-rule (3) the lumpsum amount in lieu of pension shall be calculated only with reference to the commutation table in force on the date on which such absorption/invalidation takes place or on the date on which the employee would have completed twenty years of qualifying service had he continued in Government service whichever is later] (4) The officer will exercise an option, within six months of his absorption, for either of the alternatives indicated below: (a) Receiving the monthly Pension and Retirement Gratuity already worked out, under the usual Government arrangements; (b) Receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to commutation tables obtaining on the date of superannuation 1 [or the date of absorption/ invalidation or completion of twenty years of qualifying service had the officer continued in Government service, whichever is later] (5) Where no option is exercised within the prescribed period, the officer will automatically be governed by alternative (b) above. (6) Option once exercised shall be final. (7) The option shall be exercised in writing and communicated by the officer concerned to the undertaking. (8) Where an officer retires from the service of a public undertaking before his date of superannuation, the proportionate pension and Retirement Gratuity will not be paid to him till such time as he actually attains the age of superannuation. This will be the case irrespective of the option exercised by him. 2 [Provided that where a Government servant retires on or after 29th October, 1979, from the service of any public undertaking before the date of his superannuation on account of permanent invalidation or in the case of death while in service on or after the said date, the proportionate pension and Retirement Gratuity shall be settled immediately on such invalidation and retirement from service on that ground or on the death of the employee irrespective of the option exercised by him.] (9) Cases of resignation from a public undertaking etc., will be treated as resignation from Government service entailing forfeiture of the earlier service under Government and loss of the pensionary benefits. (10) For the period of service rendered in a public undertaking etc., the absorbed officers will be entitled to all the benefits etc., admissible to other corresponding employees of the organisation. (11) The total pension or gratuity admissible in respect of the service rendered under the Government and that under the public undertaking etc., should not exceed the amount that would have been admissible had the officer continued in Government service and retired on the same pay which he drew on retirement from public undertaking etc. (12) Any further liberalisation of pension rules decided upon by Government after the permanent absorption of a Government servant in a public undertaking will not be extended to him. (13) In cases where an officer has opted to receive pension but wishes to commute a portion of the pension, such commutation will be regulated in accordance with the Government rules in force at the time of his superannuation 1[or the date of absorption/invalidation or completion of twenty years of qualifying service had the officer continued in Government service whichever is later.] (14) The concession referred to in the preceding paragraphs should be extended to the following cases also subject to the same conditions. (a) Government employees transferred to an autonomous organisation consequent on the conversion of a Government Department into an autonomous body; (b) State Government employees permanently absorbed in Central Government’s Companies/Corporations/Public Sector Undertakings; and (c) State Government employees who have been selected by the State Government Companies, Corporations, Public Sector Undertakings on the basis of their applications. (15) Retrospective absorption in the service of the company/ corporation/Public Sector Undertakings is not permissible. Executive Instructions Instructions in the case of Central Government employees or Central undertaking employees absorbed in state autonomous bodies and employees of the central autonomous bodies absorbed in the State Government and State autonomous bodies and vice-versa:- (1) The Government of Andhra Pradesh accepted to bear the pensionary liability on account of the retirement benefit on pro-rata basis in respect of the employees of the State Government and State autonomous bodies absorbed in Central autonomous bodies and in respect of the employees of State autonomous bodies absorbed in Central Government in accordance with the instructions contained in the office memorandum No.26 (18) EV (B) 75, dated 8-4-1976 of Government of India, Ministry of Finance, Department of expenditure and office Memorandum No.28/10/84-Pension unit dated 29-8- 1984 of Government of India, Ministry of Home affairs, Department of Personnel and Administrative Reforms. In so far as State employees are concerned even temporary service shall be reckoned for purposes of pension. Extracts of the above two office memorandae are annexed. These orders shall take retrospective effect from 7-2-1986. (G.O. Ms. No.135, Fin. & Plg. (PW:Pen.II) Dept., dated 19-5-1987) Annexure Copy of O.M. No.26(18)-E.V. (B)/75, Government of India, Ministry of Finance Department of Expenditure), New Delhi, dated the 8th April, 1976, addressed to All Ministries and copied to all State Governments. — Sub :-Permanent transfer of Government servants to autonomous bodies - Grant of retirement benefits. The undersigned is directed to state that need has been felt for some ti me past of consolidating at one place, the instructions/orders issued from time to time and still in force on the subject mentioned above. Accordingly, it has been decided, in supersession of all the orders issued on the subject so far by this Ministry and the Department of Personnel to bring out the salient features of the existing instructions in this O.M. This may please be brought to the notice of all Administrative authorities in or under the Ministry of Home Affairs etc., for information/guidance and compliance. Basis of calculation of retirement benefits : 2. Such of the Government servants as were deputed or transferred to a body corporated owned or controlled by Government or whose services were lent to such a body, should, in the event of their permanent absorption in service under that body w.e.f. a date prior to 16-6-1967 be paid an amount equal to what Government would have contributed had the officer been on contributory provident fund terms under Government, together with simple interest thereon at 2% for the period of his pensionable service under Government. In such cases the interest (2%) on the total balance of contribution should be calculated for the entire period of pensionable service of the Government servant rendered prior to his permanent absorption in an autonomous body. The amount is to be credited to his C.P. Fund account with the autonomous body as an opening balance on the date of permanent absorption and Government’s liability in respect of the Officer’s pensionable service under them would be treated as extinguished by this payment. This decision applies, however, only where the permanent transfer from Government service to an autonomous body is in the public interest and the transfer is to a Government or to a quasi-Government Corporation or an autonomous body and not to a private institution. In all other cases, Government will not accept any liability to pay any retirement benefits for the period of service rendered by the officer before his transfer. The concession is not to be claimed as a matter of right but is sanctioned at the discretion of Government in individual cases where it is merited, and each case has to be referred to the Department of personnel and the Ministry of Finance. Retirement Benefits - Transfer to new account : 3. Credit to the Contributory Provident Fund Account of the Government servant permanently absorbed in the service of a body corporate wholly or partially owned by Government, as indicated above, was to be given as an opening balance on the date of absorption, in cases of those permanently absorbed upto 17-8-1964. In cases of those absorbed thereafter, the credit was only to be given either after the Government servant had rendered five years service under that body (including any period of service rendered immediately before permanent absorption) or on the date on which he would have retired had he continued in Government service, whichever was earlier. Transfer of Provident Fund Balances: 3A. (i) According to Explanation III below Rule 31 of the General Provident Fund Rules and corresponding Rule 33 of Contributory Provident Fund Rules (India), 1962 which provides that when a subscriber is transferred, without any break, to service under a body corporate owned or controlled by Government, the amount of subscription, together with interest thereon, shall not be paid to him but shall be transferred, with the consent of that body, to his new Provident Fund Account under that body. It has been, however, decided that in cases where the corporate bodies do not have any Provident Fund Scheme or whose Provident Fund Rules do not provide for the acceptance of balance from other Provident Funds, the amount in question should be finally paid to the person concerned at the time of his permanent transfer to such a body. In cases where the Provident Fund money is accepted by the corporate body subject to fulfilment of certain conditions viz., that the Government servant should complete the probationary period with them or that he should be confirmed in a post under them, the PE money of the persons concerned may be retained with Government till such time as it is transferred to the body concerned. In such cases the PE account of the individual concerned would cease to be ‘alive’ on the date of permanent transfer of the person concerned to such a body. In other words, no withdrawals from the Provident Fund will be permitted for any purpose including payment of premium towards life insurance policies. Fresh subscription to the Fund, except recoveries in respect of outstanding advances, shall not be accepted. The PF money held by Government would continue to earn interest at the normal rate till the date of transfer of the amount to the corporate body. (ii) In respect of the Government servants permanently absorbed in the public sector undertakings, the position is as follows:- The amount of subscriptions, together with interest thereon standing in the PF account of a Government Officer opting for service under an enterprise may, if he so desires, be transferred to his new Provident Fund account under the enterprise provided the concerned enterprise also agrees to such a transfer. If, however, the subscriber does not desire the transfer or the concerned enterprise does not operate a Provident Fund, the amount aforesaid shall be refunded to the subscriber. Similarly in the case of CPF the amount of subscription and the Government contribution together with interest thereon, of a subscriber opting for service under a public enterprise may, if he so desires, be transferred to his new PF account under the enterprise if the concerned enterprise also agrees to such transfer. If, however, the subscriber does not desire the transfer or the concerned enterprise does not operate a provident fund the amount aforesaid shall be refunded to the subscriber. 