::Provident Fund Scheme Act::

assam act X of 1955

The Assam Tea Plantations Provident Fund
(1)(and Pension Fund) (8)(and Deposit Linked Insurance Fund)
Scheme Act. 1955

(As amended up to November, 2002)
The 15th June, 1955
An
Act.

to make provision for the framing of a compulsory Provident Fund (2)(and Pension Fund) 11(and Deposit Linked Insurance Fund) Scheme for the (3)(employees) (4)(.......................) employeed in Tea Plantation in Assam.
Preamble : Whereas it is expedient to make provision for the framing of a compulsory Provident Fund (5)(and Pension Fund) (9)(and Deposit Linked Insurance Fund) Scheme for the (6)(employees) employed in tea plantation in Assam.
It is hereby enacted in the Sixth Year of the Republic of India as follows :
1. Short title, extent and commencement : (1) This Act may be called the Assam Tea Plantations Provident Fund (7)(and Pension Fund) (10)(and Deposit Linked Insurance Fund) Scheme Act. 1955.
(2) It extends to the whole of Assam
(3) It shall come into force at once.

         (1), (2), (5), (7) Inserted by Assam Act. X VII of 1967
         (3) Subsituated for the word "Laboures" by Assam Act. X VIII of 1958
         (4) The words "including artisans" deleted by Assam Act. X VIII of 1958
         (6) Subsituated for the word "Laboures" by Assam Act. X VIII of 1958
         (8), (9), (10) Inserted by Assam Act. IX of 1984
         (11) Inserted by Assam Act. I of 1993
(2) Defination : In this Act, unless there is anything repugnent in the subject or context:-
(1)(.................................................................................................................................)
(a) "Contributions" means the deduction from the wages of an (2)(employee) for deposit to the (3)(Provident Fund) (12)(or Insurance Fund) and the amount payable by the employer in respect of each (4)(employee) to the (5)(Provident Fund) (13)(or insurance Fund) under the Scheme.
(b) "Employer" means any person who is the peoprietor of a plantation and including a Managing Agent. Manager, Superitendent, (6)(Managing Director, Director) or any other person who is in-charge of any plantation.
(c) (7)"Fund" means the Provident Fund or the Pension Fund, (14)(or Insurence Fund),as the case may be established under the Scheme.
(d) (8)"Employee"means any person who is employed(including aprentice)to do any skilled or unskilled,manual or clerical work in or in connection with a plantation including its local head office,office,factory,workshop,school or hospital and who gets his wages directly or indirectly from the employer,but does not include a person whose total wages exceed (11)(Rs.6500/-(Rupees six thousand five hundred)per mensem inclusive of dearness allowance and value of food concession,or a person working under a contractor in work not directly with connected with cultivation and manufacture of tea.
(19)(.............................)
(e) "Member" means a of (9)Provident Fund) or the Pension Fund, (15)(or Insurance Fund), as the case may be,
(f) (10)"Plantation" means any tea plantation or (16)tea factory :
(1) Theclause (a) defining the expression "Adult" deleted and the subsequent clause (b), (c), (d), (e), (f), (g), (h) and 9i) renumbered as clause (a), (b),(c),(d),(e),(f),(g) and (h) rspectively by Assam Act X VIII of 1967
         (2), (4) Subsituated for the word "Laboures" by Assam Act X VII of 1958
         (3), (5) Subsituated for the word "Fund" by Assam Act X VII of 1967
         (6) Inserted by Assam Act X VIII of 1958
         (7) Subsituated for the definition of "Fund" by Assam Act X VII of 167.
         (12), (13), (14) Inserted by Assam Act IX of 1984.
         (8) Subsituated for the word "Labourer" by Assam Act X VIII of 1958.
         (11) Subsituated for the figures and word "Rs. 2500/- (Rupees three thousand five hundred)" by Assam Act XXIV of 1995.
         (9) Subsituated  for the word "Fund" by Assam Act X VII of 1967.
         (10) Subsituated for the expression "Plantation" by Assam Act X VIII of 1958.
         (15) Inserted by Assam Act IX of 1984.
         (16) Inserted by Assam Act I of 1993.
         (19) The "Explantation" of employed deleted by Assam Act I of 1993.
(11)(i) with an area of not less than 5 hectares under tea where ten or more employees are employed or were employed on any day of the twelve months preceeding the enforcement of the Scheme and where the crop basis under the Tea Act of 1953 (Act XXIX of 1953) is more than 255 Kg. per hectare or green leaf of more than 1022 kg. per hectare as the case may be or
(12)(ii) with an area of not less than 10 hectores under tea where ten more employees are employed or were employed on any day preceeding twelve months of the enforcement of the Scheme or
(17)(iii) any tea factory manufacturing tea where ten or more employees are employed.
(18)(iv) Notwishstanding anything contained in sub-clause (i), (ii) and (iii) of this clause where it appears to the State Government, whether on an application made to it i this behalf or otherwise, that the employer and the majority of employees in relation to any establishment have agreed that the provisions of this Act should be made applicable to the establishment, it may, by notification in the Official Gazette, apply the provisions of this Act to that establishment on and from the date of such agreement or any subsequent date specified in such agreement.
(g) "Scheme" means the Assam Tea plantation Provident Fund (1)(and Pension Fund) (13)(or the Insurance Fund) Scheme framed under Section 3 (1).
(2)(h) "Wages" means any amount capable of being expressed in terms of money for the time being payable to an employee by the employer for works in or in connection with a plantation and includes dearnes allowance, value of foo concession, amount payable for plucking whether calculated on time or piece rates or otherwise, and leave with wages and maternity allowances or benefits, but does not include-
(a) bonus or
(b) Commission.
(8) "Interest" means the amount payable at the rate of 15 per cent per annum by the Employer over the cobined dues of Employees and Employer's share of contribution following default in depositing within 30 (thirty) days of its collection.
(11), (12) Interested by Assam Act I of 1989.
         (1) Interested by Assam Act X VII of 1967.
         (13) Interested by Assam Act I of 1989.
         (2) Clause (h) as so renumbered by Assam Act X VIII of 1960 was previously numbers as (i) by Assam Act X VIII of 1958.
         (8) Interested by Assam Act I of 1989.
         (17) Interested by Assam Act I of 1993
         (18) Interested by Assam Act I of 1993.
3. (I) Compulsory Provident Fund, ((1)Pension and Insurance)
Scheme :  (1) The State Government may by notification in the official Gazette, frame a Scheme to be called the Assam Tea Plantations Provident Fund (3)(and Pension Fund) (9)(and Insurance Fund) Scheme for the establishment of Provident Fund (4)(and Pension Fund) (10)(and Insurance Fund for providing Life Assurance coverage) for the (5)(..........................) (6)(employees) (7)(..........................) employed in plantation and specify the plantations to which the same shall apply.
(2) A Scheme framed under the provision of subsection (1) may provide for all or any of the matters specified in the Schedule.
(8)(3) The Contribution which shall be paid by the employer to the (9)(Provident Fund) shall be (10)twelve per cent of the total wages including all such allowances as are included within wages as defined in clause (h) of Section 2 for the time being payable to each of the employess and the employers contribution shall be equal to the contributions payable by the employer in respect of him.
Provided that where there exists any provident fund in any plantation at the commencement of this Act and the rate of contribution payable by either the employee or employer is higher than what has been prescribed above, the employee shall have the option within such period as may be fixed by the Board in its meeting to elect either to continue to subscribe to the existing Provident Rund or join the (11)Provident Fund established by this Act Act but the election once made shall not be changed except with the permission of the Board.
