Regulating the methods of implementation of National Pension System : DoP&PW Notification No. G.S.R.227(E) dated 30.03.2021

 Regulating the methods of implementation of National Pension System : DoP&PW Notification No. G.S.R.227(E) dated 30.03.2021

DoP&PW Notification No. G.S.R.227(E) dated 30.03.2021 – Regulating the methods of implementation of National Pension System

MINISTRY OF PERSONNEL, PUBLIC GRIEVANCES AND PENSIONS

(Department of Pension and Pensioners’ Welfare)

NOTIFICATION

New Delhi, the 30th March, 2021

G.S.R. 227(E). –

In exercise of the powers conferred by the proviso to article 309 and clause (5) of article 148 of the Constitution and after consultation with the Comptroller and Auditor-General of India in relation to persons serving in the Indian Audit and Accounts Department, the President hereby makes the following rules regulating the methods of implementation of National Pension System, namely:-

1. Short title and commencement. –

(1) These rules may be called the Central Civil Services (Implementation of National Pension System) Rules, 2021.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. Application. –

Save as otherwise provided in these rules, these rules shall apply to the Government servants, including civilian Government servants in the Defence Services, appointed substantively to civil services and posts in connection with the affairs of the Union on or after 1st day of January, 2004, but shall not apply to,-

(a) Railway servants;

(b) persons in casual and daily rated employment;

(c) persons paid from contingencies;

(d) members of the All India Services;

(e) persons locally recruited for services in diplomatic, consular or other Indian establishments in foreign countries;

(f) persons employed on contract;

(g) persons whose terms and conditions of service are regulated by or under the provisions of the Constitution or any other law for the time being in force; and

(h) persons to whom the Central Civil Services (Pension) Rules, 1972 apply in accordance with any special or general order issued by the Government.

3. Definitions. –

In these rules, unless the context otherwise requires,-

(1) (a)“Accredited Bank” in relation to a Ministry or Department or Union territory means the Reserve Bank or any bank which is appointed to transact business of the Government pertaining to that Ministry or Department or Union territory and is officially recognised for transfer of funds to the Trustee Bank;

(b) “Accumulated Pension Corpus” means the monetary value of the pension investments accumulated in the Individual Pension Account of a subscriber under the National Pension System;

(c) “Annuity” means periodic payment by the Annuity Service Provider to the subscriber on purchase of annuity plan out of the Accumulated Pension Corpus;

(d) “Annuity Service Provider” means a life insurance company registered and regulated by the Insurance Regulatory and Development Authority and empanelled by the Authority for providing Annuity services to the subscribers of the National Pension System;

(e) “Authority” means the Pension Fund Regulatory and Development Authority established under sub-section (1) of section 3 of the Pension Fund Regulatory and Development Authority Act, 2013 (23 of 2013) and include interim Pension Fund Regulatory and Development Authority set up by the Central Government through Resolutions;

(f) “Central Recordkeeping Agency” means an agency registered under section 27 of Pension Fund Regulatory and Development Authority Act, 2013 to perform the functions of recordkeeping, accounting, administration and customer service for subscribers to schemes;

(g) “Drawing and Disbursing Officer” means a Head of Office and also any other Gazetted Officer so designated by a Department of the Central Government, a Head of Department or an Administrator, to draw bills and make payments on behalf of the Central Government. The term shall also include a Head of Department or an Administrator where he himself discharges such function;

(h) “Cheque Drawing and Disbursing Officer” means a drawing and disbursing officer functioning under a Ministry or Department (including Central Public Works Department, Forest Department and Departments in which the provisions of Central Public Works Account Code are authorised to be followed) or a Union territory, who is authorised to withdraw money for specified types of payments against an assignment account opened in his favour in a specified branch of an accredited bank;

(i) “Defence Services” means services under the Government of India in the Ministry of Defence and in the Defence Accounts Department under the control of the Ministry of Defence paid out of the Defence Services Estimates and not permanently subject to the Air Force Act, 1950 (45 of 1950) or the Army Act, 1950 (46 of 1950) or the Navy Act, 1957 (62 of 1957);

(j) “Emoluments” means emoluments as specified in rule 5;

(k) “Foreign Service” means service in which a Government servant receives his pay with the sanction of the Government from any source other than the Consolidated Fund of India or the Consolidated Fund of a State or the Consolidated Fund of a Union territory;

(l) “Government” means the Central Government;

(m) “Head of Department” means an authority specified in Schedule 1 to the Delegation of Financial Powers Rules, 1978, and includes such other authority or person whom the President may, by order, specify as Head of a Department;

(n) “Head of Office” means a Gazetted Officer declared as such under rule 14 of Delegation of Financial Powers Rules,1978, and includes such other authority or person whom the Competent Authority may, by order, specify as Head of Office;

(o) “Individual Pension Account” means an account of a subscriber, executed by a contract setting out the terms and conditions under the National Pension System;

(p) “Local Fund administered by Government” means the fund administered by a body which, by law or rule having the force of law, comes under the control of the Government and over whose expenditure the Government retains complete and direct control;

(q) “National Pension System” means the contributory pension system referred to in section 20 of the Pension Fund Regulatory and Development Authority Act, 2013 whereby contributions from a subscriber are collected and accumulated in an individual pension account using a system of points of presence, a Central Recordkeeping Agency and pension funds as may be specified by regulations by Pension Fund Regulatory and Development Authority;

(r) “Pay and Accounts Officer” means an officer, whatever his official designation, who maintains the accounts of a Ministry, Department or Office of the Central Government or Union territory and includes an Accountant-General, who is entrusted with the functions of maintaining the accounts or part of accounts of the Central Government or Union territory;

(s) “Pension fund” means an intermediary which has been granted a certificate of registration under sub-section (3) of section 27 of the Pension Fund Regulatory and Development Authority Act, 2013 by the Authority as a pension fund for receiving contributions, accumulating them and making payments to the subscriber in the manner as may be specified by regulations;

(t) “Permanent Retirement Account Number” means a unique identification number allotted to each subscriber by the Central Recordkeeping Agency;

(u) “Subscriber” means a Government servant who subscribes to a scheme of a Pension fund;

(v) “Trustee Bank” means a banking company as defined in the Banking Regulation Act, 1949 (10 of 1949).