4. The retirement benefits granted to a Government servant who is permanently absorbed in an autonomous body/public sector undertaking have been reviewed and the following revised terms were sanctioned in respect of those absorbed on or after 16-6-1967;. (i) A permanent Government servant on absorption in a public undertaking is eligible for pro-rata pension and DCRG based on the length of his qualifying service under Government till the date of absorption. The pension will be calculated on the basis of average emoluments for three years preceding the date of absorption and the DCRG on the basis of the emoluments immediately before absorption. Payment of Service Gratuity in lieu of Pension:- In cases where a Government servant at the time of absorption has less than 10 years’ service and is not entitled to pension, the question of proportionate pension will not arise, he will only be eligible to proportionate service gratuity in lieu of pension and to DCRG based on length of service. (ii) The amounts of pension/gratuity and the DCRG would be concurrently worked out and will be intimated to the Government servant concerned as well as the undertaking as and when an officer is absorbed. Exercise of Option: (iii) Every Government servant is to exercise an option, within six months of his absorption, for either of the alternatives indicated below: (a) Receiving the monthly pension and DCRG already worked out, under the usual Government arrangements. (b) Receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to commutation tables obtaining on the date from which the pro-rata pension, gratuity etc, would be disbursable. Where no option is exercised within the prescribed period, the officer will automatically be governed by alternative (b) above. Option once exercised shall be final. The option shall be exercised in writing and communicated by the Government servant concerned to the undertaking/autonomous body. (iv) Cases of resignation from a public undertaking /autonomous body will, for the purpose of these orders, be treated as resignation from Government service, entailing forfeiture of earlier service under Government and loss of the pensionary benefits under these orders. (v) For the period of service rendered in a public undertaking autonomous body, the absorbed officers will be entitled to all the benefits admissible to other corresponding employees of the organisation. (vi) The total gratuity admissible in respect of the service rendered under the Government and that under the public undertaking/autonomous body should not exceed the amount that would have been admissible had the Government servant continued in Government service and retired on the same pay which he drew on retirement from the Public undertaking autonomous body. (vii) Non admissibility of liberalisations of Pension Rules after absorption: Any further liberalisation of pension rules decided upon by Government after the permanent absorption of a Government servant in a public undertaking/autonomous body would not be extended to him. However, the benefit of further liberalisation in pension shall also be allowed to a Government servant after his permanent absorption, if, in any case, such liberalisation is sanctioned retrospectively w.e.f. a date prior to the date of such absorption. Commutation of Pension: (viii) In cases where an officer has opted to receive pension as at (iii) (a) above but wishes to commute a portion of the pension, such commutation will be regulated in accordance with the Government rules in force at the time of commutation of his pension. Public Interest: The above decisions will apply only where the permanent transfer from Government service to a public undertaking/autonomous body is in the public interest. In all other cases, Government will not accept liability to pay any retirement benefits for the period of service rendered by Government servant before his transfer. Deputation on one’s own violation: Pensionary benefits admissible in cases of absorption with effect from 21-4-1972. 5. Permanent transfer of Government servants who apply in response to a press advertisement etc., for posts in autonomous bodies/public sector undertakings whether incorporated or not, which are wholly or substantially owned by the Government of India is not treated as in the public interest and the Government has no liability to pay any retirement benefits or for carry forward of leave for the period of service rendered under the Government. However, on the position being reviewed further, it was decided that a permanent Government servant who has been appointed in an autonomous body financed wholly or substantially by Government on the basis of his own application shall, on his permanent absorption in such body w.e.f. 21-4-1972 or thereafter be entitled to the same retirement benefits in respect of his past service under the Government as are admissible to a permanent Government servant going on deputation to an autonomous body and getting absorbed therein, except carry forward of leave. Finance Ministry’s prior approval: 6. In all such cases of grant of pro-rata retirement benefits to Central Government employees, under the orders quoted in the preceding paragraphs, the administrative Ministers are required to consult the Ministry of Finance before orders are issued in each individual case. However, in respect of the non-gazetted employees of the Indian Audit and Accounts Department, the C&AG will be the competent authority to confer retirement benefits. A question had also been raised whether retrospective absorption is permissible in terms of the orders referred to above. Such question would arise in cases where a person is initially sent to such a company /corporation on deputation and deputation period is sought to be curtailed retrospectively. While a person is on deputation, leave/pension contributions are payable to Government by the company etc., or the person concerned. Retrospective absorptions may lead to claim for refund or non-payment of such contributions which cannot be withheld or refunded under the rules. In view of this it has been decided not to allow retrospective absorption of the employees on deputation to the companies/corporations etc. Carry forward of leave: 7. In respect of deputationists who opt for absorption in any statutory body or autonomous organisation owned or controlled by Government such body or organisation should take over the liability in regard to leave on average pay/earned leave that the optee has to his credit at the time of leaving Government service and in return Government shall pay to the statutory body/ autonomous organisation a lumpsum equal to leave salary for the leave on average pay/earned leave due to the Government servant on the date of his permanent absorption in such body/organisation. While issuing the final sanction for the absorption of the optee in the autonomous organisation, the administrative Ministry/Cadre authority concerned should also incorporate the provision with regard to payment of lumpsum equal to leave salary by Government. This benefit will be available only in cases where the permanent transfer from Government service to a statutory body/ autonomous organisation is in public interest. These orders take effect from 20-2-71 and cases already decided otherwise will not be reopened. Refixation of pay: The pay of the Government servant permanently absorbed in an autonomous body will be refixed as re-employed pensioner w.e.f. the date from which he becomes entitled to draw the pro-rata retirement benefits. Family Pension: 8. (i) The families of Government servants permanently absorbed in the autonomous bodies w.e.f. 16-6-1967 will also be eligible for family pension under Rules 54 and 55 of CCS (Pension) Rules, 1972. (ii) The benefit of family pension will be admissible only to the families of those who were/are actually in receipt of pension from the Central Government after their absorption in autonomous body/public undertaking. This benefit will not be admissible to the families of those who got only the service gratuity i.e., who were/are absorbed before rendering 10 years qualifying service under the Government. Family pensions will, however, also be admissible to the families of those Government servants absorbed in the public sector undertakings/autonomous bodies who draw the lumpsum amount in lieu of monthly pension on their absorption on the date of its becoming due and thus do not draw any monthly pension on the date of death. Similarly Family Pension will also be payable to the families of those whose monthly pension or lumpsum amount has not become payable and is disbursable from the earliest date of voluntary retirement but the personer dies before that date without receiving these benefits. (iii) This benefit will also be admissible to the families of such Government servants as have been appointed in the autonomous bodies financed wholly or substantially by Government on the basis of their own applications and granted retirement benefits on their permanent absorption therein in respect of the past service under the Government. (iv) Grant of family pension will be subject to the usual contribution of two months emoluments of the Government servant at the time of permanent absorption in an autonomous body/undertaking. Persons who have already drawn the pension and other benefits on absorption should deposit their two months contribution within six months from 8th October, 1975. (v) Family pension will be admissible from only one source, i.e., either from the Central Government or the public sector undertaking/autonomous bodies in cases such organisation has a similar scheme for payment of family pension. The beneficiary may be given option to choose either of the two schemes. (vi) It will be the responsibility of the pension sanctioning authority to process the claim for family pension, forwarding to the audit office for issue of an authority after satisfying itself that no such claim exists in the public sector undertaking/autonomous body or that the undertaking or autonomous body has not extended its family pension scheme to the person concerned. (vii) The above orders will apply automatically to the cases in which necessary Government sanction has already been issued. Therefore, it is not necessary to issue formal amendments to the relevant sanction letters. Suitable provision will, however, be incorporated in the relevant sanctions to be issued hereafter. Consultation with Parent Department: 9. In all cases where a Government servant is to be absorbed permanently by the foreign employer under his organisation it would be incumbent to consult the parent employer before issuing order absorbing the Government servant permanently in his service. The orders of permanent absorption should be issued only after the resignation of the Government servant has been accepted by the Government and w.e.f. the date of such acceptance. Formal Resignation not necessary: 10. With the coming into force of CCS (Pension) Rules, 1972 (which inter-alia, contain a provision of deemed retirement in the case of Government servants absorbed permanently in the public sector undertaking/autonomous body). It has now been decided that obtaining of formal resignation is not necessary if an individual is deemed to have retired from service by virtue of Rule 37 of CCS (Pension) Rules, 1972 i.e., consequent on the conditions required by this Rule, viz., permission should have been granted to the absorption in the service of the company or other body corporate, the absorption should be declared by the Government to be in the public interest, there should be an actual order of absorption and the Government servant should also consent to such absorption, being satisfied. Commutation and exemption from Income-Tax : 11. In accordance with Rule 37 of CCS (Pension) Rules, 1972, a Government servant who has been permitted to be absorbed in a service or post in or under a corporation or company wholly or substantially owned or controlled by the Government or in or under a body controlled or financed by the Government shall, if such absorption is declared by the Government to be in the public interest, be deemed to have retired from service from the date of such absorption. Each such Government servant is required under the relevant orders applicable to him to exercise an option within six months of his absorption for either of the alternatives indicated below: (a) receiving the monthly pension and DCRG under the usual Government arrangements, or (b) receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to the commutation tables obtaining on the date from which the commuted value becomes payable. Where no option is exercised within the prescribed period, the Government servant is automatically governed by alternative (b). 12. A person opting for alternative (a) is entitled to commutation of a portion of the pension admissible to him in accordance with the provisions of Civil Pension (Commutation) Rules. 