Provided further that in respect of the employees opting to subscribe to the existing Provident Fund as above the obligation of the employer and the employee to contribute to the existing Provident Fund shall continue and shall not be affected by the provisions of this Act.
(1) Inserted by Assam Act IX of 1984.
         (3), (4) Inserted by Assam Act X VII of 1967.
         (9), (10) Inserted by Assam Act IX of 1984.
         (5) The word "adult" deleted by Assam Act X VIII of 1958.
         (6) Substituted for the word "Labourer" by Assam Act X VIII of 1958.
         (7) The word "residing and" deleted by Assam Act X VIII 1958.
         (8) The manner of contribution substituted by Assam Act X VIII of 1958.
         (9) Substituted for the word "Fund" by Assam Act XVIII of 1967.
         (10) Substituted for the word "ten" by Assam Act XI of 1999.
         (11) Substituted for the word "Fund" by Assam Act XVII of 1967.
(12)(4) (a) Every employer shall, from time to time pay into the Insurance Fund in respect of every employer in relation to whom he is the employer, such amount not being more than one per cent of the wages as defined under Sub-Section (h) f Section, 2 of the Act for the time being payable as the State Government may, by notification in the official Gazette, specify.
(13)Provided that if the employer fails to deposit the cintribution which he is required to make under clause (a) within 15 (fifteen) days of the close of every month, the employer shall be liable to pay interest at the rate of 15% per annum on the arrear till it is deposited.
(14)Provided further that the employer shall be liable to pay the interest along with the required contribution to make under clause (a).
(b) The Cenral Gvernment may contribute to the Insurance Fund in relation to each employee covered by the Scheme, an amount representing one-half of the contribution which an employer is required by clause (a) to make.
(c) The employer shall pay into the Insurance Fund such further sum of money, not exceeting one-forth of the contribution which he is required to make under clause (a) as the Board may, with due approval of the Government from time to time, determine to meet all the expenses in connection with the administration of Insurance Scheme.
(d) The Central Government may pay into the Insurance Fund such further sum of money representing one-half of the sum payable by the employer under clause (c) to meet all the expenses in connection with the administration of Insurance Scheme.
(e) The Insurance Fund shall vest in the Board of Trustees and shall be administered by it in such manner as may be specified in the Scheme.
(f) The Insurance Scheme may provide that any of its provisions shall take efect either prospectively or retrospectively on such date as may be specified in this behalf in that Scheme.
4. Date f operation of the Scheme : A Scheme framed under this Act may provide that any of its provision shal come into force with effect from such date as may be specified in this behalf, in the Scheme.
(12) Sub-Section (4) (a), (b), (c), (d), (e), (f) inserted by Assam Act IX of 1984.
         (13&14) Provision inserted by Assam Act XIV of 2002.
5. Modification of the Scheme :  The State Government may, by notification in the official Gazette, add to, amend or very (2)(either propectvely or retrospectively) a Scheme framed under this Act.
6. Protection against attachment : 91) The amount standing to the credit of any member in the (1)(or Pension Fund) (3)(or Pension Fund or Insurance Fund) Shall not in any way be capable of being assigned or charged and shall not be liable to attachment under any decree or order of any Court in respect of any debt or liability incurred by the member and neither the Official Assignce nor any Receiver appointed under the Provinical Insolvency Act. 1920 (Act V of 1920) shall be entitled to or have any claim on any such amount.
(2) Any amount standing to the credit of any member in the (2)(Provident Fund) (3)(or Pension Fund or Insurance Fund) at the time of his death and payable under the Scheme to his nominee, and shall be free from any debt r other liability incurred by the deceased or incurred by the nominee before the death of the member.
Provided that where a member dies without appointing any nominee, the amount standing to his credit in the (1)(Provident Fund) (4)or Pension Fund or Insurance Fund) at the time of his death shall be disbursed in accordance with the Provisions made in the Scheme.
7. Penalties : (1) Whoever, for the purpose of avoiding any payment to be made by himself under this Act or under any Scheme or of enabling any other person to avoid such payment, knowingly makes or causes to be made any fals statement or false representation shall be punishable with imprisonment for a term which may extend to one year, or with fine which may extend to five thousand rupees, or with both.
(2)Inserted by Assam Act IX of 1984.
         (1) Subsituted for the word "Fund" by Assam Act XVII of 1967.
         (3) Inserted by Assam Act IX 1984.
         (2) Subsituted for the word "Fund" by Assam Act XVII of 1967.
         (3), (4) Inserted by Assam Act IX of 1984.
         (1) Subsituted for the word "Fund" by Assam Act XVII of 1967.
(2)(1A) An employer who contravenes, or make default in complying with the provisions of Section 3 of the Act in so far as it relates to the payment of administrative charges, shall be punishable with imprisomnent for a term which may extend to three year, but
(a) Which shall not be less than one year and a fine of rupees ten thousand in case of default in payment of the employee's contribution which has been deducted by the employer from the e,ployee's wages
(b) Which shall not be less than six month in any other case and shall also be liable to fine which may extend to five thousand rupees.
(3)(.......................................................................................................................)
7.A. Whoever, having been convicted by a Court of an offence punishable under this Act or the Scheme or the Pension Scheme commits the same offence shall be subject for every such subsequent offence to imprisonment for as term which may extend to five years but which shall not be less than two years and shall also be liable to a fine which may extend to twenty five thousand rupees.
7.AA. (1) Notwithstanding anything contained in the code of Criminal Procedure, 1898 an offence relating to default in payment of contribution by the employer punishable under this Act shall be cognisable.
(2) No Court inferior to that of a Magistrate of the First Class shall try any offence under this Act or the Scheme or the Pension Scheme.
7 (2) A Scheme framed under this Act may provide that any person who contravenes, or makes default in complying with any of the provisions thereof shall be punishable with imprisonment for a term which may extend to one year, or with fine which may extend to four thousand rupees, or with both,
(1)(............................................................................)
3. No Court shall take cognisance of any offence punishable under any such Scheme except on a report in writing of the facts Constituting the offence made by an Inspector with the previous Sanction of such authority as may be specified in this behalf by the State Government.
(2) Sub-Section 7 (1A), (a), (b) 7A, 7AA (1), (2) inserted by Assam Act IX of 1976.
         (3) The prvision below sub-section (b) deleted by Assam Act 1. of 1989.
         (1) Provision below Section 7. (2) deleted by Assam Act IX of 1984.
8. Employer not to reduce wages :  No employer shall be reason only of his liability for any contribution payable under this Act, reduce, whether directly r indirectly, the wages of any employee or except as provided by any Scheme, discontinue which the employee is entitled under the ters of his employement.
9. Inspectors : (1) The State Government may, by notification in the official Gazette, appoint such person as it thinks fit to be as Inspectors for the purpose of the Scheme and may define their jurisdiction.
