CHAPTER-I

THE PUNJAB GENERAL PROVIDENT FUND RULES

In exercise of the powers conferred by Section 23 of the Punjab Civil

Servants Act, 1974 and in supersession of the rules contained in Chapter XIII of
C.S.R.(Pb), Volume II, the Governor of the Punjab is pleased to make the
following rules namely:-

THE PUNJAB GENERAL PROVIDENT FUND RULES

Part I---General

1.1. (a) These rules may be called the Punjab General Provident Fund Rules,
1978.

(b) They shall come into force at once.

1.2. (1) In these rules:-

(a) "Accounts Officer" means such officer as may be appointed

in this behalf by the Auditor-General of Pakistan;

(b) Except where otherwise expressly provided emoluments

means pay, leave salary or subsistence grant as defined in the
Civil Service Rules (Punjab), Volume 1;

(c) "Family" means:-

(i) in the case of a male subscriber, the wife or wives and

children of a subscriber, and the widow, or widows,
and children of a deceased son of the subscriber;
provided that if a subscriber proves that his wife has
been judicially separated from him or has ceased
under the customary law of the community to which
she belongs to be entitled to maintenance she shall
henceforth be deemed to be no longer a member of
the subscriber's family in matters to which these rules
relate, unless the subscriber subsequently indicates by
express notification in writing to the Accounts Officer
that she shall continue to be so regarded;

(ii) in the case of a female subscriber, the husband and

children of a subscriber, and the widow or widows
and children of a deceased son of a subscriber:

Provided that if a subscriber by notification in writing to the

Accounts Officer expresses her desire to exclude her husband from her family, the
husband shall henceforth be deemed to be no longer a member of the subscriber's
family in matters to which these rules relate, unless the subscriber subsequently
cancels formally in writing her notification excluding him.

(Explanation 1--"Children" means legitimate children.)

 (Explanation 2--An adopted child shall be considered to be a child only
when the Accounts Officer, or if any doubt arises in the mind of the
Accounts Officer, the Solicitor to Government, Punjab, is satisfied that
under the law applicable to the subscriber adoption is legally recognised as
conferring the status of a natural child.)

(Explanation 3-- In a case in which a person has given his child in

adoption to another person and if, under the law applicable to the adaptor, adoption
is legally recognized as conferring the status of a natural child, such a child shall
for the purposes of these rules be considered as excluded from the family of the
natural father).

(d) "Fund" means the General Provident Fund;

(e) "leave" means any variety of leave recognized by the Civil

Services Rules (Punjab);

(f) "Year" means a financial year;

(g) "Continuous Service" means service which includes all kinds

of leave with or without pay and foreign service.

(2) Any other expression used in these rules which is defined either in
the Provident Fund Act, XIX of 1925 (reproduced in Appendix 1) or
in the Civil Services Rules (Punjab), Volume 1, Part 1 is used in the
sense therein defined.

(3) Nothing in these rules shall be deemed to have the effect of

terminating the existence of the General Provident Fund as
heretofore existing or of constituting any new Fund.

Part II- Constitution of the Fund.

1.3. The Fund shall be maintained in Pakistan in rupees.

1.4. All Government servants in permanent, temporary or officiating service

(including probationary service) shall be eligible to joining the fund:

Provided that a Government servant subscribing to a Contributory

Provident Fund shall not be eligible to join this Fund.

1.5. (1) (a) A Government servant who has completed 2 years'

continuous service shall subscribe to the Fund compulsorily.

(b) Deleted vide Notification No. FD/SRI-2-3/83 (Prov) dated

02.04.1989. Previous version is available at Sr. No.1 of page
105.

(c) Government servant who has been re-employed for more

than 2 years, shall subscribe to the Fund compulsorily and
those re-employed for 2 years or less shall be allowed to join
the Fund as optional subscriber.
 (d) In the case of re-employed personnel whose pension on
re-employment is wholly or partly held in abeyance, the rate
of subscription shall be determined on the basis of pay
actually receivable from Government ignoring the amount of
pension drawn separately.

(e) A Government servant appointed on contract whose contract

does not provide for subscription to the Fund may be given
the option to join the Fund as compulsory subscriber.

(2) Any other Government servant may at his option join the Fund.

1.6. (1) Government servant who exercises the option allowed by rule 1.5 (2)
may discontinue subscription to the Fund at any time, but his right to
the renewal of subscription shall lapse if he discontinues
subscripting, *(except when on leave) more than three times.

Explanation:-- Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated

02.04.1989. Previous version available at Sr. No. 2 at page 105.

(2) If a Government servant discontinues subscribing to the Fund, his

right to resume subscription lapses under sub-rule (1). He shall be
subject to the rights and liabilities of a subscriber to the Fund; and
he shall not be allowed to finally withdraw his deposits except on
the happening of one of the contingencies provided for in rule 1.33,
1.34 and 1.35.

(3) Once a subscriber has applied for the payment of the amount in the
Fund under sub-rule (c) of rule 1.33, he shall not have the option to
withdraw his application even if he is retained in service beyond the
age of his superannuation.

Part III---Nominations

1.7. (1) A subscriber shall, as soon as may be after joining the Fund, send to
the Accounts Officer, 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 nomination, the

subscriber has a family the nomination shall not be in favour of any person other
than members of his family.

(Explanation --A declaration made by a Muslim subscriber in favour of his

adopted child should not be accepted, as adoption is not recognised by
Islamic Law.)

(2) If a subscriber nominates more than one person under sub-rule (1),
he shall specify in the nomination the amount or share payable to
each of the nominees in such manner as to cover the whole of the
amount that may stand to his credit in the Fund at any time.
*Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 (3) Every nomination shall be in such one of the Forms P.F.1, 1-A, 1-B,
or 1-C, as is appropriate in the circumstances.

(4) A subscriber may at any time cancel a nomination by sending a

notice in writing to the Accounts Officer:

Provided that the subscriber shall, along with such notice, send a
fresh nomination made in accordance with the provisions of sub-rule (1) to (3).

(5) Without prejudice to the provisions of sub-rule (4), a subscriber shall

along with every nomination made by him under this rule send to the
Accounts Officer a contingent notice of cancellation which shall be
in such one of the Forms P.F. 2 or 2-A, as is appropriate in the
circumstances.

(6) Immediately on the occurrence of any event by reason of which the

contingent notice of cancellation referred to in sub-rule (5) becomes
operative and the nomination to which that notice relates
consequently stands cancelled, the subscriber shall send to the
Accounts Officer a fresh nomination made in accordance with the
provisions of sub-rule (1) to (3).

(7) Every nomination made, and every notice of cancellation given by a

subscriber, shall, to the extent it is valid, take effect on the date on
which it is received by the Accounts Officer.

(8) Nothing in sub-rule (1) to (3) shall be deemed to invalidate, or to

require the replacement by a nomination thereunder of, a nomination
duly made before, and subsisting on the date of *(promulgation of
these rules):

Provided that in respect of every such nomination, the subscriber

shall as soon as may be after the said date send to the Accounts Officer a
contingent notice of cancellation in such one of the Forms P.F. 2 or 2-A as is
appropriate in the circumstances.

Part IV--Subscribers' Accounts

1.8. An account shall be prepared in the name of each subscriber and shall show
the amount of his subscriptions with interest thereon calculated as prescribed in
sub-rule (2) of Rule 1.13.

Part V--Conditions and rates of subscriptions.

1.9. (1) Except as provided in rule 1.6 a subscriber shall subscribe monthly
to the Fund except during a period of suspension:

(1st proviso deleted vide notification No. FD/SRI-2-3/83 (Prov)

dated 02.04.1989. Previous version is available at Sr. No. 3 page 105).

*Substituted for the words "this notification" vide notification No. FD/SRI-2-3/83
(Prov) dated 02.04.1989.
 * *Provided
that a subscriber on re-instatement after a period passed
under suspension shall pay the arrears of subscription for the period of suspension
in one sum or, at his option, in monthly installments equal to the amount of his
monthly subscription.

(2) Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated

02.04.1989. Previous version available at Sr. No. 5 of page 105.

(3) No deduction of the monthly subscription shall be made from the

pay bill of a subscriber for the month in which his application under
sub-rule (c) of rule 1.33 is made.

(Explanation --A civilian Government servant when called to army service,

including employment in the Army in Pakistan Reserve of Officers, will
continue to subscribe to the Fund in accordance with these rules.
Subscription to the Fund will be optional in the case of those who may be
employed in Military service out of Pakistan. *(While in Military employ
subscription to the Fund will be calculated according to the basic pay scale
to which he would have been entitled had he continued in civil employ).

**2nd proviso was substituted vide notification No. FD/SRI-2-3/83 (Prov) dated
02.04.1989. Previous version is available at Sr.No.4 page 105.
*Substituted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
Previous version available at Sr.No. 6 of page 106.
@
1.10.(1) The subscription shall be at a fixed rate for every government servant as
given in the following table:-

Basic Pay Scale *

Rate of monthly subscription
Rs

B-1 50
B-2 85
B-3 85
B-4 90
B-5 95
B-6 100
B-7 100
B-8 110
B-9 120
B-10 125
B-11 130
B-12 145
B-13 250
B-14 265
B-15 285
B-16 325
B-17 450
B-18 560
B-19 780
B-20 920
B-21 1040
B-22 1120

(2) For the purposes of sub-rule (1), the basic pay scale of a subscriber
shall be the scale to which he was entitled on the first day of June of
the preceding year.

(3) If the subscriber was on deputation in Pakistan or abroad on the first

June of the preceding year, his basic pay scale shall, for the purpose
of sub-rule (1), be the scale to which he would have been entitled
had he not been on deputation.

(4) In the case of a subscriber who was not in government service on the
1st June of the preceding year, the basic pay scale, for the purposes
of sub-rule (1), shall be the scale to which he was entitled on the first
day of his service or, if he joined the Fund for the first time under
the operation of rule 1.5 on a date subsequent to the first day of his
service, the scale to which he was entitled on such subsequent date.

(5) The amount of subscription shall remain unchanged throughout the

year.

(6) The amount of subscription of a subscriber is not to be varied during

the course of the year on account of any change in his basic pay
@ Substituted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
Previous version available at Sr. No. 7 of page 106.
* Amended vide Notification No. FD.SRI-2-1/95 dated 5th July, 1995.
 scale which may be found to be due retrospectively from the first
June of the preceding year.

1.11. When a subscriber is transferred to foreign service or sent on deputation out

of Pakistan he shall remain subject to the rules of the Fund in the same manner as if
he were not so transferred or sent on deputation.

Part VI - Realisation of Subscriptions

1.12 (1) When pay is drawn *(from a Government treasury in Pakistan or

through a Pakistan embassy abroad), recovery of subscriptions and
of the principal and interest of advances shall be made from the
emoluments themselves.

(2) When emoluments are drawn from any other source, the subscriber
shall forward his dues monthly to the Accounts Officer.

(3) If a Government servant fails to subscribe with effect from the date
on which he is required to join the Fund under rule 1.5 the total
amount due to the Fund on account of arrears of subscription shall,
with interest thereon at the rate provided in rule 1.13, forthwith be
paid by the subscriber to the Fund, or in default be ordered by the
Accounts Officer to be recovered by deduction from the emoluments
of the subscriber by instalments or otherwise, as may be directed by
the authority competent to grant an advance under sub-rule(1) of rule
1.14.

Part VII - Interest

1.13 **(1)(a) Subject to the provisions of sub-rule (5) below, Government shall
pay to the credit of the amount of a 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 competent authority;

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;

Provided further that Government servants who are re-employed

after retirement shall be entitled to a rate of interest as admissible to other
Government servants from time to time. Those entitled to the rate of interest at 4%
before retirement will not be entitled to the same rate on re-employment.
*
(b) In addition to the interest mentioned in clause (a) of this
sub-rule, an amount equal to 30% the amount of interest

*Substituted for the words "in Pakistan or abroad" vide notification No.
FD/SRI-2-3/83 (Prov) dated 02.04.1989.
**Sub-rule (1) of rule 1.13 was renumbered as 1(a) and clause (b) was added there
under vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
*Sub-rule (1) of rule 1.13 was renumbered as 1(a) and clause (b) was added there
under vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 calculated according to the prescribed method shall also be
credited to the account of the subscriber for each year.

(2) Interest shall be credited with effect from the last day in each year in
the following manner :-

i) on the amount at the credit of a 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 up to the last day of the month
preceding the month of withdrawal;

iii) on all sums credited to the subscribers' account after the last
day of the preceding year - interest from the date of deposit
up to the end of the current year;

iv) the total amount of interest shall be rounded to the nearest

whole rupee (fifty paisa counting as the 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 clause in
respect only of the period from the beginning of the current year or from the date of
deposit, as the case may be up to the date on which the amount standing at the
credit of the subscriber became payable.

(3) In this rule, the date of deposit shall, in the case of a 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 the first day of the month of
receipt, if it is received by the Accounts Officer before the fifth day
of that 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 rule 1.32, 1.33 or 1.34,
interest thereon up to the end of the month preceding that in which
the payment is made, 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 that person, interest shall be payable only up to
the end of the month preceding the date so intimated, or the date of posting the
cheque as the case may be:

Provided further that if the person entitled to the payment does not
send an application in that behalf within six months of the date on which the
amount standing to the credit of the subscriber has become payable, interest shall
not be payable beyond the end of the sixth month after the month in which the
amount became payable.

(5) Interest shall not be credited to the account of a Muslim subscriber 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 day of the year in which he asks for it.

(Explanation-When a subscriber intimates in writing his intention to forego

interest already accrued on his deposits in the Provident Fund, the interest
should be withheld and credited to Government revenues.

The interest already credited to the subscriber's account in such

cases should be readjusted by debit to his Provident Fund Account
by contra-credit to the object *("61000-Interest" or head
"1130000-Interest") according as the amount of interest was
originally credited to the subscriber's account during the current year
or previous years.

(6) The interest on amounts which under sub-rule (3) of rule 1.12,
sub-rule (5) of rule 1.19, sub-rule (3) of rule 1.22, sub-rule (4) of
rule 1.24, sub-rule (1) of rule 1.26, sub-rule 1 and 2 of rule 1.27, rule
1.23 or rule 1.33 are replaced at the credit of the subscriber in the
Fund shall be calculated at such rates as may be successively pres-
cribed under sub-rule (1) of this rule and so far as may be in the
manner described in this rule.

(Explanation 1--when a subscriber is **(dismissed, removed or compulsorily

retired) from the service of Government but has appealed against his
@
(dismissal, removal or compulsory retirement), the balance at his credit shall
not be paid over to him until final orders confirming the decision are passed on
his appeal. Interest shall however, be paid on the balance up to the end of the
month preceding that in which such orders are passed.)

(Explanation 2-- No interest shall be allowed on the amount recovered on

account of the General Provident Fund subscription 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 the full
amount due, the balance having been already received in the former months.

Part VIII--Advances from the Fund.

1.14.(1) A temporary advance may be granted to the subscriber from the

amount standing to his credit in the Fund at the discretion of the
competent authority subject to the following conditions:--

(a) No advance shall be granted unless sanctioning authority is

satisfied that the applicant's pecuniary circumstances justify
it, and that it will be expended on the following object or
objects and not otherwise:-

*See history of amendments at Sr. No. 13 page 111.

**Substituted for the word "dismissed" vide notification No. FD/SRI-2-3/83 (Prov)
dated 02.04.1989.
@Substituted for the word "removal" vide notification No. FD/SRI-2-3/83 (Prov)
dated 02.04.1989.
 i) to pay expenses incurred in connection with the
prolonged illness of the applicant or applicant's
spouse or any person actually dependent upon the
applicant;

ii) to pay for the overseas passage for reasons of health

or education of the applicant or any person actually
dependent on him;

iii) to pay obligatory expenses on a scale appropriate to

the applicant's status in connection with the
marriages, funerals or ceremonies which by his
religion it is incumbent on him to perform;

iv) to purchase a plot of land for the construction of a

house or to purchase a house or to construct one for
the occupation of the subscriber himself or his family
on a piece of land owned by the subscriber or to make
additions to or alterations in an existing house owned
by the subscriber, whether or not constructed or
purchased with a house building advance;

v) to purchase a conveyance (car, scooter, motor cycle

or bicycle);

(vi) to meet other expenditure which is considered by the

sanctioning authority to be essential and unavoidable.

(Explanation--A temporary advance may be granted to the subscriber for

the performance of Haj.)
Note:-In case falling under item (i) above, advances may by granted by the
sanctioning authority to pay debts incurred; provided an application
is made within a reasonable time after the event to which it relates.
What is a reasonable time will be determined on the merits of each
case. Advances to pay debts incurred in cases falling under item (ii)
and (iii) require the sanction of Government.

(b) The sanctioning authority shall record in writing its reasons for
granting the advances:

Provided that if the reason is of a confidential nature, it may be

communicated to the Accounts Officer personally and/or confidentially.

(c) An advance other than that covered by clause (a) (iv) and (v) shall
not except for special reasons to be recorded in writing by the
sanctioning authority:--

(i) exceed three months pay or half the amount at the credit of
the subscriber in the Fund whichever is less; or

(ii) unless the amount already advanced does not exceed two
thirds of the amount admissible under clause (c) (i), be
granted until at least twelve months after the final repayment
of all previous advances together with interest thereon:
 Provided that the above conditions shall not be relaxed in the case of an
advance falling under clause (a) (vi) above:
*
(Provided further that in no case the second advance shall be granted before
the final repayment of the previous advances together with interest thereon;

Provided further that a second non-refundable advance shall not be granted

until a period of one year has elapsed since the drawl of the previous advance.)

(d) an advance under clause (a) (iv) shall be subject to the following
special conditions:--

i) Advance shall in no case exceed twenty four months pay of

the subscriber or eighty per cent of the amount at the credit
of the subscriber in the Fund, whichever is less;

ii) Advance granted for construction of a house shall be paid in

two equated instalments;

iii) If the first instalment is not utilized for the purpose of

construction of the house within eight months of its drawl, it
shall be refunded unless the sanctioning authority extends
this period;
iv) For the purpose of drawl of the second instalment the
subscriber shall be required to give under his hand a
certificate to the effect that he has actually utilized the first
instalment on the construction of the house;

v) The subscriber shall not dispose of the house purchased or

constructed with an advance from the Fund until the advance
has been repaid or the subscriber retires from Government
service;

vi) Recovery shall be made at the rate of seven per cent of the
subscriber's pay commencing from the fourth issue of pay
after the first instalment of the advance is drawn;

vii) In case a subscriber also draws or has drawn a house

building advance from Government, the recovery on account
of the advance from the Fund shall commence immediately
after the advance obtained from Government has been fully
repaid with interest thereon.

(e) i) An advance for the purchase of car, scooter/ motor cycle or a

bicycle shall not exceed:--

In the case of car-12 months' pay of the subscriber or half

the balance at his credit in the Fund whichever is less;

In case of scooter/motor cycle -- six months pay of the

subscriber or half the balance at credit in the Fund,
whichever is less;
*Added vide notification No. FD/SRI2-3/83 (Prov) dated 02.04.1989.
 In the case of a bicycle -- four months pay of the subscriber
or half the balance at his credit in the Fund, whichever is
less.

ii) The subscriber shall give under his hand a certificate to the
effect that he has actually utilized the advance for the
purchase of the conveyance for which the advance was
applied for.

iii) The subscriber shall not dispose of the conveyance so

purchased unless the advance has been repaid or the
subscriber retires from Government service.

iv) In all cases in which the conveyance is sold before the

advance has been fully repaid with interest, the sale proceeds
must be applied, so far as may be necessary, towards the
repayment of any outstanding balance.
v) The recovery shall be made at the rate of seven per cent of
the subscriber's pay commencing from the fourth issue of pay
after the drawl of the advance.
#
vi) Advance drawn for conveyance ( i.e. balance thereof) shall
become non-refundable on the subscriber attaining the age of
50 years.

(2) In fixing the amount of an advance the sanctioning authority shall

pay due regard to the amount at the credit of the subscriber in the
Fund.

[Explanation I--In sanctioning advances the instructions given in Appendix

II and III *(to this Chapter) should be carefully observed by the authority
competent to sanction the advances.)

[Explanation II-- The authorities competent to grant advances under this

rule are give in Appendix IV] **(to this Chapter).

1.15.After a subscriber has attained the age of fifty years, the competent authority
may, in its discretion, grant him an advance for any of the purposes specified below
subject to the conditions mentioned against each purpose:-

a) For construction of a house on a (1) The advance shall mutatis mutandis

piece of land owned by the subscriber or be governed by the same terms and
to make additions to or alternation in an conditions as applicable to an advance
existing house owned by him. under clause (a) (iv) of sub rule (1) of
rule 1.14.

Provided that, subject to condition(3) no

recovery of the advance shall be made
from the subscriber and the amount
advanced shall be treated as part of the

# Added vide F.D. notification No. FD-SRIV-2-15/79 dated 4th August, 1980.
*Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
**Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 final payment of the amount standing at
the credit of the subscriber when the
final payment becomes due.(2) The first
instalment of the advance shall be
drawn only after an agreement is
executed between the subscriber and the
Governor in Form P.F.9.(3) In case the
house is sold or otherwise alienated by
the subscriber without repayment of the
advance and before his retirement from
service, the subscriber shall forthwith
repay into the Fund the entire amount of
the advance together with the interest
accrued thereon, in a lump sum.

(b) For purchase of a house for his (1) The amount of the advance shall not
residence. exceed eighty per cent of the amount
standing to his credit in the fund.

(2) Subject to conditions (1), (3) and

(4) the advance shall, mutatis mutandis,
be governed by the same terms and
conditions as applicable to an advance
under sub rule(a).

(3) In case the house is not purchased

within three months of the drawl of the
advance the subscriber shall forth with
repay into the Fund the entire amount of
the advance together with the interest
accrued thereon, in a lump sum.

(4) The Advance may be drawn in full

at once but satisfactory evidence shall
be produced before the Audit Officer to
show that the Advance for the purchase
of the house has been spent within three
months of its drawl. This can be done
by showing to the Audit Officer a duly
executed receipt for the amount paid.

(5) The advance shall be drawn only

after an agreement is executed between
the subscriber and the Governor in
Form P.F.10.

(c) For purchase of agricultural land from (1) The amount of the advance shall not
Government. exceed eighty percent of the amount
standing at his credit in the Fund.