13. It has been decided that where a Government servant elects the alternative (b) referred to above he should be granted; (i) on an application made in this behalf, a lumpsum amount not exceeding the commuted value of 1/3rd of his pension as may be admissible to him in accordance with the provisions of Civil Pension (Commutation) Rules; (ii) a terminal benefit equal to twice the amount of lumpsum referred to it (i) above subject to the condition that the Government servant surrenders his right of drawing 2/3rd of his pension. The commuted value of 1/3rd of the pension mentioned at (i) above will be exempt from income-tax whereas the terminal benefit component mentioned at (ii) above will be chargeable to tax as the income of the year in which it is due. However, the recipient will be eligible for a relief in tax in respect of the said amount; such relief being calculated by spreading the amount equally over the three preceding years immediately preceding the year in which the payment is received and subjecting it to tax at the average of the average rates applicable to the total income of those years after adding thereto onethird of the amount. The relief in such cases is to be granted by the Central Board of Direct Taxes and an application for such relief under Section 89(1) of the Income-Tax Act should be made to the Board through the ITO concerned. 14. In the case of Government servants who opt for or are automatically governed by the alternative (b) in para 11 above, the payment of monthly pension will commence from the due date pending their medical examination in accordance with the provision of the Civil Pension (Commutation) Rules. The commutation shall become absolute and the title to receive the commuted value shall accrue on the date on which the Medical Board (Authority) signs the medical certificate. If the Medical Board (Authority) directs that the age of the employee for the purpose of commutation shall be assured to be greater than his actual age, the person concerned will have the opportunity to change his option for receiving a lumpsum in lieu of monthly pension to receiving the monthly pension by written notice despatched within two weeks from the date on which he receives intimation of the finding of the Medical Board (Authority). If the applicant does not change his option within the period of two weeks prescribed above, he shall be assumed to have accepted the findings of the Medical Board (Authority). Date of payment of pro-rata retirement benefits: 15. A Government servant who is permitted to be absorbed in the public interest in a public sector undertaking or autonomous body is deemed to have retired from Government service from the date of his absorption in public sector undertaking or autonomous body and his retirement benefits are determined with reference to the length of qualifying service rendered under Government till the date of his absorption. In the case of absorption in an autonomous body from 16-6-1967 onwards or a public sector undertaking prior to 8-11-1968, retirement benefits become payable either from the earliest date from which Government servant could have retired voluntarily under the rules applicable to him or from the date of absorption in the undertaking/ corporation whichever is later. 16. Procedure for drawal of pro-rata retirement benefits: Clarifications have been sought as to the procedure which should be followed for sanctioning and authorising the payment of retirement benefits to those absorbed in public sector undertakings and autonomous bodies. Since the Government servants are deemed to have retired from Government service on the date of absorption, the procedure laid down in Chapter (viii) of CCS (Pension) Rules, 1972 which applies to Government servants who retire in normal course, should mutatis mutandis apply in the case of Government servants who are absorbed in the public interest in a public sector undertaking or in an autonomous body. The disbursement of the retirement benefits should be authorised from the date indicated in Government’s letter allowing the Government servant to be absorbed in public sector undertaking or autonomous body. 17. In respect of an employee who held non-gazetted posts before absorption, Forms 6 and 7 of CCS (Pension) Rules, 1972 should be filled in by the Head of Office and forwarded to the Audit Officer for determining final amount of pension and death-cum-retirement gratuity. Where the retirement benefits are payable from the date of absorption, the Head of Office should obtain the particulars required under paras 2 to 4 of Form 5 and forward the same to the Audit Officer along with the pension papers. The Audit Officer after applying the necessary audit checks, will inform the absorbed employee, autonomous body/public sector undertaking and the Head of Office of the amount of pension and DCR Gratuity and the date from which they are payable to him. Where the retirement benefits become payable from a date subsequent to the date of absorption, the particulars required under paras 2 to 4 of Form 5 should be furnished to the Audit Officer by the absorbed employee through his employer six months before the date on which the payment of the retirement benefits is to commence to enable him to issue PPO/G.P.O. 18. In respect of employees who held gazetted posts before absorption, action to fill in Form 7 should be initiated by the Audit Officer. The Audit Officer after determining the amount of pension and DCR Gratuity will inform the absorbed employee, autonomous body/public sector undertaking and Head of Office/Department of the amount of retirement benefits and the date from which they are payable to him. Where the retirement benefits are payable from the date of absorption, the Audit Officer will also obtain the particulars required under paras 2 to 4 of Form 5 through the employer of the absorbed employee before authorising payment of retirement benefits. In other cases the particulars required under paras 2 to 4 of Form 5 should be furnished to the Audit Officer by the absorbed employee through his employer six months before the date on which the payment of the retirement benefit is to commence. As soon as Government orders regarding absorption of a Government servant are issued the Head of Office will forward Form 7 duly completed to the Audit Officer and such other information as the Audit Officer may require. 19. The procedure laid down in Chapter VIII of the CCS (Pension) Rules, 1972 may be adopted keeping in view the position stated in these orders,. The provisions contained in Chapter VIII for authorising payment of provisional pension for a period of six months and 3/4 of the DCRG by the Head of Office need not be observed in the case of an employee who before his absorption had held a non-gazetted post. Payment of the retirement benefits will be received by the employee concerned from the treasury of his own choice. Benefit of service rendered under Government in respect of Scientific employees: 20. On the basis of the recommendations of the Second Pay Commission (i) for counting towards pension of service rendered by scientific employees of semi-Government Institutions, financed from cess or Government grants, on their appointment to a pensionable service under the Government of India; and (ii) the rate of pension contribution payable by universities when they borrow service of Government servants who are Scientists and Technologists, it was decided as follows:- (i) A scientific employee of a semi-Government institution which is financed wholly or mainly cess or Central Government grants who was on a CPF basis in such an institution may, on permanent appointment without any interruption to a pensionable service or post under the Government of India count his previous service in that institution during which he subscribed to that Fund as service qualifying for pension provided that the contribution together with interest thereon paid by the institution is made over to the Government. The service during which he did not subscribe to the CPF will not be so reckoned unless the previous employer agrees to bear proportionate charges on account of pensionary benefits for the service so rendered. If, however, the officer was not on a CPF basis in such an institution, his previous service will be reckoned as qualifying for pension if the previous employer agrees to bear proportionate charges on account of pensionary benefits. (ii) If the services of a Government servant who is a scientist or a technologist are lent to a university, the rate of pension contribution, which the university will pay, will be restricted to the rate at which it contributes to the Provident Fund of its employees. These orders take effect from 28-3-1960 and past cases of transfer will be regulated in accordance with the orders already in force. The concession sanctioned in para 1 (i) is admissible to all officers who were in service of the Government of India on 28-3-1960 provided that ; (i) the officers who had already drawn the Contributory Provident Fund benefits in respect of their service under the semi-Government institutions refund either in lumpsum or in monthly instalments not exceeding twelve in number, the institution’s share of contribution together with interest thereon from the date of withdrawal to the date of final payment. The title to count service for pension will not accrue until the amount refundable and interest thereon have been refunded in full. (ii) if no such benefit had been received, the previous employer agrees to bear the proportionate pensionary liability. 21. With a view to increasing mobility of scientific talent all round, the benefit of the concessions contained in para 20 should also be made available to scientific employees of Government going over to Central autonomous organisations like CSIR etc., without break. These orders will also apply to Central Universities. 22. The pensionary liability in such cases will be allocated on the basis of length of service in case the autonomous organisation, where the officer takes up service, has pensionary benefits for its employees. The Government of India would discharge their liability by payment of capitalised value of their share of pension together with the share of gratuity, if any, to the autonomous organisation on retirement of the officer from the service of such an organisation. Similar procedure should apply in the event of death of an officer while in service of the autonomous organisation. In other cases Government’s liability will be discharged by way of payment of pro-rata retirement benefits for the part of service rendered under the Government before absorption according to the instructions contained in the preceding paragraphs. 23. It was clarified in this Ministry’s OM No.12(4)-EV/60 dated 5-6-1969 that in the case of Scientific employees of Government going over to the Central autonomous organisations like CSIR etc., without break on or after 16-6-1967, the pensionary liability will be discharged by way of payment of pro-rata retirement benefits for the part of service rendered under the Government. As a result of the issue of this clarification, Scientific employees belonging to Government Departments who get absorbed in the autonomous body which has the pensionary benefits to its employees, have been deprived of the pensionary benefits i.e.., benefit of pension of combined service by counting the service rendered under the Government as well as autonomous organisation. The position has been reviewed as a result of representations from scientific employees and it has been decided that such employees belonging to Government Departments on their absorption in autonomous bodies which have pensionary schemes will, on retirement from service of the autonomous body concerned become eligible for pensionary benefits based on the combined service rendered under Government and the service rendered under the autonomous body. Death benefits, if admissible under the rules of the autonomous body, will also be payable to such an absorbed employee. The pensionary liability including liability arising out of grant of death benefits will continue to be allocated as aforesaid. Thus the provisions of this Ministry’s clarificatory orders dated 5-6-1969 will cease to apply to a scientific employee who is absorbed in an autonomous body which has a pensionary scheme. 24. The provisions of the orders contained in para 23 shall not apply to a scientific employee absorbed in an autonomous body who before 12-9- 1974 had quit the service of the autonomous body or who while in the service of the autonomous body has started receiving or has become eligible to receive the pro-rata pension etc. However, a scientific employee who was absorbed in an autonomous body before 12-9-1974 but had not become eligible to receive the pro-rata pension etc., will get retirement benefits in terms of these orders i.e., benefit of pension on the basis of combined service. State Government employees absorbed in Central autonomous bodies. 