(2) An Inspector may, in respect of any plantation within his jurisdiction.
(a) Require an employer or members to furnish such information as he may consider necessary for the purpose of the Scheme.
(b) a any reasonable time, after sunrise or before sunset, enter any plantation or its office, require any one in-charge thereof to produce before him such accounts, books, registers and other documents relating to the Scheme and employement f persons in the plantation as he may consider necessary.
(c) examine with respect to any matter to any of the purpose aforesaid, the employer, his agent or servant or any other person found in-charge of the plantation or its office r whom the Inspector has reasonable ground to believe to be or to have been an employee i the plantation.
(d) exercise such other powers as may be assigned by the Government or the Board constituted in accodance with the provisions of the Scheme, with previous aproval of the Government.
(e) every Inspector shall be deemed to be a public servant within the meaning of Section 21 of the Indian Penal Code, 1860 (Act XLV of 1860).
10. Priority of pament of contribution over the debts : (4)(1) The amount due in respect of any contribution under a Scheme or any charges incurred in respect of the administration of any such Scheme, shall where the liability thereof has accured before the person has been adjudicated an insolvent or in the case of a company rdered to be wound up before the date of such order, be deemed to be included among the debt Section (5)530 of the Indian Companies Act, 1956 (............................) are to be paid in priority to all other debts in the distribution of the property of the insolvent or the assets of the Company being wound up as the case may be.
(4) Section 10 re-numbered as 10 (1) by Assam Act IX of 1976.
         (5) Substituted for the figure and words "Section 230 of the Indian Companies Act, 1913 (Act VII of 1913)" by Assam Act IX of 1976.
(6)(2) Without prejudice of the provisions of Sub-Section (1), if any amount is due from an employer (8)whether in respect of the employees' contributions (deducted from one the wages of the employees) or the employer's contribution for a period of more than one month, the amount so due shall be deemed to be the first charge on the assets of the establishment, and shall notwithstanding anything contained in any other law for the time being in force, be paid in priority to all other debts.
11. Responsibility of collection of contribution :
Every employer shall be responsible for collection of the contributions, their remittances in accordance with the provisions of the Scheme and maintenance f necessary records in respect of members of his (9)tea plantation or tea factory and shall bear the cost thereof.
(7)11 (A). If the employer fails to deposit employer's contribution together with the employee's share of contribution within 30 (thirty) days of its collection, the employer shall be liable to pay interest at the rate of 15 per cent per annum on the arrear till it is deposited.
12. Power to make rules : The State Government may, for the purpose of carrying out the provisions of this Act make rules subject to previous publication in the official Gazette.
13. Protection for acts done in good faith :No suir r other legal proceeding shall lie against an Inspector (4)(.........................) in respect of any thing which is  in good faith done or intended to be done under this Act or under the Scheme.
(1)14. Accuulation in the Provident Fund to be transferred to the Fund established under the Scheme :
On the application of the Scheme to a plantation, the accumulation in any existing provident fund standing to the credit of such employees as become members of the (2)(Provident Fund) established under the Scheme, shall, notwithstanding anything contained in any law for the time being in force or any deed or instrument establishing the provident fund be transferred to the Fund established under the Scheme.
(6) Sub-Section 10 (2) inserted by Assam Act IX of 1976.
         (7) Inserted by Assam Act I f 1989.
         (4) The expression "or any other person" deleted by Assam Act IX of 1984.
         (1) Sections 14, 15, 16, & 17 added by Assam Act XVIII of 1958.
         (2) Substituted for the word "fund" by Assam Act XVII of 1967.
         (8) Substituted by Assam Act I of 1993.
         (9) Substituted by Assam Act I of 1993.
15. Mode of recovery of money due from employer : Any amount due from the employer in relation to a planation to which the Act or any Scheme framed thereunder applies in repect of any contribution payable to the (3)Provident Fund) or the Pension Fund as the case may be, damages recoverable under Section 16 of the Act, accumulation required to be transferred under Section 14 or any charges payable by him under any provisions of this Act or any provisions of the Scheme framed thereunder, may if the amount is in arrear, be recovered by the Government or a person authorised by it in the same manner as an arrear of land revenue.
16. Power to recover damages : Where an employer makes a default in the payment of any contribution to the (4)(Provident Fund) or in the transfer of accumulations required to be transferred by him under Section 14 or in the payment of any charges payable under any other provisions of this Act or the Scheme framed thereunder, the Government or any other person authorised by it may recover from the employer such damages, not exceeding (5)(...................................................) the amount of arrear, as it may thing fit to impose.
(6)16. A. (1) Where an employer is convicted of an offence of making default in the payment of any contribution to the (7)(Provident Fund, Pension Fund or Insurance Fund) or in the transfer of accumulations required to be transferred by him under Section 14, the Court may, in addition to awarding any punishment, by rder in writing, require him within a period specified in the order (which the Court may, it if thinks fit and an application in that behalf, from time to time, extend), to pay the amount of contributions or transfer the accumulations, as the case may be in respect of which the offence was committed.
(2) Where an order is made under Sub-Section (1) the employer shall not be liable under this Act in respect of the contribution of the offence during the period of extended period, if any, allowed by the Court, but if on the expiry ofsuc period of extended period, as the case may be the rder of the Court has been fully complied with, the employer shall be deemed to have committed a further offence and shall be punished with imprisonment in respect thereof of under Section 7 and shall also be liable to pay fine which may extend to one hundred rupees for every day after such expiry on which order has not been complied with.
         (3) Subsituted for the word "fund" by Assam Act XVII of 1967.
         (4) Subsitituted for the word "Fund" by Assam Act XVII of 1967.
         (5) The words "25 percent of" deleted by Assam Act IX of 1976.
         (6) Sub-Section 16A. (1), (2), 10(B) Inserted by Assam Act IX of 1976.
         (7) Subsitituted for the words "Fund the Pension Fund" by Assam Act IX of 1984.
16. B. Where an employer, in relation to an eztablishment, transfers that establishment in whole or in part by sale, gift, lease or licence or in any other manner whatsoever, the employer an dhte person to whom the establishment is so transferred shall jointly and severally be liable to pay the contribution and other sums due from the employer under any provision of this Act or the Scheme, as the case may be, in respect of the period upto the date of such transfer.
17. Power to remove difficulties : If any difficulty arises in giving effects to the provisions of this Act,the Government may by order make such other provision or give such direction, not inconsistent with the provision of this Act,as appear to it to be necessary or expedient for the removal of the difficulty.Any provision put in as amendment, addition or explanation of the provision of the Act will have to be ratified by the State Assenbly in the next meeting following the making of such provision by the Government.

