Section 74(2) in The Central Government Account (Receipts and Payments) Rules, 1983
(2)If a Government servant is adjudged insolvent, the attachable portion of his salary vests in the Court that passed the order of insolvency or the Receiver appointed by the Court. The amounts which have been under attachment in execution of the decree against the insolvent shall also, after the order of insolvency, vest in such Court or the Receiver, and the attached amounts in such cases, instead of being sent to the various courts which issued the orders of attachment, should be sent to the Insolvency Court or the Receiver for pro rata distribution among all the creditors of the insolvent Government servant.Note 1. - The extent to which the emoluments of a Government servant are exempt from attachment for debt is laid down in sub-section (1) of section 60 of the Code of Civil Procedure, 1908 (5 of 1908). The following is an extract of the relevant provisions of the said sub-section"60 (I) The following property is liable to attachment ....................... in execution of a decree ...........................Provided that the following particulars shall not be liable to such attachment ............ namely: -..................................................(i)salary to the extent of the first four hundred rupees and two third of the remainder in execution of any decree other than a decree for maintenance.Provided that where any part of such portion of the salary as is liable to attachment has been under attachment, whether continuously or intermittently, for a total period of twenty-four months, such portion shall be exempt from attachment until the expiry of further period of twelve months, and where such attachment has been made in execution of one and the same decree, shall, after the attachment has continued for a total period of twenty four months, be finally exempt from attachment in execution of that decree.(ia)One third of the salary in execution of any decree for maintenance;........................................................................................................................