25. Normally when a State Government servant is absorbed in a Central autonomous body the liability for the benefits accruing for the past service rendered by him under a State Government falls on that Government and should be discharged by them. However, in case a State Government refuses to bear the liability the question whether it should be taken over by the autonomous body will arise only if the absorption is considered inescapable. In such cases the autonomous body should in their proposal relating to the initial appointment or absorption of the State Government employees bring out specifically and clearly the extra expenditure involved in absorbing the employee so that this factor is given due weight by Government before it is decided to absorb him. In so far as the persons working in the Indian Audit and Accounts Department are concerned, these orders have been issued after consultation with the Comptroller and Auditor General of India. (2) Copy of OM No.28/10/84-Pension Unit, Government of India, Ministry of Home Affairs, Department of Personnel & Administrative Reforms, New Delhi addressed to all State Governments, dated 29-8-1984. — Sub: Mobility of personnel between Central Government Departments and Autonomous Bodies - Counting of service for pension. As per existing orders, service rendered outside Central Government does not count for pension in Central Government except in the case of scientific employees of autonomous bodies financed or controlled by the Government, who on permanent absorption under the Central Government are allowed to count their previous service for pension subject to certain conditions. In respect of personnel other than scientific employees, who are permanent in Central Government, in the event of their subsequent permanent absorption in public sector undertakings or any autonomous body, proportionate retirement benefits for the service rendered in Government till the date of permanent absorption are allowed as per rules in force at the time of absorption. No such benefit is allowed to temporary employees going over to autonomous body or undertakings. 2. A number of Central autonomous/statutory bodies have also introduced pension scheme for their employees on the lines of the pension scheme available to the Central Government employees. It has, therefore, been urged by such autonomous/statutory bodies that the service rendered by their employees under the Central Government or other autonomous bodies before joining the autonomous body may be allowed to be counted in combination with service in the autonomous body, for the purpose of pension, subject to certain conditions. Similar provisions for employees of autonomous body going over to Central Government have also been urged. In other words, the suggestion is that the benefit of pension based on combined service should be introduced. 3. This matter has been considered carefully and the President has now been pleased to decide that the cases of Central Government employees going over to a Central autonomous body or vice-versa and employees of the Central autonomous body moving to another Central autonomous body may be regulated as per the following provisions:- (a) In case of Autonomous Bodies where Pension Scheme is in operation (i) Where a Central Government employee borne on pensionable establishment is allowed to be absorbed in an autonomous body, the service rendered by him under the Government shall be allowed to be counted towards pension under the autonomous body irrespective of whether the employee was temporary or permanent in Government. The pensionary benefits will, however, accrue only if the temporary service is followed by confirmation. If he retires as a temporary employee in the autonomous body, he will get terminal benefits as are normally available to temporary employees under the Government. The same procedure will apply in the case of employees of the autonomous bodies who are permanently absorbed under the Central Government. The Government /autonomous body will discharge its pension liability by paying in lumpsum as a one time payment, the pro-rata pension/service gratuity/terminal gratuity and DCRG for the service upto the date of absorption in the autonomous body/Government, as the case may be. Lumpsum amount of the pro-rata pension will be determined with reference to commutation table laid down in CCS (Commutation of Pension) Rules, 1981, as amended from time to time. (ii) A Central Government employee with CPF benefits on permanent absorption in an autonomous body will have the option either to receive CPF benefits which have accrued to him from the Government and start his service afresh in that body or choose to count service rendered in Government as qualifying service for pension in the autonomous body by foregoing Government’s share of CPF contributions with interest, which will be paid to the concerned autonomous body by the concerned Government Department. The option shall be exercised within one year from the date of absorption. If no option is exercised within stipulated period, employee shall be deemed to have opted to receive CPF benefits. The option once exercised shall be final. (b) Autonomous body where the Pension Scheme is not in operation : (i) A permanent Central Government employee borne on pensionable establishment, on absorption under such autonomous body will be eligible for pro-rata retirement benefits in accordance with the provisions of the Ministry of Finance OM No.26(18)EV(B)/75 dated the 8th April, 1976, as amended from time to time. In case of quasi-permanent or temporary employees, the terminal gratuity as may be admissible under the rules would be actually payable to the individual on the date when pro-rata retirement benefits to permanent employees become payable. However, in the case of absorption of a Government employee with CPF benefits, in such an autonomous organisation, the amount of his subscription and the Government’s contribution, if any, together with interest thereon shall be transferred to his new Provident Fund account with the consent of that body. (ii) An employee of an autonomous body on permanent absorption under the Central Government will have the option either to receive CPF benefits which have accrued to him from the autonomous body and start his service afresh in Government or choose to count service rendered in that body as qualifying service for pension in Government by foregoing employee’s share of CPF contributions with interest thereon, which will be paid to the concerned Government Department by the autonomous body. The option shall be exercised within one year from the date of absorption. If no option is exercised within stipulated period, employee shall be deemed to have opted to receive CPF benefits. The option once exercised shall be final. (c) Absorption of employees of one Central Autonomous body in another Central Autonomous body The above procedure will be followed mutatis mutandis in respect of employees going from one autonomous body to another. 4. “Central autonomous body” means body which is financed wholly or substantially from cess or Central Government grants. “Substantially” means that more than 50 per cent of the expenditure of the autonomous body is met through cess or Central Government grants. Autonomous body includes a Central statutory body or a Central University but does not include a public undertaking. Only such service which qualifies for pension under the relevant rules of Government/Autonomous body shall be taken into account for this purpose. 5 (1) The employees of a Central autonomous body or Central Government, as the case may be who h ave already been sanctioned or have received pro-rata retirement benefits or other terminal benefits for their past service will have the option either:- (a) to retain such benefits and in that event their past service will not qualify for pension under the autonomous body or the Central Government as the case may be; or (b) to have the past service counted as qualifying service for pension under the new organisation in which case the pro-rata retirement or other terminal benefits, if already received by them, will have to be deposited along with interest thereon from the date of receipt of those benefits till the date of deposit with the autonomous body or the Central Government, as the case may be. The right to count previous service as qualifying service shall not revive until the whole amount has been refunded. In other cases, where pro-rata retirement benefits have already been sanctioned but have not yet become payable, the concerned authorities shall cancel the sanction as soon as the individual concerned opts for counting of his previous service for pension and inform the individual in writing about accepting his option and cancellation of the sanction. The option shall be exercised within a period of one year from the date of issue of those orders. If no option is exercised by such employees within the prescribed time limit, they will be deemed to have opted for retention of the benefits already received by them. The option once exercised shall be final. (2) Where no terminal benefits for the previous service have been received, the previous service in such cases will be counted as qualifying service for pension only if the previous employer accepts pension liability for the service in accordance with the principles laid down in this office Memorandum. In no case pension contribution/liability shall be accepted from the employee concerned. 6. These orders will be applicable only where the transfer of the employee from one organisation to another was/ is with the consent of the organisation under which he was serving earlier, including cases where the individual had secured employment directly on his own volition provided he had applied through proper channel/with proper permission of the administrative authority concerned. 7. These orders will take effect from the date of issue and the revised policy as enunciated above will be applicable to those employees who retire from Government/autonomous body service on or after the date of issue of these orders. The provisions contained in the Ministry of Finance Office Memorandum No.26 (18)EV (B)/75 dated the 8th April 1976 and office Memorandum No.25(1) EV/83, dated the 8th September, 1983 or any other orders shall, in so far as it provides for any of the matters contained in this office Memorandum cease to operate. 8. The Ministry of Education and Culture etc., are requested to advise the autonomous/statutory bodies under their administrative control, with specific directions to the Financial Advisers concerned, to ensure to make necessary provisions in their Rules and Regulations/Articles of Association in accordance with the provisions contained in this Office Memorandum. In cases where any practice otherwise than enumerated above is presently being followed the same may be revised in accordance with the provisions of this Office Memorandum so that uniformity is maintained in such matters in all the organisations. 9. In so far as persons serving in the Indian Audit and Accounts Department are concerned these orders issue after consultation with the Comptroller and Auditor General of India.