(2) Words and expressions used herein and not defined but defined in the Fundamental Rules,1922, the Central Civil Services (Pension) Rules, 1972, the Pension Fund Regulatory and Development Authority Act, 2013 or Pension Fund Regulatory and Development Authority regulations have the same meanings respectively assigned to them in those Act or Rules or Regulations.

GENERAL CONDITIONS

4. Registration into National Pension System. –

(1) A Government servant to whom these rules apply, shall, immediately on joining service submit an application in Common Subscriber Registration Form or in any other form specified by the Authority along with an option form referred to in rule 10, to the Head of Office for registration to the National Pension System.

(2) The Head of Office shall on receipt of the application under sub-rule (1), ensure that the application is complete in all respects, countersign it indicating the date of receipt and send it to the Drawing and Disbursing Officer within three working days of joining of the Government servant. The Head of Office shall keep a copy of the application form for record.

(3) The Drawing and Disbursing Officer shall forward the application of individual subscriber to the Pay and Accounts Officer or Cheque Drawing and Disbursing Officer, as the case may be, within three working days from the date of receipt of the application from the Head of Office.

(4) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, shall process the application received from the Drawing and Disbursing Officer and forward it to the Central Recordkeeping Agency through the online system within three working days from the date of receipt of the application from the Drawing and Disbursing Officer. The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer shall also forward duly signed copy of the application to the Central Recordkeeping Agency for record.

(5) The Central Recordkeeping Agency shall complete registration process and allocate a Permanent Retirement Account Number in respect of each Government servant in the form specified by the Authority as per the turn-around time specified by the Authority. After completion of the registration process, the Central Recordkeeping Agency shall communicate the Permanent Retirement Account Number to the Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, and also forward Permanent Retirement Account Number kits to the Subscriber in accordance with the process and turn-around time laid down by the Authority.

(6) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, shall communicate Permanent Retirement Account Number (PRAN) to the concerned Drawing and Disbursing Officer immediately.

(7) The Drawing and Disbursing Officer shall communicate the Permanent Retirement Account Number (PRAN) to the Head of Office immediately.

(8) The Head of Office shall intimate the Permanent Retirement Account Number to the Subscriber and shall record the Permanent Retirement Account Number (PRAN) in the Common Subscriber Registration Form or any other form specified by the Authority submitted by the Subscriber and in the service book of the Subscriber and also paste a certified copy of the Common Subscriber Registration Form or any other form specified by the Authority in the service book of the Subscriber within five working days thereafter.

(9) The authorities referred to in sub-rule (2) to sub-rule (8) shall ensure that there is no delay in the process of registration of the Government servant in the National Pension System and crediting of first contribution in his Individual Pension Account. The first contribution of the Government servant shall be credited in his Individual Pension Account within twenty days of the date of submission of the application under sub-rule (1) or by the last date of the month in which the Government servant joined, whichever is later.

(10) In a case where the process of registration of the Government servant in the National Pension System has not been completed before the date of drawal of the salary for the first month or any subsequent month, such salary or salaries shall be paid to the Government servant after withholding the amount of contribution as determined in accordance with rule 6. The amount of the contribution withheld from the salary as well as the amount of interest payable under rule 8 shall be credited to the Individual Pension Account of the Government servant as soon as the process of generation of Permanent Retirement Account Number of Government servant in the National Pension System is completed by the Central Recordkeeping Agency and communicated to the Pay and Accounts Officer or Cheque Drawing and Disbursing Officer.

(11) Action on the option form submitted under sub-rule (1) shall be taken in accordance with rule 10.

5. Emoluments. –

(1) The expression `emoluments’ for the purpose of determining the amount of mandatory contribution under the National Pension System includes basic pay as defined in rule 9 (21) (a) (i) of the Fundamental Rules, 1922, non-practicing allowance granted to medical officer in lieu of private practice and admissible dearness allowance in a calendar month.

(2) Subject to the proviso to sub-rule (1) of rule 7, if a Subscriber had been absent from duty on leave for which leave salary is payable, the amount representing pay and dearness allowance in the leave salary actually drawn shall be taken into account for emoluments for the purpose of this rule. The amount of pay, non-practicing allowance and dearness allowance, actually drawn during leave shall be taken into account as emoluments for the purpose of this rule.

(3) Subject to the proviso to sub-rule (1) of rule 7, if a Subscriber had been absent from duty or was on extraordinary leave, during whole or part of a calendar month, the pay or the amount representing pay, non-practicing allowance referred to in this rule and dearness allowance in the leave salary which he actually drew for the part of that calendar month during which he was on duty or was on leave for which leave salary is payable, shall be taken into account for emoluments for the purpose of this rule.

(4) If a Subscriber had been under suspension, the subsistence allowance drawn during the period of suspension in a calendar month shall be taken into account for emoluments for the purpose of this rule.

(5) Pay drawn by a Subscriber while on deputation in India shall be taken into account for emoluments for the purpose of this rule.

(6) In the case of a Subscriber on foreign service or deputation outside India, the pay which he would have drawn under the Government had he not been on foreign service or such deputation, shall be taken into account for emoluments.

(7) Where a retired Subscriber, who is re-employed in Government service and to whom these rules are applicable and whose pay on re-employment has been reduced by an amount not exceeding his monthly pension, the element of monthly pension by which his pay is reduced shall be included in emoluments.

