Lagatar24 Desk
Ranchi: The Finance Department of Jharkhand has issued a stern directive against officials who deduct GPF (General Provident Fund) contributions within three months of an employee’s retirement. The Pension and Accounts Directorate, through an order signed by Director Nitish Kumar Singh, stated that GPF deductions for retiring employees must stop three months prior to retirement, and Form 73 should be submitted promptly.
The directive highlights cases where GPF deductions continued in the last three months before retirement, and interest was calculated and paid, causing financial losses to the government.
Reference to Regulations
The order cites Clause-15 of Notification No. 272 of the Finance Department, which clearly states that GPF deductions must cease three months before retirement. However, in some cases, deductions continued during this period, leading to unnecessary interest calculations and payments, resulting in a loss to the government exchequer.
The order also emphasizes that for the final withdrawal from the GPF account, Form 73 must be submitted online through the DDO (Drawing and Disbursing Officer) to the district pension and accounts office.
Delay in Submission of Form 73
The Directorate observed frequent delays in submitting Form 73, which is required to be sent three months before an employee’s retirement. An online module has been activated to streamline this process.
The directive warns that delays in processing Form 73, leading to additional interest payments, will result in accountability being fixed on the responsible officials. Additional interest amounts will be recovered from the identified individuals, or other appropriate actions will be taken.
If Form 73 is not submitted within the stipulated time, the responsibility for the delay will rest on the DDO.
