(2)when he retires from service or when his services are dispensed with owing to a reduction of establishment (or some cause other than his own misconduct) or when he becomes incapable of contributing to the fund by reason of his having been reduced to non qualifying service otherwise than for reasons contemplated in Note (ii) to Rule 437 of misconduct or by reason of his permanent transfer from qualifying to non-qualifying service, or when he is permitted to resign under any circumstances other than those mentioned in Clause (4) of this rule; or
