Section 14 in The Bihar General Provident Fund Rules, 1948
14. Interest.
(1)Subject to the provisions of sub-rule (5) below, Government shall pay to the credit of the account of subscriber interest at such rate as may be determined for each year according to the method of calculation prescribed from time to time by the Provincial Government:Provided that if the rate of interest determined for a year is less than 4 per cent, all existing subscribers to the fund in the year preceding that for which the rate has, for the first time been fixed at less than 4 per cent shall be allowed interest at 4 per cent.(2)Interest shall be credited with effect from the last day in each year in the following manner:-(i)on the amount at credit of subscriber on the last day of the preceding year, less any sums withdrawn during the current year-Interest for twelve months;(ii)on sums withdrawn during the current year-Interest from the beginning of the current year upto the last day of the month preceding the month of withdrawal;(iii)on all sums credited to the subscriber's account after the last day of the preceding year-Interest from the date of deposit upto the end of the current year;(iv)the total amount of interest shall be rounded to the nearest whole rupee [eight] annas (50 Paise) counting as to next higher rupee :Provided that when the amount standing at the credit of a subscriber has become payable, interest shall thereupon be credited under this sub-rule in respect only of the period from the beginning of the current year, or from the date of deposit, as the case may be, upon the date on which the amount standing at the credit of the subscriber became payable.(3)In this Rule, date of deposit shall, in the case of recovery from emoluments, be deemed to be the first day of the month in which it is recovered and in the case of an amount forwarded by the subscriber shall be deemed to be first day of the month of receipt, if it is received by the Accounts Officer before the fifth day of the month, but if it is received on or after the fifth day of that month, the first day of the next succeeding month.(4)In addition to any amount to be paid under Rules 29, 30 or 31, interest thereon upto the end of the month preceding that in which the payment is made, or upto the end of the sixth month after the month in which such amount became payable, whichever of these periods be less shall be payable to the person to whom such amount is to be paid:Provided that where the Accounts Officer has intimated to that person (or his agent) a date on which he is prepared to make payment in cash, or has posted a cheque in payment to the person interest shall be payable only upto the end of the month preceding the date so intimated, or the date of posting the cheque, as the case may be.Note. - [(A) For accumulated amount in Provident Fund to the subscriber or the person whom the payment is legally due to be paid for a period more than six months after superannuation/vacation of post/death of the subscriber, following officers shall be the competent authorities for the authorisation of Authority-letter for the purpose of the payment:- [Substituted by Bihar Notification No. 1127, dated 15.3.2017 (w.e.f. 18.8.1948).](i)For such subscribers whose Provident Fund accounts are maintained by GPF Directorate, Finance Department-Director, GPF Directorate, Finance Department.(ii)For such subscribers whose Provident Fund accounts are maintained by District Provident Fund office under control of GPF Directorate, Finance Department-District Magistrate/Deputy Commissioner of the concerned district.(iii)For such subscribers whose Provident Fund accounts are not maintained by Director, GPF Directorate, Finance Department or its district offices-Finance Department.(B)In cases of superannuation of subscribers, sanctioning authorities will have to be fully satisfied that the delay has been caused by administrative reasons which have been duly enquired into and proper action has been taken, wherever it was necessary.Sanctioning authority will have to be fully satisfied in cases of post vacancy/death of subscribers that the delay in forwarding/sending application by the Department to the Provident Fund office has been caused due to the administrative reasons, which have been duly enquired into and proper action has been taken, wherever it was necessary.In case where there is a delay in payment of authorised amount as per issued Authority-letter and payable additional interest accrues, the Head of the office/the Heads of the Department, after enquiring into reasons for such delay and taking proper action in this respect, shall have to intimate the concerned Provident Fund office. Authority mentioned in note (1) shall be competent to authorise such payable additional interest accrued.](5)Interest shall not be credited to the account of a Muhammdan subscribers if he informs the Accounts Officer that he does not wish to receive it; but if he subsequently asks for interest, it shall be credited with effect from the first date of the year in which he asked for it.(6)The interest on amounts which under sub-rule (3) of Rule 13, sub-rule (5) of Rule 16, sub-rule (3) of Rule 19, sub-rule (4) of Rule 24, sub-rule (1) of Rule 23, sub-rule (1) or (2) of Rule 24, Rule 29 or Rule 30, are replaced at the credit of subscriber in the Fund, shall be calculated at such rates as may be successively prescribed under sub-rule (1) of this Rule and so far as may be in the manner prescribed in the Rule.Note. - No interest shall be allowed on the amount recovered on account of the subscriptions to the Fund, in excess of the actual amount due.When the excess payment of subscription is adjusted by short payments in subsequent months, interest should be allowed for the latter months on full amount due, the balance having been already received in former months.