THE SCHEDULE
(See Section-3)

Matters to be provided for in the Schemes
(6) 1. (a)            The constitution of a Board of Trustees with 7 nominees of the State Government of whom one shall be the Chairman and one shall be the Vice-Chairman and one shall be Member Secretary, four representatives of the employers and four representatives of the employees.
(b)            The constitution of Primary Committee in each (14) tea plantation or tea factory with two representatives of the employer including the Manager or Superintended or the Manager shall be the Chairman, and two representatives of the (7) (workers) to be nominated by (8) (workers)  concerned.
2.            The appointment of officers and (9) (other staff) of the Board and the opening of (10) (its officers).
3.            The manner in which account shall be kept, the preparation of a budget, the audit of accounts and the submission of report to the State Government.
4.            The conditions under which withdrawals from the (1) (Provident Fund or the Pension Fund as the case may be), may be permitted or any deduction may be made.
(2) 5. (a) (i)       The manner of investment of the whole or any portion of the (3) (Provident Fund) in Government Securities by the Board of Trustees.
(ii)      The fixation of the rate of interest payable to members.
(iii)      The payment by the employer of such sums of money as may be considered necessary by the Board of Trustees to meet the cost of administration of the (4) (Provident Fund) and the rate at which and the manner in which such payment shall be made. 
(b)           The manner in which a Primary Committee may retain a portion of the fund in accordance with the directions of the Board or relevant provisions in the Scheme.
6.           The form in which an employee shall furnish particulars about himself and his family when required.
(6) Para 1 (a) sub Substituted by Assam Act IX of 1984.
(7) (8), (9), (10) Substituted by Assam Act 1 of 1989.
(1) Substituted for the word “Fund” by Assam Act XVIII of 1958.
(3), (4) Substituted by Assam Act XVII of 1967.
(14) Substituted by Assam Act 1 of 1993.

          7.           The nomination of a person to receive the amount standing to the credit of a member after his death and the cancellation or variation of such nomination. The disposal of the amount lying to the credit of member at the time of his death in the absence of any nomination.
8.            The registers and records relating to the Scheme and employment of (11) (workers) to be maintained by the employer and the returns to be furnished by him.
9.             The form or design of an identity card or badge or disc for purposes of identifying the employees and for the issue, custody and the replacement thereof.
(5) 9 A. (a)         The amount that shall be set apart for payment as pensionary, retirement of gratuity benefits.
(b)        The manner of investment of the whole or any portion of the amount set apart for pensionary, retirement or gratuity benefits in Government Securities by the Board of Trustees.
(12)9B. (i)          The employees or class of employees who shall be covered by the Insurance Scheme.
(ii)          The manner of investment of money belonging to the insurance Fund.
(iii)          The scales of assurance amount which shall not be less than the balance in the account of the employees concerned in the Provident Fund or more than rupees (13)fifteen thousand.
(iv)          The minimum balance to be maintained by an employee in the Provident Fund to make him eligible for the benefits under Insurance Scheme.
(v)           The manner in which the amount-due to the nominee of the member of the family of the employee under the Insurance Schemes is to be paid.
10.           Any other matter which may be necessary or proper for the purpose of implementation of the scheme.
(11)           Substituted by Assam Act 1 of 1989.
(5)           Para 9A inserted by Assam Act XVIIn of 1967.
(12)          Para 9B inserted by Assam Act IX of 1984.
(13)           Substituted for the word ten by Assam Act No. XIV of 2002.

 

 

 

 

The 21st July 1968
GLR. 550/65/39 – In exercise of the powers conferred by Section 3 read with Section 5 of
the Assam Tea Plantations Provident Fund and Pension Fund Scheme Act. 1955 (Assam Act X
of 1955) the Governor of Assam is pleased to frame the Assam Tea Plantations Provident
Fund and Pension Fund Scheme. 1968, as follows in supersession of the Scheme published
in this Department Notification No. GLR.572/58 dated 30th September 1959.

THE ASSAM TEA PLANTATIONS PROVIDENT FUND AND PENSIO
FUND SCHEME 1968
CHAPTER -1

1. Short title and application : (i) This scheme may be called the Assam Tea Plantations Provident Fund and Pension Fund and Deposit Linked Insurance Fund Scheme, 1968.

 

(ii) It shall apply to all Tea Plantations and Tea Factories in Assam as defined in the     
Act.
(iii) The provisions of the Scheme shall be deemed to have come into force with
effect from such date as the state Government may notify in this behalf.

1. Definitions : In this Scheme unless there is anything repugnant in the subject or context-
2. “Act” means  the Assam Tea Plantations Provident Fund (and Pension Fund) (and Deposit Linked Insurance Fund) Scheme Act, 1955. (Assam Act X of 1955)
3. “Board” means the Board of Trutees constituted under para 3 of the scheme married or unmarried including adopted children and dependent parents of the member, and the widow and children of the deceased son of the member.

Provident that if a member proves that his wife has ceased under the personal law governing him or the customary law of the community to which the spouse belongs to be entitled to maintenance she shall no longer be deemed to be a part of the member’s family in mattes to which this Scheme relates, unless the member subsequently intimates by express notice in writing to the committee that she shall continue to be so regarded, and
(ii) in the case of a female member, the husband and children of the member, the dependent parents of the husband and the widow and children of the deceased son of the member and in the case of unmarried female member, her dependent parents.
Provided that if a member by notice in writing to the committee express her desire to exclude her husband from the family, the husband shall no longer be deemed to be a part of the member’s family in matters to which this scheme relates, unless the member subsequently cancels in writing any such notice.
Explanation: In either of the above two cases, if the child of a member has been adopted by another person and if, under the personal law of the adopted, adoption is legally recognized such a child shall be considered as excluded from the family of the member.

1. “Inspector” means a person appointed as such under Section 9 of the Act.
2. “Government” means the Government of Assam.
3. “Period of membership” means in respect of a member the period beginning with the date from which the first contribution is paid in respect of such member and ending with the date on which such member ceases to be employed in a plantation.
4. “Government Security” shall have the same meaning assigned to it in the Trust Act, 1882 (Act II of 1882).
5. “Trustee” means a member of the Board of Trustees.
6. “Accounting Year” means the period from first day of April to the thirty first day of March.
7. “Existing Fund” means a fund accumulated by a regular deduction at a certain rate from the wages of an employee..
8. All other words and expression shall have the same meaning respectively assigned to them in the Act.

