(1) When the amount standing to the credit of a member, becomes payable, it shall be the duty of the Commissioner to make prompt payment as provided in this Scheme. In case there is no nominee in accordance with this Scheme or there is no person entitled to receive such amount under sub-paragraph (ii) of paragraph 70, the Commissioner may, if the amount to the credit of the Fund does not exceed Rs. 10,000 and if satisfied after enquiry about the title of the claimant, pay such amount to the claimant.
(2) If any portion of the amount, which has become payable, is in dispute or doubt, the Commissioner shall make prompt payment of that portion of the amount in regard to which there is no dispute or doubt, the balance being adjusted as soon as may be possible.
(3) If the person to whom any amount is to be paid under the Scheme is a minor for whose estate a guardian under the Guardians and Wards Act, 1890 (8 of 1890) has been appointed, the payment shall be made to such guardian. Where no guardian under the Guardians and Wards Act, 1890 (8 of 1890) has been appointed, the payment shall be made to the guardian, if any, appointed under the sub-paragraph (4A) of paragraph 61. Where no guardian under the Guardians and Wards Act, 1890 (8 of 1890) or under sub-paragraph (4A) of paragraph 61 has been appointed, the payment shall be made to the natural guardian and in the absence of a natural guardian, to such person as the Commissioner, where the amount does not exceed Rs. 20,000 or the Chairman of the Central Board, if the amount exceeds Rs. 20,000, considers to be the proper person representing the minor and the receipt of such person for the amount paid shall be a sufficient discharge thereof.
(3A) If the person to whom any amount is to be paid under this Scheme is a lunatic for whose estate a manager under the Indian Lunacy Act, 1912 (4 of 1912), has been appointed, the payment shall be made to such manager. If no such manager has been appointed, the payment shall be made to the natural guardian of the lunatic and in the absence of any such natural guardian, to such person as the Commissioner where the amount does not exceed Rs. 20,000 or the Chairman of the Central Board, if the amount exceeds Rs. 20,000 considers to be the proper person representing the lunatic and the receipt of such person for the amount paid shall be a sufficient discharge thereof.
(4) If it is brought to the notice of the Commissioner that a posthumous child is to be born to the deceased member he shall retain the amount which will be due to the child in the event of its being born alive, and distribute the balance. If subsequently no child is born or the child is stillborn, the amount retained shall be distributed in accordance with the provisions of paragraph 70.
(5)(a) Every employer shall, at the time when a member of the Fund leaves the service, be required to get the claim applica¬tion, for payment of provident fund in cases specified in clauses (a) to (dd) of sub-paragraph (1) of paragraph 69, duly filled in and attested and to forward the said application within five days of its receipt to the Commis¬sioner or any other officer authorised by him in this behalf.
(b) Every employer shall, at the time when a member of the Fund leaves the service, be required to get the claim application, for payment of provident fund in cases specified in clause (e) of sub-paragraph (1), and in sub-paragraph (2) of paragraph 69, duly filled in and attested, and to give the said applica¬tion to the member, for submission, on completion of the period specified in sub-paragraph (2) of paragraph 69, provided the member continues to remain unemployed in a factory or other establish¬ment to which the Act applies, either through post or in person with proper identification, to the Commissioner or any other officer authorised by him in this behalf.
(c) Every employer shall, on the death of the member and on receipt of an application for receiving the amount standing to the credit of such member, forward forthwith, but not later than five days of its receipt, the said application to the Commissioner or any other officer authorised by him in this behalf.
(d) If the applicant is unable to send the claim application through the employer or duly attested by him, for any reason whatsoever, he may forward it to the Commissioner or any other officer authorised by him in this behalf and wherever necessary, the Commissioner or any other officer authorised by him in this behalf, may forward such application to the employer and the employer shall be required to return it within five days of its receipt.
(e) The payment may be made, in the option of the person to whom payment is to be made,
(i) by postal money order, or
(ii) by deposit in the payee’s bank account in any Scheduled Bank or any Co-operative Bank including the Urban Co-operative Banks or any post office, or
(iii) by deposit in the payee’s name the whole or part of the amount in the form of annuity term deposits scheme in any Nationalised Bank, or
(iv) through the employer :
Provided that the provident fund amount payable by postal money order shall be to the extent of maximum Rs. 2,000. Any payment of benefit above Rs. 2,000 under the scheme shall be remitted through cheque only. Where the amount payable by postal money order exceeds Rs. 500 it shall be remitted at the cost of the payee.
(6) Any amount becoming due to a member as a result of
(i) supplementary contribution from the employer in respect of leave wages, arrears of pay, instalment of arrear contribution received in respect of a member whose claim has been settled on account but which could not be remitted for want of latest address, or
(ii) accumulation in respect of any member who has either ceased to be employed or died, but no claim has been preferred within a period of three years from the date it becomes payable, or if any amount remitted to a person, is received back undelivered, and it is not claimed again within a period of three years from the date it becomes payable shall be transferred to an account to be called the Inoperative Account:
Provided that in the case of a claim for the payment of the said balance, the amount shall be paid by debiting the Inoperative Account.
(7) The claims, complete in all respects submitted along with the requisite documents shall be settled and benefit amount paid to the beneficiaries within 30 days from the date of its receipt by the Commissioner. If there is any deficiency in the claim, the same shall be recorded in writing and communicated to the appli¬cant within 30 days from the date of receipt of such application. In case the Commissioner fails without sufficient cause to settle a claim complete in all respects within 30 days, the Commissioner shall be liable for the delay beyond the said period and penal interest at the rate of 12 per cent per annum may be charged on the benefit amount and the same may be deducted from the salary of the Commissioner.
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