(2) Subject to condition (1) the advance

shall mutatis mutandis , be governed by
the same terms and conditions as
applicable to an advance under sub
 rule(a).

Provided that the advance may be

drawn in lump sum if so desired by the
subscriber.

(3) The advance shall be drawn only

after an agreement is executed by the
subscriber and the Governor in form
P.F.11.

(d) For any of the following purposes, @

namely :
(i) to defray expense in connection with
the prolonged illness of the subscriber or
a member of his family actually
dependent upon him.
(ii) To pay for the overseas passage of the
subscriber for reason of health or for the
performance of Haj.
(iii) To pay for the overseas passage for
reasons of education of any member of
the subscriber's family actually
dependent on him and such other lump
sum expenditure as admission or advance
tuition fees of any such members.
((1) The amount of the advance shall
not exceed 12 months pay of the
subscriber or 80 per cent of the amount
standing to his credit in the Fund
whichever is more).
(2) No recovery of an advance under
this clause shall be made from the
subscriber and the amount shall be
treated as part of the final payment of
the amount standing at the credit of the
subscriber when the final payment
becomes due.

(iv) To pay obligatory expenses on a

scale appropriate to the subscriber's status
in connection with funerals or ceremonies
which by his religion it is incumbent
upon him to perform on in connection
with the marriage of any member of his
family actually dependent on him.

1.16.When a subscriber has attained the age 50 years, he may draw an advance
from his Provident Fund Account up to 60% of the amount standing to his credit on
non-refundable basis without assigning any reason.

1.17.*((1)When a subscriber has attained the age of 55 years, the competent

authority may, in its discretion, grant a special retirement advance or
advances subject to the condition that--

i) The amount of advance on each occasion shall not exceed 80

percent of the balance at the subscribers credit;

@ Substituted vide Notification No. FD-SR-IV-2-15/79 dated 4th August, 1980.

Previous version is available at Serial No. 8 page 108.
*Substituted vide notification No. FD.SRIV-2-15/79 dated 4th August,
1980.Previous version is available at Sr. No.9 page 108.
 ii) A period of one year has elapsed since the drawal of the
previous advance.)

(2) No recovery of an advance granted under this rule shall be made

from the subscriber and the amount advanced shall be treated as part
of the final payment of the amount standing at his credit when the
final payment becomes due.

1.18.(1) The competent authority may in its discretion, grant an advance

for the construction of a house on non-refundable basis to a
subscriber*(whose G.P.Fund is not interest bearing and) who has
attained the age of 45 years. The rule shall also be applicable to such
of the subscribers who have already incurred a liability to discharge
to a financial institution in connection with the construction of their
house.

(2) The advance shall mutatis mutandis be governed by the terms and
conditions applicable to an advance under sub-rules (a) and (b) of
Rule 1.15.

1.19.(1) An advance shall be recovered from the subscriber in such number

of equal monthly instalments as the sanctioning authority may
direct, but such number shall not be less than twelve unless the
subscriber so elects, or in any case more than thirty six. A
subscriber may at his option, repay more than one instalment in a
month. Such instalment shall be a number of whole rupees, the
amount of the advance being raised or reduced, if necessary, to
admit of the fixation of such instalments.

(2) Recovery shall be made in the manner prescribed in rule 1.12 for the
realization of subscriptions, and shall commence on the first
occasion after the advance is made on which the subscriber draws
pay, or remuneration on foreign service, for a full month. Recovery
shall not be made except with the subscriber's consent, while he is #
(on leave or) in receipt of subsistence grant and may be postponed
on the subscriber's written request, by the sanctioning authority
during the recovery of an advance of pay granted to the subscriber.

(Explanation I -- The expression "advance of Pay" includes any ordinary

advance of pay granted under the relevant rules, such as the rule 10.25 (a)
and (f) of the Punjab Financial Rules Volume 1, but does not include
advances for the building or repair of house or for the purchase of a
conveyance.)

(Explanation II -- Deleted vide notification No. FD/SRI- 2-3/83 (Prov)

dated 02.04.1989, previous version avail-able at Sr. No. 10, page 134.

(3) Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated

02.04.1989, previous version available at Sr. No.11 of page 134.

*Deleted vide notification No. FD.SR-1-2-1/76 dated 20th September, 1982.

# Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 (4) (a) After the principal of the advance has been fully repaid,
interest shall be paid thereon at the rate of one-fifth per cent
of the principal for each month or broken portion of a month
during the period between the drawl and complete repayment
of the principal:

Provided that Muslim subscribers whose deposits in the Fund carry

no interest shall not be required to pay into the Fund any additional instalments on
account of interest on advance granted to them from the Fund.

(b) Interest shall ordinarily be recovered in one instalment in the

month after complete repayment of the principal; but, if the
period referred to in sub-rule 4 (a) exceeds twenty months,
interest may, if the subscriber so desires, be recovered in two
equal monthly instalments. The method of recovery shall be
that prescribed in sub-rule (2).

Payments shall be rounded to the nearest rupee in the manner

prescribed in clause (iv) of sub-rule (2) of rule 1.13.

(5) If an advance has been granted to a subscriber and drawn by him and
the advance is subsequently disallowed before repayment is
completed, the whole or balance of the amount withdrawn, shall,
with interest at the rate provided in rule 1.13 forthwith be re-paid by
the subscriber to the Fund, or in default be ordered by the Accounts
Officer to be recovered by deduction from the emoluments of the
subscriber by instalments or otherwise as may be directed by the
sanctioning authority:

Provided that Muslim subscribers whose deposits in the Fund carry

no interest shall not be required to pay any interest.

(6) Recoveries made under this rule shall be credited as they are made
to the subscriber's account in the Fund.

Part IX -- Payments towards insurance policies and family pensions funds.

1.20.Subject to the conditions hereinafter contained in rule 1.21 to 1.36:-

(a) (i) subscriptions to a family pension fund approved in this behalf

by the competent authority; or

(ii) payments towards a policy of life insurance; may, at the

option of a subscriber, be substituted in whole or part for
subscription due to the Fund;

(b) the amount of subscription with interest thereon standing to the

credit of a subscriber in the Fund may be withdrawn to meet:-

i) a payment towards a policy of life insurance;

ii) the purchase of a single payment insurance policy;

 iii) the payment of a single premium or subscription to a family
pension fund approved in this behalf by the competent
authority:

Provided that no amount shall be withdrawn (1) before the details of

the proposed policy have been submitted to the Accounts Officer and accepted by
him as suitable, or (2) to meet any payment or purchase made or effected more
than twelve months before the withdrawal; or (3) in excess of the amount required
to meet a premium or subscription actually due for payment within six months of
the date of withdrawal:

Provided further that payment towards an educational endowment

policy may not be substituted for subscription to the Fund and that no amount may
be withdrawn to meet any payment or purchase in respect of such a policy if that
policy is due for payment in whole or part before the subscriber's age of normal
superannuation:

Provided further that amounts withdrawn shall be rounded to the

whole rupee.

Note 1--See also Explanation No. 4 below rule 1.24 (3).

1.21.(1) If the total amount of any subscriptions of payments substituted

under sub-rule (a) of rule 1.20 is less than the amount of the
*
(minimum) subscription payable to the Fund under rule 1.10 (1) the
difference shall be rounded to the nearest rupee in the manner
provided in clause (iv) of sub rule (2) of rule 1.13 and paid by the
subscriber as a subscription to the Fund.

Note:- The period, for which the difference referred to in this rule should be
calculated for the purpose of effecting the recovery should be one
financial year. Any amount of subscription to a family pension fund
or of payments towards a policy of life insurance in excess of the @
(minimum) amount of subscription payable into the General
Provident Fund in any financial year should not be set off against any
difference payable under this rule in respect of any other financial
year.

(2) If the subscriber withdraws any amount standing to his credit in the
Fund for any of the purpose specified in sub-rule (b) of rule 1.20 he
shall, subject to his option under sub-rule (a) of that rule, continue to
pay to the Fund, the subscription payable under rule 1.10:

Provided that no subscription shall be payable by a Government

servant who in exercise of the option allowed by rule 1.6 (1) has ceased to
subscribe to the Fund.

1.22.(1) Subscriber who desires to substitute a subscription or payment under

sub-rule (a) of rule 1.20 may reduce his subscription to the Fund
accordingly:

Provided that the subscriber shall:-

*Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
@ Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 (a) intimate to the Accounts Officer on his pay bill or by letter
the fact of, and reason for, the reduction;

(b) send to the Accounts Officer, within such period, as the

Accounts Officer may require receipts or certified copies of
receipts in order to satisfy the Accounts Officer that the
amount by which the subscription has been reduced was duly
applied for the purposes specified in sub-rule (a) of rule 1.20.

(2) A subscriber who desires to withdraw any amount under sub-rule (b)
of rule 1.20 shall:-

(a) intimate the reason for the withdrawal to the Accounts

Officer by letter;

(b) make arrangements with the Accounts Officer for the

withdrawal; and

(c) send to the Accounts Officer, within such period as the

Accounts Officer may require, receipts or certified copies of
receipts in order to satisfy the Accounts Officer that the
amount withdrawn was duly applied for the purposes
specified in sub-rule (b) of that rule.

(3) The Accounts Officer shall order the recovery of any amount by
which subscriptions have been reduced or of any amount withdrawn,
in respect of which he has not been satisfied in the manner required
by clause (b) of sub-rule (1) and sub-clause (c) of sub-rule (2) with
interest thereon at the rate provided in rule 1.13 from the emolu-
ments of the subscriber, and place it to the credit of the subscriber in
the Fund.

1.23 (1) The Government shall not make any payment on behalf of
subscribers to Insurance Companies nor take steps to keep a policy
alive.

(2) A policy to be acceptable under these rules shall be one effected by

the subscriber himself on his own life and shall (unless it is a policy
effected by a male subscriber which is expressed on the face of it to
for the benefit of his wife, or of his wives and children, or any of
them) be such as may be legally assigned by the subscriber to the
Governor of the Punjab.

(Explanation-1-A policy on the joint lives of the subscriber and the

subscriber's wife or wives or husband shall be deemed to be a policy on the
life of the subscriber for the purposes of this clause.)

(Explanation-2-A policy which has been assigned to the subscriber's wife

or wives shall not be accepted unless either the policy is first re-assigned to
the subscriber or the subscriber and his wife both join in an appropriate
assignment.)
 (3) The policy may not be effected for the benefit of any beneficiary
other than the wife or wives or husband of the subscriber or the wife
or wives or husband, and children of the subscriber or any of them.

1.24.(1) The policy, within three months after the first withholding of a
subscription or withdrawal from the Fund in respect of the policy; or
in the case of an insurance company whose headquarters are outside
Pakistan, within such further period as the Accounts Officer, if he is
satisfied by the production of the completion certificate (interim
receipt), may fix, shall:-

(a) unless it is a policy effected by a male subscriber which is

expressed on the face of it to be for the benefit of the wife or
wives of the subscriber, or if his wife or wives and children,
or any of them, except an Endowment Policy of the usual
type, be assigned to the Governor of the Punjab as security
for the payment of any sum which may become payable to
the Fund under rule 1.29 and delivered to the Accounts
Officer, the assignment being made by endorsement on the
policy in Form P.F. 3 or Form P.F. 4 or Form P.F. 5 accord-
ing as the policy is on the life of the subscriber or on the joint
lives of the subscriber and the subscriber's wife or wives or
husband or the policy has previously been assigned to the
subscriber's wife or wives;

(b) if it is a policy effected by a male subscriber which is

expressed on the face of it to be for the benefit of the wife or
wives of the subscriber, or of his wife or wives and children
or any of them, be delivered to the Accounts Officer.

(2) The Accounts Officer shall satisfy himself by reference to the

Insurance Company, where possible, that no *(prior) assignment of
the policy exists.

(Explanation -- A policy on the life of a subscriber which is not expressed

on the face of it to be for the benefit of his wife or wives, or his wife or
wives and children or any of them and which has been assigned to his wife
or wives may be accepted under sub-rule (1) (a) provided the wife or wives
joins in the assignment in favour of the Governor. The assignment in such a
case shall be made out in Form P.F. 4 the words "the joint assured" in that
form being omitted. The question of re-assignment of such a policy in a
case in which the assured dies before the date of maturity of the policy and
before his retirement should be referred for the orders of Government
together with the policy.)

(3) Once a policy has been accepted by an Accounts Officer for the
purpose of being financed from the Fund, the terms of the policy
shall not be altered, nor shall the policy be exchanged for an other
policy without the prior consent of the Accounts Officer to whom
details of the alterations or of the new policy shall be furnished.

(Explanation 1 i)--When a subscriber proposes to convert a policy which

has been assigned to the Governor of the Punjab into a paid up policy it
*Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 should first be ascertained whether the Insurance Company intends to issue
a new document. If it does, the policy should be re-assigned to the
subscriber in the following form namely:-

"I _______________ Accountant-General, acting on behalf of the Governor

of the Punjab, hereby reassign unto _______________________ the within
policy of assurance".

The new policy should be assigned to the Governor of the Punjab and
handed over to the Accounts Officer.

If the company proposes to convert the policy into a paid-up to by means of

an endorsement thereon to that effect, the policy should either be handed to the
subscriber for transmission to the Insurance Company or be sent direct by the
Accounts Officer , but in either case with a request that the policy when so
endorsed by the Company be returned direct to the Accounts Officer. If there is
thereby a radical change in the benefits derivable under the policy a memorandum
may be required to be endorsed and signed by the Accounts Officer as well as the
subscriber acknowledging the altered position.

ii) In the case of paid-up policies it is necessary to see that the paid up
value of the policy is not less than the amount of the premia diverted
from the Fund. The amount of interest which should have accrued on
such premia had they been left in the Fund should not be taken into
account in the calculation. If the paid up value is less than the total
of the sums withdrawn from the Fund for premium payments, not
including interest, the subscriber should forthwith be required to pay
the difference into the Fund . Any profits stated by the Company to
have accrued on the policy up to the date of its conversion, should
however, be taken into account in calculating the difference, only if
the company is prepared to guarantee the profits by making an entry
on the policy.

iii) In the case of a policy assigned to the Governor of the Punjab

which a subscriber wants to surrender the policy may be re-assigned
to the subscriber for the purpose of the surrender, on the condition
that he pays the surrender value of the policy in to his Fund
Account, and if the surrender value be less than the total of the sums
diverted form the Fund for premium payments and interest thereon,
that he also repays the difference into the Fund. In other words such
cases should be treated like those of lapsed policies, and the Fund
Account has to be restored to what it would have been had the
premia not been paid out of it.

iv) In cases both of paid up and surrendered policies in which it is

considered that the recovery in a single instalment of the difference
to be paid into the Fund Account will cause hardship to the
individual concerned, recovery should be effected in such number of
instalments, not exceeding 36 as the Head of the Department, may,
with the concurrence of the Accounts Officer, decide. If recovery is
made in instalments interest will not be charged in the case of paid
up policies even for the period of actual recovery but interest at the
usual rate will be charged for this period in the case of surrendered
policies.
(Explanation 2--The provisions of Explanation 1 above cover cases for
final surrender of policies and not of exchange of policies. Accordingly, a
holder of a policy assigned to Government who desires to improve his
position by replacing one policy by a better one should be permitted to do
so subject to the following conditions being observed, namely:-

i) The new policy should carry the same or a larger amount of

insurance.

ii) The premium in respect of the new policy should not be more
than the premium paid in respect of the old policy.

iii) The new policy should mature within the same year as the
old policy.

iv) The new policy should be in force on the date on which

original policy is surrendered.)

(Explanation 3-- A policy of Life Insurance may be converted into an

extended term policy if a government servant who has taken out a policy of
life insurance may find after payment of premium for a certain number of
years that he is unable to continue further payments. In such an event,
certain insurance companies allow an option to the assured to convert the
policy into an extended term policy on terms and conditions which are
generally laid down at the back of the policy. The features peculiar to such
an extended term policy are viz:-

i) that the assured is covered for a specified period beyond the

date from which he ceases to pay premia;

ii) that the company foregoes all future premia on the policy;

iii) that the company undertakes to pay the assured the full
amount of the policy only in the event of his death within the
extended period; and

iv) that, if the assured survives that period, he is entitled to

receive nothing from the company; in certain circumstances
only a very nominal amount.)

(Explanation 4--Certain Insurance Companies issue policies on the "term

assurance" scheme, some of the features peculiar to which are given below:-

i) If the assured dies within the specified period, assurance

money becomes payable but if he outlives that period no
payment is made;

ii) No surrender value is allowed at any time; and

iii) The policy holder is given the option during the currency
of the policy of taking out a fresh policy under any other plan
issued by the company concerned. This is restricted to
endowment/Assurance policies in certain companies--
 without being required to pass a medical examination. The
premium payable and other conditions attaching to the new
policies, however, are the same as for a fresh entrant at his
age at the time of exercising the option, the only tangible
benefit obtained being that the company is bound to issue
him a policy irrespective of the state of his health.)

As these policies partake, in essential of the features of the extended term

policies referred to in Explanation 3 above ,it is undesirable that they should be
allowed to be financed from Provident Funds. Such policies should not, therefor, be
accepted under these Rules.

(Explanation 5-- The provisions of Explanation 2 above contemplate the

surrender of a policy or the substitution of a better policy in another office.
In many cases in which it is to the advantage of a policy holder to replace
his policy by a policy in another and better office the policy which is to be
replaced may not be entirely surrendered. Insurance companies allow as an
alternative to the surrender of the existing policy a fully paid up policy for a
reduced sum insured as a quid pro quo for premiums paid prior to disconti-
nuance of further premiums. The existing policy remains in force as paid up
policy and constitutes part insurance cover of addition to the sum insured
under the new policy. Thus as a result of the replacement transaction, the
policy holder holds insurance in two offices partly in the old and partly in
the new office. If the total amount of insurance cover given by the two
policies be the same or larger than the amount of insurance given by the old
policy prior to the discontinuance of premiums thereunder the first of the
conditions set out in the Explanation referred to above should be regarded
as satisfied.

(4) If the policy is not assigned and delivered, or delivered, within the
said period of three months or such further period as the Accounts
Officer, may, under sub-rule (1), have fixed, any amount with-held
or withdrawn from the Fund in respect of the policy shall, with
interest thereon at the rate provided in rule 1.13, forthwith be paid or
repaid as the case may be, by the subscriber to the Fund or, in
default be ordered by the Accounts Officer to be recovered by
deduction from the emoluments of the subscriber by instalments or
otherwise, as may be directed by the authority competent to sanction
the G.P. Fund Advance.

(5) Notice of assignment of the policy shall be given by the subscriber

to the Insurance Company, and the acknowledgment of the notice by
the Insurance Company shall be sent to the Accounts Officer within
three months of the date of assignment.

(Explanation 1-- Subscribers should send notices of the assignment to the

Insurance company in duplicate accompanied in cases in which the notice
has to be sent to a Company in U.K. or Ireland, by a remittance of five
shillings, which is the fee for the acknowledgment authorised by the
policies of Assurance Act, 1867.)

(Explanation 2--Subscribers who proceed to U.K. or Ireland on quitting the

service should note that under the English Stamp Law assignment or
reassignment are required to be stamped within 30 days of their first arrival
 in those countries, otherwise penalty will be incurred under Stamp Act, and
difficulties may arise when the policy matures for payment.)

1.25.The subscriber shall not during the currency of the policy draw any bonus, the
drawl of which during such currency is optional under the terms of the policy or
deposit the cash value of the accrued bonus with the company to accumulate at
interest. The amount of any bonus which under the terms of the policy the
subscriber has no option to refrain from drawing during its currency shall be paid
forthwith into the Fund by the subscriber or in default recovered by deduction from
his emoluments by instalments or otherwise as may be directed by the authority
competent to grant an advance under sub-rule (1) of rule 1.14.

1.26.(1) Save as provided by rule 1.30 when the subscriber:

(a) quits the service; or

(b) has proceeded on leave preparatory to retirement and applies

to the Accounts Officer for reassignment or return of the
policy; or

(c) while on leave has been permitted to retire or declared by a

competent medical authority to be unfit for further service
and applies to the Accounts Officer for reassignment or
return of the policy; or

(d) pays or repays to the Fund the whole of any amount withheld
or withdrawn from the Fund for any of the purposes
mentioned in clause (ii) of sub-rule (a) of rule 1.20 and
clauses (i) and (ii) of sub-rule (b) of that rule with interest
thereon at the rate provided in rule 1.13;

the account Officer shall--

(i) if the policy has been assigned to the Governor of the Punjab under
rule 1.24, reassign the policy in Part 1 of Form P.F. 7 to the
subscriber or to the subscriber and the joint assured as the case may
be and make it over to the subscriber together with a signed notice
of the reassignment addressed to the Insurance Company;

(ii) if the policy has been delivered to him under clause (b) of sub-rule
(1) of rule 1.24 make over the policy to the subscriber:

Provided that if the subscriber after proceeding on leave preparatory

to retirement or after being while on leave permitted to retire or declared by a
competent medical authority to be unfit for further service returns to duty any
policy so reassigned or made over shall if it has not matured or been assigned or
charged or encumbered in any way be again assigned to the Governor of the Punjab
and delivered to the Accounts Officer or again be delivered to the Accounts Officer
as the case may be in the manner provided in rule 1.24 and thereupon the
provisions of these rules shall, so for as may be, again apply in respect of the
policy:
 Provided further that if the policy has matured or been assigned or
charged or encumbered in any way the provisions of sub-rule (4) of rule 1.24
applicable to a failure to assign and deliver a policy shall apply.

(2) Save as provided by rule 1.30 when the subscriber dies before
quitting the service, the Accounts Officer shall--

(i) if the policy has been assigned to the Governor of the Punjab
under rule 1.24 re- assign the policy in part II of Form P.F.7
to such person or persons as may be legally entitled to
receive it, and shall make over the policy to such person or
persons together with a signed notice of the reassignment
addressed to the Insurance Company;

(ii) if the policy has been delivered to him under clause (b) of
sub-rule (1) of rule 1.24 make over the policy to the
beneficiary, if any, or, if there is no beneficiary to such
person or persons as may be legally entitled to receive it.