6. Contribution by the Subscriber to the National Pension System.-

(1) The National Pension System shall work on defined contribution basis. A Subscriber shall make a contribution of ten per cent or such other percentage as may be notified from time to time, of his emoluments to the National Pension System every month. The amount of contribution payable shall be rounded off to the next higher rupee.

(2) Contribution may be made by the Subscriber, at his option, during the period of suspension:

Provided that where, in the final orders passed by the Government on conclusion of the inquiry, the period spent under suspension is treated as duty or leave for which leave salary is payable, contributions to the National Pension System shall be determined based on the emoluments which the Subscriber becomes entitled to for the period of suspension. The difference of the amount of contribution to be deposited and the amount of contribution already deposited during the period of suspension, shall be credited to the Individual Pension Account of the Subscriber along with interest. The rate of interest for this purpose would be the rate of interest as decided by the Government from time to time for the Public Provident Fund deposits.

(3) No contribution shall be made by the Subscriber during the period of absence from duty (whether on leave or otherwise) for which no pay or leave salary is payable.

(4) During the period of transfer on deputation to a Department or organisation under the Central Government or the State Government, the Subscriber shall remain subject to these rules in the same manner, as if he was not so transferred or sent on deputation and will continue to contribute towards National Pension System based on emoluments worked out in accordance with sub-rule (5) of rule 5.

(5) Contributions in respect of any arrears of salary received by the Subscriber due to retrospective increase shall be treated as the contributions for the month in which the payments are made.

(6) The Subscriber shall contribute toward National Pension System during the period spent under probation.

(7) Deduction and crediting of contributions to the Individual Pension Account during foreign service in India or outside India, including deputation to United Nations’ Secretariat or other United Nations’ Bodies, the International Monetary Fund, the International Bank of Reconstruction and Development, or the Asian Development Bank or the Commonwealth Secretariat or any other International organisation, shall be regulated in accordance with the instructions issued by the Department of Personnel and Training from time to time and the procedure laid down by the Authority.

(8) The Drawing and Disbursing Officer shall deduct the contribution from the salary of the Government servant and send the bill to the Pay and Accounts Officer or Cheque Drawing and Disbursing Officer, as the case may be, along with details of contributions deducted in respect of each Subscriber on or before Twentieth day of each month.

(9) A Subscriber may, at his option, make contribution in excess of the contribution specified in sub-rule (1) in accordance with the procedure laid down by the Authority and the Government.

(10)(i) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, based on the details of contributions in respect of each Subscriber sent by the Drawing and Disbursing Officer to Pay and Accounts Officer or Cheque Drawing and Disbursing Officer under sub-rule (8), shall prepare and upload a Subscription Contribution File and generate a Transaction ID by Twenty- fifth day of each month.

(ii) The Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer, as the case may be, shall remit the contribution to the Trustee Bank through the Accredited Bank by the last working day of each month :

Provided that the contribution for the month of March shall be remitted by the Pay and Accounts Officer or the Cheque Drawing and Disbursing Officer to the Trustee Bank through the Accredited Bank on the first working day of the month of April.

(iii) In case of delay in crediting of contribution to the Individual Pension Account of the Subscriber beyond the prescribed timeline due to factors not attributable to the Subscriber, the amount shall be credited to the Individual Pension Account of the Subscriber along with interest for the delayed period, as determined in accordance with rule 8.

7. Contribution by the Government. –

(1) The Government shall make contribution of fourteen per cent or such other percentage as may be notified from time to time, of the emoluments of a Government servant to the Individual Pension Account of the Subscriber every month. The amount of contribution payable shall be rounded off to the next higher rupee :

Provided that in cases where the leave is granted to the Subscriber on medical ground or due to his inability to join or rejoin duty on account of civil commotion; or for pursuing higher studies considered useful in discharge of his official duty, and during such leave, leave salary is not payable or is payable at a rate which is less than full pay, the Government shall make contribution equal to fourteen per cent or such other percentage as may be notified from time to time, of the notional emoluments comprising the amount representing pay and dearness allowance in the leave salary, non-practicing allowance referred to in rule 5.

(2) Subject to the proviso to sub-rule (1), no contribution shall be made by the Government for the period during which the Subscriber is not required to make contribution in accordance with these rules.

(3) In the case of a Subscriber under suspension, contribution shall be made by the Government on the basis of the emoluments determined by taking into account the subsistence allowance paid to the Subscriber during the period of such suspension :

Provided that no contribution shall be made by the Government during the period of suspension where the Subscriber had opted not to pay his contribution during the said period of suspension :

Provided further that where, in the final orders passed by the Government on conclusion of the inquiry, the period spent under suspension is treated as duty or leave for which leave salary is payable, contributions by the Government to the National Pension System shall be determined based on the emoluments which the Subscriber becomes entitled to for the period of suspension. The difference of the amount of contribution to be deposited by the Government and the amount of contribution already deposited during the period of suspension, shall be credited to the Individual Pension Account of the Subscriber along with interest. The rate of interest for this purpose would be the rate of interest as decided by the Government from time to time for the Public Provident Fund deposits.

(4) Contribution by the Government to the Individual Pension Account during foreign service in India or outside India, including deputation to United Nations’ Secretariat or other United Nations’ Bodies, the International Monetary Fund, the International Bank of Reconstruction and Development, or the Asian Development Bank or the Commonwealth Secretariat or any other International organisation, shall be regulated in accordance with the orders issued by Department of Personnel and Training from time to time and the procedure laid down by the Authority.

(5) The amount of contribution payable shall be rounded off to the next higher rupee.

(6) The provisions regarding time line as applicable in the case of remittance of contribution by the Subscriber would also be applicable for remittance of contribution by the Government. In case there is a delay in crediting of contribution to the Individual Pension Account of the Subscriber beyond the prescribed timeline due to factors not attributable to the Subscriber, the amount shall be credited to the Individual Pension Account of the Subscriber along with interest for the delayed period, as determined in accordance with rule 8.