1. Composition of the Board of Trustees, Executive Committee and Investment Committee.
2. The fund shall be administered by a Board of Trustees to be constituted by the Government consisting of the followings:
3. Chairman to be nominated by the Government.
4. A Vice-Chairman to be nominated by the Government, and/or full-time salaried Govt. official may be appointed Vice-Chairman by the Govt. official on a monthly remuneration to be fixed by the Govt. in addition to his usual pay and allowances may be appointed Vice-Chairman by the Govt. The remuneration of such Vice-Chairman shall be borne by the Board.
5. Four persons who will be in the officials of the Government to be nominated by the Government.
6. Secretary-cum-P.F. Commissioner of the Board appointed under Para 20 of the Scheme shall be ex-officio Member.
7. Four persons representing employees to be nominated by the Government in consultation with the Employees’ union concerned.
8. Four persons re-presenting employers to be nominated by the Government in consultation with their Employers’ Association.
9. An executive Committee of the Board shall be constituted from amongst the Trustees consisting of:
10. The Chairman of the Board.
11. The Vice-Chairman of the Board.
12. The member Secretary-Cum P.F Commissioner of the Board.
13. A person being an official nominated by the Government as a Trustee.
14. A person from the Trustees representing the employees elected at a meeting of the Board.
15. A person from the Trustees representing the employers elected at a meeting of the Board.
16. An investment Committee of the Board shall be constituted from among the Trustees consisting of:
17. The Chairman of the Board.
18. The Vice-Chairman of the Board.
19. The Member Secretary-Cum P.F commissioner of the Board.
20. A person being an official nominated by the Government as a Trustee of the Board.
21. A person from the Trustees representing the employees elected at a meeting of the Board.
22. A person from the Trustees representing the employers elected at a meeting of the Board.
23. Terms of office: Excepting the Trustees under 3 (a) (i), (ii) and (iii) who will hold office during the pleasure of the Government of Assam, the term of office of the Trustees shall be three years.

Provided that an outgoing Trustee shall be eligible for renomination
Provided further that a member nominated under Sub-clause (v) and (vi) of clause (a) of para 3  above shall continue in the office until the nomination of his successor.

1. Resignation: A Trustee may resign his office by notice in writing to the Government.
2. Cessation of Trusteeship : A Trustee shall cease to hold office if he fails to attend three consecutive meetings of the Board without obtaining leave of absence from the Chairman of the Board.
3. Removal of Trusteeship: The Government may remove from office any Trustees, if it is satisfied that this is necessary in the interests of the Fund.
4. Filling of vacancies : The Government may fill by nomination any vacancy in the Board, and for such period as may be necessary.
5. Authentication of orders, decision, etc: All orders and decisions of the Board shall be authenticated by the signature of its Chairman or by some officer or member of the Board, as the case may be authorized by it in this behalf.
6. Powers of the Executive Committee and Investment Committee: Subject to the General superintendence and control of the Board.
7. The Executive Committee shall administer the affairs of the Fund, shall take such steps and incur such expenditure as may be necessary for efficient administration of the Fund.
8. The investment Committee shall, unless otherwise directed by Government, decide the manner of investment and the particular Government Securities mentioned in the Trust Act, 1882 in which all monies of the Fund shall be invested.
9. Disposal of Business: (a) Every question which is to be considered by the Board shall be considered either at a meeting of the Board or if the Chairman so directs, by sending the necessary papers to all the Trustees for opinion.
10. When a question is referred under sub-paragraph (a) for opinion any Trustees may request that the question be considered at a meeting of the Board and thereupon the Chairman shall direct that it be so considered.
11. Meeting of Board of Trustees and Executive Committee:

The Board and the Executive Committee shall meet at such place and time as may be appointed by the Chairman.

1. Notice of meeting and list of Business:
2. Notice of not less than fifteen days from the date of posting shall be given of the time and place fixed for each meeting of the Board or of the Executive Committee as the case may be to every Trustee or to every member of Executive Committee, and to such notice shall be attached a list of business to be discussed at the meeting.

Provided that when the Chairman calls a meeting of the Board or Executive Committee for considering any matter which in his opinion is urgent a notice giving such reasonable time, as he may consider necessary, shall be deemed sufficient.

1. No business, which is not on the list, shall be considered at the meeting except with the permission of the Chairman or the Vice-Chairman as the case may be.
2. President of the meeting:

The Chairman of the Board shall preside over every meeting of the Board, the Executive Committee and the Investment Committee at which he is present. In the absence of the Chairman, the Vice-Chairman shall preside over the meeting of the Board, the Executive Committee and the Investment Committee.

1. Quorum:
2. No business shall be transacted at a meeting of the Board, whether ordinary or emergent, unless at least five Trustees are present, of whom at least one shall be a Trustee on behalf of employees and at least one shall be a Trustee on behalf of the employers of the Tea Estates.
3. No business shall be transacted at a meeting of the Executive Committee unless three members are present, of whom one shall be a Trustee on behalf of the employees and one shall be a Trustee on behalf of the employers of Tea Estate.
4. If at any meeting the number of Trustees or number of Members in the Executive Committee as the case may be is less than the required quorum, the Chairman or the Vice-Chairman as the case may be shall adjourn the meeting to a date not less than seven days later informing the Trustees or Members present immediately and also give the information to the absentee Trustee or Member of the date, time and place of the adjourned meeting, and it shall thereupon be lawful to dispose of the business at such adjourned meeting whether the quorum is secured or not.
5. Recommendation by Majority:
6. Every question at a meeting of the Board, or the Executive Committee shall be decided by a majority of votes of the Trustees a member of the Executive Committee present and voting, but the minority may require the dissent to be noted.
7. Every question referred to the Trustees for opinion shall unless reserved for consideration at a meeting, be decided in accordance with the opinions received within the time limit allowed.
8. In the case of equality of votes or opinions, the Chairman or the Vice-Chairman as the case may be shall exercise as additional vote or opinion.
9. All decisions of the investment Committee must be supported by the Chairman or the Vice-Chairman as the case may be and majority of the members of the investment committee.
10. Minutes of Meetings:
11. The proceedings of a meeting of the Board or the Executive or Investment Committee shall be circulated to all Trustees or members as the case may be, and thereafter shall be recorded in a minute book to be kept as a permanent record.
12. The record of the proceedings of each meeting shall be signed by the Chairman or the Vice-Chairman as the case may be, after confirmation at the next meeting.

1. Acts of the Board, etc., not invalid by reason of defect in constitution, etc.:

No act of the Board, the Executive Committee or the Investment Committee shall be deemed to be invalid by reason of any defect in the constitution of the Board, the Executieve or the Investment Committee, or on the ground that any Trustees, or member thereof was not entitled to hold or continue in office by reason of any disqualification or of any irregularity in his nomination or by reason of such act having been done during any period of any vacancy in the Board, Executive or the Investment Committee.