1.27.(1) If a policy assigned to the Governor of the Punjab under rule 1.24
matures before the subscriber quits the service, or if a policy on the
joint lives of a subscriber and the subscriber's wife or wives or
husband, assigned under the said rule falls due for payment by
reason of the death of the subscriber's wife or wives or husband, the
Accounts Officer, shall, save as provided by rule 1.30 proceed as
follows--

(i) if the amount assured together with the amount of any

accrued bonuses is greater than the whole of the amount
withheld or withdrawn from the fund, in respect of the policy
with interest thereon at the rate provided in rule 1.13, the
Accounts Officer shall re-assign the policy in the Form P.F. 8
to the subscriber or to the subscriber and the joint assured as
the case may be, and make it over to the subscriber who shall
immediately on receipt of the policy moneys from the Insur-
ance Company pay or repay to the Fund the whole of any
amount withheld or withdrawn with interest, and in default,
the provisions of sub-rule (4) or rule 1.24 applicable to a
failure to assign and deliver a policy shall apply; and

(ii) if the amount assured together with the amount of any

accrued bonuses is less than the whole of the amount
withheld or withdrawn with interest, the Accounts Officer
shall realize the amount assured together with any accrued
bonuses and shall place the amount so realized to the credit
of the subscriber in the Fund.

(2) Save as provided by rule 1.30 if a policy delivered to the Accounts

Officer under clause (b) of sub-rule (1) of rule 1.24 matures before
the subscriber quits the service the Accounts Officer shall make over
the policy to the subscriber:

Provided that if the interest in the policy of the wife or wives of the
subscriber, or of his wife or wives and children or any of them, as expressed on the
face of the policy, expires when the policy matures, the subscriber, if the policy
moneys are paid to him by the Insurance Company, shall immediately on receipt
thereof pay or repay to the Fund either:-

(i) the whole of any amount withheld or withdrawn from the

Fund in respect of the policy with interest thereon at the rate
provided in rule 1.13; or

(ii) an amount equal to the amount assured together with any

accrued bonuses; whichever is less, and, in default the
provisions of sub-rule (4) of rule 1.24 applicable to a failure
to assign and deliver a policy shall apply.

1.28.If the interest of the subscriber in the family pension fund ceases, in whole or
part, from any cause whatsoever, the provident fund account of the subscriber shall
forthwith be reimbursed by the amount of the refund secured by the subscriber
from the family pension fund, which amount shall, in default of reimbursement, be
deducted from the subscriber's emoluments by instalments or otherwise, as may be
directed by the authority competent to grant an advance under sub-rule (1) of rule
1.14.

1.29. If the policy lapses, or is assigned, otherwise than to the Governor of the
Punjab under rule 1.24, charged or encumbered the provisions of sub-rule (4) of
rule 1.24 applicable to a failure to assign and deliver a policy shall apply.

1.30. If the Accounts Officer receives notice of:-

(a) an assignment (otherwise than an assignment to the Governor of the

Punjab under rule 1.24); or

(b) a charge or encumbrance on; or

(c) an order of Court restraining dealings with the policy or any amount
realized thereon.

The Accounts Officer shall not:-

(i) reassign or make over the policy as provided in rule 1.26; or

(ii) realize the amount assured by the policy or reassign or make over
the policy as provided in rule 1.27, but shall forthwith refer the
matter to Government.

1.31.Notwithstanding anything contained in these rules if the sanctioning authority

is satisfied that money drawn as an advance from the fund under sub-rule (1) of
rule 1.14 or withheld or withdrawn from the Fund under sub-rule (a) or (b) of rule
1.20 has been utilized for a purpose other than that for which sanction was given to
the drawl, withholding or withdrawal of the money, the amount in question shall
with interest at the rate provided in rule 1.13, forthwith be repaid or paid as the
case may be, by the subscriber to the Fund, or in default be ordered to be recovered
by deduction in one sum from the emoluments of the subscriber, even if he be on
leave. If the total amount to be repaid, or paid as the case may be, be more than
half the subscriber's emoluments recoveries shall be made in monthly instalments
of moieties of his emoluments till the entire amount recoverable be repaid or paid
as the case may be, by him.

Note -- The term 'emoluments' as used in this rule does not include
subsistence grant.

Part X-Final withdrawal of accumulations in the fund.

1.32.When a subscriber quits the service, the amount standing to his credit in the
Fund shall become payable to him:

Provided that a subscriber, who has been dismissed *(, removed or

compulsorily retired) from the service and is subsequently reinstated in the service,
shall if required to do so by Government, repay any amount paid to him from the
Fund in pursuance of this rule, with interest thereon at the rate provided in rule
1.13 in the manner provided in the proviso to rule 1.33. The amount so repaid shall
be credited to his account in the Fund:

Provided further that a subscriber shall on application made by him

be permitted to withdraw finally the amount standing to his credit in the Fund
twelve months before his retirement.

1.33.When a subscriber --

(a) has proceeded on leave preparatory to retirement, or, if he is

employed in a vacation department, on leave preparatory to
retirement combined with vacation; or

(b) while on leave, has been permitted to retire or been declared by a

competent medical authority to be unfit for further service; or

(c) desires payment within six months before his retirement;

the amount standing to his credit in the Fund shall, upon application made
by him in that behalf to the Accounts Officer, become payable to the subscriber:

Provided that the subscriber, if he returns to duty, shall if required to

do so by Government, repay to the Fund, for credit to his account the whole or part
of any amount paid to him from the Fund in pursuance of this rule with interest
thereon at the rate provided in rule 1.13 in cash or securities, or partly in cash and
partly in securities by instalments or otherwise, by recovery from his emoluments
or otherwise, as may be directed by the authority competent to grant an advance
under sub-rule (1) of rule 1.14.

1.34.On the death of a subscriber before the amount standing to his credit has
become payable (see Appendix V) or where the amount has become payable,
before payment has been made:-

(i) When the subscriber leaves a family:-

(a) If a nomination made by the subscriber in accordance with

the provisions of rule 1.7 in favour of a member or members
of his family subsists, the amount standing to this credit in
*Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 the Fund or the part thereof to which the nomination relates
shall become payable to his nominee or nominees in the
proportion specified in the nomination;

(b) If no such nomination in favour of a member or members of

the family of the subscriber subsists, or if such nomination
relates only to a part of the amount standing to his credit in
the Fund, the whole amount or the part thereof to which the
nomination does not relate, as the case may be, shall,
notwithstanding any nomination purporting to be in favour of
any person or persons other than a member or members of his
family, become payable to the members of his family in
equal shares.

Note:- A posthumous child of the deceased or the posthumous child of a

son of the deceased who, had he been alive would have been entitled
to a share of the sum at the subscriber's credit shall be treated as a
member of the family provided the existence (en ventre desamere)
of the posthumous child is brought to the notice of the disbursing
officer.

Provided that no share shall be payable to:--

(1) sons who have attained legal majority;

(2) sons of a deceased son, who have attained legal majority;
(3) married daughters whose husbands are alive;
(4) married daughters of a deceased son whose husbands are alive;

If there is any member of the family other than those specified in clauses
(1), (2),(3) and (4) :

Provided further that the widow or widows and the child or children
of a deceased son shall receive between them in equal parts only the share which
that son would have received if he had survived the subscriber and had been
exempted from the provisions of clause (1) of the first proviso;

(ii) When the subscriber leaves no family if a nomination made by him

in accordance with the provisions of rule 1.7 in favour of any person
or persons subsists, the amount standing to his credit in the Fund or
the part thereof to which the nomination relates, shall become
payable to his nominee or nominees in the proportion specified in
the nomination.

1.35.(1) When the amount standing to the credit of a subscriber in the fund
becomes payable it shall be the duty of the Accounts Officer to
make payment, as provided in section 4 of the Provident Funds Act
1925 (see Appendix 1).

(2) If the person to whom, under these rules any amount or policy is to
be paid, assigned, or re-assigned, delivered is a lunatic, for whose
estate a manager has been appointed in this behalf under the Lunacy
Act, 1912, the payment or reassignment or delivery will be made to
such manager and not to the lunatic.
 (3) (a) If the person to whom, under these rules, any amount is to be
paid is a minor of whose property a guardian has been
regularly appointed, the payment of such amount shall be
made to such guardian. If no such guardian has been
appointed, the Accounts Officer empowered under sub-rule
(1) to make the payment, may pay such amount to the mother
of the minor.

Where the mother of the minor:--

(i) is not alive;

(ii) was, in the life-time of the subscriber, judicially separated from him;
(iii) has remarried; or
(iv) is or has become disqualified or other- wise unsuitable;

the Accounts Officer may pay such amount to any suitable

person nominated by the Head of Office of deceased subsc-
riber in consultation with the Deputy Commissioner.

(b) Where the subscriber was a female, the Accounts Officer, in

applying the above provisions, mutatis mutandis, may make
payment to the father of the minor or to such other person as
may be appointed a guardian.

(c) where the guardian is any person other than the mother,
father, paternal grandfather, uncle, brother or sister of the
minor, the guardian shall be required to execute an indemnity
bond, with two sureties, indemnifying government against
any claim which may subsequently be made.

(4) Any person who desires to claim payment under this rule shall send
a written application in that behalf to the Accounts Officer. Payment
of amounts withdrawn shall be made in Pakistan only. The persons
to whom the amounts are payable shall make their own
arrangements to receive payment in Pakistan.

(Explanation --When the amount, standing to the credit of a subscriber, has

become payable under rule 1.32, 1.33 and 1.34 the Accounts Officer shall
authorise prompt payment of that portion of the amount standing to the
credit of a subscriber in regard to which there is no dispute or doubt, the
balance being adjusted as soon after as may be.)

1.36.(a) If a Government servant, who is a subscriber to any other

Government Provident Fund, which is a non-contributory Provident
fund, is permanently transferred to pensionable service under the
Punjab Government, the amount of the subscriptions, together with
interest thereon, standing to his credit in such other fund at the date
of transfer shall with the consent of the other government concerned,
if any, be transferred to his credit in the Fund.

(b) If a Government servant, who is a subscriber to the State Railway

Provident Fund or the Contributory Provident Fund (Pakistan) or a
Provincial Contributory Provident Fund, is permanently transferred
 to pensionable service under the Punjab Government and elects or is
required to earn pension in respect of such pensionable service:-

i) the amount of subscriptions, with interest thereon standing to

his credit in such Contributory Provident Fund at the date of
transfer shall, with the consent of the other government, if
any, be transferred to his credit in the Fund;

ii) the amount of government contributions with interest thereon

standing to his credit in such Contributory Provident Fund
shall, with the consent of the other government, if any, be
repaid to government and credited to provincial revenues;
and

iii) he shall in exchange be entitled to count towards pension

such part of the period during which he subscribed to such
Contributory Provident Fund as the competent authority may
determine.

1.37.If a subscriber to the Fund is subsequently admitted to the benefits of the

Punjab Contributory Fund Rules the amount of his subscription, together with
interest thereon shall be transferred to the credit of his account in the Punjab
Contributory Provident Fund.

Part XI - Procedure Rules

1.38.All sums paid into the Fund under these rules shall be credited in the books of
Government to an account named "The General Provident Fund". Sums of which
payment has not been taken within six months after they become payable under
these rules shall be transferred to "Deposits" at the end of the year and treated
under the ordinary rules relating to deposits.

1.39.When paying a subscription in Pakistan either by deduction from emoluments

or in cash; a subscriber shall quote the number of his account in the Fund, which
shall be communicated to him by the Accounts Officer. Any change in the number
shall similarly be communicated to the subscriber by the Accounts Officer.

1.40.(1) Before the expiry of the third month of every financial year, the
Accounts Officer shall send to each subscriber a statement of his
account in the fund showing the opening balance as on the *(Ist July
of the preceding year), the total amount credited or debited during
the year, the total amount of interest credited as on the 30th June of
the year and the closing balance on that date. The Accounts Officer
shall attach to the statement of account an enquiry whether the
subscriber;

(a) desires to make any alternation in any nomination made

under rule 1.7;

(b) has acquired a family in cases where the subscriber has made
no nomination in favour of a member of his family under the
proviso to sub-rule (1) of rule 1.7.
*Substitutedfor the words "Ist July of the year" vide notification No.
FD/SRI-2-3/83 dated 02.04.1989.
 (2) Subscribers should satisfy themselves as to the correctness of the
annual statement, and errors, if any, should be brought to the notice
of the Accounts Officer within six months from the date of receipt of
the statement.

(3) Where any subscription made by a subscriber to his provident fund

has not been shown or credited in the account by the Accounts
Officer, such subscription shall be credited to the account of the
subscriber on the basis of:-

(i) certificate of fund deduction by the Audit Officer/Treasury

Officer/Distt. Accounts Officer in the case of **(government
servants in Basic Pay Scales 16 & above);

(ii) certificate of fund deduction by the Drawing & Disbursing

Officer in the case of *(government servants in Basic Pay
Scales 1 to 15).

(4) The Accounts Officer shall, if required by a subscriber, inform the

subscriber once, but not more than once, in a year of the total
amount standing to his credit in the Fund at the end of the last month
for which his account has been written up.

**Substituted for the words "Officers (National Pay Scales No. 16 and above)",
vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
*Substituted for the word "Officials" vide notification No. FD/SRI-2-3/83 (Prov)
dated 02.04.1989.
 CHAPTER II

In exercise of the powers conferred by Section 23 of the Punjab Civil

Servants Act, 1974 and in supersession of the rules contained in Chapter XIV of
Civil Services Rules (Punjab) Vol. II the Governor of the Punjab is pleased to make
the following rules, namely:--

THE PUNJAB CONTRIBUTORY PROVIDENT FUND RULES

Part I-- General.

2.1. (a) These rules may be called the Punjab Contributory Provident Fund
Rules, 1978.

(b) These shall come into force at once.

2.2. (1) In these rules, unless there is anything repugnant in the subject or
context:--

(i) "Accounts Officer" means the Accountant-General, Punjab;

(ii) "Emoluments" means pay, leave salary, or subsistence grant,

as defined in the Civil Services Rules (Punjab), Volume I and
includes any wage so paid by Government to employees not
remunerated by fixed monthly pay; and

(iii) "Family" means:-

(a) in the case of a male subscriber, the wife or wives and

children of a subscriber, and the widow, or widows
and children of a deceased son of the subscriber:

Provided that if a subscriber proves that his wife or wives has or

have been judicially separated from him or has ceased under the customary law of
the community to which he belongs to be entitled to maintenance she shall hence-
forth be deemed to be no longer a member of the subscriber's family in matters to
which these rules relate unless the subscriber subsequently indicates by express
notification in writing to the Accounts Officer that she shall continue to be so
regarded;

(b) in the case of female subscriber, the husband and

children of the subscriber, and the widow or widows
and children of a deceased son of the subscriber:

Provided that if a subscriber by notification in writing to the

Accounts Officer expresses her desire to exclude her husband from her family, the
husband shall henceforth be deemed to be no longer a member of the subscriber's
family in matters to which these rules relate, unless the subscriber subsequently
cancels formally in writing her notification excluding him.

(Explanation 1--"Children" means legitimate children.)

(Explanation 2-- An adopted child shall be considered to be a child only

when the Accounts Officer, or if any doubt arises in the mind of the
 Accounts Officer, Solicitor to Punjab Government is satisfied that under the
law applicable to the subscriber, adoption is legally recognized as
conferring the status of a natural child.)

(iv) "Leave" means any variety of leave recognized by the Civil

Services Rules (Punjab);

(v) "Fund" means the Punjab Contributory Provident Fund; and

(vi) "Year" means a financial year.

(2) Any other expression employed in these rules which is defined either
in the Provident Funds Act, 1925 (XIX of 1925) (See Appendix
No.1), or in the Civil services Rules (Punjab) is used in the sense
therein defined.

Part II -- Constitution and Management of the Fund

2.3. The Fund shall be administered by Government and shall be maintained in

rupees in Pakistan.

2.4. (1) These rules apply to every non-pensionable Government servant

under the control of the Punjab Government who:-

(a) had been admitted, before these rules came into force, to the
benefits of a special or contributory provident fund
maintained by Government; or

(b) may be, or may have been, admitted by the competent

authority to the Fund after these rules came into force:

Provided that these rules shall not apply to any such servant between
whom and the Government an agreement subsists in respect of a provident Fund,
other than an agreement providing for the application to him of these rules, and, in
the case of an agreement so providing, these rules shall apply subject to the terms
of such agreement;

Provided further that these rules shall not apply to temporary

Government servants engaged for specific work or for a definite period.

(Explanation 1--A Government servant counting service for pension in any

post shall not be allowed to be governed by these rules.)

(Explanation 2--A permanent Government servant whose conditions of

service provide that he shall subscribe to the Punjab Contributory Provident
Fund shall be held to have been admitted to the Fund.)

(2) Every servant of Government to whom these rules apply shall be a

subscriber to the Fund.

(3) The balance at the credit of any servant of Government in any such
Fund as is referred to in clause (a) of sub-rule (1) should, with effect
from the date on which these rules came into force, be transferred to
his credit in the Fund.
 (4) If a Government servant admitted to the benefit of the Fund was
previously a subscriber to any Government non-Contributory
Provident Fund, the amount of his subscriptions in the non-Contri-
butory Provident Fund, together with interest thereon, shall be
transferred to his credit in the Fund.

(5) The amount standing at the credit of an employee of a local body in

the Provident Fund established and maintained by the local body
concerned shall on the provincialisation of his service be transferred
to his credit in the Punjab Contributory Provident Fund, in the event
of his being admitted to the benefits of the Fund. The balances so
carried forward shall carry interest as for new subscribers.

(6) A Contract Officer appointed after 23rd December 1957 who is

eligible to the benefit of the Contributory Provident Fund shall be
made to subscribe to the Fund compulsorily.

Part III - Nominations

2.5. (1) A subscriber shall, as soon as may be after joining the Fund, send to
the Accounts Officer 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 nomination, the subscriber

has a family, the nomination shall not be in favour of any person other than one or
more members of his family.

(2) If a subscriber nominates more than one person under sub-rule (1),
he shall specify in the nomination the amount or share payable to
each of the 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 P.F.1, 1-A, 1-B,
or 1-C as is appropriate in the circumstances.

(4) A subscriber may at any time cancel a nomination by sending a

notice in writing to the Accounts Officer:

Provided that the subscriber shall, along with such notice send a
fresh nomination made in accordance with the provisions of sub-rule (1) to (3).

(5) Without prejudice to the provisions of sub-rule (4), a subscriber

shall, along with every nomination made by him under this rule,
send to the Accounts Officer a contingent notice of cancellation
which shall be in such one of the Forms P.F.2 or 2-A as is
appropriate in the circumstances of his case.

(6) Immediately on the occurrence of any event by reason of which the

contingent notice of cancellation referred to in sub-rule (5) becomes
operative and the nomination to which that notice relates
consequently stands cancelled, the subscriber shall send to the
 Accounts Officer a fresh nomination made in accordance with the
provisions of sub-rule (1)to (3).

(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 Accounts Officer.

(8) Nothing in sub-rules (1) to (3) shall be deemed to invalidate or to

require the replacement by a nomination made thereunder, of a
nomination duly made before and subsisting on the date of *(promul-
gation of these rules):

Provided that in respect of every such nomination, the subscriber

shall as soon as may be after the said date send to the Accounts Officer a
contingent notice of cancellation in such one of the Form P.F.2 or 2-A as is
appropriate in the circumstances:

Provided that a nomination made under this sub-rule shall be

deemed to have been duly made in accordance with these rules only for so long as
the subscriber has no family.

(9) If a subscriber at any time acquires a family, he shall send to the

Accounts Officer a nomination as provided in sub-rule (2) and, if he
has under sub-rule (3) nominated any person other than a member of
his family, he shall formally cancel the previous nomination.

(10) A subscriber may be in his nomination distribute the amount that

may stand to his credit in the Fund amongst his nominees at his own
discretion.

(11) A nomination may be cancelled by a subscriber provided that it is

replaced at the same time by any other nomination which is
permitted to be made under this Rule.

(12) A nomination shall take effect to the extent that it is valid on the
date on which it is received by the Accounts Officer.

(13) On the death of a nominee a subscriber shall make a fresh

nomination.

PART IV -- Subscriber's Account

2.6. An Account shall be opened in the name of each subscriber, in which shall be
credited:-

i) the subscriber's subscription;

ii) contribution made under rule 2.11 by Government to his account;
iii) interest as provided by rule 2.12 on subscriptions; and
iv) interest, as provided by rule 2.12 on contributions.

PART V -- Conditions and rates of subscriptions

*Substituted for the words "this notification" vide notification No. FD/SRI2-3/83
(Prov) dated 02.04.1989.
2.7. (1) Every subscriber shall subscribe monthly to the Fund when on duty
or on foreign service.

(2) A subscriber may, at his option, not subscribe during leave.

(3) the subscriber shall intimate his election not to subscribe during
leave in the following manner:-

a) If he is a Government servant who draws his own pay bills,

by making no deduction on account of subscription in his
first pay bill drawn after proceeding on leave;

b) if he is not a Government servant who draws his own pay

bill, by written communication to the head of his office
before he proceeds on leave.

Failure to make due and timely intimation shall be deemed to constitute an

election to subscribe.

The option of a subscriber intimated under this sub-rule shall be

final.

Note:- See also explanation below rule 1.9 of Punjab General Provident
Fund Rules.

2.8. (1) The amount of subscription shall be fixed by the subscriber himself,
subject to the following conditions :-

(a) It shall be expressed in whole rupees;

(b) It may be any sum, so expressed, not less than 8-1/3 per cent
of his emoluments.

(2) For purpose of sub-rule (1) the emoluments of a subscriber shall be--

(a) In the case of a subscriber who was in Government service

on the 30th June of the preceding year, the emoluments to
which he was entitled on that date; provided as follows :-

i) if the subscriber was on leave on the said date and

elected not to subscribe during such leave or was
under suspension on the said date, his emoluments
shall be the emoluments to which he was entitled on
the first day after his return to duty;

ii) if the subscriber was on deputation out of Pakistan on

the said date or was on leave on the said date and
continues to be on leave, his emoluments shall be the
emoluments to which he would have been entitled
had he been on duty in Pakistan;

iii) if the subscriber joined the Fund for the first time on a
day subsequent to the said date, his emoluments shall
 be the emoluments to which he was entitled on such
subsequent date.

(b) In the case of a subscriber who was not in Government

service on the 30th June of the preceding year, the
emoluments to which he was entitled on the first day of his
service or, if he joined the Fund for the first time on a date
subsequent to the first day of his service the emoluments to
which he was entitled on such subsequent date:

Provided that if the emoluments of the subscriber are of fluctuating

nature, they shall be calculated in such manner as the competent authority may
direct.

