Recovery of excess payment made to pensioners
GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF EXPENDITURE
CENTRAL PENSION ACCOUNTING OFFICE
TRIKOOT H, BHIKAJI CAMA PLACE,
NEW DELHI-110066
PHONES : 26174596, 26174456, 26174438
CPAO/IT & Tech/SCOVA/20 (Vol-I)/2018-19/26
16.05.2018
Office Memorandum
Subject: – Recovery of excess payment made to pensioners.
It has been brought to the notice of this office that some Bank branches are refusing to disburse the family pension to the family pensioners until and unless the whole overpaid amount is credited back to the bank. This issue was also highlighted in the Standing Committee of Voluntary Agencies (SCOVA) meeting Chaired by Hon’ble Minister of State of the Ministry of Personnel, Public Grievances & Pensions.
In this context, RBI in consultation with Office of the CGA, Ministry of Finance, Deptt. of Expenditure has issued instructions for recovery of excess payment made to pensioners vide their Circular No.RBI/2015-16/340 DGBA GAD No.2960/45.01.001/ 2015-16 dated-17.03.2016 which is reproduced below:-
a) As soon as the excess/wrong payment made to a pensioner comes to the notice of the paying branch, the branch should adjust the same against the amount standing to the credit of the pensioner’s account to the extent possible including lump sum arrears payment.
b) If the entire amount of over payment cannot be adjusted from the account, the pensioner may be asked to pay forthwith the balance amount of over payment.
c) In case the pensioner expresses his inability to pay the amount, the same may be adjusted from the future pension payments to be made to the pensioners. For recovering the over-payment made to pensioner from his future pension payment in installments 1/3rd of net (pension plus relief) payable each month may be recovered unless the pensioner concerned gives consent in writing to pay a higher installment amount.
d)If the over payment cannot be recovered from the pensioner due to his death or discontinuance of pension then action has to be taken as per the letter of undertaking given by the pensioner under the scheme.
e) The pensioner may also be advised about the details of over payment/ wrong payment and mode of its recovery.
The above uniform procedure may be strictly adhered to while effecting recovery of excess/wrong pension payments made to pensioners and necessary instructions may be issued to the bank branches to ensure that no branch may refuse the pension/family pension to the pensioners on the pretext of excess payment/recoveries.
This issues with the approval of Chief Controller (Pensions)
Md.Shahid Kamal Ansari
Asstt. controller of Accounts
Ph No.011-26103074
Mariappan M says
Now read again WORD BY WORD the following paras a) & b) as stated above
a) As soon as the excess/wrong payment made to a pensioner comes to the notice of the paying branch, the branch should adjust the same against the amount standing to the credit of the pensioner’s account to the extent possible including lump sum arrears payment
b) If the entire amount of over payment cannot be adjusted from the account, the pensioner may be asked to pay forthwith the balance amount of over payment
This is a notification to the bankers and as well as to pensioners also
issued by MINISTRY OF FINANCE/DEPARTMENT OF EXPENDITURE/CENTRAL PENSION ACCOUNTING OFFICE
no need to appraise the pensioner regarding the adjustment to be made & why and what of it with ‘paid & ‘payable’ statements. Simply they can sweep the account. !!!!!
is it bankers friendly or pensioners friendly order from GOVT. PENSION office.
Think it over
The pensioners are satisfied, if their legitimate benefits accorded by the government is given to them in time. Not any excess/wrong payment made by the bank. But are the banks giving any pension slip to the pensioners to verify the correctness of the pension payment made to the pensioners account in spite of regular notifications from CPAO and RBI master circulars rather the poor pensioners are forced to seek legal remedies for their grievance.