Section 28 in Pension Fund Regulatory and Development Authority (Trustee Bank) Regulations, 2015
28. Effect of suspension, cancellation or surrender of certificate.
(1)On and from the date of suspension or cancellation of the certificate, the concerned Trustee Bank shall -(a)not undertake any additional assignment or collect any new money or information from the subscriber, During the period of such suspension, it shall cease to carry on any activity in respect of which the certificate of registration had been granted;(b)allow its subscribers to transfer, as the case may be, their money or assignments or allow the National Pension System Trust to withdraw any assignment given to it, without any additional cost;(c)make provisions as regards liabilities incurred or assumed by it;(d)take such other action including the action relating to any records or documents and information or money of the subscribers that may be in the custody or control of such Trustee Bank, within the time limit and in the manner, as may be required under the relevant regulations or as may be directed by the Authority, while passing the order under these guidelines or otherwise.(2)On and from the date of surrender or cancellation or suspension of the certificate of registration, the concerned Trustee Bank shall-(a)return the certificate of registration so cancelled to the Authority and shall not represent itself to be a holder of the certificate of registration for carrying out the activity for which such certificate had been granted;(b)cease to carry on any activity in respect of which the certificate had been granted;(c)transfer funds, records and documents with complete reconciliation related to its activities to another Trustee Bank, as directed by the Authority, holding a valid certificate of registration to carry on such activities and allow its subscribers to transfer their funds to the transferee entity, without any additional cost;(d)make provisions as regards liability incurred or assumed by it;(e)take such other action including the action relating to any records or documents and assets of the subscribers that may be in the custody or control of such Trustee Bank, within the time limit and in the manner, as may be required under the relevant regulations or as may be directed by the Authority while passing order under these guidelines or otherwise.