8. Interest on delayed deposit of contributions. –

(1) In case of delay, due to factors not attributable to the Subscriber, in,-

(i) commencement of monthly contributions on account of delay in registration of the Subscriber in the National Pension System beyond the time limits prescribed in rule 4; or

(ii) deduction of monthly contribution from the salary of the Subscriber or crediting to his Individual Pension Account beyond the time limit prescribed in rule 6; or

(iii) crediting of the monthly contributions by the Government to the Individual Pension Account of the Subscriber beyond the time limit prescribed in rule 7,

the amount of contribution may be credited to the Individual Pension Account of the Subscriber along with interest for the delayed period. The interest shall be credited to the Individual Pension Account of the employee within a period of thirty days of the crediting of the amount of contribution. The rate of interest for this purpose would be the rate of interest, as decided by the Government from time to time, for the Public Provident Fund deposits :

Provided that the rate of interest applicable for the period from 1st January, 2004 to 31st December, 2012 shall be as notified by Department of Financial Services in its Notification F. No. 1/3/2016-PR dated 31st January, 2019 and by Department of Expenditure in its Office Memorandum No. 1(21)/EV/2018 dated 12th April, 2019.

(2)(i) Every case of delay in registration of the Subscriber in the National Pension System or commencement of contributions under rule 4 or deduction and crediting of monthly contribution of the Subscriber under rule 6 or crediting of monthly contribution by the Government in the Individual Pension Account of the Subscriber under rule 7 shall be examined by the Head of Department or Chief Controller of Accounts for fixation of responsibility;

(ii) If the Head of Department or Chief Controller of Accounts is satisfied that the delay is caused on account of administrative lapse, the delinquent official or officials shall be liable to pay the amount of pecuniary loss to the Government on account of payment of interest;

(iii) The responsibility and the amount of liability on the part of the delinquent official or officials shall be determined in the same manner as in the case of delayed deduction or remittance of Tax Deduction at Source under Section 201(IA) of the Income-tax Act, 1961. This will be without prejudice to any disciplinary action which the disciplinary authority may propose to take against the official or officials responsible for the administrative lapse in this respect.

9. Investment of the Accumulated Pension Corpus. –

The Accumulated Pension Corpus in respect of a Subscriber shall be invested by such pension fund or funds and in such manner as may be notified by the Authority.

10. Option to avail benefits on death or invalidation or disability of Subscriber during service. –

(1) Every Government servant covered under the National Pension System shall, at the time of joining Government service, exercise an option in Form 1 for availing benefits under the National Pension System or under the Central Civil Service (Pension) Rules, 1972 or the Central Civil Service (Extraordinary Pension) Rules, 1939 in the event of his death or boarding out on account of disablement or retirement on invalidation. Government servants, who are already in Government service and are covered by the National Pension System, shall also exercise such option as soon as possible after the notification of these rules.

(2) The option shall be exercised to the Head of Office who will accept the same after verifying all the facts submitted therein and place it in the service book. A copy of the option shall be forwarded by the Head of Office to the Central Recordkeeping Agency through the Drawing and Disbursing Officer and the Pay and Accounts Officer for their record. The Pay and Accounts Officer shall also make suitable entry in the online system indicating the details regarding the option exercised by the Government servant.

(3) (a)(i) Every Government servant shall, along with the option in Form 1, also submit details of family in Form 2 to the Head of Office;

(ii) If the Government servant has no family, he shall furnish the details in Form 2 as soon as he acquires a family.

(b) The Government servant shall communicate to the Head of Office any subsequent change in the size of his family, including the fact of marriage of his child.

(c) As and when a disability referred to in the proviso to sub-rule (6) of rule 54 of the Central Civil Service (Pension) Rules, 1972 manifests itself in a child which makes him unable to earn his living, the fact shall be brought to the notice of the Head of Office duly supported by a Medical Certificate from a Medical Officer, not below the rank of a Civil Surgeon. This may be indicated in Form 2 by the Head of Office. As and when the claim for family pension arises, the legal guardian of the child may make an application supported by a fresh medical certificate from a Medical Officer, not below the rank of Civil Surgeon, that the child still suffers from the disability.

(d)(i) The Head of Office shall, on receipt of the Form 2, acknowledge receipt of the Form 2 and all further communications received from the Government servant in this behalf, countersign it indicating the date of receipt and get it pasted on the service book of the Government servant concerned;

(ii) The Head of Office on receipt of communication from the Government servant regarding any change in the size of family shall incorporate such a change in Form 2.

(4)(i) The option exercised under sub-rule (1), may be revised at any number of times by the Subscriber before his retirement by making a fresh option intimating his revised option to the Head of Office. On receipt of the revised option, the Head of Office and the Pay and Accounts Officer shall take further action as mentioned in sub-rule (2);

(ii) A Subscriber who is discharged on invalidation or disability shall be given an opportunity to submit a fresh option at the time of such discharge;

(iii) Where such Subscriber does not exercise a fresh option or is not in a position to exercise fresh option at the time of discharge, the option already exercised by the Subscriber shall become operative;

(iv) Where no option was exercised by the Subscriber and the Subscriber is not in a position to exercise an option at the time of discharge, his case will be regulated in accordance with sub-rule (6).

(5) In the case of death of a Subscriber while in service, the last option exercised by the deceased Subscriber before his death shall be treated as final and the family shall have no right to revise the option.