(3) The subscriber shall intimate the fixation of the amount of his
monthly subscription in each year in the following manner :-

(a) if he was on duty on the 30th June of the preceding year by

the deduction which he makes in this behalf from his pay bill
for that month;

(b) if he was on leave on the 30th June of the preceding year and
elected not to subscribe during such leave; or was under
suspension on that date, by the deduction which he makes in
this behalf from his first pay bill after his return to duty;

(c) if he entered Government service for the first time during the
year, or joins the Fund for the first time by the deduction
which he makes in this behalf, from his pay bill for the
month during which he joins the Fund;

(d) if he was on leave on the 30th June of the preceding year,

and continues to be on leave and has elected to subscribe
during such leave, by the deduction which he causes to be
made in this behalf from his salary bill for that month;

(e) if he was on foreign service on the 30th June of the preceding

year, by the amount credited by him into the treasury on
account of subscription for the month of July in the current
year;

(f) if his emoluments are of the nature referred to in the proviso

to sub-rule (2), in such manner as the competent authority
may direct.

(4) The amount of subscription so fixed shall remain unchanged

throughout the year:

Provided that if a subscriber is on duty for a part of a month and on

leave for the remainder of that month, and if he has elected not to subscriber during
leave, the amount of the subscription payable shall be proportionate to the number
of days spent on duty in the month.
 Note -*(See also sub-rule I below rule 1.10 of Punjab General Provident
Fund Rules.)

**
(5)The amount of subscription originally fixed by a subscriber is not to be
varied during the course of the year on account of any increase or decrease in his
rate of pay which may ultimately be found to be due in respect of the 30th June
preceding.

2.9. When a subscriber is transferred to foreign service or sent on deputation out

of Pakistan he shall remain subject to the rules of the Fund in the same manner as if
he were not so transferred or sent on deputation.

Part VI - Realisation of subscriptions

2.10. (1) When emoluments are drawn @(from a government treasury in Pakistan or
through a Pakistan Embassy abroad), recovery of subscriptions and of the principal
and interest of advances shall be made from the emoluments themselves.

(2) When emoluments are drawn from any other source, the subscriber
shall forward his dues monthly to the Accounts Officer.

Part VII - Contribution by Government

2.11.(1) Government shall, with effect from the 30th June of each year, make
a contribution to the account of each subscriber:

Provided that if a subscriber quits the service or dies during a year,

contribution shall be credited to his account for the period between the close of the
preceding year and the date of the casualty.

(2) The contribution shall be such percentage of the subscriber's

emoluments drawn on duty during the year or the period, as the case
may be, as has been or may be prescribed by the competent auth-
ority by general or special order.

[Explanation 1-The contribution to be paid by Government to the

account of a subscriber admitted to the Fund, shall, be fixed at 8-1/3 per
cent (1/12th) of the subscriber's emoluments.]

[Explanation 2-In the case of an officer transferred from service under a

private body to service under Government or from one Government
department to another, the Government contribution should where there is
no provision to the contrary in the Contributory Provident Fund Rules of the
officer concerned, be based on the pay which he would have drawn but for
his transfer and not on the pay drawn by him from time to time after
transfer.]

(3) If a subscriber is on deputation out of Pakistan, the emoluments

which he would have drawn had he been on duty in Pakistan shall,

*Deleted vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.

**Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
@Substituted for the words "in Pakistan or abroad" vide notification No.
FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 for the purpose of this rule, be deemed to be emoluments drawn on
duty.

(4) Should a subscriber elect to subscriber during leave, his leave salary
shall, for the purposes of this rule, be deemed to be emoluments
drawn on duty unless otherwise directed by the competent authority.

(5) The amount of any contribution payable in respect of a period of

foreign service shall, unless it is recovered from the foreign
employer, be recovered by government from the subscriber.

(6) The amount of contribution payable shall be rounded to the nearest

whole rupee (50 paisas counting as the next higher rupee).

Part VIII - Interest

2.12.(1) Government shall pay to the credit of the account of a subscriber

interest, at such rate as the competent authority may from time to
time prescribe for the payment of interest on subscriptions to the
General Provident Fund, on the amount at his credit in the fund.

(2) Interest shall be credited with effect from the 30th June of each year
in the following manner:-

(i) on the amount at the credit of the subscriber on the 30th June
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
1st July of the current year up to the last day of the month
preceding the month of withdrawal;

(iii) on all sums credited to the subscriber's account after the

30th June of the preceding year - interest from the date of
deposit up to the 30th June of the current year;

(iv) the total amount of interest shall be rounded to the nearest

rupee in the manner provided in sub-rule (2) of rule 2.11.

Provided that when the amount standing at the credit of a subscriber

becomes 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 up to the date on which the amount standing at the
credit of the subscriber became payable.

(3) For the purpose of this rule the date of deposit shall, in the case of
recoveries from emoluments, be deemed to be the first day of the
month in which they are recovered and in the case of amounts
forwarded by the subscriber shall be deemed to be the first day of
the month of receipt, if they are received by the Accounts Officer
before the fifth day of that month, or if they are 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 rule 2.29 interest thereon
up to the end of the month preceding that in which payment is made
or up to the end of the six months 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 no interest shall be paid in respect of any period after

the date which the Accounts Officer has intimated to that person or his agent as the
date on which he is prepared to make payment in cash or if he pays by cheque after
the date on which the cheque in that person's favour is put in the post.

(5) Interest shall not be credited to the account of a Muslim subscriber 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 1st July of the year in which he asks for it.

(Explanation -- When a subscriber intimates in writing his intention to

forego interest already accrued on his deposits in the Provident Fund, the
interest should be withheld and credited to government revenues.

The interest already credited to the subscriber's account in such cases should
be re-adjusted by debit to his Account by contra-credit to the head
*
("60000--Transfer Payments--61000--Interest--61600--Other Payments" or
"1100000--Income from Property and Enterprizes--1130000--Interest
--1139800--Others") according as the amount of interest was originally
credited to the subscriber's account during the current year or previous
years.

(6) The interest on amount which under sub-rule (3) of rule 2.18 or
sub-rule (4) of rule 2.20 or sub-rule (1) of rule 2.21 or sub-rule (1) or
sub-rule (2) of rule 2.22 or rule 2.25 or rule 2.26 are replaced at the
credit of the 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 described in this rule.

(Explanation -- The provisions of Explanations 1 and 2 below rule 1.13 of

Punjab General Provident Fund Rules apply mutatis mutandis in respect of
subscriptions to the Punjab Contributory Provident Fund.)

Part IX -- Advances from the Fund

2.13.(1) A temporary advance may be granted to a subscriber from the

amount standing to his credit in the Fund at the discretion of the
authority, specified in sub-rule (2),subject to the following
conditions:-

(a) No advance shall be granted unless the sanctioning authority

is satisfied that the applicant's pecuniary circumstances

*Substitutedfor the words "22-Interest" or "XX-Interest" vide notification No.

FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 justify it, and that it will be expended on the following object
or objects and not otherwise:-

i) To pay expenses incurred in connection with

prolonged illness of the applicant or applicant's
spouse or any person actually dependent upon the
applicant;

ii) to pay for the overseas passage for reasons of health

or education of the applicant or any person actually
dependent on him;

iii) to pay obligatory expenses on a scale appropriate to

the applicant's status in connection with the
marriages, funerals or ceremonies which by his
religion it is incumbent on him to perform;

iv) to purchase a house or to construct one, for the

occupation of the subscriber himself or his family, on
a piece of land owned by the subscriber, or to make
additions to or alterations in an existing house owned
by the subscriber, whether or not constructed or
purchased with a house building advance; and

v) to meet other expenditure which is considered by the

sanctioning authority to be essential and unavoidable.

(Explanation I--A temporary advance may be granted to the subscriber for

the performance of Haj.)

(Explanation II -- In cases falling under item (i) above, advances may be

granted by the sanctioning authority to pay debts incurred, provided an
application is made within a reasonable time after the event to which it
relates. What is a reasonable time will be determined on the merits of case.
Advances to pay the debts incurred in cases falling under item (ii) and (iii)
require the sanction of Government.)

(b) An advance other than that covered by clause (a) (iv) shall
not, except for special reasons to be recorded in writing by
the sanctioning authority, exceed three months pay and shall
in no case exceed the amount of subscriptions and interest
thereon standing to the credit of the subscriber in the Fund.

(c) An advance shall not, except for special reasons to be

recorded in writing by the sanctioning authority, be granted
until at least twelve months after the final repayment of all
previous advances together with interest thereon, unless the
amount already advanced does not exceed two thirds of the
amount admissible under clause(b):

Provided that the above conditions shall not be relaxed in the case of
advances falling under clause (a) (v) above.
 (d) The sanctioning authority shall record in writing its reasons
for granting the advance:

Provided that if the reason is of a confidential nature, it may be

communicated to the Accounts Officer personally and/or confidentially.

(e) An advance under sub-clause (iv) of clause (a) shall be

subject to the following special conditions:--

i) The advance shall in no case exceed twenty four

month's pay of the subscriber or eighty per cent of the
amount at the credit of the subscriber in the Fund,
whichever is less;
*
ia) Advance for the purchase of a house shall be drawn
only after an agreement is executed between the
subscriber and the Governor in Form P.F. 12.

ii) Advance granted for construction of a house shall be

paid in two equated instalments;

* *iia) First instalment of the advance for construction of a

house shall be drawn only after an agreement is
executed between the subscriber and the Governor in
Form P.F.13.

iii) If the first instalment is not utilized for the purpose of

construction of the house within eight months of its
drawl, it shall be refunded, unless the sanctioning
authority extends this period;

iv) For the purpose of drawl of the second instalment, the

subscriber shall be required to give under his hand a
certificate to the effect that he has actually utilized
the first instalment on the construction of the house;

v) The subscriber shall not dispose of the house

purchased or constructed with an advance from the
Fund until the advance has been repaid or the
subscriber retires from Government service; and

vi) Recovery shall be made at the rate of seven per cent

of the subscriber's pay commencing from the fourth
issue of pay after the first instalment of the advance is
drawn.

Note -- In case a subscriber also draws or has drawn a house building

advance from the employer, the recovery on account of the advance from the Fund
shall commence immediately after the advance from the employer for building a
house has been fully repaid with interest accrued thereon.

*Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.

**Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 (2) The authority competent to grant an advance:-

(a) (i) exceeding three month's pay; or

(ii) within twelve months of the final repayment of all

previous advances together with interest thereon,

shall be the authority competent to dismiss the subscriber; or in the

case of a subscriber appointed by the Federal Government, the
Punjab Government;

(b) In any case not specified in clause (a) shall be the authority
competent to grant an advance of pay on transfer under rule
10.25 (a) of the Punjab Financial Rules, Volume 1.

(Explanation -- An authority competent to sanction an advance of pay for

himself on transfer cannot sanction an advance for himself under sub-rule
2(b). The authority competent to sanction an advance in such case will be
the next higher administrative authority.)

2.14.(1) An advance shall be recovered form the subscriber in such number

of equal monthly instalments as the sanctioning authority may
direct; but such number shall not be less than twelve unless the
subscriber so elects, or in any case more than *(thirty six). A
subscriber may, at his option, make re- payment in a smaller number
of instalments than that prescribed. Each instalment shall be a
number of whole rupees, the amount of the advance being raised or
reduced, if necessary, to admit of the fixation of such instalments.

(2) Recovery shall be made in the manner provided in rule 2.10 for the
realization of subscriptions and shall commence on the first occasion
after the advance is made on which the subscriber draws
emoluments other than leave salary or subsistence grant, for a full
month. Recovery shall not be made, except with the subscriber's
consent while he is on leave or in receipt of subsistence grant, and
may be postponed by the sanctioning authority during the recovery
of an advance of pay granted to the subscriber.

(Explanation --For the purpose of recovery of an advance under this rule

vacation combined with leave shall be treated as leave.)

(3) If more than one advance has been made to a subscriber, each
advance shall be treated separately for the purpose of recovery.

(4) (a) After the principal of the advance has been fully repaid,
interest shall be paid thereon at the rate of one-fifth per cent
of the principal for each month or broken portion of a month
during the period between the drawl and complete
re-payment of the principal:

*Substituted for the words "twenty four" vide notification No. FD/SRI-2-3/83
(Prov) dated 02.04.1989.
 Provided that Muslim subscribers whose deposits in the Fund carry
no interest shall not be required to pay into the Fund any additional instalments on
account of interest on advances granted to them from the Fund.

(b) Interest shall ordinarily be recovered in one instalment in the

month after complete re- payment of the principal; but if the
period referred to in sub-rule 4(a) exceeds twenty months,
interest may, if the subscriber so desires, be recovered in two
equal monthly instalments. The method of recovery shall be
that provided in sub-rule(2). Payments shall be rounded to
the nearest rupee in the manner provided in sub-rule (6) of
rule 2.11.

(5) If an advance has been granted to a subscriber and drawn by him and
the advance is subsequently disallowed before repayment is
completed, the whole or balance of the amount withdrawn, shall,
with interest at the rate provided in rule 2.12 forthwith be repaid by
the subscriber to the Fund, or in default, be ordered by the Accounts
Officer to be recovered by deduction from the emoluments of the
subscriber by instalments or otherwise, as may be directed by the
authority laid down in clause (a) of sub-rule (2) of rule 2.13:

Provided that Muslim subscribers whose deposits in the Fund carry

no interest shall not be required to pay any interest.

(6) Recoveries made under this rule shall be credited, as they are made,
to the account of the subscriber in the Fund.

Part X -- Payments towards insurance policies and family pension funds

2.15.Subject to the conditions contained in rule 2.16 to 2.22--

(1) (i) subscriptions to a family Pension fund approved in this

behalf by the competent authority;

(ii) payments towards an insurance policy, may, at the option of

a subscriber, be substituted for the whole or part of
subscriptions to the Fund.

(2) the amount of subscriptions with interest thereon standing to the

credit of a subscriber in the Fund may be withdrawn to meet-

i) payments towards an insurance policy;

ii) purchase of a single payment insurance policy;

iii) payment of a single premium or subscriptions to a family

fund approved in this behalf by the competent authority:

Provided that no amount shall be withdrawn (i) before the details of

the proposed policy have been submitted to the Accounts Officer and accepted by
him as suitable, or (ii) to meet any payment or purchase made or effected more
than twelve months before the withdrawal; or (iii)in excess of the amount required
to meet a premium or subscription actually due for payment within six months of
the date of withdrawal:

Provided further that payments towards an educational endowment

policy may not be substituted for subscriptions to the Fund and that no amounts
may be withdrawn to meet any payment or purchase in respect of such a policy if
that policy is due for payment in whole or part before the subscriber's age of
normal superannuation.

(3) Any amount withdrawn under sub-rule (2) (b) shall be paid in whole
rupees only rounded to the nearest rupee in the manner provided in
the last proviso to rule 1.20.

2.16.(1) If the total amount of any subscriptions or payments substituted

under sub-rule (1) of rule 2.15 is less than the amount of the
minimum subscription payable to the Fund under rule 2.8, the
difference shall be rounded off to the nearest rupee in the manner
provided in sub-rule (6) of rule 2.11 and paid by the subscriber as a
subscription to the Fund.

(2) If the subscriber withdraws any amount standing to his credit in the
Fund for any of the purposes specified in sub-rule (2) of rule 2.15, he
shall, subject to his option under sub-rule (1) of that rule, continue to
pay to the Fund the subscription payable under rule 2.8.

2.17.(1) A subscriber who desires to substitute a subscription or payment

under sub-rule(1) of rule 2.15 may reduce his subscription to the
Fund accordingly:

Provided that the subscriber shall-

(a) intimate to the Accounts Officer on his pay bill or by letter

the fact of, and reason for the reduction;

(b) send to the Accounts Officer, within such period as the

Accounts Officer may require receipts or certified copies of
receipts in order to satisfy the Account Officer, that the
amount by which the subscription has been reduced was duly
applied for the purposes specified in sub-rule (1) of rule 2.15.

(2) A subscriber who desires to withdraw any amount under sub-rule (2)
of rule 2.15 shall--

(a) intimate the reason for the withdrawal to the Accounts

Officer by letter;

(b) make arrangements with the Accounts Officer for the

withdrawal; and

(c) send to the Accounts Officer, within such period as the

Accounts Officer may require receipts or certified copies of
receipts in order to satisfy the Accounts Officer that the
amount withdrawn was duly applied for the purposes
specified in sub-rule (2) of rule 2.15.
 (3) The Accounts Officer shall order the recovery of any amount by
which subscriptions have been reduced, or any amount withdrawn,
in respect of which he has not been satisfied in the manner required
by clause (b) of sub-rule (1) and clause (c) of sub-rule(2), with
interest thereon at the rate provided in rule 2.12, from the
emoluments of the subscriber and place it to the credit of the
subscriber in the Fund.

2.18.(1) Government will not make any payments on behalf of subscribers to

insurance companies, nor take steps to keep a policy alive.

(2) It is immaterial what form the policy takes, provided that it shall be
one effected by the subscriber himself on his own life, and shall
(unless it is a policy expressed on the face of it to be for the benefit
of his wife or wives, or of his wife or wives and children, or any or
them) be such as may be legally assigned by the subscriber himself
to the Governor of the Punjab.

(Explanation 1--A policy on the joint lives of the subscriber and his wife or
wives shall be deemed to be a policy on the life of the subscriber himself
for the purpose of this sub-rule.)

(Explanation 2--A policy which has been assigned to the subscriber's wife
or wives shall not be accepted unless either the policy is first re-assigned to
the subscriber or the subscriber and his wife or wives join in an appropriate
assignment.)

(3) The policy may not be effected for the benefit of any beneficiary
other than the wife or wives of the subscriber or his wife or wives
and children or any of them.

2.19 (1) The policy, within three months after the first withholding of a
subscription or withdrawal from the Fund in respect of the policy, or
in the case of an insurance company whose headquarters are outside
Pakistan within such further period as the Accounts Officer, if he is
satisfied by the production of the completion certificate (interim
receipt) may fix, shall--

(a) unless it is a policy expressed on the face of it to be for the

benefit of the wife or wives of the subscriber or of his wife or
wives and children or any of them, be assigned to the
Governor of the Punjab, as security for the payment of any
sum which may become payable to the Fund under rule 2.21
and 2.22 and delivered to the Accounts Officer, the
assignment being made by endorsement on the policy in
Form P.F. 3 or Form P.F. 4 or Form P.F. 5 or Form P.F. 6
according as the policy is on the life of the subscriber or on
the joint lives of the subscriber and his wife or wives, or the
policy has been assigned to the subscriber's wife or wives or
where a subscriber to the General Provident Fund who has
effected an insurance policy under the rules of that Fund is
admitted to the Punjab Contributory Provident Fund;
 (b) if it is a policy expressed on the face of it to be for the
benefit of the wife or wives of the subscriber, or of his wife
or wives and children, or any of them, be delivered to the
Accounts Officer.

(2) The Accounts Officer shall satisfy himself by reference to the

insurance company where possible, that no prior assignment of the
policy exists.

(3) Once a policy has been accepted by an Accounts Officer for the
purpose of being financed from the Fund, the terms of the policy
shall not be altered nor shall the policy be exchanged for another
policy without the prior consent of the Accounts Officer to whom
details of the alteration or of the new policy shall be furnished.

Note-The provisions of Explanation 1 to 5 under rule 1.24 (3) of the

Punjab General Provident Fund Rules apply mutatis mutandis here
also.

(4) If the policy is not assigned and delivered, or delivered, within the
said period of three months or such further period as the Accounts
Officer may under sub-rule (1) have fixed, any amount withheld or
withdrawn from the Fund in respect of the policy shall, with interest
thereon at the rate provided in rule 2.12, forthwith be paid or repaid,
as the case may be, by the subscriber to the Fund or in default be
ordered by the Accounts Officer to be recovered by deduction from
the emoluments of the subscriber, by instalments, or otherwise, as
may be directed by one of the authorities laid down in clause (a) of
sub-rule (2) of rule 2.13.

(5) Notice of assignment of the policy shall be given by the subscriber

to the insurance company, and the acknowledgment of the notice by
the insurance company shall be sent to the Accounts Officer within
three months of the date of assignment.

(Explanation 1-- A subscriber who is required to assign his policy to the

Governor of the Punjab in accordance with clause (a) of sub-rule (1) may
execute the prescribed form of assignment on the policy itself either in his
own handwriting or in type or alternatively paste on the blank space
provided for the purpose on the policy a typed or printed slip containing the
endorsement. A typed or printed endorsement must be duly signed and if
pasted on the policy initialed across all four margins.

(Explanation 2-- Subscribers' are advised to send notice of the assignment

to the insurance company in duplicate. The policy itself, bearing the
assignment endorsed thereon, need not be sent to the company, as insurance
companies do not ordinarily require the production of the original
instruments affecting a policy holder's title until the policy becomes a
claim.

(Explanation 3-- See also explanation No. 2 under rule 1.24 (5), of the
Punjab General Provident Fund Rules.
2.20.The subscriber shall not during the currency of the policy draw any bonus the
drawl of which during such currency is optional under the terms of the policy, and
the amount of any bonus which under the terms of the policy the subscriber has no
option to refrain from drawing during its currency shall be paid forthwith into the
Fund by the subscriber or in default recovered by deduction from his emoluments
by instalments or otherwise as the Governor may direct.

