Section 79 in Punjab Panchayat Samitis and Zila Parishads Finance, Budget and Accounts Rules, 2014
79. Security deposits.
(1)Every subordinate official or Cashier or Store-Keeper of the Panchayat Samiti or the Zila Parishad, as the case may be, who shall be required to handle cash or stores, shall furnish security to be fixed by the Executive Officer or the Chief Executive officer, as the case may be. The amount of the security shall be fixed according to the Government instructions as available in this behalf failing which according to the circumstances and local conditions. When an official who has furnished security takes regular leave or is deputed to other duty, the official who is authorized to officiate for him should be required to furnish the full amount of security prescribed for the post, unless a competent authority on valid reasons which must be recorded, has authorized a relaxation of the rules regarding security applicable to his case.(2)Whenever a private person or firm contracts to supply stores or execute a work, he or it should, unless exempted by the Panchayat Samiti or the Zila Parishad, as the case may be, to do so, be required to give security for the fulfillment of his or its contract and a suitable provision regarding security should be incorporated in the agreement.(3)When any earnest money in cash is received along with tenders, it shall be treated as deposit received by the Panchayat Samiti or the Zila Parishad, as the case may be, and shall be brought to account immediately unless the Panchayat Samiti or the Zila Parishad, allow such money to remain in the custody of an official authorised by it in this behalf In that case only sums tendered by the contractors whose tenders have been accepted, shall eventually be brought to account. The earnest money received from contractors whose lenders have not accepted shall forthwith be repaid to them after obtaining proper acknowledgement. No interest shall be paid by the Panchayat Samiti or the Zila Parishad on deposits in cash. Security furnished in cash by an employee of a Panchayat Samiti or a Zila Parishad, or a contractor, may be converted, at the cost of the Depositor, into any of the interest bearing securities; provided that,-(a)the depositor has expressly requested in writing that this be done; and(b)the acceptance of the new form of security is permissible under the rules and under terms of agreement or bondNotes(1)Cash actually received may be convened into an interest bearing security even when a forms part of a deposit which is being paid in installments and has not yet been realised in full.(2)Percentage deductions made front a contractor's bills held as security for the due fulfillment of a contract should not be converted into any other form of security unless there are special orders of the competent authority for such conversion.(3)A security deposit taken from an employee of the Panchayat Samiti or the Zila Parishad should be retained for at least six months from the date when he vacates his post.(4)Without special orders of the competent authority, no security deposit shall be repaid, or re-transferred to the depositor or otherwise disposed or except in accordance with the terms of his security or agreement. When an interest-bearing security is returned or re-transferred the acknowledgement should set-forth full particulars of the security(5)The percentage deductions from bills held as security in connection with contracts to execute works should not be refunded till the final bill has been prepared and passed.