1. Allowances: The Board may decide subject to the approval of Government the rate of travelling and daily allowances to be paid from the Fund to the Trustes or members of the Executive or Investment Committee.
2. Staff:
3. The Board may employ a Secretary-Cum P.F Commissioner with the approval of the Government and such staff as may be necessary for the efficient administration of the Scheme.

Provided that the sanction of Government shall be obtained for the creation of any post with a maximum salary of Rs. 1,600/- and above, the duration of which Is likely to be more than six months.

1. The Board shall, with the approval of Government make regulations regarding recruitment, pay and allowances, discipline, superannuation benefit, and other conditions of service of the members of the Staff.
2. Primary Committee:
3. A Primary Committee shall be constituted by the Board of Trustees in each Tea Plantation or Tea factory and it shall consist of the following persons:- (i) Two representatives nominated by the employer, of whom one shall be either the Manager or Superintendent of the Plantation or the factory and either the Superintendent or the Manager shall be the Chairman of the Committee.

(ii) Two nominees of the members concerned to be appointed by the Board of Trustees.

1. (i) The Board of Trustees may for the purpose of carrying out the provision of the Scheme make regulations for the guidance of Primary Committee.

(ii) In particular and without prejudice to the generality of the foregoing power such regulations may provide for all or any of the following maters, namely:

1. The time and place of sitting, procedure and quorum for meeting
2. Resignation of members and the filling of vacancy.
3. The functions and duties of Primary Committee.
4. Maintenance of records.
5. Form of accounts and submission of returns and reports.
6. The term of the members of the Primary Committee shall be three years. Provided that an outgoing member will be eligible for renomination.
7. The Government may remove from office any member of a Primary Committee if it is satisfied that his continuance in such office will nto be in the interest of the Fund.

                                        
CHAPTER – II
PROVISIONS REGARDING PROVIDENT FUND

1. Employees required to join the Fund:
2. Every employee as defined in the Assam Tea Plantations Provident Fund Schceme (Amendment) Act, 1955, other than those who opted out for any existing Fund Scheme as laid down in Section 3 of the said Act, shall be required to join the Fund and become a member thereof immediately after enforcement of the Act.
3. The Board may allow withdrawal of membership in respect of those members whose total wages exceed Rs. 5000/- per mensum and of those members who are promoted to executive post such as Managers and Assistant Managers.
4. Employees who will be employed in a plantation after commencement of the Act, shall be compulsorily required to join the Scheme. The employees who are due to retire shortly may be permitted not to join the Scheme. Such permission should not be allowed after 31st December, 1958.

 

1. Rate of Contribution:
2. The contribution which shall be paid by the employer to the Fund shall be twelve     

per cent of the total wages payable to each member of the Fund and such Member shall contribute an amount equal to the employer’s contribution in respect of him.
(b) For purpose of calculation of contributions, any sum payable as T.A. Shall not be taken to constitute wages.
(c) An employed may contribute voluntarily to the Fund any amount not exceeding the total amount of employees and employers’ shares of contribution for the wage period in respect of his/her, for which there shall be no contribution from employer.
24. Procedure of Collection :
(a) The employer shall, in the first instance, pay in respect of the wage period both the contribution payable by himself and also on behalf of the member employed by him.
(b) The amount of member’s contribution paid by the employer shall notwithstanding any law for the time being in force, or any contract to the contrary, be recoverable by means of deduction from the wages of the member and not otherwise.
(c) Any sum deducted by an employer from wages under this Scheme shall be deemed to have been entrusted to him for the purpose of paying the contribution, in respect of which it was deducted.
(d) The employer shall deposit in a branch of the State Bank of India or Reserve Bank of India or such other nationalized Bank as the Board may prescribe, the total contributions from himself and from member employed by him, less such amount as may under rules framed by the Board of Trustees by payable on closure of a member’s account in the Fund or be payable as an advance to member.
(e) A statement in form No.1 shall be submitted by the employer to the Board with a receipt for the deposit made in accordance with (d) above within one month of collection of the contributions.
(f) The accumulations with interest standing at the credit of a member whose provident fund account has been transferred from any existing fund shall be transferred to the Fund in such manner and within such time as the Board may direct.
25. Member’s Account :
(a) An account shall be maintained by the employer in the name of each member showing :
(i)         his contribution.
(ii)        the employer’s contribution.
(iii)       interest as provided in paragraph 26.
(iv)       advanced and repayment of advances.
(v)        final payment on closure of the account.
(a) (a) The employer shall furnish a statement in Form No. 5 to board every year.
(b) An annual statement in Form No 5A showing the amount at credit in a member’s account shall be prepared by the Board after the account have been audited by its official shall be furnished to such member through the employers concerned.

26. Interest :
The Board shall determine the interest payable on the account of each member on the credit balance of such member on such date in accounting year as may be decided by the Board.
27. Account of the Board of Trustees :
The Board shall maintain the overall account of the Fund in such form and manner as may be specified by it with approval of the Government.

 

