Section 72(2) in The Orissa Municipal Employees' Pension Rules, 1989
(2)Subject to the provisions contained in Sub-rule (1), the commutation shall become absolute and the title to receive the commuted portion of the pension shall cease and the title to receive, the commuted value shall accrue on the date on which the medical authority signs the medical certificate. Payment of the commuted value shall be made as expeditiously as possible but in the case of an impaired life no payment shall be made until either a written acceptance of the commutation has been received or the period within which the application for commutation may be withdrawn has expired. Whatever may be the date of actual payment, the amount paid and the effect upon the pension shall be the same as if the commuted value was paid on the date on which the commutation becomes absolute. If the commuted portion of the pension has been drawn after the date on which the commutation becomes absolute, the amount drawn shall be deducted from the amount payable in commutation.Note 1. - If in the case of an impaired life the applicant wishes to reduce the amount to be commuted within the period of two weeks allowed in this rule, the original application will be considered as withdrawn and the request will be treated as a new application.Note 2. - A person who is allowed provisionally to commute a portion of his pension not exceeding rupees twenty-five and who anticipates that the final amount of pension that he could be entitled to commute may exceed rupees twenty-five shall indicate that fact in his application in case he desires to commute a sum exceeding rupees twenty-five. The sanctioning authority shall in such cases arrange for medical examination as if the amount to be commuted to exceeds rupees twenty-five. In case such fact is not indicated the employee shall be permitted, on finalisation of the amount of his pension, to commute the difference between the amount of pension originally commuted and rupees twenty-five without further medical examination. If the original amount commuted together with the difference referred to exceeds rupees twenty-five, the commutation of any further sum, if admissible shall be treated as fresh commutation and allowed subject to examination by a Chief District Medical Officer.The commutation in respect of difference of the amount of the portion of the pension to be commuted for which the medical examination is conducted, shall take effect as the date on which the Chief District Medical Officer signs its report.Note 3. - An applicant whose application for the commutation of a portion of his pension is expressed as a percentage or fraction of the total pension admissible to him and who is allowed in the first instance to commute such percentage or fraction of his anticipatory or provisional pension shall, in the event of his final pension being more than his anticipatory or provisional pension, be allowed to commute a further sum. He shall not be required to apply a fresh for commutation of the difference between the fraction or percentage of the final pension and anticipatory pension or provisional pension. As the commutation in such cases is payable in.two instalments, the report of the local authority will have to be called, in Part II of Form No. III for commutation of pension twice. A fresh sanction or the Director for the difference of the commuted value, i.e. the maximum value accrued minus the value commuted provisionally will also be necessary, regard however being had to the need for further medical examination as per Note 1 above.