2.21.(1) Save as provided by sub-rule (3) of rule 2.23 when the subscriber-

(a) quits the service; or

(b) has proceeded on leave preparatory to retirement and applies

to the Accounts Officer for re-assignment or return of the
policy; or

(c) while on leave, has been permitted to retire or declared by

competent medical authority to be unfit for further service
and applies to the Accounts Officer for re-assignment or
return of the policy; or

(d) pays or repays to the Fund the whole of any amount withheld
or withdrawn from the Fund for any of the purpose
mentioned in clause (ii) of sub-rule (1) of rule 2.15 and
clauses (i) and (ii) of sub-rule (2) of rule 2.15 with interest
thereon at the rate provided in rule 2.12.

the Accounts Officer shall--

(i) if the policy has been assigned to the Governor of the Punjab
under rule 2.19, re-assign the policy in Part I of Form P.F. 7
to the subscriber or the subscriber and the joint assured as the
case may be within one month from the date of application of
the subscriber and make it over to the subscriber, together
with the signed notice of the re-assignment addressed to the
insurance company;

(ii) if the policy has been delivered to him under clause (b) of
sub-rule (1) of rule 2.19 make over the policy to the
subscriber:

Provided that, if the subscriber, after proceeding on leave

preparatory to retirement or after being, while on leave, permitted to retire or
declared by competent medical authority to be unfit for further service, returns to
duty, any policy so re-assigned or made over shall, if it has not matured or been
assigned or charged or encumbered in any way, be again assigned to the Governor
of the Punjab and delivered to the Accounts Officer, or again be delivered to the
Accounts Officer, as the case may be, in the manner provided in rule 2.19, and
thereupon the provisions of these rules shall so far as may be, again apply in
respect of the policy:

Provided further that, if the policy has matured or been assigned or

charged or encumbered in any way, the provisions of sub-rule (4) of rule 2.19
applicable to a failure to assign and deliver a policy shall apply.
 (2) Save as provided in sub-rule (3) of rule 2.23 when the subscriber
dies before quitting the service, the Accounts Officer shall:-

(i) If the policy has been assigned to the Governor of the Punjab
under rule 2.19 re-assign the policy in Part II of Form P.F. 7
to such person or persons as may be legally entitled to
receive it, and shall make over the policy to such person or
persons together with a signed notice of the re-assignment
addressed to the insurance company;

(ii) if the policy has been delivered to him under clause (b) of
sub-rule (1) of rule 2.19 make over the policy to the
beneficiary, if any, or, if there is no beneficiary, to such
person or persons as may be legally entitled to receive it.

2.22.(1) If a policy assigned to the Governor of the Punjab under rule 2.19
matures before the subscriber quits service, or if a policy on the joint
lives of a subscribe and his wife or wives' assigned under the said
rule, falls due for payment by reason of the wife's/ wives' death, the
Accounts Officer shall, save as provided in sub-rule (3) of rule 2.23
proceed as follows:--

(i) if the amount assured together with the amount of any

accrued bonuses is greater than the whole of the amount
withheld or withdrawn from the fund in respect of the policy
with interest thereon at the rate provided in rule 2.12, the
Accounts Officer shall re-assign the policy in Form P.F. 8 to
the subscriber or to the subscriber and the joint assured as the
case may be, and make it over to the subscriber, who shall
pay or repay to the fund the whole of any amount withheld
or withdrawn with interest, and in default the provisions of
sub-rule, (4) of rule 2.19 applicable to a failure to assign and
deliver a policy shall apply;

(ii) if the amount assured together with the amount of any

accrued bonuses is less than the whole of the amount
withheld or withdrawn with interest, the Accounts Officer
shall realize the amount assured together with any accrued
bonuses and shall place the amount so realized to the credit
of the subscriber in the Fund.

(2) Save as provided in sub-rule (3) of rule 2.23 if a policy delivered to

the Accounts Officer under clause (b) of sub-rule (1) of rule 2.19
matures before the subscriber quits the service, the Accounts Officer
shall make over the policy to the subscriber:

Provided that if the interest in the policy of the wife or wives of the
subscriber, or of his wife or wives and children or any or them, as expressed on the
face of the policy, expires when the policy matures, the subscriber if the policy
moneys are paid to him by the insurance company, shall immediately on receipt
thereof, pay or repay to the Fund either:-
 (i) the whole of any amount withheld or withdrawn from the
Fund in respect of the policy with interest at the rate provided
in rule 2.12; or

(ii) an amount equal to the amount assured together with any

accrued bonuses, whichever is less, and, in default, the
provisions of sub-rule (4) of rule 2.19 applicable to a failure
to assign and deliver a policy shall apply.

2.23.(1) If the interest of the subscriber in the family pension fund ceases
in whole or in part from any cause whatsoever, the provident fund
account of the subscriber shall forthwith be reimbursed by the
amount of the refund, if any, secured by the subscriber from the
family pension fund, which amount shall, in default of reimburs-
ement be deducted from the subscriber's emoluments by instalments
or otherwise as Government may direct.

(2) If the policy lapses or becomes assigned otherwise than to the

Governor of the Punjab under rule 2.19, charged or encumbered, the
provisions of sub-rule (4) of rule 2.19 applicable to a failure to
assign and deliver a policy shall apply.

(3) If the Accounts Officer receives notice of --

(a) an assignment (other than an assignment to the Governor of

the Punjab under rule 2.19); or

(b) a charge or encumbrance on ; or

(c) an order of a Court restraining dealings with the policy or

any amount realized thereon;

the Accounts Officer shall not --

(i) re-assign or make over the policy as provided in rule 2.21; or

(ii) realize the amount assured by the policy or re-assign or make

over the policy as provided in rule 2.22 but shall forthwith
refer the matter to the Government.

2.24. Notwithstanding anything contained in these rules, if the sanctioning

authority is satisfied that money drawn as an advance from the Fund under sub-rule
(1) of rule 2.13 or withheld or withdrawn from the Fund under sub-rule (1) or (2) of
rule 2.15 has been utilized for a purpose other than that for which sanction was
given to the drawl, withholding or withdrawal of the money, the amount in
question shall, with interest at the rate provided in rule 2.12, forthwith be repaid or
paid, as the case may be, by the subscriber to the Fund, or in default be ordered to
be recovered by deduction in one sum from the emoluments of the subscriber, even
if he be on leave. If the total amount to be repaid or paid, as the case may be, be
more than half the subscriber's emoluments recoveries shall be made in monthly
instalments of moieties of his emoluments, till the entire amount recoverable be
repaid or paid, as the case may be, by him.
 Note-The term 'emoluments' as used in this rule does not include
subsistence grant.

Part XI- circumstances in which Accumulations are payable

2.25.When a subscriber quits the service, the amount standing to his credit in the
Fund shall, subject to any deduction under rule 2.28 become payable to him:

Provided that a subscriber who has been dismissed *(, removed or

compulsorily retired) from the service and is subsequently reinstated in the service,
shall, if required to do so by Government , repay any amount paid to him from the
Fund in pursuance of this rule, with interest thereon at the rate provided in rule
2.12 in the manner provided in the proviso to rule 2.27.The amount so repaid shall
be credited to his account in the Fund, the part of which represents his
subscriptions and interest thereon, and the part which represents the Government
contribution with interest thereon, being accounted for in the manner provided in
rule 2.6:

Provided further that a subscriber shall on application made by him

be permitted to withdraw finally the amount standing to his credit in the fund six
months before his retirement.

2.26.when a subscriber-

(a) has proceeded on leave preparatory to retirement or if he is

employed in a vacation department, on leave preparatory to
retirement combined with the vacation; or

(b) While on leave, has been permitted to retire or, declared by a

competent medical authority to be unfit for further service; or

(c) desires payment within six months before his retirement,

the amount of subscriptions and interest thereon standing to his credit in the
Fund shall, upon application made by him in that behalf to the Accounts Officer,
become pay- able to the subscriber:

Provided that the subscriber, if he returns to duty, shall if required to

do so by government, repay to the Fund, for credit to his account the whole or part
of any amount paid to him from the Fund in pursuance of this rule, with interest
thereon at the rate provided in rule 2.12 in cash or securities, or partly in cash and
partly in securities, by instalments or otherwise, by recovery from his emoluments
or otherwise, as government may direct.

2.27.Subject to any deduction under rule 2.28, on the death of a subscriber before
the amount standing to his credit has become payable, or when the amount has
become payable, before payment has been made-

(1) When the subscriber leaves a family-

(a) if a nomination made by the subscriber in accordance with

the provisions of rule 2.5 in favour of a member or
members of his family subsists, the amount standing to his
*Added vide notification No. FD/SRI-2-3-/83 (Prov) dated 02.04.1989.
 credit in the Fund or the part thereof to which the nomination
relates, shall become payable to his nominee or nominees in
the proportion specified in the nomination;

(b) if no such nomination in favour of a member or members of

the family of the subscriber subsists, or if nomination relates,
only to a part of the amount standing to his credit in the
Fund, the whole amount or the part thereof to which the
nomination does not relate, as the case may be, shall,
notwithstanding any nomination purporting to be in favour of
any person or persons other than a member or members of his
family, become payable to the members of his family in
equal shares:

Provided that no share shall be payable to-

i) sons who have attained legal majority;

ii) sons of a deceased son who have attained legal
majority;

iii) married daughters whose husbands are alive;

iv) married daughters of a deceased son whose husbands

are alive;

if there is any member of the family other than those specified in clauses (i),
(ii), (iii) & (iv) .

Provided also that the widow or widows and the child or children of
a deceased son shall receive between them in equal parts only the share which that
son would have received if he had survived the subscriber and had been exempted
from the provisions of clause (i) of the first proviso.

(Explanation --Any sum payable under these rules to a member of the

family of a subscriber vests in such member under subsection (2) of section
3 of the Provident Funds Act, 1925 (See Appendix 1).

(2) When the subscriber leaves no family, if a nomination made by him

in accordance with the provisions of rule 2.5 in favour of any person
or persons subsists, the amount standing to his credit in the Fund or
the part thereof to which the nomination relates, shall become
payable to his nominee or nominees in the proportion specified in
the nomination.

(Explanation 1-- When a nominee is a dependent of the subscriber as

defined in clause (c) of section 2 of the Provident Funds Act, 1925, the
amount vests in such nominee under sub-section (2) of section 3 of the Act.)

(Explanation 2-- When the subscriber leaves no family and no nomination

made by him in accordance with the provisions of rule 2.5 subsists, or if
such nomination relates only to part of the amount standing to his credit in
the Fund , the relevant provisions of clause (b) and of sub-clause (ii) of
clause (e) of sub-section (1) of section 4 of the Provident Funds Act, 1925,
 are applicable to the whole amount or the part thereof to which the
nomination does not relate.)

PART XII -- Deductions.

2.28.Subject to the condition that no deduction may be made which reduces the
credit by more than the amount of any contribution by government with interest
thereon credited under rules 2.11 and 2.12, before the amount standing to the credit
of a subscriber in the Fund is paid out of the Fund, the Government may direct the
deduction therefrom and payment to itself of--

(a) any amount, if a subscriber has been dismissed from the service for
grave misconduct:

Provided that, if the order of dismissal is subsequently cancelled, the

amount so deducted shall, on his reinstatement in the service, be replaced at his
credit in the Fund;

(b) any amount, if a subscriber resigns his employment under

Government within five years of the commencement thereof ,
otherwise than by reason of superannuation or a declaration by a
competent medical authority that he is unfit for further service;

(c) any amount due under a liability incurred by the subscriber to

government.

Part XIII -- Payment

2.29.(1) When the amount standing to the credit of a subscriber in the Fund,
or the balance thereof after any deduction under rule 2.28, becomes
payable, it shall be the duty of the Accounts Officer, after satisfying
himself, when no such deduction has been directed under that rule,
that no deduction is to be made, to make payment as provided in
section 4 of the Provident Funds Act, 1925.

(2) If the person to whom, under these rules, any amount or policy is to
be paid , assigned, re-assigned or delivered is a lunatic for whose
estate a manager has been appointed in this behalf under the Lunacy
Act, 1912 the payment or re-assignment or delivery will be made to
such manager, and not to the lunatic.

(3) If the person to whom under these rules any amount is to be paid is a
minor, of whose property a guardian has been regularly appointed ,
the payment of such amount shall be made to such guardian. If no
such guardian has been appointed, the Accounts Officer empowered
under sub-rule (1) to make the payment, may pay such amount to the
mother of the minor. Where the mother of the minor-

(i) is not alive;

 (ii) was in the life-time of the subscriber, judicially separated
from him;

(iii) has remarried; or

(iv) is or has become disqualified or otherwise unsuitable, the

Accounts Officer may pay such amount to any suitable
person nominated by the Head of Office of the deceased
subscriber in consultation with the district authorities.

(b) Where the subscriber was a female, the Accounts Officer, in

applying the above provisions mutatis mutandis, may make payment
to the father of the minor, or to such other person as may be
appointed a guardian.

(c) Where the guardian is any person other than the mother, father,
paternal grand-father, uncle, brother or sister of the minor, the
guardian shall be required to execute an indemnity bond, with two
sureties, indemnifying government against any claim which may
subsequently be made.

(4) Any person who desires to claim payment under this rule shall send
a written application in that behalf to the Accounts Officer. Payment
of amounts withdrawn shall be made in Pakistan only. The persons
to whom the amounts are payable shall make their own
arrangements to receive payment in Pakistan.

Note- When the amount standing to the credit of a subscriber has become
payable under rules 2.26, 2.27 or 2.28, the Accounts Officer shall
authorise prompt payment of that portion of the amount standing to
the credit of a subscriber in regard to which there is no dispute or
doubt, the balance being adjusted as soon after as may be.

Part XIV -- Pensionable service.

2.30.(1) If a subscriber is permanently transferred to pensionable service he

shall, at his option, be entitled:-

(a) to continue to subscribe to the Fund, in which case he shall

not be entitled to any pension; or

(b) to earn pension in respect of such pensionable service, in

which case, with effect from the date of his permanent
transfer:-

i) he shall cease to subscribe to the Fund;

ii) the amount of contribution by government with

interest thereon, standing to his credit in the Fund
shall be repaid to Government;

iii) the amount of subscription together with interest

thereon standing to his credit in the Fund shall be
transferred to his credit in the General Provident
 Fund, to which thereafter he shall subscribe in
accordance with the rules of that Fund.

(2) A subscriber shall communicate his option under sub-rule (1) by

letter to the Accounts Officer within three months of the date of the
order transferring him permanently to pensionable service; and if the
communication is not received in the office of the Accounts Officer
within that period, the subscriber shall be deemed to have exercised
his option in the manner referred to in clause (a) of the said sub-rule.

Part XV -- Procedure.

2.31. All sums paid into the Fund under these rules shall be credited in the books of
government to an account named "The Punjab Contributory Provident Fund
Account". Sums of which payment is not taken within six months after they
become payable under these rules shall be transferred to "Deposits" after the 30th
June of the year and treated under the ordinary rules relating to deposits.

2.32. When paying a subscription in Pakistan either by deduction from emoluments

or in cash, a subscriber shall quote the number of his account in the Fund which
shall be communicated to him by the Accounts Officer . Any change in the number
shall similarly be communicated to the subscriber by the Accounts Officer .

2.33.(1) Before the expiry of the third month of every financial year, the
Accounts Officer shall send to each subscriber a statement of his
account in the Fund, showing the opening balance as on the *(1st
July of the preceding year), the total amount credited or debited
during the year, the total amount of interest credited as on the 30th
June of the year and the closing balance on that date. The Accounts
Officer shall attach to the statement of account an enquiry whether
the subscriber:--

(i) desires to make any alteration in any nomination made under

rule 2.5;

(ii) has acquired a family (in cases where the subscriber has
made no nomination in favour of a member of his family
under proviso to sub-rule (1) of rule 2.5).

(2) Subscribers should satisfy themselves as to the correctness of the

annual statement, and errors should be brought to the notice of the
Accounts Officer within six months from the date of receipt of the
statement.

(3) Where any subscription made by a subscriber to Contributory

Provident Fund has not been shown or credited in the account by the
Accounts Officer, such subscription shall be credited to the account
of the subscriber on the basis of --

(i) certificate of fund deduction by the Audit Officer/Treasury

Officer/District Accounts Officer in the case of

*Substitutedfor the words "1st July of the year" vide notification No.
FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 * *(Government servants in Basic Pay Scale 16 and above);
and

(ii) certificate of fund deduction by the Drawing and Disbursing

officer in the case of @(Government servants in Basic Pay
Scale 1 to 15.)

(4) The Accounts Officer shall, if required by a subscriber inform the

subscriber once, but not more than once, in a year of the total
amount standing to his credit in the Fund at the end of the last month
for which his account has been written up.

**Substituted for the words "officers in National Pay Scale No. 16" vide
notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
@Substituted for the words "Officials in National Pay Scales 1 to 15" vide
notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.
 APPENDIX I
(See Rule 1. 2(2) AND 2.2 (2))
THE PROVIDENT FUNDS ACT, 1925
ACT No. XIX of 1925
(27th August, 1925)

AN ACT TO AMEND AND CONSOLIDATE THE LAW

RELATING TO GOVERNMENT AND OTHER PROVIDENT FUNDS.

Whereas it is expedient to amend and consolidate the law relating to

Government and other Provident Funds; it is hereby enacted as follows:--

1. Short title, extent and commencement-

(1) This Act may be called provident Funds Act, 1925.

(2) It extends to the whole of Pakistan.

(3) It shall come into force on such date as the (Central Government)
may, by notification in the (official gazette), appoint.

2. Definitions -- In this Act, unless there is anything repugnant in the subject

or context:--

(a) "Compulsory Deposit" means a subscription to, or deposit in, a

Provident Fund which, under the rules of the Fund is not, until the
happening of some specified contingency, repayable on demand
otherwise than for the purpose of the payment of premia in respect
of a policy of life insurance, or the payment of subscriptions or
premia in respect of a family pension fund and includes any contri-
bution **** and any interest or increment which has accrued under
the rules of the fund on any such subscription, deposits, or
contribution, and also any such subscription, deposits, contribution,
interest or increment remaining to the credit of the subscriber or
depositor after the happening of any such contingency;

(b) "Contribution" means any amount credited in a Provident Fund, by

any authority administering the Fund by way of addition to, a
subscription to, or deposit or balance at the credit of an individual
account in, the Fund; and "contributory Provident Fund" means a
Provident Fund the rules of which provide for the crediting of
contributions;

(c) "dependent" means any of the following relatives of a deceased

subscriber to, or a depositor in, a Provident Fund, namely, a wife or
wives, husband, parent, child, minor brother, unmarried sister and a
deceased son's widow and child, and, where no parent of the
subscriber or depositor is alive, a paternal grand-parent;

(d) "Government Provident Fund" means a Provident Fund, other than a

Railway Provident Fund, constituted by the authority of (the
Secretary of State, the Central Government, the Crown
Representative or any Provincial Government) for any class or
classes of (persons in the service of the state) or (of persons
 employed in educational institutions or employed by bodies existing
solely for educational purposes), (and references in this Act to the
government shall be construed accordingly);

(e) "Provident Fund" means a fund in which subscriptions or deposits of

any class or classes of employees are received and held on their
individual accounts, and includes any contributions **** and any
interest or increment accruing on such subscriptions, deposits or
contributions under the rules of the Fund;

(f) "Railway administration" means:--

(i) any company administering a railway or tramway in

(Pakistan)(under Pakistan Law), or under contract with the
Government; or

(ii) the Manager of any railway or tramway administered by the

(Provincial Government) and includes, in any case referred to
in sub-clause (ii) the (Provincial Government).

(g) "Railway Provident Fund" means a Provident Fund constituted by

the authority of a railway administration for any class or classes of
its employees.

3.(1) Protection of compulsory deposits -- A compulsory deposit in any

Government or Railway Provident Fund shall not in any way be capable of
being assigned or charged and shall not be liable to attachment under any
decree or order of any Civil, Revenue or Criminal Court in respect of any
debt or liability incurred by the subscriber or depositor, and neither the
Official Assignee nor any Receiver appointed under the Provincial
Insolvency Act, 1920, shall be entitled to, or have any claim on, any such
compulsory deposit.

(2) Any sum standing to the credit of any subscriber to, or depositor, in,
any such Fund at the time of his decease and payable under the rules
of the Fund to any dependant of the subscriber or depositor, or to
such person as may be authorised by law to receive payment on his
behalf, shall subject to any deduction authorized by this Act and,
save where the dependant is the widow or child of the subscriber or
depositor, subject also to the right of an assignee under an
assignment made before the commencement of this Act, vest in the
dependant, and shall, subject as aforesaid, be free from any debt or
other liability incurred by the deceased or incurred by the dependant
before the death of the subscriber or depositor.

4. Provisions regarding repayments -(1) When under the rules of any

Government or Railway Provident Fund the sum standing to the credit of any
subscriber or depositor, or the balance thereof after the making of any deduction
authorised by this Act, has become payable, the officer whose duty it is to make the
payment shall pay the sum or balance as the case may be, to the subscriber or
depositor, or if he is, dead, shall:-

(a) If the sum or balance, or any part thereof, vests in a dependant under
the provisions of section 3, pay the same to the dependant or to such
 person as may be authorised by law to receive payment on his
behalf; or

(b) If the whole sum or balance, as the case may be, does not exceed
five thousand rupees, pay the same, or any part thereof which is not
payable under clause (a) to any person nominated to receive it under
the rules of the Fund, or, if no person is so nominated, to any person
appearing to him to be otherwise entitled to receive it; or

(c) in the case of any sum or balance or any part thereof, which is not
payable to any person under clause (a) or clause (b) pay the same-

(i) to any person nominated to receive it under the rules of the

Fund, on production by such person of probate or letters of
administration evidencing the grant to him of administration
to the estate of the deceased or a certificate granted under the
Succession Certificate Act, 1889, or under the Bombay
Regulation VIII of 1827, entitling the holder thereof to
receive payment of such sum, balance or part; or

(ii) where no person is so nominated, to any person who

produces such probate, letters or certificate,

Provided that, where the whole or any part of any sum standing to
the credit of the subscriber or depositor has been assigned to any other person
before the commencement of this Act, and notice in writing of the assignment has
been received by the officer from the assignee, the officer shall, after making any
deduction authorised by this Act and any payment due under clause (a) to or on
behalf of the widow or widows or children of the subscriber or depositor:

(i) if the subscriber or depositor or, if he is dead, the person to

whom in the absence of any valid assignment the sum or
balance would be payable under this sub-section gives his
consent in writing, pay the sum or part or the balance thereof,
as the case may be, to the assignee; or

(ii) if such consent is not forthcoming, withhold payment of the

sum, part or balance, as the case may be, pending a decision
of a competent Civil Court as to the person entitled to receive
it.

(2) The making of any payment authorised by sub-section (1) shall be a

full discharge to the Government or the Railway administration, as
the case may be, from all liability in respect of so much of the sum
standing to the credit of the subscriber or depositor as is equivalent
to the amount so paid.