(6)(i) Where a Subscriber who did not exercise an option under sub-rule (1) and dies before completion of service of fifteen years or within three years of the notification of these rules, his family will be granted family pension in accordance with the provisions of the Central Civil Services (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules,1939 as the case may be, as a default option;

(ii) Where a Subscriber is discharged from Government service on invalidation or disability before completion of service of fifteen years or within three years of the notification of these rules without exercising an option under sub-rule (1), and is also not in a position to exercise an option at the time of discharge, he will be granted invalid pension or disability pension in accordance with the provisions of the Central Civil Services (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules,1939 as the case may be, as default option;

(iii) In all other cases, where no option was exercised by the Subscriber, the claim of the Subscriber on discharge from the service and that of the family on death of the Subscriber, shall be regulated in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015, as default option.

(7) In cases where the option exercised by the deceased Subscriber in accordance with sub-rule (1) or the default option in accordance with sub-rule (6) for benefit under the Central Civil Services (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules, 1939 becomes infructuous on account of non-availability of an eligible member of the family for grant of family pension under the Central Civil Services (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules, 1939, such option would be deemed to have become invalid and the benefits admissible under the National Pension System shall be granted to the legal heir(s) of the employee in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

11. Retirement on superannuation. –

A Subscriber, who is retired on his attaining the age of superannuation or, if the service of the Subscriber has been extended beyond superannuation, on expiry of such period of extension of service beyond the age of superannuation, shall be entitled to benefits as admissible under the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015 to the Subscriber retiring on superannuation.

12. Retirement on completion of twenty years’ regular service. –

(1) At any time after a Subscriber has completed twenty years’ regular service, he may, by giving notice of not less than three months in writing to the appointing authority, retire from service :

Provided that this rule shall not apply to a Subscriber, including scientist or technical expert, who is, ~

(i) on assignments under the Indian Technical and Economic Cooperation (ITEC) Programme of the Ministry of External Affairs and other aid programmes ;

(ii) posted abroad in foreign based offices of the Ministries or Departments ;

(iii) on a specific contract assignment to a foreign Government, unless, after having been transferred to India, he has resumed the charge of the post in India and served for a period of not less than one year.

Explanation.- For the purposes of this rule,-

(a) “Regular service ” shall mean service commencing from the date of joining of a post in the Central Government on a regular basis, whether on direct recruitment or absorption or re-employment basis, and shall include past regular service, in the same or another Central Government Department, a State Government or an autonomous or statutory body, before joining the present service with proper permission, if such past service is allowed to be counted as qualifying service for the purpose of gratuity in accordance with the orders issued by the Government from time to time.

(b) periods spent on all kinds of leave (including study leave and extraordinary leave), deputation or foreign service, duly sanctioned by the competent authority, shall be treated as regular service for the purpose of this rule.

(c) service rendered on casual, ad-hoc or contract basis, before appointment on regular basis, in the same or another Central Government Department, a State Government or an autonomous or statutory body, shall not be treated as regular service for the purpose of this rule.

(2) The notice of voluntary retirement given under sub-rule (1) shall require acceptance by the appointing authority :

Provided that where the appointing authority does not refuse to grant the permission for retirement before the expiry of the period specified in the said notice, the retirement shall become effective from the date of expiry of the said period.

(3)(a) Subscriber referred to in sub-rule (1) may make a request in writing to the appointing authority to accept notice of voluntary retirement of less than three months giving reasons therefore.

(b) The appointing authority, on receipt of a request under clause (a), subject to sub-rule (2), may consider such request for the curtailment of the period of notice of three months on merits and if he is satisfied that the curtailment of the period of notice will not cause any administrative inconvenience, the appointing authority may relax the requirement of notice of three months.

(4) Subscriber, who has chosen to retire under this rule and has given the necessary notice to that effect to the appointing authority, shall be precluded from withdrawing his notice except with the specific approval of such authority:

Provided that the request for withdrawal shall be made at least fifteen days before the intended date of his retirement.

(5) This rule shall not apply to a Subscriber who, –

(a) retires under the Special Voluntary retirement Scheme of Department of Personnel and Training relating to voluntary retirement of surplus employees as notified by their Office Memorandum No. 25013/6/2001-Estt. (A) dated the 28th February, 2002 as amended from time to time; or

(b) retires from Government service for being absorbed in an autonomous body or a public sector undertaking.

Explanation. – For the purposes of this rule, the expression “appointing authority” shall mean the authority which is competent to make appointments to the service or post from which the Subscriber seeks voluntary retirement.

(6) The Subscriber, on voluntary retirement from service, shall be entitled to benefits admissible under the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015 to the Subscriber retiring on superannuation.

(7) If the Subscriber intends to continue his Individual Pension Account or to defer payment of benefits under the National Pension System beyond the date of retirement, he shall exercise an option in this regard in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

13. Benefits on retirement under rule 56 of fundamental rules or under the special voluntary retirement scheme.-

(1) A Subscriber,-

(i) who retires or is retired, in advance of the age of Compulsory retirement in accordance with rule 56 of the Fundamental Rules, 1922; or

(ii) who, on being declared surplus to the establishment in which he was serving, opts for Special Voluntary Retirement Scheme of Department of Personnel and Training as notified vide Office Memorandum No. 25013/6/2001-Estt. (A) dated the 28th February, 2002 as amended from time to time, shall be entitled to benefits as admissible under the Pension Fund Regulatory and Development Authority ( Exits and Withdrawals under National Pension System) Regulations, 2015 to the Subscriber retiring on superannuation :

Provided that a Subscriber who on being declared surplus to the establishment in which he was serving, opts for Special Voluntary Retirement Scheme of Department of Personnel and Training, shall also be entitled to the ex-gratia admissible under the Scheme in addition to benefits admissible under the Pension Fund Regulatory and Development Authority ( Exits and Withdrawals under National Pension System) Regulations, 2015.

