Legal Document View

Unlock Advanced Research with PRISMAI

- Know your Kanoon - Doc Gen Hub - Counter Argument - Case Predict AI - Talk with IK Doc - ...
Upgrade to Premium
[Cites 0, Cited by 0] [Entire Act]

State of Madhya Pradesh - Section

Section 8 in The M.P. General Provident Fund Rules, 1955

8. Nominations.

- [(1) (a) A subscriber to the General Provident Fund shall, as soon as may be after joining the Fund, send to the Head of Office, a nomination conferring on one or more persons the right to receive the amount that may stand to his credit in the fund, in the event of his death before that amount has become payable or having become payable has not been paid :Provided that if at the time of making the nominations the subscriber has a family the nomination shall not be in favour of any person or persons other than the member of his family.Note. - Sanction if accorded in relaxation of the above rule to any nomination made by a subscriber in favour of a person or persons other than members of his family (say 'mother' and 'brother' who are not included in the term 'family' as defined in these rules) when members of his family are surviving is ineffective and the nominee would not be entitled to the right conferred by sub-section (1) of Section 5 of the Provident Funds Act, 1925 (vide Controller and Auditor General's letter No. 209-A/350-53, dated the 16th February, 1954 received under Accountant-General's Endt. No. FD/14229, dated the 26th March, 1954, Regr. No. 946-R-VI-III, dated the 30th March, 1954).(b)The Head of Office shall receive and accept the nomination and a suitable entry regarding receipt and acceptance of nomination (without details of nomination) should be made in the service book of the subscriber under the dated signature of the Head of Office.(c)Nominations shall be kept in the safe custody of Head of Office along with the nominations for Death-cum-Retirement Gratuity.(d)In the event of transfer of the subscriber to another office, his nomination shall also be transmitted along with the service book and death-cum-retirement gratuity nominations to the Head of Office to which he is transferred and an entry to that effect shall be made in the service book. Acknowledgements for receipt of the nominations from the latter office shall be filed and kept in the custody of the Head of Office from where he is transferred.(e)When the balance at the credit of the subscriber becomes payable to his nominee under these rules the nomination kept by the Head of Office shall be sent in original to the Accounts Officer along with the application for final withdrawal after retaining an attested copy for further reference.]
(2)If a subscriber nominates more than one person under sub-rule (1), he shall specify in the nomination the amount or share playable to each of nominees in such manner as to cover the whole of the amount that may stand to his credit in the Fund at any time.
(3)Every nomination shall be in such one of the forms set forth in the First Schedule as is appropriate in the circumstances.
(4)A subscriber may at any time cancel a nomination by sending a notice in writing to the [Head of Office] [Substituted by Notification No. F.B. 9-3/87/R-II/IV, dated 2-7-1987.] :Provided that the subscriber shall, along with such notice, send a fresh nomination made in accordance with the provisions of this rule.Note. - The proviso in this sub-rule does not constitute a condition for the validity of the notice of cancellation of a nomination given by a subscriber in writing under this sub-rule. If a nomination is expressly cancelled by the subscriber by a notice given in clear and unambiguous terms, and if the subscriber fails to furnish along with the notice of cancellation or separately in due course a fresh nomination which is in accordance with the rules, and the provident fund deposit becomes payable as a result of the death of the subscriber, the payment should be made in accordance with the rules of the Fund as if no valid nomination subsists.
(5)A subscriber may provide in a nomination :-
(a)in respect of any specified nominee, that in the event of his predeceasing the subscriber, the right conferred upon that nominee shall pass to such other person as may be specified in the nomination;
(b)that the nomination shall become invalid in the event of the happening of a contingency, specified therein; provided that if at the time of making the nomination the subscriber has no family, he shall provide in the nomination that it shall become invalid in the event of his subsequently acquiring a family.
(6)Immediately on the death of a nominee in respect of whom no special provision has been made in the nomination under Clause (a) of sub-rule (5) or on the occurrence of any event by reason of which the nomination becomes invalid in pursuance of Clause (b) of sub-rule (5) or the proviso thereto, the subscriber shall send to the [Head of Office] [Substituted by Notification No. F.B. 9-3/87/R-II/IV, dated 2-7-1987.] a notice in writing cancellation the nomination, together with a fresh nomination made in accordance with the provisions of this rule.
(7)Every nomination made, and every notice of cancellation given, by a subscriber shall to the extent that it is valid, take effect on the date on which it is received by the [Head of Office.] [Substituted by Notification No. F.B. 9-3/87/R-II/IV, dated 2-7-1987.]Note. - A nomination under Section 5 (1) of the Provident Funds Act must also not only be in accordance with the rules (as they may stand when it is made), but it must continue to be in accordance with the rules (as they may stand, amended or altered, from time to time). The words "duly made in accordance with the rules of the Fund" occurring in the section are significant, and in view of these words the position is that a nomination once made in accordance with the rules might lose its validity if the rules are subsequently, altered or amended. A nomination made under one set of rules may thus become invalid under another set of rules if not revised as required by the later set of rules and so loses the benefit of Section 5 (1) of the Act.