5. Rights of nominees. (i) Notwithstanding anything contained in any law for

the time being in force or in any disposition, whether testamentary or otherwise, by
a subscriber to, or depositor, in, a Government or Railway Provident Fund of the
sum standing to his credit in the Fund, or of any part thereof, any nomination, duly
made in accordance with the rules of the Fund which purports to confer upon any
person the right to receive the whole or any part of such sum on the death of the
subscriber or depositor occurring before the sum has become payable or before the
sum, having become payable, has been paid, the said person shall, on the death as
aforesaid of the subscriber depositor, become entitled, to the exclusion of all other
persons, to receive such, sum or part thereof, as the case may be unless:

(a) such nomination is at any time varied by another nomination made

in like manner or expressly cancelled by notice given in the manner
and to the authority prescribed by those rules; or

(b) such nomination at any time becomes invalid by reason of the

happening of some contingency specified therein, and if the said
person predeceases the subscriber or depositor, the nomination shall,
so far as it relates to the right conferred upon the said person,
become void and of no effect:

Provided that where provisions has been duly made in the

nomination in accordance with the rules of the Fund, conferring upon some other
person such right instead of the person deceased, such right shall, upon the decease
as aforesaid of the said person, pass to such other person.

ii) Notwithstanding anything contained in the Succession Certificate

Act, 1889, or the Bombay Regulation, VII of 1827, any (person who
becomes entitled as aforesaid, may be granted) a certificate under
that Act or that Regulation, as the case may be, entitling him to
receive payment of such sum or part, and such certificate shall not
be deemed to be invalidated or superseded by any grant to any other
person of probate or letters of administration to the estate of the
deceased.

iii) The provisions of this section as amended by sub- section (1) of

section 2 of the Provident Funds (Amendment) Act, 1946, shall
apply also to all such nomination made before the date of the
commencement of that Act.

Provided that the provisions of this section as so amended shall not

operate to effect any case, in which before the said date any sum has been paid, or
has under rules of the Fund become payable in pursuance of any nomination dully
made in accordance with those rules.

6. Power to make deductions -- When the sum standing to the credit of any
subscriber or depositor in any Government or Railway Provident Fund which is a
contributory Provident Fund becomes payable, there may, if the authority
(specified in this behalf in the rules of the Fund) so directs, be deducted therefrom
and paid to (Government or the Railway Administration, as the case may be).

(a) any amount due under a liability incurred by the subscriber or

depositor to (Government or the Railway Administration), but not
exceeding in any case the total amount of any contributions credited
to the account of the subscriber or depositor and of any interest or
increment which has accrued on such contribution.

(b) Where the subscriber or depositor has been dismissed from (his
employment) for any reasons specified in this behalf in the rules of
the Fund, or where he has resigned such employment within five
 years of the commencement thereof, the whole or any part of the
amount of any such contributions, interest and increment.

7. Protection for acts done in good faith. -- No suit or other legal proceeding
shall lie against any person in respect of anything which is in good faith done or
intended to be done under this Act.

8. Power to apply the Act to other Provident Funds --

(1) The appropriate Government may, by notification in the official

Gazette, direct that the provisions of this Act shall apply to any
Provident Fund established for the benefit of its employees by any
local authority within the meaning of the Local Authorities Loans
Act, 1914, and, on the making of such declaration, this Act shall
apply accordingly, as if such Provident Fund were a Government
Provident Fund and such local authority were the Government.

(2) The appropriate Government, may, by notification in the official

Gazette, direct that the provisions of this Act shall apply to any
Provident Fund established for the benefit of the employees of any
of the institutions specified in the Schedule, or of any groups of such
institutions, and, on the making of such declaration, this Act shall
apply accordingly, as if such Provident Fund were a Government
Provident Fund and the authority having custody of the Fund were
the Government.

Provided that section 6 shall apply as if the authority making the

contributions referred to in that section were the Government.

(3) The appropriate Government may, by notification in the official

Gazette and to the Schedule the name of any public institution (it)
may deem fit, and any such addition shall take effect as if it had
been made by this Act.

(4) In this section "the appropriate Government" means:-

(a) In relation to a cantonment authority, a port authority for a

major port, and any institution which, or the objects of
which, appear to the Central Government to fall within (the
third schedule to the Constitution), the Central Government;
and

(b) In other cases, the Provincial Government.

(Explanation --"The Provincial Government" in relation to an institution

registered under the Societies Registration Act, 1860, means the Provincial
Government of the Province in which the Society is registered.

9. Savings as to estates of soldiers -- Nothing in section 4 or section 5 shall

apply to money belonging to any estate for the purpose of the administration of
which the Regimental Debts Act, 1893 applies.

10. (Repeals) Rep. by the Repealing Act 1927 (XII of 1927), S. 2. and
Schedule.
 APPENDIX II
(See Explanation 1 to rule 1.14)

1. The fund is designed solely for the protection of a subscriber's family

against his sudden death, or if he survives until retirement, to provide both him and
them with additional resources in his old age. Anything which interferes with a
subscriber's normal accumulations detracts from these purposes and tends to defeat
the true object of the fund. Rule 1.14 merely permits a temporary and wholly
exceptional departure from the real purposes of the scheme, and unless it is strictly
interpreted, there is danger that subscribers will come to regard the fund as an
ordinary banking account, the existence of which absolves them from the necessity
of providing for the normal incidents of life with the prudence which a private
individual would exercise. The inevitable result, if this tendency is countenanced,
will be to discourage thrift, and to leave the subscriber with a depleted account at
the time when it ought to be most helpful to him or his family. Sanctioning
authorities ought, therefore, to have no hesitation in resisting any attempt to use the
fund as a cheap loan account, and in enforcing the altogether exceptional character
of rule 1.14 as a provision to meet urgent needs which could not ordinarily have
been anticipated. Every prudent married man for example, should be prepared to
meet a certain demand upon his resources on account of doctor's bills, and it is only
when the burden is exceptionally prolonged, or the necessity unusually grave and
sudden, that he ought to think of making use of the provident fund for this object.

2. For the same reasons, a careful scrutiny should be applied to request for
withdrawals on account of marriage or funeral expenses. Even where ceremonial
expenditure, is by religious custom obligatory, its extent should nevertheless be
limited by the resources of the family, and no subscriber should be enabled to
enhance such expenditure on the strength of deposits in the fund. An advance from
the fund can legitimately be made for obligatory ceremonial expenditure where no
other resources exist but not in order to raise such expenditure to a more
pretentious scale.

3. The intention of these instructions is not to limit the powers of the

authorities competent to sanction withdrawals from the fund in case of absolute
necessity, but the observance of the principles enunciated above is in the real
interest of the body of subscribers to the fund.
 APPENDIX III
(See Explanation 1 to rule 1.14)

The expression "amount already advanced" appearing in sub-clause (ii) of

clause (c) of rule 1.14 (1) should be taken as referring to the first advance that may
be granted not exceeding two-thirds of the amount admissible under sub-clause (i)
of clause (c) ibid. Thus under sub-clause (ii) of clause (c) if a subscriber who has
already been granted an advance not exceeding two-thirds of the amount
admissible under sub-clause (i) of clause (c) applies for a second advance (not
exceeding the limit specified in that clause) within twelve months of the final
repayment of the 1st advance or while it is still current, the authority who
sanctioned the first advance will be competent to sanction the 2nd advance without
a reference to higher authority. It is possible that the sum of the two advances may
not exceed tow-thirds of the amount admissible under sub-clause (i) of clause (c)
and that the individual subscriber may apply for a third advance within twelve
months of the final repayment of the two previous advances or while one or both of
them is still current. In such a cause it would be necessary for the original
sanctioning authority to seek the sanction of the next higher administrative auth-
ority to the grant of the 3rd advance.
 APPENDIX IV
*

(See Explanation II to rule 1.14)

GOVERNMENT OF THE PUNJAB

FINANCE DEPARTMENT
NOTIFICATION
No.FDSR-I-2-5/82
The 31st May, 1983

"The power to grant advances under rule 1.14 to 1.18

shall vest in the authorities and to the extent
indicated below:-

Sr. Name of Authority For and in respect Extent of

No. of whom the powers power
are to be exercised

1. District/Divisional For the staff in Full

Heads/Regional Heads and up to NPS 18 powers
of Departments/Head working under in accor-
of attached Deptts. them. dance with
the Provi-
dent Fund Rules.

2. Administrative Deptt. For Officers in Ditto.

NPS-19 & 20 working
directly under the
Administrative
Deptt.

3.
♦
(i) Registrar, Lahore For the staff in Ditto
High Court. and up to BS-18
working in the
High Court except the
staff at (ii) below.

(ii) Additional Registrars For the staff in BS-1 Ditto

at the Benches. to 15 working at
the Benches.

4. Chief Justice or the For judicial offi- Ditto.

Sr. Judge/Judges of cers upto and incl-
the High Court empow- uding District and
ered by the Chief Sessions Judges.
Justice in this behalf.

*Substituted vide F.D. Notification No. SRI-2-5/82 dated 31st May, 1983. Previous
version available at Sr. No. 12 at page 109.
Substituted vide Notification No. FDSR.I-2-2/93 dated 19th
February, 2000.
Sr. Name of Authority For and in respect Extent of
No. of whom the powers power
are to be exercised

5. Executive Head/Managing For all the civil Full

Director of the Statut- servants working on powers
ory Bodies. deputation with the in accor-
respective Statutory dance with
Bodies. the Provident
Fund Rules.

6. Dy. Secretary In charge For staff in NPS 1 Ditto.

of Administration. to 4 working in
the Secretariat.

7. Additional Secretary. For staff in NPS 5 Ditto.

to 18 working in
the Secretariat.

8. Administrative For staff in NPS-19 Ditto.

Secretary. working in the
Secretariat.

9. Chief Secretary. For staff in NPS-20 Ditto.

and above working
in the Secretariat.

Note: -- Cases involving relaxation of G.P. Fund Rules, shall, however continue to
be referred to the Finance Department through the Administrative Department
concerned.
 APPENDIX V
(See Rule 1.34)

1. Any sum payable under rule 1.34 to a member of the family of a subscriber
vests in such member under sub-section (2) of section 3 of the Provident Funds
Act, 1925.

2. When a nominee is a dependant of the subscriber as defined in clause (c) of

section 2 of the Provident Funds, Act, 1925 the amount vests in such nominee
under sub-section (2) of section 3 of the Act.

3. When the subscriber leaves no family and no nomination made by him in

accordance with the provisions of rule 1.7 subsists, or if such nomination relates
only to part of the amount standing to his credit in the Fund, the relevant provisions
of clause (b) and of sub-clause (ii) of clause (c) of sub-section (1) of section 4 of
the Provident Funds Act, 1925, are applicable to the whole amount or the part
thereof to which the nomination does not relate.
 FORMS
TABLE OF FORMS

Number Rule in which referred Description of Forms

P.F.
1 1.7 (3) & 2.5 (3) Form of Nomination
when the subscriber
has family.

2 1.7 (5) and 8 and 2.5 (5) Form of Nomination

and (8) when the subscriber
has no family.

3 1.24 (1) (a) & 2.19 (1) (a) Form of Assignment

4 -do- -do-

5 -do- -do-

6 2.19 (1) (a) Form of Assignment to

be used in cases where a
subscriber to the
General Provident Fund
who has effected an
insurance policy under
the rules of that fund is
admitted to the Punjab
Contributory Provident
Fund.

7 1.26 (1) (d) (i) and 2.21 Form of Reassignment

(1) (d) (i) by the Governor of the
Punjab.

8 1.27 (1) (i) and 2.22 (1) (i) -do-

9 1.15 (a) Form of Agreement.

10 1.15 (b) -do-

11 1.15 (c) -do-

12 2.13 (1) (c) (ia) -do-

13 2.13 (1) (c) (iia) -do-

 FORMS OF NOMINATION
Form P. F. 1

(Referred to in Rules 1.7 (3) and 2.5 (3))

WHEN THE SUBSCRIBER HAS A FAMILY AND WISHES TO NOMINATE

ONE MEMBER THEREOF.

I hereby nominate the person mentioned below, who is a member of my

family as defined in rule 1.2/2.2 of the Punjab General/Contributory Provident
Fund Rules, to receive the amount that may stand to my credit in the Punjab
General/ Contributory Provident Fund, in the event of my death occurring before
that amount has become payable, or having become payable has not been paid.

Name and address of Relationship with Age

nominee subscriber

Dated this-----------------------day of --------------19

------------------------------------------------------------

Signature of subscriber--------

Two witnesses to signature-

(1)--------------------

(2)--------------------
 Form P.F. 1-A.

(Referred to in Rules 1.7 (3) and 2.5 (3)

WHEN THE SUBSCRIBE HAS A FAMILY AND WISHES TO NOMINATE
MORE THAN ONE MEMBER THEREOF

I hereby nominate the persons mentioned below, who are members of my

family as defined in rule 1.2/2.2 of the Punjab General/Contributory Provident fund
Rules to receive the amount that may stand to my credit in the Punjab Gen-
eral/Contributory Provident Fund in the event of my death occurring before that
amount has become payable, or having become payable has not been paid, and
direct that the said amount shall be distributed among the said persons in the
manner shown below against their names--

Name and address Relationship with Age *Amount or share

of nominee subscriber of accumulation to
be paid to each

Dated this---------------------day of-------------19

at--------------------------

Signature of subscriber---------

Two witness to signature --

(1)----------------
(2)----------------

*Note: This column should be filled in so as to cover the whole amount that may
stand to the credit of the subscriber in the fund at any time.
 Form P.F.1-B
(Referred to in Rules 1.7 (3) and 2.5 (3)
WHEN THE SUBSCRIBER HAS NO FAMILY AND WISHES
TO NOMINATE ONE PERSON.

I, having no family as defined in rule 1.2/2.2 of the Punjab General/

Contributory Provident Fund Rules, hereby nominate the person mentioned below
to receive the amount that may stand to my credit in the Punjab General/Contri-
butory Provident Fund in the event of my death, occurring before that amount has
become payable or having become payable has not been paid.

Name and address of Relationship with Age

nominee subscriber

Dated this----------------day of ---------------19

at------------------------

Signature of subscriber---------

Two witnesses to signature--

(1)----------------------

(2)----------------------
 Form P.F.1-C
(Referred to in Rules 1.7 (3) and 2.5 (3)
WHEN THE SUBSCRIBER HAS NO FAMILY AND WISHES TO
NOMINATE
MORE THAN ONE PERSON.

I, having no family as defined in rule 1.2/2.2 of the Punjab General/

Contributory Provident Fund Rules, hereby nominate the persons mentioned below
to receive the amount that may stand to my credit in the Punjab General/Contribu-
tory Provident Fund in the event of my death occurring before that amount has
become payable, or having become payable, has not been paid, and direct that the
said amount shall be distributed among the said persons in the manners shown
below against their names:--

Name and address Relationship Age *Amount or share

of nominee with subscriber of accumulation to
be paid to each

Dated this------------------day of ----------------19

at----------------------------

Signature of subscriber--------

Two witnesses to signature

(1)------------------

(2)------------------
 Form of Contingent Notice of Cancellation
Form P.F. 2

(Referred to the Rule 1.7 (5) and (8) 2.5 (5) and (8)
WHERE NOMINATION IS IN FAVOUR OF ONE OR MORE MEMBERS
OF THE SUBSCRIBER'S FAMILY.

Without prejudice to my right under clause (4) of rule 1.7/2.5 of the Punjab
General/Contributory Provident Fund Rules, to cancel the nomination made by me
on ---------------, whenever I think fit, I hereby give notice that in the event of the
person/any of the persons nominated thereunder predeceasing me, or of my
contracting a fresh marriage or of my marriage with my wife/any of my wives/my
husband being dissolved by divorce or otherwise the said nomination shall
forthwith stand cancelled.

Dated this ------------------day of --------------19

at ------------------------

Signature of subscriber---------

Two witnesses to signature--

(1)----------------

(2)----------------
 Form P.F.2-A

(Referred to in rule 1.7 (5) and (8) and 2.5 (5) and (8)

WHERE NOMINATION IS IN FAVOUR OF ONE OR MORE PERSONS

NOT
BEING MEMBERS OF THE SUBSCRIBER'S FAMILY.

Without prejudice to my right under clause (4) of rule 1.7/2.5 of the Punjab
General/Contributory Provident Fund Rules, to cancel the nomination made by me
on _________,whenever I think fit, I hereby give notice that in the event of the
person/any of the persons nominated thereunder predeceasing me, or in the event of
my hereafter acquiring a family as defined in rule 1.2/2.2 of the said rules, the said
nomination shall forthwith stand cancelled.

Dated this---------------day of --------------19

at------------------.

Signature of subscriber-----------

Two witnesses of Signature--

(1)-------------------

(2)-------------------
 FORM P.F.3

[Referred to in Rules 1.24(1)(a) and 2.19(1)(a)]

Form of Assignments*

I, A.B., of............hereby assign unto the Governor of the Punjab the within
policy of assurance as security for payment of all sums which under the rules
1.29/2.23 (2) of the Punjab General/Contributory Provident Fund Rules I may
hereafter become liable to pay to that Fund.

I hereby certify that no prior assignment of the within policy exists.

Dated this___________day of________________19______________

Signature of Subscriber.

One witness to signature.

Station

*Note-The assignment may be executed on the policy itself either in the

subscriber's handwriting or in type, or alternatively a typed or printed slip
containing the assignment may be pasted on the blank space provided for the
purpose on the policy. A typed or printed endorsement must be duly signed and if
pasted on the policy it must be initially across all four margins.
 FORM P.F.4

[Referred to in Rule 1.24(1)(a) and 2.19(1)(a)]

Form of Assignment*

We, A.B.(the subscriber) of_________________________and C.D.(the

joint assured) of_______________________________in consideration of the
Governor of the Punjab agreeing at our request to accept payments towards the
within policy of assurance in substitution for the subscriptions payable by me the
said A.B. to the Punjab General/Contributory Provident Fund or, as the case may
be, to accept the withdrawal of the sum of Rs._____________from the sum to the
credit of the said A.B. in the Punjab General/Contributory Provident Fund for
payment of the premium of the within policy of assurance, hereby jointly assign
unto the said Governor of the Punjab the within policy of assurance as security for
payment of all sums which under rule 1.29/2.23(2) of the Punjab
General/Contributory Provident Fund Rules the said A.B. may hereafter become
liable to pay to that Fund.

We hereby certify that no prior assignment of the within policy exists.

Dated this....................day of.................19..

Station
Signature of Subscriber and the
joint assured.
One witness to signature.

*Note -The assignment may be executed on the policy itself either in the
subscriber's handwriting or in type, or alternatively a typed or printed slip
containing the assignment may be pasted on the blank space provided for the
purpose on the policy. A typed or printed endorsement must be duly signed and if
pasted on the policy it must be initialed across all four margins.
 FORM P.F.5
(Referred to in Rules 1.24 (1) (a) and 2.19 (1) (a)
Form of Assignment*

I.C.D., wife of A.B., and the assignee of the within policy, having at the
request of A.B. the assure, agree to release my interest in the policy in favour of
A.B., in order that A. B. may assign the policy to the Governor of the Punjab, who
has agreed to accept payments towards the within policy of Assurance in
substitution for the subscriptions payable by A.B., to the Punjab General
/Contributory Provident Fund hereby at the request and by the direction of A.B.
assign and I, the said A.B., assign and confirm unto the Governor of the Punjab the
within policy of Assurance as security for payment of all sums which under rules
1.29/2.23 (2) of the rules of the said fund the said A.B. may hereafter become
liable to pay to the Fund.

We hereby certify that no prior assignment of the within policy exists.

Dated this-----------------day of------------19

Station
Signature of Assignee and of the
subscriber.
One witness to signature.

*Note-- The assignment may be executed on the policy itself either in the
subscriber's handwriting or in type, or alternatively a typed or printed slip
containing the assignment may be pasted on the blank space provided for the
purpose on the policy. A typed or printed endorsement must be duly signed and if
pasted on the policy it must be initialed across all four margins.
 FORM P.F.6
(Referred to in Rule 2.19 (1) (a)

Form of Assignment*

(To be used in cases where a subscriber to the General Provident Fund who
has effected an insurance policy under the rules of that Fund is admitted to the
Punjab Contributory Provident Fund)

I.A.B. of.......... hereby further assign unto the Governor of the Punjab the
within policy of assurance as security for payment of all sums which under sub-rule
(2) of rule 2.23 of the Punjab Contributory Provident Fund Rules I may hereafter
become liable to pay to the Punjab Contributory Fund.

I hereby certify that except an assignment to the Governor of the Punjab as

security for payment of all sums which I have become liable to pay under rule 1.21
of the Punjab General Provident Fund Rules, no prior assignment of the within
policy exists.

Signature of Subscriber.

One witness to signature.

*Note--The assignment may be executed on the policy itself either in the

subscriber's handwriting or in type, or alternatively a typed or printed slip
containing the assignment may be pasted on the blank space provided for the
purpose on the policy A typed or printed endorsement must be duly signed and if
pasted on the policy it mush be initialed across all four margins.
 FORM P.F. 7

Form of Reassignments by the Governor of the Punjab

PART I
(Referred to in Rules 1.26 (1) (d) (i) and 2.21 (1) (d) (i)

All sums which have become payable by the above named A.B./A.B.and
C.D. under rule 1.29/2.23 (2) of the Punjab General/Contributory Provident Fund
Rules having been paid and all liability for payment by him of any such sums in the
future having ceased the Governor of the Punjab doth hereby re-assign the within
policy of assurance to the said A.B./A.B. and C.D.

Dated this_____________day of_____________19___________

Executed by Accounts Officer (Signature of

of the Fund for and on behalf of the Governor of the Punjab the Accounts
in the presence of Officer)

---

Y Z
(One witness who should add his designation and address)

Part II
(Referred to in Rules 1.26 (2) (i) and 2.21 (2) (i)

The above named A.B. having died on the........day of ....................19, the

Governor of the Punjab doth hereby re-assign the within policy of assurance to
C.D..... *

Dated this_____________day of_____________19___________

Executed by Accounts Officer (Signature of

of the Fund for and on behalf of the Governor of the Punjab the Accounts
in the presence of Officer)

---
Y R
(One witness who should add his designation and address)

*Fill in particulars of person or persons legally entitled to receive the policy.

 FORM P.F.8

(Referred to in Rule 1.27 (1) (i) and 2.22 (1) (i))

Form of Reassignment by the Governor of the Punjab

The Governor of the Punjab doth hereby re-assign the within policy
to the said--------

A.B. A.B. and C.