28. Nomination :
(1) Each member shall make in his declaration in Form No. 3 a nomination conferring the right to receive the amount that may stand to his credit in the event of his death before the amount has become payable.
Provided that in the case of a member below the age of majority as defined in the Indian Majority Act, 1875, shall make such nomination only on his attaining the age of majority. Pending such nomination on behalf of the minor, but such nomination shall be valid only during the period of his minority.
(2) A member or, if he is below the age of majority his legal natural guardian may in his nomination distribute the amount, that may stand to his credit in the Fund amongst his nominees at his own discretion.
(3) If a member has a family at the time of making nomination, it shall be in favour of one or more person belonging to his family. Any nomination made by such member in favour of a person not belonging to his family shall be invalid.
(4) If at the time of making a nomination the member has no family, the nomination may be in favour of any person or persons but if the member subsequently acquires a family, such nomination shall forthwith be deemed to be invalid and the member shall make fresh nomination in favour of one or more persons belonging to his family.
(5) A nomination made under Sub paragraph (1) may at any time be modified by a member, or if he is below the age of majority of age his legal natural guardian, after giving a written notice of his intention of doing so, if the nominee predecease the nomination in respect of such interest.
(6) A nomination or its modification shall take effect to the extent that it is valid on the date on which it is received by the Board.
29. Withdrawals from the Fund :
(a) On application to the Primary Committee, a member may withdraw the full amount standing to his credit in the Fund, if-
(i) he retires permanently, or
(ii) his services are terminated by the employer, or
(iii) his ceases to be employed in a plantation for more than six months or
(iv) He is an emigrant labour and is exercising his right of repatrition.
All settlements shall be in Form No.4 and attested by a member of the primary Committee.
(b) The Board may at its discretion permit withdrawal of the full amount standing to the credit of a member in Fund if, he is promoted to a post executive cadre such as Manager of Assistant Manager, or if his wages exceed Rs. 5000/- per mensem.
(c) (i) If a member is dismissed for gross misconduct, the employer shall pay off the member’s portion of the contribution and interest thereon and shall send intimation to the Board stating the nature of misconduct, the views of the Primary Committee on the question of forfeiture of the employer’s portion of contribution with interest thereon. The Board may with the approval of Government, forfeit to Fund the whole or part of the employer’s contribution and interest thereon.
Explanation : The expression “Gross misconduct” shall cover cases of person convicted in Courts of law for violence.
(ii) Any amount forfeited under item (1) shall not be returned to the employer but shall be credited to the Assam Tea plantations Employee’s Welfare Fund constituted under Section 3 of the Assam Tea Plantations Employee’s Welfare Act, 1959.
(c) The State Government may, by general or special order, specify the date with effect from which any sum already forfeited to the Fund or to be forfeited in respect of those members dismissed for gross misconduct shall be credited to the account of the Assam Tea Plantations Employee’s Welfare Fund constituted under section 3 of the Assam Tea Plantations Employee’s Welfare Fund Act, 1959.
(f) Any amount not exceeding 50 per cent of the accumulation standing at the credit of a member may be withdrawn not more than once in every six months to make payment towards Life Insurance Policy which is held by a member on his own life not in accordance with Life Insurance Scheme drawn up by the Board on the following terms and conditions :
(i) Withdrawal of an amount exactly equivalent to the value of a premium may be permitted after obtaining from the Life Insurance Corporation details of the Policy which must not have any prior assignment and which must be free from all encumbrances.
(ii) The Policy must be assigned to the Board within six months of the first withdrawal in respect of it.
(iii) The terms of the Policy shall not be altered nor the Policy be exchanged for another Policy.
(iv) A receipt from the Life Insurance Corporation of India indicating utilization of the amount withdrawal shall be sent to the Secretary-Cum-P.F. Commissioner of the Board within one month from the date of actual withdrawal.
(v) Any amount drawn in excess or not utilized towards payments of Insurance Premia shall be recovered from the member with interest at such rate as the Board may decide and shall be credited to the account of the member.  
30. Transfer of Account
If a member is transferred from one plantation to another, his account shall be transferred by the transferring plantation to the receiving one with details one with prescited in Form No 2.

 

31. Provident Fund of deceased member
On the death of a member before the amount standing to his credit has become payable, or when the amount has become payable before payment has been made.

1. If a nomination made by the member in accordance with paragraph 28 subsists, the amount standing to his credit in the Fund, or that part to which the nomination relates shall become payable in according with such nomination.
2. If no nomination subsists or if the nomination relates only to a part of the amount standing to his credit in the Fund, the whole amount or the part thereof to which nomination does not relate, as the case may be, shall become payable to the member of the family in equal shares.

Provided that no share shall be payable to :

1. Sons who have attained majority
2. Sons of deceased who have attained majority
3. Married daughter whose husband are alive
4. Married daughter of a deceased son whose husband are alive.

Provided further that the widow or widows and the child or children of a deceased son shall receive between them in equal parts only the share which that son would have received if he had survived the member and had not attained the age of majority at the time of the member’s death.

