Section 7 in The M.P. Housing Board Regulations, 1977
7. Post Office Savings Deposits and other securities.
(1)A Post Office Savings Bank deposit will be accepted as security, provided that the depositor has signed and delivered to the Postmaster a letter in the prescribed form. Alternatively security in the form of cash may be offered with a request that it be deposited in the Post Office Savings Bank in the name of the pledgee. In the latter case, the pledgee shall send a letter through the person who has to furnish the security explaining the nature of security and requiring the Postmaster to receive the deposit and issue the pass book in his (pledgee's) name. The person who is to furnish the security shall present a letter at the Post Office with the requisite amount in cash and the Savings Bank index card in the prescribed form signed at the foot by the pledger. The Postmaster will deliver the Savings Bank Pass Book to the person pledging the security. The latter shall transmit it without delay to the pledgee.(2)A Pass Book for the deposit in any of the banks specified in column (2) of the First Schedule to the Banking Companies (Acquisition and Transfer Undertakings) Act, 1970 (No. 5 of 1970), will be accepted as security, provided that the account is pledged to the Madhya Pradesh Housing Board.(3)The Housing Commissioner may at the request of the employee, in writing, change the manner of investment of the amount of security deposited and pledged by the employee :Provided that the investment shall be only in any one of the forms mentioned in this regulation.(4)An employee shall have the right to the annual interest on the securities other than those furnished in cash :Provided that in the event of an employee causing any loss to the Board, the interest due to him under this regulation shall be withheld, until the question of recovery or otherwise of such loss is settled.(5)A security deposit from a Board's servant shall be retained at least for six months from the date when he vacates his post, but the security bond shall be retained permanently or until it is certain that there is no further necessity for keeping it. While returning any security deposit, Iris acknowledgement shall be obtained duly signed and witnessed. When an interest bearing security is returned or re-transferred, the acknowledgement shall set forth full particulars of the security.(6)Return of security deposit and security bond when an employee is transferred. - When an employee who has furnished security in one office is transferred to another office under the control of the Board, the security shall be retained by the first office until the period specified in the security bond has expired, so that any amount ordered to be recovered during that period in respect of his service in the first office may be re-covered from him. On the expiry of the specified period the employee who took the security shall release it from the pledgee in his favour and pass it on to the head of the office to which the employee has been transferred, requesting him to return it to the pledger to get a fresh security bond executed by him and to have the security duly pledged in favour of the proper authority to the extent necessary.The pledger's acknowledgement mentioned above shall, however, invariably be obtained and sent to the head of the first office.The head of the office to which the employee is transferred shall require him to furnish security at once for any amount by which the security required for the new post exceeds that furnished for the former post. Apart from that, he may, if he considers the original security sufficient; wait for it to be passed on and duly pledged against and need not require the employee to furnish fresh security. He shall ascertain from the head of the office from which the employee is transferred, what amount of security he furnished therefor before it is passed on, and shall then decide whether that security will be sufficient or whether the subordinate shall be required to furnish security for the whole or any part of the amount.(7)The employee may nominate a person to receive security deposit in the event of his death while in service or before the security is refunded :Provided that where there is no nomination, the Board shall pay the amount only to the person or persons who produce the orders of a competent Court entitling the said person or persons to receive the amount.(8)The amount of security deposit shall be forfeited in full or in part for lapse of duty as hereunder specified, namely :-(a)Defalcation or misappropriation. - Forfeiture of the entire security even where the amount involved is less than the amount of security deposit.(b)Negligence of duty resulting in loss to the Board. - Forfeiture of an amount equivalent to the loss involved.(c)Any other loss not caused by negligence or inefficiency. - Recovery of actual loss.(9)Any action taken under this regulation shall not prejudice the authority of the Board to impose any punishment upon the employee under the service regulations applicable to him.(10)Form of agreement to be executed. - Every employee offering security shall execute an agreement in the form appended to these regulations or in any other form deemed appropriate by the Housing Commissioner in each case. A reference to each such bond shall be recorded in the register of security deposit.(11)Manner of custody of security deposit and connected documents. - The various documents connected with security deposits shall be kept in the safe custody of the Accounts Officer of the office concerned. All the Savings Bank Pass Books or Bank Pass Books shall be sent to the post office or Bank as soon as possible after the 15th June each year, so that necessary entries on account of interest may be made in them.(12)Time limit for furnishing security by persons already in service. - Persons in the service of the Board on the date of coming into force of these regulations shall furnish security within thirty days of the order requiring them to furnish security.(13)Security to be furnished at the time of joining duty. - When a person is required to furnish security as a condition precedent to his appointment, he shall furnish such security at the time of joining duty.