Dated this_____________day of_____________19___________

Executed by Accounts Officer (Signature of

of the Fund for and on behalf of the Governor of the Punjab the Accounts
in the presence of Officer)
---

Y Z
(One witness who should add his designation and address)
 FORM P.F.9.
(REFERRED TO IN RULE 1.15 (a)
FORM OF AGREEMENT

This indenture made the________day of___________ one thousand,

nine hundred and___________between__________ (hereinafter called the
subscriber, which expression shall include his heirs, executors administrators, legal
representatives, and assigns) of the one part and the Governor of the Punjab
(hereinafter called the Governor, which expression shall include his successors in
office and assigns) of the other part.

WHEREAS the subscriber has applied to the Governor to grant him

an advance of Rs.__________out of the sum standing to the credit of the subscriber
in the General Provident Fund (hereinafter referred to as Fund) under clause (a) of
rule 1.15 of the Punjab General Provident Fund Rules (hereinafter referred to as the
Rules) to enable him to defray the expenses of building a house on the piece of
land bearing________situated in__________district of __________sub-registration
district of__________containing __________more or less owned by, and now in
the possession of________the subscriber/wife/husband/son (s) daughter(s) of the
subscriber;

AND WHEREAS the Governor has agreed to advance to the

subscriber the said sum of Rs.____________on the terms and conditions and in the
manner laid down in the Rules and as hereinafter contained.

NOW IT IS HEREBY AGREED between the parties to this

agreement that in consideration of the said sum of Rs.________________advanced
by the Governor to the subscriber by instalments as entered and received from time
to time in the schedule hereto annexed the subscriber shall expend the full amount
of the said advance towards the building of a house on the said piece of land at the
earliest possible opportunity and if the actual amount so expended is less than the
sum advanced the subscriber shall repay the difference into the Fund forthwith.

AND IT IS HEREBY FURTHER AGREED AND DECLARED that

if the said piece of land or the house built thereon is sold or otherwise alienated by
the owner without repaying the amount of the advance and before retirement of the
subscriber from service, the subscriber shall forthwith repay into Fund the entire
amount of the advance together with the interest accrued thereon in a lump sum.
In witness whereof the subscriber has hereunto set his hand the Day and
year first above written.
Signed by the Subscriber-------------in the presence of

Ist witness----------------------
Address--------------------------
Occupation-----------------------
2nd witness----------------------
Address--------------------------
Occupation-----------------------
 FORM P.F.9
SCHEDULE

Sr.No. Date Amount of

installment

Signature of the subscriber

 FORM P.F. 10
(REFERRED TO IN RULE 1.15(b)
FORM OF AGREEMENT.

This Indenture made of__________day of__________one thousand nine

hundred and____________between_________ (herein called the_______subscriber
which expression shall include his heirs, executors, administrators, legal repre-
sentatives and assigns) of the one part and the Governor of Punjab (hereinafter
called the Governor, which expression shall include his successors in office and
assigns) of the other part.

Whereas the subscriber has applied to the Governor to grant him an advance
of Rs.__________out of the sum standing to the credit of the subscriber in the
General Provident Fund (hereinafter referred to as the Fund) under clause (b) of
rule 1.15 of the Punjab General Provident Fund Rules (hereinafter referred to as the
Rules) to enable him to purchase a house on a piece of a land
bearing______________situated in_________district of__________sub-registration
district of__________;

And, whereas the Governor has agreed to advance to the subscriber the said
sum of Rs.____________on the terms and conditions and in the manner laid down
in the Rules and as hereinafter contained;

Now it is hereby agreed between the parties to this agreement that in

consideration of the said sum of Rs.______ advanced by the Governor to the
subscriber the subscriber shall expend the full amount of the said advance towards
the purchase of the said house within three months from the drawl of the advance,
and, if the actual amount so expended is less than the sum advanced, he shall repay
the difference into the Fund forthwith.

And it is hereby further agreed and declared that if the said house is sold or
otherwise alienated by the subscriber without repayment of the advance and before
his retirement from service the subscriber shall forthwith repay into the Fund the
entire amount of the advance together with the interest accrued thereon in a lump
sum.

Signature of the subscriber--------------

In the presence of --

Ist witness----------------------
Address------------------------
Occupation----------------------

2nd witness----------------------
Address------------------------
Occupation----------------------
 FORM P.F.11
(REFERRED TO IN RULE 1.15 (c))
FORM OF AGREEMENT

This indenture made the__________day__________one thousand nine

hundred and__________between__________ (hereinafter called the subscriber,
which expression shall include his heirs, executors, administrators, legal repre-
sentatives and assigns of the one part and the Governor of the Punjab (hereinafter
called the Governor which expression shall include his successor-in office and
assigns) of the other part.

Whereas the subscriber has applied to the Governor to grant him an advance
of Rs.__________out of the sum standing to the credit of the subscriber in the
General Provident Fund (hereinafter referred to as the Fund) under clause(c) of rule
1.15 of the Punjab General Provident Fund Rules (hereinafter referred to as the
Rules) to enable him to purchase a piece of agricultural land
bearing__________situated in ________district of________sub-registration district
of _________.

And, whereas the Governor has agreed to advance to the subscriber the said
sum of Rs.__________on the terms and conditions and in the manner laid down in
the Rule and as hereinafter contained.

Now, it is hereby agreed between the parties to this agreement that in

consideration of the said sum of Rs.______advanced by the Governor to the
subscriber by instalments/in a lump sum as entered and received from time to time
in the schedule hereto annexed the subscriber shall expend the full amount of the
said advance towards the purchase of the said piece of land at the earliest possible
opportunity and if the actual amount so expended is less than the sum advanced,
the subscriber shall repay the difference into the Fund forthwith.

And it is hereby further agreed and declared that if the said piece of land is
sold or otherwise alienated by the subscriber without repayment of the advance and
before his retirement from service, the subscriber shall forthwith repay into the
Fund the entire amount of the advance together with the interest accrued thereon in
a lump sum.

In witness whereof the subscriber has hereunto set his hand the day and year
first above written.

Signature by the subscriber------------

In the presence of------------------

1st witness-----------------------
Address-------------------------
Occupation-----------------------

2nd witness-----------------------
Address-------------------------
Occupation-----------------------
 SCHEDULE

Sr. No. Date Amount of installment

 FORM P.F.12
*

[REFERRED TO IN RULE 2.13 (1)]

FORM OF AGREEMENT.

This indenture made on__________day of__________one thousand, nine

hundred and___________between__________(hereinafter called the subscriber
which expression shall include his heirs, executors, administrators, legal
representatives and assigns) of the one part and the Governor of the Punjab
(hereinafter called the Governor, which expression shall include his successors in
Office and assigns) of the other part.

Whereas the subscriber has applied to the Governor to grant him an advance
of Rs.__________out of the sum standing to the credit of the subscriber in the
Contributory Provident Fund (hereinafter referred to as the Fund) under clause (iv)
of rule 2.13 (1) (a) of the Punjab Contributory Provident Fund Rules (hereinafter
referred to as the Rules) to enable him to purchase a house on a piece of land
bearing_________situated in________district of_________sub-registration district
of__________;

And, whereas the Governor has agreed to advance to the subscriber the said
sum of Rs.__________on the terms and conditions and in the manner laid down in
the Rules and as hereinafter contained;

Now it is hereby agreed between the parties to this agreement that in

consideration of the said sum of Rs.______ advanced by the Governor to the
subscriber, the subscriber shall expend the full amount of the said advance towards
the purchase of the said house within three months from the drawl of the advance,
and, if the actual amount so expended is less than the sum advanced, he shall repay
the difference into the Fund forthwith.

And it is hereby further agreed and declared that if the said house is sold or
otherwise alienated by the subscriber without repayment of the advance and before
his retirement from service the subscriber shall forthwith repay into the Fund the
entire amount of the advance together with the interest accrued thereon in a lump
sum.

Signature by the subscriber:

In the presence of:

1st witness-----------------
Address-------------------
Occupation-----------------

2nd witness-----------------
Address-------------------
Occupation-----------------

*Added vide notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989.

 *
FORM P.F. 13
[REFERRED TO IN THE RULE 2.13 (1)]
FORM OF AGREEMENT

This indenture made the__________day of__________one thousand, nine

hundred and__________between___________(hereinafter called the subscriber,
which expression shall include his heirs, executors, administrators, legal represen-
tatives, and assigns) of the one part and the Governor of the Punjab (hereinafter
called the Governor, which expression shall include his successors in office and
assigns) of the other part.

WHEREAS the subscriber has applied to the Governor to grant him an

advance of Rs.__________out of the sum standing to the credit of the subscriber in
the Contributory Provident Fund (hereinafter referred to as Fund) under clause (iv)
of rule 2.13 (1) (a) of the Punjab Contributory Provident Fund Rules (hereinafter
referred to as the Rules) to enable him to defray the expenses of building a house
on the piece of land bearing__________situated in________district
of__________sub-registration district of__________containing __________more
or less owned by, and now in the possession of__________the
subscriber/wife/husband/son(s)/daughter(s) of the subscriber;

AND WHEREAS the Governor has agreed to advance to the subscriber the
said sum of Rs.__________on the terms and conditions and in the manner laid
down in the Rules and as hereinafter contained.

NOW IT IS HEREBY AGREED between the parties to this agreement that

in consideration of the said sum of Rs.______ advanced by the Governor to the
subscriber by instalments as entered and receipted from time to time in the
schedule hereto annexed, the subscriber shall expend the full amount of the said
advance towards the building of a house on the said piece of land at the earliest
possible opportunity and if the actual amount so expended is less than the sum
advanced, the subscriber shall repay the difference into the Fund forthwith.

AND IT IS HEREBY FURTHER AGREED AND DECLARED that if the

said piece of land or the house built thereon is sold or otherwise alienated by owner
without repaying the amount of the advance and before retirement of the subscriber
from service, the subscriber shall forthwith repay into Fund the entire amount of
the advance together with the interest accrued thereon in a lump sum.

In witness whereof the subscriber has hereunto set his hand the day and year
first above written.

Signed by the subscriber:

In the presence of:
1st witness--------------- 2nd witness---------------
Address----------------- Address-----------------
Occupation--------------- Occupation---------------

*Added vide notification FD/SRI-2-3/83 (Prov) dated 02.04.1989.

 SCHEDULE

Sr. No. Date Amount of installment

Signature of the subscriber.

ANCILLARY INSTRUCTIONS
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-3/83(Prov), dated 21.9.1986.

Subject:-REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

I am directed to refer to the subject noted above and to state that

there has been a general complaint that the existing General Provident Fund
Scheme has not been working satisfactorily for some time in the past. The major
problem has been that of missing credits and in spite of best efforts no satisfactory
solution could be found for this problem. It has, therefore, been decided by the
Government to change the existing General Provident Fund into a Provident Fund
Bond System.

2. One of the important features of the new system will be a uniform

fixed rate of subscription for every employee as given in Annexure. The new rates
have been linked with the basic pay scales. The deduction from the pays of the
employees on the basis of the new rates would be compulsory from the salary of
June paid in July, 1986 and onwards. There will be no option to postpone
subscription to this Fund either during leave of any kind or during the training
period. In cases of suspension, recovery of arrears of subscription will be effected if
re-instatement takes place.

3. Under the new scheme it would not be possible for an employee to

subscribe at a higher rate. However, he can obtain bonds of an equivalent amount
in excess of his normal annual subscription from the Bank through his own
resources if he so desires.

4. The other details of the scheme would be circulated separately.

----------
 ANNEXURE

STATEMENT SHOWING UNIFORM RATE OF SUBSCRIPTION

FOR PROVIDENT FUND BOND SYSTEM.

Minimum Proposed
Basic deduction at rate of
Scale existing rate monthly
No. Minimum Maximum Mean (on mean) deduction
-----------------------------------------------------------------------------------------------------
1 2 3 4 5 6
-----------------------------------------------------------------------------------------------------
1 440 640 540 16 20
2 460 700 580 17 20
3 480 760 620 19 25
4 500 820 660 20 25
5 520 880 700 21 30
6 540 940 740 22 30
7 560 1020 790 40 50
8 590 1110 850 43 50
9 620 1200 910 46 60
10 660 1300 980 49 60
11 700 1400 1050 53 70
12 750 1550 1150 58 70
13 800 1700 1250 63 80
14 850 1850 1350 68 80
15 900 2000 1450 73 100
16 1050 2250 1650 132 150
17 1600 3040 2320 186 200
18 2100 3600 2850 228 250
19 3200 4480 3840 307 350
20 3800 5240 4520 362 400
21 4200 6000 5100 408 450
22 4500 6500 5500 440 500
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-3/83(Prov) dated 14.10.1986.

Subject:-REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

I am directed to refer to this Department's circular letter of even

number dated 21st September, 1986 on the subject noted above and to enclose
copies of Ministry of Finance, Govt. of Pakistan, office Memo.No.F(4)-Reg(7)/86,
dated 10th July, 1986 and 24th July, 1986 for information and necessary action.
----------

GOVERNMENT OF THE PAKISTAN

Finance Division
No.F.1(4)-Reg(7)/86, dated 10.7.1986.
(Regulation Wing-II)

Subject:- REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

The undersigned is directed to refer to this Division's

O.M.No.F.1(4)-Reg(7)/86, dated the 19th June, 1986, on the subject noted above,
and to state that as full implementation of the P.F.Bond Scheme is likely to take
some time, it has been decided that payment of the amount being deducted towards
P.F.Bond Scheme from the salaries of the employees who shall retire during the
current financial year (i.e. from 01.07.1986 to 30.06.1987) will be made to them
along with the final payment of their G.P. Fund balances.

----------

GOVERNMENT OF THE PAKISTAN

Finance Division
No.F.1(4)-Reg(7)/86,dated 24.7.1986
(Regulation Wing-II)

Subject:- REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

The undersigned is directed to refer to this Division's O.M.of even

number dated the 10th July, 1986 on the subject noted above, and to state that the
G.P.Fund advances and their recoveries may continue to be granted up to 30th
June, 1987 under the existing rules and orders. The financing of Insurance Policies
out of the fund will also be admissible up to 30.06.1987 whereafter payment on
account of Policies premium from G.P.Fund will cease and such Policies would
taken be financed through subscribes' own resources.

----------

GOVERNMENT OF THE PUNJAB

Finance Department
No.FD/SRI-2-1/87, Dated 20.5.1987
Subject:-DISPENSING WITH PAYMENT AUTHORITY AND TIME LIMIT
FOR PAYMENT OF G.P.FUND BALANCES

I am directed to enclose Accountant General, Punjab, Memo.No.FD/I/

AS-1-35/168, dated 19-2-87, and his office orders No.FD-I/AS-1-35/AG-Conf/
1985/479, dated 7-9-1985 on the above subject for your information and necessary
action.
----------

OFFICE OF THE ACCOUNTANT-GENERAL PUNJAB, LAHORE.

O.O.NO.Fd-I/AS-1-35/A.G.Conf-1985/479,dated 7.9.1985

Subject:DISPENSING WITH PAYMENT AUTHORITY AND TIME LIMIT

FOR PAYMENT OF G.P.FUND BALANCES

Final payments of G.P.Fund should be made to subscribers on the basis of

available balance in the Ledger Cards within seven days of the receipt of
application. Issue of a payment authority by the Audit Office may be dispensed
with if payment is to be made on the same station.

2. Payment authorities will, however need to be issued by one audit circle to

another and one District Accounts Officer to another where so required.

3. Departments' Drawing and Disbursing Officers and Officers may

henceforth be asked to submit bills for final withdrawal of G.P.Fund at the
pre-audit counter of the Audit Office concerned together with G.P.Fund Form 10
and application. The bill will be completed by the Department/Drawing and
Disbursing Officers/Officer with the help of the G.P.Fund balance shown in the
latest Accounts Statement available with them. Necessary correction, if required in
the amount of claim will however, be made by the respective Audit Office/District
Accounts Office and the claim passed for payment. An intimation of the
balance/interest paid or still to be paid will also be issued by the Audit Office
concerned to the Drawing and Disbursing Officers/Gazetted Officers for their
information.
----------

OFFICE OF THE ACCOUNTANT-GENERAL

PUNJAB, LAHORE.
O.O.NO.Fd-I/AS-1-35/168, dated 19.2.1987

Subject:-DISPENSING WITH PAYMENT AUTHORITY AND TIME LIMIT

FOR PAYMENT OF G.P.FUND BALANCES

1. Attention is invited to the O.O.No.Fd.I/AS-1-35/AG- Conf/1985/479, dated

7.9.1985 (copy enclosed) on the above subject. Complaints are being received from
various subscribers that the instructions contained in the said office order are not
being observed strictly under which the Auditor-General of Pakistan has ordered
offices to pay the available G.P.Fund balance within 7 days of the receipt of
application from the subscriber, even without the issue of payment authority. The
Accountant General, Punjab has taken very serious view of the delays caused and
has ordered, that the instructions on the subject should be strictly observed by all
District Accounts Officers and Fund Sections.
2. In order to avoid loss to Government in the shape of heavy interest which
has to be paid to the subscribers in case of delay/time taken by various District
Accounts Officers in transferring and consolidating the balance at one place, it is
ordered that final payment of G.P.Fund accumulations should be paid within 7 days
of the date of receipt of application for final payment at the station from where he
retired.

3. A certificate to the effect that final payment of G.P.Fund balance is being

made within 7 days from the date of receipt of application should be furnished by
all to Fd-I Coordination section on Ist of each month and a note to this effect kept
in the calendar of returns. Any departure from these orders if noticed, will be dealt
with severely.

4. The receipt of this letter may please be acknowledge.

----------

GOVERNMENT OF THE PUNJAB

Finance Department
No.FD/SRI-2-3/83(Prov), dated 24.6.1987

Subject:- REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

I am directed to refer to para 3 of this department circular letter of even

number dated 21st September, 1986 on the subject noted above wherein it has been
stated that under the new scheme it would not be possible for an employee to
subscribe at a higher rate. However, he can obtain Bonds of an equivalent amount
in excess of his normal annual subscription from the Bank through his own
resources if he so desires.

2. With regards the procedure to be followed for obtaining additional bonds it

is clarified that matching subscription equal to the amount of annual subscription or
less, but only in multiples of monthly subscription, not exceeding the amount of
annual subscription, can be made by making payment by the subscriber himself to
the State Bank of Pakistan or the National Bank of Pakistan in the month of May,
only under the following Head of Account :-

1000-Unfunded Debt.
15000-State Provident Fund.
1526-Provident Fund Bonds.
1557-Provident Fund Bonds.

Additional matching subscription.

Two copies of the treasury challan will remain in the custody of the D.D.O.
until the issue of the bonds to the subscriber concerned.

3. Bonds to be issued against the matching subscription would be in different

colours and bear a series different from the regular subscription bonds.

----------

GOVERNMENT OF THE PUNJAB

 Finance Department
No.FD/SRI-2-3/83(Prov), dated 15.7.1987.

Subject:- REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

I am directed to refer to this department's circular letter of even

number dated 14.10.1986 on the subject noted above and to state that as complete
implementation of P.F.Bond Scheme is likely to take some more time, it has now
been decided as follows:-

(i) Payment of the amount being deducted towards P.F.Bond

Scheme from the employees who shall retire during the
period from 1-7-1986 to 30-6-1988(if the said scheme is not
fully enforced by that time) will be made to them along with
the final payment of their G.P.Fund Balance.

(ii) Grant of advance, recoveries thereof and the financing of

insurance policies out of the G.P. Fund allowed up to
30-6-1987 now stands extended up to 31st May, 1988.

----------

GOVERNMENT OF THE PUNJAB

Finance Department
No.FD/SRI-2-3/83(Prov), Dated 15.9.1987

Subject:REPLACEMENT OF EXISTING G.P.FUND SYSTEM BY

PROVIDENT FUND BOND SYSTEM

I am directed to refer to this Department's letter of even number dated

21.9.1986 on the subject noted above and to state that consequent upon the revision
of the basic pay scales with effect from 1-7-1987 it has been decided to revise the
rates of subscription towards the Provident Fund Bonds as shown in the *Annexure.
The deductions from the pays of the employees on the basis of the new rates shall
be made in July, 1987 to be paid on Ist August, 1987 and onwards.

2. There will be no option to postpone subscription to the above Fund either

during leave of any kind or during the training period. In cases of suspension,
recovery of arrears of subscription will be effected if reinstatement takes place.

----------

*See at page 93.

 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-1/95,dated 5th July,.1995

STATEMENT SHOWING UNIFORM RATE OF SUBSCRIPTION

TOWARDS GENERAL PROVIDENT FUND FROM 1ST JULY, 1995

Scal Minimum Maximum Mean Minimum Rate of Remarks

e subscrip- monthly
tion (on subsc-
mean) at ription
the rate
shown in
column
1 2 3 4 5 6 7
B1 Rs. 1245 Rs. 1770 Rs.1507.50 Rs. 45.23 Rs. 50 Minimum rates
B2 Rs. 1275 Rs. 1935 Rs.1605.00 Rs. 80.25 Rs. 85 of subscription
B3 Rs. 1320 Rs. 2070 Rs.1695.00 Rs. 84.75 Rs .85 (on mean) will
B4 Rs. 1360 Rs. 2230 Rs.1795.00 Rs. 89.75 Rs. 90 be as under:
B5 Rs. 1400 Rs. 2390 Rs.1895.00 Rs. 94.75 Rs. 95
B6 Rs. 1440 Rs. 2535 Rs.1987.50 Rs. 99.38 Rs.100 Pay Rate
B7 Rs. 1480 Rs. 2695 Rs.2087.50 Rs. 100.00 Rs. 100 Range
B8 Rs. 1540 Rs. 2860 Rs.2200.00 Rs. 110.00 Rs. 110 Up to
B9 Rs. 1605 Rs. 3060 Rs.2332.50 Rs. 116.63 Rs. 120 Rs.1600 3%
B 10 Rs. 1660 Rs. 3265 Rs.2462.50 Rs. 123.13 Rs. 125
B 11 Rs. 1725 Rs. 3465 Rs.2595.00 Rs. 129.75 Rs. 130 Up to
B 12 Rs. 1830 Rs. 3780 Rs.2805.00 Rs. 140.25 Rs. 145 Rs.1601- 5%
B 13 Rs. 1950 Rs. 4110 Rs.3030.00 Rs. 242.40 Rs. 250 3000/-
B 14 Rs. 2065 Rs. 4480 Rs.3272.50 Rs. 261.80 Rs. 265
B 15 Rs. 2190 Rs. 4845 Rs.3517.50 Rs. 281.40 Rs. 285 Above 8%
B 16 Rs. 2535 Rs. 5490 Rs.4012.50 Rs. 321 Rs. 325 Rs.3000
B 17 Rs. 3880 Rs. 7360 Rs.5620.00 Rs. 449.60 Rs. 450
B 18 Rs. 5085 Rs. 8745 Rs.6915.00 Rs. 553.20 Rs. 560
B 19 Rs. 7750 Rs. 11600 Rs.9675.00 Rs. 774.00 Rs. 780
B 20 Rs. 9195 Rs. 13595 Rs.11395 Rs. 911.60 Rs. 920
B 21 Rs. 10190 Rs. 15640 Rs.12915 Rs.1033.20 Rs. 1040
B 22 Rs. 10900 Rs. 17000 Rs.13950 Rs.1116.00 Rs. 1120
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-1/95, dated 19th November, 2001

Subject: UNIFORM RATES OF SUBSCRIPTION TOWARDS

GENERAL PROVIDENT FUND

I am directed to refer to this Department's circular ♠letter No. FDSR-I-2-

1/95 dated 5th July, 1995 regarding uiniform rates of subscription and to state that
consequent upon the revision of the basic pay scales for the civil employees of the
provincial governemtn vide Finance Department’s circular letter No. FD.PC-2-
1/2001, dated 22nd October, 2001, it has been decided to review the rates of
subscriptions towards General Provident Fund as shown in column 6 of the Annex
to this circular letter. The deduction from the pay of employees on the basis of new
rates shall be made in December to be paid on 1st January 2002 till further orders.

