Section 35 in Life Insurance Corporation of India (Staff) Rules, 1960
35. Employees in Debt.
- An employee shall so manage his private affairs as to avoid habitual indebtedness or insolvency. An employee who is in debt shall furnish to the competent authority a signed statement of his position half-yearly on the 30th June and 31st December, and shall indicate in the statement the steps he is taking to rectify his position. An employee who makes a false statement under this [rule] [Substituted 'regulation' by Notification No. G.S.R. 459(E), dated 30.6.2021 (w.e.f. 23.7.1960).] or who fails to submit the prescribed statement or appears unable to liquidate his debts within a reasonable time or applies for the protection of an insolvency court shall be liable to [disciplinary action.] [Notified in Gazette of India, Part-III Section 4 dated 7.8.1971.]Explanation: 1. For the purpose of this [rule] [Substituted 'regulation' by Notification No. G.S.R. 459(E), dated 30.6.2021 (w.e.f. 23.7.1960).] an employee shall be deemed to be in debt if his total liabilities exclusive of those which are fully secured or those taken from the Employees' Co-operative Credit Society exceed his salary for 6 months.