(2) If the Subscriber intends to continue his Individual Pension Account or to defer payment of benefits under National Pension System beyond the date of retirement, he shall exercise an option in this regard in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

14. Resignation from Government service. –

(1) On resignation from a Government service or a post, unless it is allowed to be withdrawn in the public interest by the appointing authority, the lump sum and the annuity out of the Subscriber’s accumulated pension corpus shall be paid to him in accordance with the regulations notified by the Authority as admissible in the case of exit of a Subscriber from the National Pension System before superannuation :

Provided that such payment of lump sum withdrawal and annuity shall not be made before the expiry of a period of ninety days from the date on which the resignation becomes effective and the Subscriber is relieved of his duty :

Provided further that if the Subscriber dies before the expiry of a period of ninety days from the date on which the resignation becomes effective, the payment shall be made to the person eligible to receive such payment immediately in accordance with the regulations notified by the Authority as admissible in the case of exit of a Subscriber from the National Pension System before superannuation :

Provided also that such person may, at his option, continue to subscribe to the National Pension System with the same Permanent Retirement Account Number, as a non-Government subscriber in accordance with the regulations notified by the Authority.

(2) Where with proper permission, the resignation has been submitted to take up another appointment, whether temporary or permanent, in the same or any other Department of the Central Government or the State Government and the employees of such Department are covered by the National Pension System, the Subscriber shall continue to subscribe to the National Pension System with the same Permanent Retirement Account Number on the new appointment and shall be deemed to be a member of the National Pension System from the date he joined the Government service on a post to which he was first appointed :

Provided that where the employees of such Department or State Government are not covered by the National Pension System, the Subscriber shall be eligible to receive benefits under National Pension System in accordance with the Pension Fund Regulatory and Development Authority ( Exits and Withdrawals under National Pension System) Regulations, 2015 as admissible in the case of exit of Subscriber on superannuation :

Provided further that where the employees of such Department or State Government are not covered by the National Pension System, such subscriber may, at his option, continue to subscribe to the National Pension System with the same Permanent Retirement Account Number as a non-Government subscriber, in accordance with the regulations notified by the Authority, in this regard.

(3) The appointing authority may permit a person to withdraw his resignation in the public interest on the following conditions, namely: –

(a) the person concerned was not a temporary Government servant at the time of acceptance of his resignation;

(b) the resignation was tendered by the Government servant for some compelling reasons which did not involve any reflection on his integrity, efficiency, or conduct and the request for withdrawal of the resignation has been made as a result of a material change in the circumstances which originally compelled him to tender the resignation;

(c) during the period intervening between the date on which the resignation became effective and the date from which the request for withdrawal was made, the conduct of the person concerned was in no way improper;

(d) the period of absence from duty between the date on which the resignation became effective and the date of which the person is allowed to resume duty as a result of permission to withdraw the resignation is not more than ninety days;

(e) the post, which was vacated by the Government servant on the acceptance of his resignation or any other comparable post, is available.

(4) Request for withdrawal of a resignation shall not be accepted by the appointing authority where a Government servant resigns from service or post with a view to taking up an appointment in or under a private commercial company or a Corporation or Company wholly or substantially owned or controlled by the Government or a Body controlled or financed by the Government.

(5) When an order is passed by the appointing authority allowing a person to withdraw his resignation and to resume duty, the order shall be deemed to include the condonation of interruption in service.

15. Benefit on absorption in or under a corporation, company or body. –

(1) A Subscriber 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 Central Government or a State Government or in or under a Body controlled or financed by the Central Government or a State Government, shall be deemed to have retired from service from the date of such absorption and shall be eligible to receive benefits under the National Pension System in accordance with the Pension Fund Regulatory and Development Authority ( Exits and Withdrawals under National Pension System) Regulations, 2015 as admissible in the case of exit of Subscriber on superannuation:

Provided that the Subscriber shall continue to subscribe to the National Pension System with the same Permanent Retirement Account Number in the new organisation if the same system exists in the new organisation and in that case he shall not receive any benefit under the National Pension System at the time of such absorption but shall receive benefits after exit from the new body or organisation, etc. where Subscriber has been absorbed :

Provided further that where the employees of such autonomous or statutory body or public sector undertaking are not covered by the National Pension System, such subscriber may, at his option, continue to subscribe to the National

Pension System with the same Permanent Retirement Account Number as a non-Government subscriber, in accordance with the regulations notified by the Authority.

(2) The provisions under sub-rule (1) shall also apply to the Subscribers who, on conversion of the Government Department in which they were working, into a public sector undertaking or autonomous body controlled or financed by the Central Government, are absorbed in such public sector undertaking or autonomous body.

(3) The provisions under sub-rule (1) shall also apply to the Subscribers who are permitted to be absorbed in joint sector undertakings, wholly under the joint control of Central Government and State Governments or Union territory Administrations or under the joint control of two or more State Governments or Union territory Administrations.

Explanation ( 1). – Date of absorption shall be, in case, a Subscriber, –

(i) joins a corporation or company or body on immediate absorption basis, the date on which he actually joins that corporation or company or body;

(ii) initially joins a corporation or company or body on foreign service terms, the date from which his unqualified resignation is accepted by the Government; and

(iii) joins a corporation or company or body on conversion of a Government department into a public sector undertaking or autonomous body, the date from which his option to be absorbed in that corporation or company or body is accepted by the Government.

– For the purposes of this rule, body means autonomous body or statutory body.

16. Entitlement on retirement on invalidation. –

(1) The case of a Subscriber acquiring a disability, where the provisions of section 20 of the Rights of Persons with Disabilities Act, 2016 (49 of 2016) are applicable, shall be governed by the provisions of the said section:

Provided that such Subscriber shall produce a disability certificate from the competent authority as prescribed under the Rights of Persons with Disabilities Rules, 2017.