(1) The Government servants opting for permanent absorption in the public enterprises on or after 16th June, 1967 may be given the following pensionary benefits:- (a) The pro rata pension or Retirement Gratuity, as the case may be, with reference to the pension rules by which he is governed before his absorption in the autonomous body and retirement gratuity based on the length of his qualifying service under Government till the date of absorption. The pension will be calculated on the basis of average emoluments for *10 months preceding the date of absorption and the Retirement Gratuity on the basis of emoluments drawn immediately before absorption. (b) In cases where an officer at the time of absorption has less than 10 years service and is not entitled to pension, the question of proportionate pension will not arise. He will only be eligible to proportionate service gratuity in lieu of pension and to Retirement Gratuity based on length of service. (2) The amount of pension/gratuity and the Retirement Gratuity should be currently worked out and should be intimated to the officer as well as the undertaking as and when an officer is absorbed. (3) The pro rata pension, gratuity, etc. admissible in respect of the service rendered under Government would be disbursable only from the date the Government servant would have normally superannuated had he continued in Government service. 1 [Provided that in the case of Government servant who is absorbed in any public undertaking or any state owned autonomous company, corporation or body, either on the basis of his application or otherwise, the prorata pension, gratuity etc., admissible in respect of the service rendered by such employee under the Government would be disbursable immediately on the date of such absorption or if the absorption took place prior to the 1st February, 1980, then on or after the 1st February, 1980, if he had put in a qualifying service of not less than twenty years on the date of such absorption. In case, he had not put in twenty years of qualifying service on the date of his absorption, the prorata pension, gratuity etc, shall be paid on or after the date on which he would have completed twenty years of qualifying service had he continued in Government service. Note: The absorbed employee before drawing the prorata pensionary benefits as indicated above, shall be required to give an undertaking to the effect that in the event of his service with the public undertaking, corporation or body etc., terminating at the instance either of the employer or himself within a period of two years from the date of his retirement from Government service and permanent absorption in the public undertaking, corporation or body he would obtain the approval of Government before he takes up any private employment. The undertaking should invariably be obtained by the concerned authorities before allowing the pro rata pensionary benefits to the absorbed employee] 2 (3-A) In cases covered by the proviso to sub-rule (3) the lumpsum amount in lieu of pension shall be calculated only with reference to the commutation table in force on the date on which such absorption/invalidation takes place or on the date on which the employee would have completed twenty years of qualifying service had he continued in Government service whichever is later] (4) The officer will exercise an option, within six months of his absorption, for either of the alternatives indicated below: (a) Receiving the monthly Pension and Retirement Gratuity already worked out, under the usual Government arrangements; (b) Receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to commutation tables obtaining on the date of superannuation 1 [or the date of absorption/ invalidation or completion of twenty years of qualifying service had the officer continued in Government service, whichever is later] (5) Where no option is exercised within the prescribed period, the officer will automatically be governed by alternative (b) above. (6) Option once exercised shall be final. (7) The option shall be exercised in writing and communicated by the officer concerned to the undertaking. (8) Where an officer retires from the service of a public undertaking before his date of superannuation, the proportionate pension and Retirement Gratuity will not be paid to him till such time as he actually attains the age of superannuation. This will be the case irrespective of the option exercised by him. 2 [Provided that where a Government servant retires on or after 29th October, 1979, from the service of any public undertaking before the date of his superannuation on account of permanent invalidation or in the case of death while in service on or after the said date, the proportionate pension and Retirement Gratuity shall be settled immediately on such invalidation and retirement from service on that ground or on the death of the employee irrespective of the option exercised by him.] (9) Cases of resignation from a public undertaking etc., will be treated as resignation from Government service entailing forfeiture of the earlier service under Government and loss of the pensionary benefits. (10) For the period of service rendered in a public undertaking etc., the absorbed officers will be entitled to all the benefits etc., admissible to other corresponding employees of the organisation. (11) The total pension or gratuity admissible in respect of the service rendered under the Government and that under the public undertaking etc., should not exceed the amount that would have been admissible had the officer continued in Government service and retired on the same pay which he drew on retirement from public undertaking etc. (12) Any further liberalisation of pension rules decided upon by Government after the permanent absorption of a Government servant in a public undertaking will not be extended to him. (13) In cases where an officer has opted to receive pension but wishes to commute a portion of the pension, such commutation will be regulated in accordance with the Government rules in force at the time of his superannuation 1[or the date of absorption/invalidation or completion of twenty years of qualifying service had the officer continued in Government service whichever is later.] (14) The concession referred to in the preceding paragraphs should be extended to the following cases also subject to the same conditions. (a) Government employees transferred to an autonomous organisation consequent on the conversion of a Government Department into an autonomous body; (b) State Government employees permanently absorbed in Central Government’s Companies/Corporations/Public Sector Undertakings; and (c) State Government employees who have been selected by the State Government Companies, Corporations, Public Sector Undertakings on the basis of their applications. (15) Retrospective absorption in the service of the company/ corporation/Public Sector Undertakings is not permissible. Executive Instructions Instructions in the case of Central Government employees or Central undertaking employees absorbed in state autonomous bodies and employees of the central autonomous bodies absorbed in the State Government and State autonomous bodies and vice-versa:- (1) The Government of Andhra Pradesh accepted to bear the pensionary liability on account of the retirement benefit on pro-rata basis in respect of the employees of the State Government and State autonomous bodies absorbed in Central autonomous bodies and in respect of the employees of State autonomous bodies absorbed in Central Government in accordance with the instructions contained in the office memorandum No.26 (18) EV (B) 75, dated 8-4-1976 of Government of India, Ministry of Finance, Department of expenditure and office Memorandum No.28/10/84-Pension unit dated 29-8- 1984 of Government of India, Ministry of Home affairs, Department of Personnel and Administrative Reforms. In so far as State employees are concerned even temporary service shall be reckoned for purposes of pension. Extracts of the above two office memorandae are annexed. These orders shall take retrospective effect from 7-2-1986. (G.O. Ms. No.135, Fin. & Plg. (PW:Pen.II) Dept., dated 19-5-1987) Annexure Copy of O.M. No.26(18)-E.V. (B)/75, Government of India, Ministry of Finance Department of Expenditure), New Delhi, dated the 8th April, 1976, addressed to All Ministries and copied to all State Governments. — Sub :-Permanent transfer of Government servants to autonomous bodies - Grant of retirement benefits. The undersigned is directed to state that need has been felt for some ti me past of consolidating at one place, the instructions/orders issued from time to time and still in force on the subject mentioned above. Accordingly, it has been decided, in supersession of all the orders issued on the subject so far by this Ministry and the Department of Personnel to bring out the salient features of the existing instructions in this O.M. This may please be brought to the notice of all Administrative authorities in or under the Ministry of Home Affairs etc., for information/guidance and compliance. Basis of calculation of retirement benefits : 2. Such of the Government servants as were deputed or transferred to a body corporated owned or controlled by Government or whose services were lent to such a body, should, in the event of their permanent absorption in service under that body w.e.f. a date prior to 16-6-1967 be paid an amount equal to what Government would have contributed had the officer been on contributory provident fund terms under Government, together with simple interest thereon at 2% for the period of his pensionable service under Government. In such cases the interest (2%) on the total balance of contribution should be calculated for the entire period of pensionable service of the Government servant rendered prior to his permanent absorption in an autonomous body. The amount is to be credited to his C.P. Fund account with the autonomous body as an opening balance on the date of permanent absorption and Government’s liability in respect of the Officer’s pensionable service under them would be treated as extinguished by this payment. This decision applies, however, only where the permanent transfer from Government service to an autonomous body is in the public interest and the transfer is to a Government or to a quasi-Government Corporation or an autonomous body and not to a private institution. In all other cases, Government will not accept any liability to pay any retirement benefits for the period of service rendered by the officer before his transfer. The concession is not to be claimed as a matter of right but is sanctioned at the discretion of Government in individual cases where it is merited, and each case has to be referred to the Department of personnel and the Ministry of Finance. Retirement Benefits - Transfer to new account : 3. Credit to the Contributory Provident Fund Account of the Government servant permanently absorbed in the service of a body corporate wholly or partially owned by Government, as indicated above, was to be given as an opening balance on the date of absorption, in cases of those permanently absorbed upto 17-8-1964. In cases of those absorbed thereafter, the credit was only to be given either after the Government servant had rendered five years service under that body (including any period of service rendered immediately before permanent absorption) or on the date on which he would have retired had he continued in Government service, whichever was earlier. Transfer of Provident Fund Balances: 3A. (i) According to Explanation III below Rule 31 of the General Provident Fund Rules and corresponding Rule 33 of Contributory Provident Fund Rules (India), 1962 which provides that when a subscriber is transferred, without any break, to service under a body corporate owned or controlled by Government, the amount of subscription, together with interest thereon, shall not be paid to him but shall be transferred, with the consent of that body, to his new Provident Fund Account under that body. It has been, however, decided that in cases where the corporate bodies do not have any Provident Fund Scheme or whose Provident Fund Rules do not provide for the acceptance of balance from other Provident Funds, the amount in question should be finally paid to the person concerned at the time of his permanent transfer to such a body. In cases where the Provident Fund money is accepted by the corporate body subject to fulfilment of certain conditions viz., that the Government servant should complete the probationary period with them or that he should be confirmed in a post under them, the PE money of the persons concerned may be retained with Government till such time as it is transferred to the body concerned. In such cases the PE account of the individual concerned would cease to be ‘alive’ on the date of permanent transfer of the person concerned to such a body. In other words, no withdrawals from the Provident Fund will be permitted for any purpose including payment of premium towards life insurance policies. Fresh subscription to the Fund, except recoveries in respect of outstanding advances, shall not be accepted. The PF money held by Government would continue to earn interest at the normal rate till the date of transfer of the amount to the corporate body. (ii) In respect of the Government servants permanently absorbed in the public sector undertakings, the position is as follows:- The amount of subscriptions, together with interest thereon standing in the PF account of a Government Officer opting for service under an enterprise may, if he so desires, be transferred to his new Provident Fund account under the enterprise provided the concerned enterprise also agrees to such a transfer. If, however, the subscriber does not desire the transfer or the concerned enterprise does not operate a Provident Fund, the amount aforesaid shall be refunded to the subscriber. Similarly in the case of CPF the amount of subscription and the Government contribution together with interest thereon, of a subscriber opting for service under a public enterprise may, if he so desires, be transferred to his new PF account under the enterprise if the concerned enterprise also agrees to such transfer. If, however, the subscriber does not desire the transfer or the concerned enterprise does not operate a provident fund the amount aforesaid shall be refunded to the subscriber. 