1. If any case to which the provisions of clauses (i) and (ii) do not apply,

Whole amount shall be payable to the person legally entitled to it.
            32. Distribution where shares no specified :
In the cases where there is more than one nominee, and no share has been specified, the amount due shall be payable to all nominees in equal shares.
            33. Payment of Provident Fund :
(a) It shall be the duty of the Board to make prompt payment as provided in the scheme, for this purpose the following procedure shall be adopted:
(i) Where payment is to be made to a member who is discharged or due to be repatriated, or to a nominee of a deceased member, the Chairman of the Primary Committee, in consultation with the primary Committee, shall close the account of the member and tender payment in behalf of the Board from the collection of the contributions of the current week after obtaining a receipt in Form No. 4 and shall record such payment in the relevant column in Form No. 1.
(ii) Where payment is to be made to a member dismissed for gross misconduct the employee’s own portions of the contribution shall be paid off forthwith in the manner prescribed in (i) above. Regarding the employer’s portion of the contributions, a report  on the nature of the misconduct, the amount involved and the recommendation of the Primary Committee on the proposal of forfeiture, shall be forwarded to the Board for a decision. Provided that the account of a member whose discharge or dismissal is under dispute, shall not be finally closed until decision of the dispute.     
(iii) If the collection of contributions of the current wage period is inadequate to meet the amount to be repaid to member at a time, the Chairman of the Primary Committee may report to the Board with full details of the payees. The Chairman of the Board of Trustees shall then forward the required amount to Chairman of the Primary Committee who shall be held responsible for proper disbursement and accounting of the amount received from the Board.
(b) Unclaimed amount shall be kept alive for three years after which the Board may decide to credit such amounts as lapsed to the Fund. Such lapsed amount shall be credited to the Assam Tea Plantations Employee’s Welfare Fund constituted under section 3 of the Assam Tea Plantation Employee’s Welfare Fund Act 1959.
Provided that if any claim is preferred by any member whose account is treated as lapsed and transferred to Assam Tea Plantation Employee’s Welfare Fund, payment in settlement of such lapsed account shall be made with interest at the rate as may be declared buy the Board from time to time upto the date preceding the date of actual payment, by the Assam Tea Plantations Employee’s Welfare Fund and Pension Fund Scheme.
(c) The state Government may, by general or special order, specify the date with effect from which unclaimed amount already lapsed or to be Provident fund shall be credited to the Assam Tea Plantations Employee’s Welfare Fund constituted under Section 3 of the Assam Tea Plantations Employee’s Welfare Fund Act, 1959.
34. Advanced from the Fund
(1) (a) The Primary Committee may grant loans and advances not exceeding 25 per cent of the total amount standing at the credit of a member or nine month’ pay whichever is less for the following purposes :
(i) Marriage or death ceremony in a member’s family.
(ii) Marriage ceremony of the unmarried sister solely dependent on the member.
(iii) Specialised Medical Treatment for complicated and threatening diseases in case of the member himself/herself and/ or any member of the family as defined under para 2(c) of the Scheme.
(iv) Higher Education at the University level or Engineering/Medical Education of the children including adopted children of the member.
(b) The primary committee with the approval of the Board shall prescribe the period in which loans shall be repaid
(c) No loan shall be given during the period a loan being repaid and no loan shall be granted until after interval of three months from the repayment of a previous loan, save and except with the sanction of the Board.
(d) All loans and advances shall be recorded in form No. 4
(e) Grant of advance in special cases: Government may, when the subscriber a facing hardship because of famine or searcity conditions or for reasons of temporary suspension of employment for no fault of a subscriber, allow withdrawal by any subscriber from his provident Fund account which may be either recoverable or non-recoverable.
(f) The Board may grant non-refundable advances to a member for purchase of shares of Consumers’ Industrial Co-operative Societies organized in the tea garden areas and also for payment of premia for Life Insurance policies on the following terms and conditions:
(i) A member subscribing to insurance policies in accordance with the Scheme drawn up by the Board shall be required to assign such policy in favour of the Board.
(ii) The Board will pay the premium from the provident Fund Accumulation of the member to the Life Insurance Corporation and shall be responsible for such payment until maturity of the policy or the death of the member whichever is earlier, whereupon the total amount due from the Life Insurance Corporation shall be payable to the nominee of the member.
(iii) The terms of the policy shall not be altered nor shall the policy be exchanged for another policy without prior consent of the Board.
(iv) A policy to be acceptable under this clause shall be affected by the member of his own life and shall be such as may be legally assigned by the member to the Board.
(v) An actual payee’s receipt indicating utilization of the amount drawn for purchase of share of Consumers’ and Industrial C-operative Societies shall be sent to the Secretary cum P.F. Commissioner of the Board within one month of the actual drawl of the amount, failing which the amount with interest thereon calculated at such rate as the Board may decide, shall be recovered from the member and re-credited to his account.
(vi) No sale or transfer of the share of the Consumers’ and Industrial Co-operative Societies shall be effected by the member except with the permission of the Board of Trustees.
(g) The Board may on an application from a member sanction from the amount standing to the credit of the member in the Fund an advance equivalent to 24 months’ wages on date of application of his own total contribution, or his own share of cost whichever is less for purchasing dwelling house or a dwelling site or for construction or a dwelling house.
Provided that where the advance is sanctioned for the purchase of a dwelling site, the amount that shall be initially paid towards such advance shall not exceed 12 months’ wager on the date of application or half of his own total contribution, or the cost of the site whichever is less and the balance which shall not exceed 12 months wages of the member of half of his own total contribution then standing to his credit whichever is less may be paid to the member at the time of construction of a dwelling house on such dwelling site.
Provided further that where the advance is in respect of construction of a dwelling house it may be sanctioned in such number of installments as the Board thinks fit.
(2) No advance under sub-paragraph (g) shall be sanctioned unless-
(a) a member has completed 5 years’ membership of the Fund and has a provident Fund accumulation of Rs. 1000/- at credit on the date of application.
(3) Where an advance is sanctioned for the construction of a dwelling house the construction shall commence within six months of the withdrawal of the first installment. In the case of purchase of a dwelling house or a dwelling site, the purchase shall be completed within six months’ of the withdrawal of the amount. The house or the site purposed to be purchased shall be in the name of the member and shall be free from encumbrances. The house or the site shall not be transferred or sold to any one during the tenure of service of the member.
(4) Except in the cases specified in sub-paragraph (5), no further advance shall be admissible to member under this paragraph.
(5) The Board may grant a further advance to a member not exceeding his 6 months’ wages, or half of his own total contributions stating to the credit in the Fund whichever is less, payable once and in one instalment after a period of 5 years from the date of completion of the dwelling house, if it is satisfied that the member genuinely requires the further advance:
(a) for the additions necessary to the dwelling house already constructed or purchase, or
(b) for completing the construction of the dwelling house already commenced house, the advance shall not be granted unless the dwelling site or as the case may be, the dwelling house is free from encumbrances and is the name of the member. No advance shall be granted for purchasing as share in a joint property or building a house on a land owned jointly.
(7) If the advance granted under this paragraph exceeds the amount actually spent for the purpose for which it was sanctioned, the excess amount shall be refunded by the member to the Fund within thirty days of the finalization of the purchase, or as the case may be, within thirty days of the completion of the construction of, or necessary additions to a dwelling house.
(8) If the Board is satisfied that the advance granted under this paragraph has been utilised for a purpose other than that for which it was granted, or that the conditions of advance have not been fulfilled, or there was a reasonable apprehension that they will not be fulfilled, wholly or partly, or that the excess amount will not be refunded in term of sub-paragraph (7), the Board shall forthwith take steps to recover the amount due with interest at the rate not exceeding 7 per cent annum thereon, from the wages of the member in such number of installments as the Board may determine. For the purpose of such recovery, the Board may direct the employer to deduct each such installments from the wages of the member, and on the receipt of such direction the employer shall deduct accordingly. The amount so deducted shall be remitted by the employer to the Board within such time and in such manner as may be specified in this behalf by the Board, for being credited to the member’s account.
(9) Where any advance granted under this paragraph has been misused, no further advance shall be granted to the member under the said paragraph.
35. Investment:
(a) All money belonging to the Fund shall be deposited in the State Bank of India or such other nationalized banks as the Board may prescribe and shall be invested in Government Securities mentioned in section 20 of the Trust Act, 1882.
(b) The Board shall prepare a classified statement of the assets of the Fund on such date in each year as the Government may specify.
36. Expenses of administration: In order to cover all expenses of administration of the Fund the Employer shall pay an administration charge of such percentage of the total contributions within such time and in such manner as the Board may, with the approval of the Government decide.
37. Bank Account:
(a) The Board may open such number of accounts with the State Bank of India or such other nationalized Banks as the Board may decide for efficient administration of the Fund.
(b) The Bank Account of the Fund shall be operated upon jointly by the Chairman or the Vice-Chairman and the Secretary-Cum-P.F. Commissioner, or the Secretary-Cum P.F Commissioner and the Additional P.F. Commissioner.
(c) The remittances from the Head Office shall be handled and operated upon in the Field offices through the Bank Account in the manner specified below:
(i) The Boards’ Bank Accounts in the Zonal offices shall be operated upon jointly by the Asstt. P.F. Commissioner in charge of the Zonal office and Fund Control Officer or the Asstt. Accounts officer as may be authorized by the Board.
(ii) The Bank Accounts of the Inspectorate level Fund Control Offices shall be operated upon by the Fund Control Officer or the Asstt. Fund Control Officer as may be authorized by the Board, subject to a maximum limit of Rs. 1 lakh (onelakh) in any single transction.

38. Power of the State Government until the Board is Constituted:
(i) Until the Board of Trustees is constituted the State Government shall administer the affairs of the Fund and may exercise any of the powers and perform any of the functions of the Board.
All income derived and all expenditure incurred in this behalf shall be brought into the Books of the Fund.
(2) All expenses incurred by the State Government for and in connection with the establishment of the Fund whether before or after the date of its establishment shall be treatd as a loan advanced by the State Government to the Fund and such loan shall be repaid to the State Government from the Administration Account.
39. Appeal : In the event of any dispute with or grievances against the decision of a Primary Committee, a member shall have the right to appeal to the Board of Trustees.