(2) If a Subscriber, in a case where the provisions of section 20 of the Rights of Persons with Disabilities Act, 2016 (49 of 2016) are not applicable, intends to retire from the service on account of any bodily or mental infirmity which permanently incapacitates him for the service, he may apply to the Head of Department for benefits on retirement on invalidation :

Provided that an application for benefits on retirement on invalidation submitted by the spouse of the Subscriber failing which by a member of the family of the Subscriber may also be accepted, if the Head of Department is satisfied that the Subscriber himself is not in a position to submit such application on account of the bodily or mental infirmity :

Provided further that where a Subscriber, who has acquired a disability and in whose case the provisions of section 20 of the Rights of Persons with Disabilities Act, 2016 (49 of 2016) are applicable, intends to retire under this rule, the Subscriber shall be advised that he has the option of continuing in service with the same pay matrix and service benefits which he is otherwise entitled to. In case, the Subscriber does not withdraw his request for retirement under this rule, his request may be processed in accordance with the provisions of this rule.

(3) The Head of Office or the Head of Department shall, on receipt of an application under sub-rule (2), within fifteen days of the receipt of such application, request the concerned authority for examination of the Subscriber within thirty days of receipt of such request, by the following medical authority, –

(a) a Medical Board in the case of a Gazetted Government servant and of a non-Gazetted Government servant whose pay, as defined in sub-rule (21) of rule 9 of the Fundamental Rules, exceeds fifty- four thousand rupees per mensem ;

(b) Civil Surgeon or a District Medical Officer or Medical Officer of equivalent status in other cases.

The medical authority shall also be supplied by the Head of the Office or Department in which the Subscriber is employed with a statement of what appears from official records to be the age of the Subscriber, and if a service book is being maintained for the Subscriber, the age recorded therein should be reported. A copy of the letter requesting for examination by the medical authority shall be endorsed to the Subscriber.

(4) The Subscriber shall appear before the concerned medical authority for medical examination on the date fixed by that authority. The medical authority shall examine the Subscriber to ascertain whether or not the Subscriber is fit for further service or whether he is fit for further service of less laborious character than that which he had been doing.

(5) No medical certificate of incapacity for service may be granted unless the medical authority has received a request from the Head of his Office or Head of Department for medical examination of the Subscriber.

(6) A lady doctor shall be included as a member of the Medical Board when a woman candidate is to be examined.

(7) Where the medical authority referred to in sub-rule (3), has found a Subscriber mentioned in sub-rule (2) not fit for further service or has found him fit for further service of less laborious character than that which he had been doing, it shall issue a Medical Certificate in Form 3. If the Subscriber is found to be unfit for further service, he may be granted benefits on retirement on invalidation.

(8) If the Subscriber, has been found to be fit for further service of less laborious character than that which he had been doing, he shall, provided he is willing to be so employed, be employed on lower post and if there be no means of employing him even on a lower post, he may be granted benefits on retirement on invalidation.

(9) Where a Subscriber, who had exercised option or in whose case the default option under rule 10 is for availing benefits under the Central Civil Service (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules, 1939, and in whose case the provision of section 20 of the Rights of Persons with Disabilities Act, 2016 (49 of 2016) are not applicable, retires on account of any bodily or mental infirmity which permanently incapacitates him for the service, further action will be taken by the Head of Office for disbursement of benefits in accordance with the Central Civil Services (Pension) Rules, 1972.

(10) If the Subscriber, avails the benefits under the Central Civil Services (Pension) Rules, 1972 in accordance with sub-rule (9), the individual pension account of the Subscriber shall be closed and the Government contribution and returns thereon in the accumulated pension corpus of the Subscriber shall be transferred to Government account. The remaining accumulated pension corpus shall be paid to the Subscriber in lump sum.

(11) Where a Subscriber, who had exercised option or in whose case the default option under rule 10 of these rules is for availing benefits under the National Pension System and in whose case the provision of section 20 of the Rights of Persons with Disabilities Act, 2016 (49 of 2016) are not applicable, retires from the service on account of any bodily or mental infirmity which permanently incapacitates him for the service, he may be granted benefits in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015 as admissible in the case of exit of a Subscriber on superannuation.

(12) If a Subscriber, who has become eligible to avail the benefits under the National Pension System in accordance with sub-rule (11), intends to continue his Individual Pension Account or to defer payment of benefits under the National Pension System beyond the date of retirement, he shall exercise an option in this regard in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

17. Entitlement on boarding out from service on account of disablement. –

(1) Where a Subscriber, who had exercised option or in whose case the default option under rule 10 is for availing benefits under the Central Civil Services (Pension) Rules, 1972 or the Central Civil Services (Extraordinary Pension) Rules,1939, is boarded out on account of disablement attributable to Government service, further action will be taken by the Head of Office for disbursement of benefits in accordance with the Central Civil Services ( Extraordinary Pension) Rules, 1939.

(2) If the Subscriber avails the benefits under the Central Civil Services (Extraordinary Pension) Rules, 1939 in accordance with sub-rule (1), the individual pension account of the Subscriber shall be closed and the Government contribution and returns thereon in the accumulated pension corpus of the Subscriber shall be transferred to Government account. The remaining accumulated pension corpus shall be paid to the Subscriber in lump sum.

(3) Where a Subscriber, who had exercised option or in whose case the default option under rule 10 of these rules is for availing benefits under the National Pension System, is boarded out on account of disablement attributable to Government service, he may be granted benefits in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015 as admissible in the case of exit of a Subscriber on superannuation.

(4) If a Subscriber, who has become eligible to avail the benefits under the National Pension System in accordance with sub-rule (3) intends to continue his Individual Pension Account or to defer payment of benefits under the National Pension System beyond the date of retirement, he shall exercise an option in this regard in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

18. Effect of compulsory retirement or dismissal or removal from Government service. –

(1) Where a Subscriber, is compulsorily retired from service as a penalty or is dismissed or removed from Government service, the lump sum and the annuity out of his accumulated pension corpus shall be paid to him in accordance with the regulations notified by the Authority payable to the Subscriber as admissible in the case of exit of a Subscriber from the National Pension System before superannuation :

Provided that the Subscriber, at his option, may continue to subscribe to the National Pension System with the same Permanent Retirement Account Number as a non-Government subscriber, in accordance with the regulations notified by the Authority.