4. The retirement benefits granted to a Government servant who is permanently absorbed in an autonomous body/public sector undertaking have been reviewed and the following revised terms were sanctioned in respect of those absorbed on or after 16-6-1967;. (i) A permanent Government servant on absorption in a public undertaking is eligible for pro-rata pension and DCRG based on the length of his qualifying service under Government till the date of absorption. The pension will be calculated on the basis of average emoluments for three years preceding the date of absorption and the DCRG on the basis of the emoluments immediately before absorption. Payment of Service Gratuity in lieu of Pension:- In cases where a Government servant at the time of absorption has less than 10 years’ service and is not entitled to pension, the question of proportionate pension will not arise, he will only be eligible to proportionate service gratuity in lieu of pension and to DCRG based on length of service. (ii) The amounts of pension/gratuity and the DCRG would be concurrently worked out and will be intimated to the Government servant concerned as well as the undertaking as and when an officer is absorbed. Exercise of Option: (iii) Every Government servant is to exercise an option, within six months of his absorption, for either of the alternatives indicated below: (a) Receiving the monthly pension and DCRG already worked out, under the usual Government arrangements. (b) Receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to commutation tables obtaining on the date from which the pro-rata pension, gratuity etc, would be disbursable. Where no option is exercised within the prescribed period, the officer will automatically be governed by alternative (b) above. Option once exercised shall be final. The option shall be exercised in writing and communicated by the Government servant concerned to the undertaking/autonomous body. (iv) Cases of resignation from a public undertaking /autonomous body will, for the purpose of these orders, be treated as resignation from Government service, entailing forfeiture of earlier service under Government and loss of the pensionary benefits under these orders. (v) For the period of service rendered in a public undertaking autonomous body, the absorbed officers will be entitled to all the benefits admissible to other corresponding employees of the organisation. (vi) The total gratuity admissible in respect of the service rendered under the Government and that under the public undertaking/autonomous body should not exceed the amount that would have been admissible had the Government servant continued in Government service and retired on the same pay which he drew on retirement from the Public undertaking autonomous body. (vii) Non admissibility of liberalisations of Pension Rules after absorption: Any further liberalisation of pension rules decided upon by Government after the permanent absorption of a Government servant in a public undertaking/autonomous body would not be extended to him. However, the benefit of further liberalisation in pension shall also be allowed to a Government servant after his permanent absorption, if, in any case, such liberalisation is sanctioned retrospectively w.e.f. a date prior to the date of such absorption. Commutation of Pension: (viii) In cases where an officer has opted to receive pension as at (iii) (a) above but wishes to commute a portion of the pension, such commutation will be regulated in accordance with the Government rules in force at the time of commutation of his pension. Public Interest: The above decisions will apply only where the permanent transfer from Government service to a public undertaking/autonomous body is in the public interest. In all other cases, Government will not accept liability to pay any retirement benefits for the period of service rendered by Government servant before his transfer. Deputation on one’s own violation: Pensionary benefits admissible in cases of absorption with effect from 21-4-1972. 5. Permanent transfer of Government servants who apply in response to a press advertisement etc., for posts in autonomous bodies/public sector undertakings whether incorporated or not, which are wholly or substantially owned by the Government of India is not treated as in the public interest and the Government has no liability to pay any retirement benefits or for carry forward of leave for the period of service rendered under the Government. However, on the position being reviewed further, it was decided that a permanent Government servant who has been appointed in an autonomous body financed wholly or substantially by Government on the basis of his own application shall, on his permanent absorption in such body w.e.f. 21-4-1972 or thereafter be entitled to the same retirement benefits in respect of his past service under the Government as are admissible to a permanent Government servant going on deputation to an autonomous body and getting absorbed therein, except carry forward of leave. Finance Ministry’s prior approval: 6. In all such cases of grant of pro-rata retirement benefits to Central Government employees, under the orders quoted in the preceding paragraphs, the administrative Ministers are required to consult the Ministry of Finance before orders are issued in each individual case. However, in respect of the non-gazetted employees of the Indian Audit and Accounts Department, the C&AG will be the competent authority to confer retirement benefits. A question had also been raised whether retrospective absorption is permissible in terms of the orders referred to above. Such question would arise in cases where a person is initially sent to such a company /corporation on deputation and deputation period is sought to be curtailed retrospectively. While a person is on deputation, leave/pension contributions are payable to Government by the company etc., or the person concerned. Retrospective absorptions may lead to claim for refund or non-payment of such contributions which cannot be withheld or refunded under the rules. In view of this it has been decided not to allow retrospective absorption of the employees on deputation to the companies/corporations etc. Carry forward of leave: 7. In respect of deputationists who opt for absorption in any statutory body or autonomous organisation owned or controlled by Government such body or organisation should take over the liability in regard to leave on average pay/earned leave that the optee has to his credit at the time of leaving Government service and in return Government shall pay to the statutory body/ autonomous organisation a lumpsum equal to leave salary for the leave on average pay/earned leave due to the Government servant on the date of his permanent absorption in such body/organisation. While issuing the final sanction for the absorption of the optee in the autonomous organisation, the administrative Ministry/Cadre authority concerned should also incorporate the provision with regard to payment of lumpsum equal to leave salary by Government. This benefit will be available only in cases where the permanent transfer from Government service to a statutory body/ autonomous organisation is in public interest. These orders take effect from 20-2-71 and cases already decided otherwise will not be reopened. Refixation of pay: The pay of the Government servant permanently absorbed in an autonomous body will be refixed as re-employed pensioner w.e.f. the date from which he becomes entitled to draw the pro-rata retirement benefits. Family Pension: 8. (i) The families of Government servants permanently absorbed in the autonomous bodies w.e.f. 16-6-1967 will also be eligible for family pension under Rules 54 and 55 of CCS (Pension) Rules, 1972. (ii) The benefit of family pension will be admissible only to the families of those who were/are actually in receipt of pension from the Central Government after their absorption in autonomous body/public undertaking. This benefit will not be admissible to the families of those who got only the service gratuity i.e., who were/are absorbed before rendering 10 years qualifying service under the Government. Family pensions will, however, also be admissible to the families of those Government servants absorbed in the public sector undertakings/autonomous bodies who draw the lumpsum amount in lieu of monthly pension on their absorption on the date of its becoming due and thus do not draw any monthly pension on the date of death. Similarly Family Pension will also be payable to the families of those whose monthly pension or lumpsum amount has not become payable and is disbursable from the earliest date of voluntary retirement but the personer dies before that date without receiving these benefits. (iii) This benefit will also be admissible to the families of such Government servants as have been appointed in the autonomous bodies financed wholly or substantially by Government on the basis of their own applications and granted retirement benefits on their permanent absorption therein in respect of the past service under the Government. (iv) Grant of family pension will be subject to the usual contribution of two months emoluments of the Government servant at the time of permanent absorption in an autonomous body/undertaking. Persons who have already drawn the pension and other benefits on absorption should deposit their two months contribution within six months from 8th October, 1975. (v) Family pension will be admissible from only one source, i.e., either from the Central Government or the public sector undertaking/autonomous bodies in cases such organisation has a similar scheme for payment of family pension. The beneficiary may be given option to choose either of the two schemes. (vi) It will be the responsibility of the pension sanctioning authority to process the claim for family pension, forwarding to the audit office for issue of an authority after satisfying itself that no such claim exists in the public sector undertaking/autonomous body or that the undertaking or autonomous body has not extended its family pension scheme to the person concerned. (vii) The above orders will apply automatically to the cases in which necessary Government sanction has already been issued. Therefore, it is not necessary to issue formal amendments to the relevant sanction letters. Suitable provision will, however, be incorporated in the relevant sanctions to be issued hereafter. Consultation with Parent Department: 9. In all cases where a Government servant is to be absorbed permanently by the foreign employer under his organisation it would be incumbent to consult the parent employer before issuing order absorbing the Government servant permanently in his service. The orders of permanent absorption should be issued only after the resignation of the Government servant has been accepted by the Government and w.e.f. the date of such acceptance. Formal Resignation not necessary: 10. With the coming into force of CCS (Pension) Rules, 1972 (which inter-alia, contain a provision of deemed retirement in the case of Government servants absorbed permanently in the public sector undertaking/autonomous body). It has now been decided that obtaining of formal resignation is not necessary if an individual is deemed to have retired from service by virtue of Rule 37 of CCS (Pension) Rules, 1972 i.e., consequent on the conditions required by this Rule, viz., permission should have been granted to the absorption in the service of the company or other body corporate, the absorption should be declared by the Government to be in the public interest, there should be an actual order of absorption and the Government servant should also consent to such absorption, being satisfied. Commutation and exemption from Income-Tax : 11. In accordance with Rule 37 of CCS (Pension) Rules, 1972, a Government servant who has been permitted to be absorbed in a service or post in or under a corporation or company wholly or substantially owned or controlled by the Government or in or under a body controlled or financed by the Government shall, if such absorption is declared by the Government to be in the public interest, be deemed to have retired from service from the date of such absorption. Each such Government servant is required under the relevant orders applicable to him to exercise an option within six months of his absorption for either of the alternatives indicated below: (a) receiving the monthly pension and DCRG under the usual Government arrangements, or (b) receiving the gratuity and a lumpsum amount in lieu of pension worked out with reference to the commutation tables obtaining on the date from which the commuted value becomes payable. Where no option is exercised within the prescribed period, the Government servant is automatically governed by alternative (b). 