(2) Sub-rule (1) shall be without prejudice to any action being taken in such cases in respect of gratuity and other retirement benefits not covered by these rules and those benefits shall be regulated in accordance with the rules as applicable to such benefits.

19. Effect of departmental or judicial proceedings pending on retirement.-

(1) Departmental or judicial proceedings, which were instituted while the Subscriber was in service but are not concluded before retirement or the judicial proceedings instituted after retirement of the Subscriber, shall not affect the benefits payable to the Subscriber out of his accumulated pension corpus and the lump sum and the annuity out of his accumulated pension corpus shall be paid to him in accordance with the regulations notified by the Authority as admissible in the case of exit of a Subscriber from the National Pension System on superannuation.

(2) The provision under sub-rule (1) shall be without prejudice to any action being taken in such cases in respect of gratuity and other retirement benefits not covered by these rules and those benefits shall be regulated in accordance with the rules as applicable to such benefits.

20. Entitlement for family on death of a Subscriber. –

(1) On death of, – (a) a Subscriber, who had exercised option or in whose case the default option under rule 10 is for availing benefits under the Central Civil Services (Pension) Rules, 1972 or Central Civil Services (Extraordinary Pension) Rules, 1939; or

(b) a retired Subscriber, who was in receipt of an Invalid Pension under the Central Civil Services (Pension) Rules, 1972 in terms of rule 16 or a disability pension under the Central Civil Services (Extraordinary Pension) Rules, 1939 in terms of rule 17 ,

further action will be taken by the Head of Office for disbursement of benefits in accordance with the Central Civil Services (Pension) Rules, 1972 :

Provided that if the death is attributable to Government service, further action will be taken by the Head of Office for disbursement of benefits in accordance with the Central Civil Services (Extraordinary Pension) Rules, 1939 subject to fulfillment of all the conditions for grant of benefits under those rules.

(2) If on death of the Subscriber, benefits are payable to the family under the Central Civil Services (Extraordinary Pension) Rules, 1939 or the Central Civil Services (Pension) Rules, 1972 in accordance with sub-rule (1), the Government contribution and returns thereon in the accumulated pension corpus of the Subscriber shall be transferred to Government account. The remaining accumulated pension corpus shall be paid in lump sum to the person(s) in whose favour a nomination has been made under the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015. If there is no such nomination or if the nomination made does not subsist, the amount of remaining accumulated pension corpus shall be paid to the legal heir(s).

(3) In the case of death of a Subscriber who had exercised option or in whose case the default option under rule 10 is for availing benefits under the National Pension System, such benefits may be granted in accordance with the Pension Fund Regulatory and Development Authority (Exits and Withdrawals under National Pension System) Regulations, 2015.

21. Preparation of list of Subscriber due for retirement. –

(1) Every Head of Department shall have a list prepared every three months, that is, on the 1st January, 1st April, 1st July and 1st October each year of all Subscribers who are due to retire within the next twelve to fifteen months from that date.

(2) A copy of every such list, as specified in sub-rule (1), shall be supplied to the Pay and Accounts Officer concerned not later than the 31st January, 30th April, 31st July or the 31st October, as the case may be, of that year.

(3) In the case of a Subscriber retiring for reasons other than by way of superannuation, the Head of Office shall promptly inform the Drawing and Disbursing Officer and the Pay and Accounts Officer concerned, as soon as the fact of such retirement becomes known to him.

(4) A copy of intimation sent by the Head of Office to the Pay and Accounts Officer under sub-rule (3) shall also be endorsed to the Directorate of Estates, if the Subscriber concerned is an allottee of Government accommodation.

22. Intimation to the Directorate of Estates regarding issue of “no demand certificate”.-

(1) The Head of Office shall write to the Directorate of Estates at least one year before the anticipated date of retirement of the Subscriber who was or is in occupation of a Government accommodation (hereinafter referred to as allottee) for issuing a `No demand certificate’ in respect of the period preceding eight months of the retirement of the allottee.

(2) On receipt of the intimation under sub-rule (1), the Directorate of Estates shall take further action as required.

23. Submission of claim for benefits under the National Pension System on superannuation. –

(1) A Subscriber shall have the option for submission of claim for benefit under the National Pension System through a mode, as specified by the Authority from time to time.

(2) Every Subscriber shall, six months before the date on which he is due to retire on superannuation, or on the date on which he proceeds on leave preparatory to retirement, whichever is earlier, submit to the Head of Office, duly filled withdrawal Form prescribed by the Authority along with the documents mentioned in the withdrawal form. In other cases of retirement or exit from the National Pension System, the Subscriber shall submit to the Head of Office, duly filled withdrawal Form prescribed by the Authority along with the documents mentioned in the withdrawal Form immediately after issue of orders of the competent authority for such retirement or exit. Where the Subscriber has submitted the claim through online mode, he shall submit a signed copy of the print-out of the said withdrawal Form along with the documents mentioned in the withdrawal Form.

(3) The National Pension System shall generate claim IDs and inform nodal officers, i.e. the Pay and Accounts Officers or the Cheque Drawing and Disbursing Officers six months before the date of retirement for those Subscribers who shall retire on superannuation in the next six months .

24. Completion and forwarding of papers for benefits under National Pension System. –

(1) The Head of office shall complete the papers on his part and forward the same to the Pay and Accounts Officer through the Drawing and Disbursing Officer with a covering letter in the Form mentioned below, namely : –

n in an autonomous body or Public Sector Undertaking. Form 4-B.Resignation or Compulsory Retirement as a measure of penalty or Dismissal or Removal from service. Form 4-C.