12. A person opting for alternative (a) is entitled to commutation of a portion of the pension admissible to him in accordance with the provisions of Civil Pension (Commutation) Rules. 13. It has been decided that where a Government servant elects the alternative (b) referred to above he should be granted; (i) on an application made in this behalf, a lumpsum amount not exceeding the commuted value of 1/3rd of his pension as may be admissible to him in accordance with the provisions of Civil Pension (Commutation) Rules; (ii) a terminal benefit equal to twice the amount of lumpsum referred to it (i) above subject to the condition that the Government servant surrenders his right of drawing 2/3rd of his pension. The commuted value of 1/3rd of the pension mentioned at (i) above will be exempt from income-tax whereas the terminal benefit component mentioned at (ii) above will be chargeable to tax as the income of the year in which it is due. However, the recipient will be eligible for a relief in tax in respect of the said amount; such relief being calculated by spreading the amount equally over the three preceding years immediately preceding the year in which the payment is received and subjecting it to tax at the average of the average rates applicable to the total income of those years after adding thereto onethird of the amount. The relief in such cases is to be granted by the Central Board of Direct Taxes and an application for such relief under Section 89(1) of the Income-Tax Act should be made to the Board through the ITO concerned. 14. In the case of Government servants who opt for or are automatically governed by the alternative (b) in para 11 above, the payment of monthly pension will commence from the due date pending their medical examination in accordance with the provision of the Civil Pension (Commutation) Rules. The commutation shall become absolute and the title to receive the commuted value shall accrue on the date on which the Medical Board (Authority) signs the medical certificate. If the Medical Board (Authority) directs that the age of the employee for the purpose of commutation shall be assured to be greater than his actual age, the person concerned will have the opportunity to change his option for receiving a lumpsum in lieu of monthly pension to receiving the monthly pension by written notice despatched within two weeks from the date on which he receives intimation of the finding of the Medical Board (Authority). If the applicant does not change his option within the period of two weeks prescribed above, he shall be assumed to have accepted the findings of the Medical Board (Authority). Date of payment of pro-rata retirement benefits: 15. A Government servant who is permitted to be absorbed in the public interest in a public sector undertaking or autonomous body is deemed to have retired from Government service from the date of his absorption in public sector undertaking or autonomous body and his retirement benefits are determined with reference to the length of qualifying service rendered under Government till the date of his absorption. In the case of absorption in an autonomous body from 16-6-1967 onwards or a public sector undertaking prior to 8-11-1968, retirement benefits become payable either from the earliest date from which Government servant could have retired voluntarily under the rules applicable to him or from the date of absorption in the undertaking/ corporation whichever is later. 16. Procedure for drawal of pro-rata retirement benefits: Clarifications have been sought as to the procedure which should be followed for sanctioning and authorising the payment of retirement benefits to those absorbed in public sector undertakings and autonomous bodies. Since the Government servants are deemed to have retired from Government service on the date of absorption, the procedure laid down in Chapter (viii) of CCS (Pension) Rules, 1972 which applies to Government servants who retire in normal course, should mutatis mutandis apply in the case of Government servants who are absorbed in the public interest in a public sector undertaking or in an autonomous body. The disbursement of the retirement benefits should be authorised from the date indicated in Government’s letter allowing the Government servant to be absorbed in public sector undertaking or autonomous body. 17. In respect of an employee who held non-gazetted posts before absorption, Forms 6 and 7 of CCS (Pension) Rules, 1972 should be filled in by the Head of Office and forwarded to the Audit Officer for determining final amount of pension and death-cum-retirement gratuity. Where the retirement benefits are payable from the date of absorption, the Head of Office should obtain the particulars required under paras 2 to 4 of Form 5 and forward the same to the Audit Officer along with the pension papers. The Audit Officer after applying the necessary audit checks, will inform the absorbed employee, autonomous body/public sector undertaking and the Head of Office of the amount of pension and DCR Gratuity and the date from which they are payable to him. Where the retirement benefits become payable from a date subsequent to the date of absorption, the particulars required under paras 2 to 4 of Form 5 should be furnished to the Audit Officer by the absorbed employee through his employer six months before the date on which the payment of the retirement benefits is to commence to enable him to issue PPO/G.P.O. 18. In respect of employees who held gazetted posts before absorption, action to fill in Form 7 should be initiated by the Audit Officer. The Audit Officer after determining the amount of pension and DCR Gratuity will inform the absorbed employee, autonomous body/public sector undertaking and Head of Office/Department of the amount of retirement benefits and the date from which they are payable to him. Where the retirement benefits are payable from the date of absorption, the Audit Officer will also obtain the particulars required under paras 2 to 4 of Form 5 through the employer of the absorbed employee before authorising payment of retirement benefits. In other cases the particulars required under paras 2 to 4 of Form 5 should be furnished to the Audit Officer by the absorbed employee through his employer six months before the date on which the payment of the retirement benefit is to commence. As soon as Government orders regarding absorption of a Government servant are issued the Head of Office will forward Form 7 duly completed to the Audit Officer and such other information as the Audit Officer may require. 19. The procedure laid down in Chapter VIII of the CCS (Pension) Rules, 1972 may be adopted keeping in view the position stated in these orders,. The provisions contained in Chapter VIII for authorising payment of provisional pension for a period of six months and 3/4 of the DCRG by the Head of Office need not be observed in the case of an employee who before his absorption had held a non-gazetted post. Payment of the retirement benefits will be received by the employee concerned from the treasury of his own choice. Benefit of service rendered under Government in respect of Scientific employees: 20. On the basis of the recommendations of the Second Pay Commission (i) for counting towards pension of service rendered by scientific employees of semi-Government Institutions, financed from cess or Government grants, on their appointment to a pensionable service under the Government of India; and (ii) the rate of pension contribution payable by universities when they borrow service of Government servants who are Scientists and Technologists, it was decided as follows:- (i) A scientific employee of a semi-Government institution which is financed wholly or mainly cess or Central Government grants who was on a CPF basis in such an institution may, on permanent appointment without any interruption to a pensionable service or post under the Government of India count his previous service in that institution during which he subscribed to that Fund as service qualifying for pension provided that the contribution together with interest thereon paid by the institution is made over to the Government. The service during which he did not subscribe to the CPF will not be so reckoned unless the previous employer agrees to bear proportionate charges on account of pensionary benefits for the service so rendered. If, however, the officer was not on a CPF basis in such an institution, his previous service will be reckoned as qualifying for pension if the previous employer agrees to bear proportionate charges on account of pensionary benefits. (ii) If the services of a Government servant who is a scientist or a technologist are lent to a university, the rate of pension contribution, which the university will pay, will be restricted to the rate at which it contributes to the Provident Fund of its employees. These orders take effect from 28-3-1960 and past cases of transfer will be regulated in accordance with the orders already in force. The concession sanctioned in para 1 (i) is admissible to all officers who were in service of the Government of India on 28-3-1960 provided that ; (i) the officers who had already drawn the Contributory Provident Fund benefits in respect of their service under the semi-Government institutions refund either in lumpsum or in monthly instalments not exceeding twelve in number, the institution’s share of contribution together with interest thereon from the date of withdrawal to the date of final payment. The title to count service for pension will not accrue until the amount refundable and interest thereon have been refunded in full. (ii) if no such benefit had been received, the previous employer agrees to bear the proportionate pensionary liability. 21. With a view to increasing mobility of scientific talent all round, the benefit of the concessions contained in para 20 should also be made available to scientific employees of Government going over to Central autonomous organisations like CSIR etc., without break. These orders will also apply to Central Universities. 22. The pensionary liability in such cases will be allocated on the basis of length of service in case the autonomous organisation, where the officer takes up service, has pensionary benefits for its employees. The Government of India would discharge their liability by payment of capitalised value of their share of pension together with the share of gratuity, if any, to the autonomous organisation on retirement of the officer from the service of such an organisation. Similar procedure should apply in the event of death of an officer while in service of the autonomous organisation. In other cases Government’s liability will be discharged by way of payment of pro-rata retirement benefits for the part of service rendered under the Government before absorption according to the instructions contained in the preceding paragraphs. 23. It was clarified in this Ministry’s OM No.12(4)-EV/60 dated 5-6-1969 that in the case of Scientific employees of Government going over to the Central autonomous organisations like CSIR etc., without break on or after 16-6-1967, the pensionary liability will be discharged by way of payment of pro-rata retirement benefits for the part of service rendered under the Government. As a result of the issue of this clarification, Scientific employees belonging to Government Departments who get absorbed in the autonomous body which has the pensionary benefits to its employees, have been deprived of the pensionary benefits i.e.., benefit of pension of combined service by counting the service rendered under the Government as well as autonomous organisation. The position has been reviewed as a result of representations from scientific employees and it has been decided that such employees belonging to Government Departments on their absorption in autonomous bodies which have pensionary schemes will, on retirement from service of the autonomous body concerned become eligible for pensionary benefits based on the combined service rendered under Government and the service rendered under the autonomous body. Death benefits, if admissible under the rules of the autonomous body, will also be payable to such an absorbed employee. The pensionary liability including liability arising out of grant of death benefits will continue to be allocated as aforesaid. Thus the provisions of this Ministry’s clarificatory orders dated 5-6-1969 will cease to apply to a scientific employee who is absorbed in an autonomous body which has a pensionary scheme. 24. The provisions of the orders contained in para 23 shall not apply to a scientific employee absorbed in an autonomous body who before 12-9- 1974 had quit the service of the autonomous body or who while in the service of the autonomous body has started receiving or has become eligible to receive the pro-rata pension etc. However, a scientific employee who was absorbed in an autonomous body before 12-9-1974 but had not become eligible to receive the pro-rata pension etc., will get retirement benefits in terms of these orders i.e., benefit of pension on the basis of combined service. State Government employees absorbed in Central autonomous bodies. 25. Normally when a State Government servant is absorbed in a Central autonomous body the liability for the benefits accruing for the past service rendered by him under a State Government falls on that Government and should be discharged by them. However, in case a State Government refuses to bear the liability the question whether it should be taken over by the autonomous body will arise only if the absorption is considered inescapable. In such cases the autonomous body should in their proposal relating to the initial appointment or absorption of the State Government employees bring out specifically and clearly the extra expenditure involved in absorbing the employee so that this factor is given due weight by Government before it is decided to absorb him. In so far as the persons working in the Indian Audit and Accounts Department are concerned, these orders have been issued after consultation with the Comptroller and Auditor General of India. (2) Copy of OM No.28/10/84-Pension Unit, Government of India, Ministry of Home Affairs, Department of Personnel & Administrative Reforms, New Delhi addressed to all State Governments, dated 29-8-1984. — Sub: Mobility of personnel between Central Government Departments and Autonomous Bodies - Counting of service for pension. As per existing orders, service rendered outside Central Government does not count for pension in Central Government except in the case of scientific employees of autonomous bodies financed or controlled by the Government, who on permanent absorption under the Central Government are allowed to count their previous service for pension subject to certain conditions. In respect of personnel other than scientific employees, who are permanent in Central Government, in the event of their subsequent permanent absorption in public sector undertakings or any autonomous body, proportionate retirement benefits for the service rendered in Government till the date of permanent absorption are allowed as per rules in force at the time of absorption. No such benefit is allowed to temporary employees going over to autonomous body or undertakings. 2. A number of Central autonomous/statutory bodies have also introduced pension scheme for their employees on the lines of the pension scheme available to the Central Government employees. It has, therefore, been urged by such autonomous/statutory bodies that the service rendered by their employees under the Central Government or other autonomous bodies before joining the autonomous body may be allowed to be counted in combination with service in the autonomous body, for the purpose of pension, subject to certain conditions. Similar provisions for employees of autonomous body going over to Central Government have also been urged. In other words, the suggestion is that the benefit of pension based on combined service should be introduced. 3. This matter has been considered carefully and the President has now been pleased to decide that the cases of Central Government employees going over to a Central autonomous body or vice-versa and employees of the Central autonomous body moving to another Central autonomous body may be regulated as per the following provisions:- (a) In case of Autonomous Bodies where Pension Scheme is in operation (i) Where a Central Government employee borne on pensionable establishment is allowed to be absorbed in an autonomous body, the service rendered by him under the Government shall be allowed to be counted towards pension under the autonomous body irrespective of whether the employee was temporary or permanent in Government. The pensionary benefits will, however, accrue only if the temporary service is followed by confirmation. If he retires as a temporary employee in the autonomous body, he will get terminal benefits as are normally available to temporary employees under the Government. The same procedure will apply in the case of employees of the autonomous bodies who are permanently absorbed under the Central Government. The Government /autonomous body will discharge its pension liability by paying in lumpsum as a one time payment, the pro-rata pension/service gratuity/terminal gratuity and DCRG for the service upto the date of absorption in the autonomous body/Government, as the case may be. Lumpsum amount of the pro-rata pension will be determined with reference to commutation table laid down in CCS (Commutation of Pension) Rules, 1981, as amended from time to time. (ii) A Central Government employee with CPF benefits on permanent absorption in an autonomous body will have the option either to receive CPF benefits which have accrued to him from the Government and start his service afresh in that body or choose to count service rendered in Government as qualifying service for pension in the autonomous body by foregoing Government’s share of CPF contributions with interest, which will be paid to the concerned autonomous body by the concerned Government Department. The option shall be exercised within one year from the date of absorption. If no option is exercised within stipulated period, employee shall be deemed to have opted to receive CPF benefits. The option once exercised shall be final. (b) Autonomous body where the Pension Scheme is not in operation : (i) A permanent Central Government employee borne on pensionable establishment, on absorption under such autonomous body will be eligible for pro-rata retirement benefits in accordance with the provisions of the Ministry of Finance OM No.26(18)EV(B)/75 dated the 8th April, 1976, as amended from time to time. In case of quasi-permanent or temporary employees, the terminal gratuity as may be admissible under the rules would be actually payable to the individual on the date when pro-rata retirement benefits to permanent employees become payable. However, in the case of absorption of a Government employee with CPF benefits, in such an autonomous organisation, the amount of his subscription and the Government’s contribution, if any, together with interest thereon shall be transferred to his new Provident Fund account with the consent of that body. (ii) An employee of an autonomous body on permanent absorption under the Central Government will have the option either to receive CPF benefits which have accrued to him from the autonomous body and start his service afresh in Government or choose to count service rendered in that body as qualifying service for pension in Government by foregoing employee’s share of CPF contributions with interest thereon, which will be paid to the concerned Government Department by the autonomous body. The option shall be exercised within one year from the date of absorption. If no option is exercised within stipulated period, employee shall be deemed to have opted to receive CPF benefits. The option once exercised shall be final. (c) Absorption of employees of one Central Autonomous body in another Central Autonomous body The above procedure will be followed mutatis mutandis in respect of employees going from one autonomous body to another. 4. “Central autonomous body” means body which is financed wholly or substantially from cess or Central Government grants. “Substantially” means that more than 50 per cent of the expenditure of the autonomous body is met through cess or Central Government grants. Autonomous body includes a Central statutory body or a Central University but does not include a public undertaking. Only such service which qualifies for pension under the relevant rules of Government/Autonomous body shall be taken into account for this purpose. 5 (1) The employees of a Central autonomous body or Central Government, as the case may be who h ave already been sanctioned or have received pro-rata retirement benefits or other terminal benefits for their past service will have the option either:- (a) to retain such benefits and in that event their past service will not qualify for pension under the autonomous body or the Central Government as the case may be; or (b) to have the past service counted as qualifying service for pension under the new organisation in which case the pro-rata retirement or other terminal benefits, if already received by them, will have to be deposited along with interest thereon from the date of receipt of those benefits till the date of deposit with the autonomous body or the Central Government, as the case may be. The right to count previous service as qualifying service shall not revive until the whole amount has been refunded. In other cases, where pro-rata retirement benefits have already been sanctioned but have not yet become payable, the concerned authorities shall cancel the sanction as soon as the individual concerned opts for counting of his previous service for pension and inform the individual in writing about accepting his option and cancellation of the sanction. The option shall be exercised within a period of one year from the date of issue of those orders. If no option is exercised by such employees within the prescribed time limit, they will be deemed to have opted for retention of the benefits already received by them. The option once exercised shall be final. (2) Where no terminal benefits for the previous service have been received, the previous service in such cases will be counted as qualifying service for pension only if the previous employer accepts pension liability for the service in accordance with the principles laid down in this office Memorandum. In no case pension contribution/liability shall be accepted from the employee concerned. 6. These orders will be applicable only where the transfer of the employee from one organisation to another was/ is with the consent of the organisation under which he was serving earlier, including cases where the individual had secured employment directly on his own volition provided he had applied through proper channel/with proper permission of the administrative authority concerned. 7. These orders will take effect from the date of issue and the revised policy as enunciated above will be applicable to those employees who retire from Government/autonomous body service on or after the date of issue of these orders. The provisions contained in the Ministry of Finance Office Memorandum No.26 (18)EV (B)/75 dated the 8th April 1976 and office Memorandum No.25(1) EV/83, dated the 8th September, 1983 or any other orders shall, in so far as it provides for any of the matters contained in this office Memorandum cease to operate. 8. The Ministry of Education and Culture etc., are requested to advise the autonomous/statutory bodies under their administrative control, with specific directions to the Financial Advisers concerned, to ensure to make necessary provisions in their Rules and Regulations/Articles of Association in accordance with the provisions contained in this Office Memorandum. In cases where any practice otherwise than enumerated above is presently being followed the same may be revised in accordance with the provisions of this Office Memorandum so that uniformity is maintained in such matters in all the organisations. 9. In so far as persons serving in the Indian Audit and Accounts Department are concerned these orders issue after consultation with the Comptroller and Auditor General of India.