2. There shall be no option to postpone subscription to the above Fund either

during leave (except Extraordinary Leave Without Pay) or during the training
period.

For previous rates see page 99.

 STATEMENT SHOWING UNIFORM RATE OF SUBSCRIPTION
TOWARDS GENERAL PROVIDENT FUND EFFECTIVE FROM
1ST DECEMBER 2001 VIDE CIRCULAR LETTER NO. FD.SR.I.2.1/95
DATED 19TH NOVEMBER, 2001

Scal Min. Max. Mean Minimum Rate of Remarks

e subscrip- monthly
tion (on subscrip
mean) at -tion
the rate
shown in
column 7
1 2 3 4 5 6 7
BS Rs. Rs. Rs. Rs. Rs. Minimum rates of subscription
1 1870 3520 2695 80.85 85 (on mean) will be as under:
2 1915 3865 2890 144.50 145
3 1980 4230 3105 155.25 160 Pay range Rates
4 2040 4590 3315 165.75 170 1) Upto Rs. 2700 03%
5 2100 5100 3600 18.000 180
6 2160 5460 3810 190.50 195 2) Upto Rs 2701 to
7 2220 5820 4020 201.00 205 Rs 5600 05%
8 2310 6210 4260 213.00 215
9 2410 6760 4585 229.25 230 3) Above Rs. 5600 08%
10 2490 7290 4890 244.50 245
11 2590 7840 5215 260.75 265
12 2745 8595 5670 453.60 455
13 2925 9375 6150 492.00 495
14 3100 1030 6700 536.00 540
0
15 3285 1123 7260 580.80 585
5
16 3805 1265 8230 658.40 660
5
17 6210 1551 10860 868.80 870
0
18 8135 1983 13985 1118.80 1120
5
19 12400 2470 18550 1484.00 1485
0
20 14710 2801 21360 1708.80 1710
0
21 16305 3128 23795 1903.60 1905
5
22 17440 3494 26190 2095.20 2100
0
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-3/83 (Prov) dated 1st Feb.,1988

Subject:- IMPROVEMENT IN THE G.P.FUND SCHEME.

I am directed to state that the General Provident Scheme was replaced by

the Provident Fund Bond Scheme and fixed rate of subscription towards the
Provident Fund Bond Scheme by each employee were notified vide this
department's letter No. FD-SRI-2-3/83(Prov) dated 21-9-1886. These rates were
further revised as a result of revision of basic pay scales with effect from 1-7-1987
vide this department's letter of even number dated 15-9-1987.

2. The Federal Government have intimated that while working out the details
of the new system it was felt that in addition to the question of cost effectiveness,
operation of the Provident Fund Bond Scheme was likely to entail practical
difficulties in its implementation. Therefore, after thorough review it has been
decided that instead of introducing the Provident Fund Bond Scheme, its features
may be introduced in the existing General Provident Fund Scheme which should be
continued. Since the main idea behind the new G.P. Fund Scheme was to provide
extra financial benefit to the Government servants, it has been decided to allow
from the date of inception of the Scheme (1-7-1986) the additional benefit at 30%
over and above the normal rate of profit payable to the Government servants under
the existing G.P. Fund Scheme. Fixed rates of contribution will be retained and the
subscribers will be allowed advance in a manner that only one advance will remain
outstanding at one time.
----------

No.FD/SRI-2-3/83 (Prov)
GOVERNMENT OF PAKISTAN, FINANCE DEPARTMENT
Dated 24th February 1988

Subject: IMPROVEMENT IN THE G.P. FUND SCHEME

I am directed to refer to this department's circular letter of even

number dated 01.02.1988 and to enclose a copy of Federal Government's
O.M.No.F. 1(5)-Reg(7)/87-1507 dated 20.12.1987 with enclosures on the subject
noted above and to state that the clarifications made therein have been adopted by
the Punjab Government.

2. I am directed to state that there may have been instances where

Government servants at the end of last financial year deposited additional matching
subscriptions permissible under the defunct Provident Fund Bond Scheme. It has
been decided that such Government servants be given the option to either get a
refund of the amount deposited or have the amount credited to their G.P.Fund
accounts. Such amounts along with other G.P.Fund balance will be entitled to all
the benefit allowed on the closing balance of G.P.Fund as on 30th June, 1987.

----------

GOVERNMENT OF THE PAKISTAN

FINANCE DIVISION
 No.F.1(5)-Reg(7)87-1507, dated 20.12.1987

To Auditor General of Pakistan

Sub: IMPROVEMENT IN THE GENERAL PROVIDENT FUND SCHEME.

I am directed to refer to your letter No. 1046Reg.II/ 16/C/87, dated the 9th
December, 1987 (copy enclosed), on the above subject, and to state that the points
made therein have been considered and the following decisions taken :-

i) The latest G.P.Fund advance sanctioned on or before the date of

issue of this letter may be treated as the single outstanding advance
and others be treated as non-refundable advances.

ii) The subscriptions towards the G.P.Fund will remain restricted only
to the fixed monthly rates for the respective pay scales. Matching
contribution in cash towards the fund will NOT be admissible now.

iii) The financing of insurance policies out of the G.P.Fund was made
admissible up to 31st May, 1988. Henceforth, the payment on
account of Insurance Premium from the fund will cease and such
policies would be financed through subscribers' own resources.

iv) a) The annual rate of profit on the G.P.Fund may vary from
year to year. Additional benefit of 30% over and above the
normal rate of profit means 30% of the profit announced by
the Government year to year. For example, normal profit
declared by the Government for a certain year is 14%, the
subscribers will get 14% plus 30% of 14%.

b) Additional benefit of 30% clarified above has been allowed

w.e.f. 1st July, 1986. Normal rate of profit declared by the
Government for the year 1985-86 will, therefore, apply on
closing balances as on 30th June, 1986. Total G.P.Fund
balance (G.P.Fund balance including profit brought forward
plus subscriptions towards P.F. Bonds during 1986-87) thus
arrived at on 30th June, 1987 will be eligible for additional
benefit. This will be the method for the subsequent years.

2. Necessary instructions may kindly be issued to all concerned in the matter

under intimation to this Division. It may also please be ensured that budgetary
impact of the change is reflected in the Revised Estimate of 1987-88.

----------

GOVERNMENT OF THE PUNJAB

Finance Department
No. FD/SRI-2-3/83 (Prov) dated 5th June,1988.

To
 The Accountant-General Punjab

Sub:- IMPROVEMENT IN THE GENERAL PROVIDENT FUND SCHEME.

Reference your letter No. FD-I/AS/Provl.GPF/22, dated 29.3.1988 on the

subject noted above.

2. It is clarified that a second non-refundable advance is admissible but it will

not be allowed until at least a period of one year has elapsed since the previous
advance had been drawn.

----------
 ORIGINAL VERSION OF RULES/HISTORY OF AMENDMENTS.

Sr.
No. Rule

1 1.5 (1) (b)A Government servant who has been re-employed after
retirement on contract basis and allowed to subscribe to the
General Provident Fund, shall, if he has begun to subscribe,
be made compulsory subscriber to the General Provident
Fund.

2 1.6 (1) Explanation below sub-rule (1), which was deleted vide
notification No. FD/SRI-2-3/83 (Prov) dated 02.04.1989, is
given hereunder:-

Explanation --The words "except when on leave" used in

this sub-rule have the effect of merely excluding from the
limit of three occasions a subscriber who elects not to
subscriber during leave under the first proviso to rule 1.9 (1).
A subscriber, however, who have not so elected and desires
to discontinue his subscription during currency of the leave,
may do so; but such discontinuance will count towards the
limit of three prescribed in the sub-rule ibid.

3 1.9 (1) 1st Proviso which was deleted vide notification No.
FD/SRI-2-3/83(Prov) dated 02.04.1989.

Provided that a subscriber may, at his option, elect not to

subscribe during leave, or if he is employed in a vacation
department during vacation combined with leave.

4 1.9 (1) 2nd Proviso which was substituted vide notification

No.FD/SRI-2-3/83 (Prov) dated 02.04.1989:

Provided further that a subscriber on re-instatement after a

period passed under suspension shall be allowed the option of
paying in one sum, or in instalments, any sum not exceeding
the maximum amount of arrears subscriptions permissible of
that period.

5 1.9(2) Sub-rule (2) of Rule 1.9 which was deleted vide notification
No. FD/SRI-2-3/83 (Prov) dated 02.04.1989:

The subscriber shall intimate his election not to subscribe

during leave in the following manner:-

a) If he is a Government servant who draws his

own pay bills, by making no deduction on
account of subscription in his first pay bill
drawn after proceeding on leave;

b) If he is not a Government servant who draws

his own pay bills, by written communications
 to the head of his office before he proceeds on
leave. Failure to make due and timely
intimation shall be deemed to constitute an
election to subscribe.

The option of a subscriber intimated under this rule shall be final.

6 1.9 (3) Last sentence of explanation below sub-rule (3) of Rule

(1.9)which was substituted vide notification No. FD/SRI-2-
3/83 (Prov) dated 02.04.1989:

"while in Military employ, subscription to the Fund will be

calculated on that portion of his total emoluments as defined
in rule 1.10 (2) which he would have drawn had he continued
in civil employ."

7 1.10 It was substituted vide notification No.FD/SRI-2-3/83 (Prov)

dated 02.04.1989:

(1) The amount of subscription shall be fixed by the

subscriber himself subject to the following conditions:-

(a) It shall be expressed in whole rupees.

(b) Except in the case of Government servants, drawing

pay in National Pay Scales 1&2 it may be any sum so
expressed but not less than the rates as indicated
below:-

Pay range Minimum rate of

subscription.

(i) Up to Rs.500 P.M. Six Paisa

in the
rupee

(ii) Rs.501 to Rs.1000 P.M. Nine paisa

in the
rupee

(iii) Above Rs.1000 P.M. Twelve

paisa in
the rupee

The minimum rate of subscription in the case of Government

servants drawing pay in National Scale 1 & 2 shall be one
rupee P.M. They shall however, be allowed at their option, to
subscribe to the Fund at the rates higher than one rupee per
mensem.

(2) For the purposes of sub-rule (1) the emoluments of a

subscriber shall be--
 (a) in the case of a subscriber who was in Government
service on the 30th June of the preceding year, the
emoluments to which he was entitled on that date;
provided as follows:-

i) If the subscriber was on leave on the said date

and elected not to subscribe during such leave
or was under suspension on the said date, his
emoluments shall be the emoluments to which
he was entitled on the first day after his return
to duty;

ii) If the subscriber was on deputation out of

Pakistan on the said date or was on leave on
the said date and continued to be on leave and
has elected to subscribe during such leave, his
emoluments shall be the emoluments to which
he would have been entitled had he been on
duty in Pakistan;

iii) If the subscriber joined the Fund for the first

time under the operation of rule 1.5 on a day
subsequent to the said date, his emoluments
shall be the emoluments to which he was
entitled on such subsequent date.

(b) In the case of a subscriber who was not in

Government service on the 30th June of the preceding
year, the emoluments to which he was entitled on the
first day of his service or, if he joined the Fund for the
first time under the operation of rule 1.5 on a date
subsequent to the first day of his service, the
emoluments to which he was entitled on such subse-
quent date.

(3) The subscriber shall intimate the fixation of the amount of

his monthly subscription in each year in the following
manner:-

(a) if he was on duty on the 30th June of the preceding

year, by the deduction which he makes in this behalf
from his pay bill for that month;

(b) if he was on leave on the 30th June of the preceding

year and elected not to subscribe during such leave, or
was under suspension on that date, by the deduction
which he makes in this behalf from his first pay bill
after his return to duty;

(c) if he has entered Government service for the first time

during the year, or, if he is compulsorily required to
join the Fund from a particular date under rule 1.5 or
joins the Fund for the first time, by the deduction
which he makes in
 this behalf, from his pay bill for the month during
which he joins the Fund;

(d) if he was on leave on the 30th June of the preceding

year, and continues to be on leave and has elected to
subscribe during such leave, by the deduction which
he causes to be made in this behalf from his salary
bill for that month;

(e) if he was on foreign service on the 30th June of the

preceding year, by the amount credited by him into
the treasury on account of subscription for the month
of July in the current year.

(4) The amount of subscription so fixed shall remain unchanged

throughout the year:

Provided that if a subscriber is on duty for a part of a month

and on leave for the remainder of that month and if he has
elected not to subscribe during leave, the amount of the
subscription payable shall be proportionate to the number of
days spent on duty in the month.

1. The amount of subscription originally fixed by a

subscriber is not to be varied during the course of the
year on account of any increase or decrease in his rate
of pay which may ultimately be found to be due in
respect of the 30th June preceding.

2. If a subscriber dies during the course of a month,

proportionate subscription should be recovered for
that month, i.e., for the number of days during which
he was alive in the month.

8. 1.15(d)(1) The amount of the advance shall not exceed four month's pay
of the subscriber or twenty five percent of the amount
standing at his credit in the Fund whichever is less.

9 1.17 (1) When a subscriber has attained the age of fifty-five years, the
competent authority may, in its discretion grant him a special
retirement advance, not exceeding eighty per cent of the
amount standing to his credit in the Fund.

10 1.19(2)Explanation II under sub-rule (2) of rule 1.19 which was

deleted vide notification No. FD/SRI-2-3/83 (Prov) dated
02.04.1989.

For the purpose of recovery of an advance under this rule,

vacation combined with rule shall be treated as leave.

11 1.19(3)If more than one advance has been made to a subscriber, each
advance shall be treated separately for the purpose of
recovery.
12 APPENDIX IV
(See Explanation II to rule 1.14)

1. The consent of the Finance Department is presumed to the exercise of the

powers by the Administrative Departments concerned in the following cases:

Sr. No. Power Delegated Extent

1. To sanction the All Deptts. Subject to the condition
grant to gazetted laid down in Rule 1.14
Government and provided further:
servants of
temporary a)that the amount of
advances from advance does not exceed
their General three months pay or half
Provident Fund the amount at the credit
Accounts. of subscriber in the Fund
whichever is less: and

b) that a second advance

is not granted within 12
months of the final
repayment of the 1st
advance if the amount of
the advance first drawn
exceeded two-thirds of
the amount admissible
under Clause (a) above.

2. The power to Grant advance under rule 1.14 has been delegated in the
following cases:

Sr. No. Power Delegated Extent

1. To sanction Heads of Subject to the conditions

temporary advance department laid down in Rule 1.14
to gazetted and provided further:
Government a) that the amount of the
servants serving advance does not exceed
under them. one month pay and,
b)that a asecond advance
is not granted until the
lapse of 12 months from
the date of repayment of
all previous advance.
 2. To grant *
Heads of Powers subject to the
temporary advance department conditions laid down in
to non-gazetted Rule 1.4, and in Appendix
Government to this chapter.
servants # (in
receipt of Rs. 220
per mensum or
over NPS 5 to 15).
3. To grant Heads of Powers subject to the
temporary advance office conditions laid down in
to non-gazetted Rule 1.4, and in Appendix
Government to this chapter.
servants @ (in
receipt of less than
Rs. 220 per
mensum NPS 1 to
4).

# Substituted vide Notification No. SOR1-2-15/79 dated 5.2.1981.

* Commissioners of Divisions, District and Sessions judges, Superintending
Engineers in the Public Works Department, conservator of forests, the
Superintendent, Government Printing Press, Punjab and Deputy Inspector
Inspector-General of Police exercise the powers of Heads of departments for this
purpose.
@ Substituted vide Notification No. SOR-VI-2-15/79 dated 4.8.1980.
13. Original version of explanation to sub-rule (5) of Rule 1.13.

Explanation-- When a subscriber intimates in writing his

intention to forgo interest already accrued on his deposits in the Provident
Fund, the interest should be withheld and credited to Government
revenues.

The interest already credited to the subscriber's account in such

cases should be readjusted by debit to his Provident Fund Account by
contra-credit to the head "22 -- Interest" or "XX--Interest" according as the
amount of interest was originally credited to the subscriber's account
during the current year or previous years.

The figures and words "22--Interest" or "XX--Interest" appearing

in the above explanation were substituted as follows:-

"1100--Income from property and enterprise--1130--Interest--

1139--Others" which were further changed by the Finance Department in
accordance with Chart of Classifications of Federal and Provincial
governments Receipts and Disbursements issued by the Auditor General of
Pakistan (Appendix 2 to the Accounts Code Volume I Third Edition)
(Applicable w.e.f. 1.7.1988).

The following uniform rates of subscription towards General Provident Fund were
substituted vide Notification No. SR.1-2-1/95, dated 5.7.1995. (see page 101).

Basic Pay Scale Rate of monthly subscription

Rs
B-1 25
B-2 40
B-3 45
B-4 45
B-5 50
B-6 50
B-7 55
B-8 60
B-9 60
B-10 65
B-11 70
B-12 75
B-13 130
B-14 140
B-15 150
B-16 175
B-17 250
B-18 300
B-19 400
B-20 500
B-21 550
B-22 600
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-3/83(Prov),dated 15.09.1987.

ACCOUNTANT-GENERAL, PUNJAB, LAHORE

STATEMENT SHOWING UNIFORM RATE OF SUBSCRIPTION
UNDER PROVIDENT FUND BOND SYSTEM

Scale Minimum Maximum Mean Minimum Proposed

deduction rate of
at existing monthly
rate (on
mean)
deduction
1 2 3 4 5 6
B1 600 860 730 21.90 25
B2 625 945 785 39.25 40
B3 650 1030 840 42.00 45
B4 675 1115 890 44.75 45
B5 700 1200 950 47.50 50
B6 725 1285 1005 50.25 50
B7 750 1370 1060 53.00 55
B8 790 1470 1130 56.50 60
B9 830 1590 1210 60.50 60
B 10 870 1710 1290 64.50 65
B 11 910 1830 1370 68.50 70
B 12 970 2010 1490 74.50 75
B 13 1035 2195 1615 129.20 130
B 14 1100 2380 1740 139.20 140
B 15 1165 2585 1875 150.00 150
B 16 1350 2925 2137.50 171.04 175
B 17 2065 3925 2995 239.60 250
B 18 2710 4660 3685 294.80 300
B 19 4130 5770 4950 396.00 400
B 20 4900 6780 5840 467.20 500
B 21 5420 7740 6580 526.40 550
B 22 5800 8400 7100 568 600
INDEX
A ---- against removal, dismissal or
Accounts..............................................
Subscribers' ----.............................4
Accounts Officer...............................1
adopted child..........................2, 3, 31
advance...............................................
Payment of ----............................11
Purpose for which ---- may be
granted.......................................9
Special retirement ----.................14
Advance..............................................
Non-refundable ----.....................12
Recovery of ----..........................15
---- for construction of a house...12
---- for purchase of a house for
residence.................................13
---- for purchase of agricultural
land from Government............13
---- for purchase of conveyance..11
---- for reason of health...............14
---- for the overseas passage for
reasons of education of any
member of the subscriber's
family......................................14
---- non-refundable......................14
---- to defray expense in
connection with the prolonged
illness......................................14
---- to for the overseas passage of
the subscriber..........................14
---- to pay obligatory expenses on
a scale appropriate subscriber's
status in connection with
funerals or ceremonies which by
his religion it is incumbent upon
him to perform........................14
Advance of Pay...............................15
Advances.............................................
---- from the Fund.........................9
Advances from the Fund.....................
G.P. Fund....................................39
Agreement...........................................
Form of ----.................................79
The advance shall be drawn only
after an ---- is executed between
the subscriber and the Governor
in Form P.F.10........................13
The advance shall be drawn only
after an ---- is executed by the
subscriber and the Governor in
form P.F.11.............................14
Ancillary instructions.....................87
Appeal.................................................
compulsory retirement..............9
Assignment..........................................
Form of ----.................................74
Authorities...........................................
Power to grant advances under
rule 1.14 to 1.18 shall vest in
the ----.....................................63
B
Basic Pay Scale.........................6, 106
BOND SYSTEM...88, 89, 90, 92, 93,
107
C
Cancellation........................................
Contingent notice of ----...............4
Form of Contingent notice of ----
.................................................71
---- of nomination.........................4
Ceremonies.....................................10
child.....................................................
Posthumous ----...........................27
circumstances in which
Accumulations are payable........50
Compulsory subscription..................2
Conditions...........................................
---- and rates of subscription.........4
Constitution.........................................
--- of the Fund...............................2
---- and Management of the Fund
.................................................32
Contingent notice................................
Form of ---- of cancellation........71
Continuous Service...........................2
Contribution by Government..............
G.P. Fund ----..............................37
CONTRIBUTORY PROVIDENT
FUND RULES............................31
conveyance..........................................
To purchase a ----........................10
D
Debts...................................................
---- incurred.................................10
Deductions..........................................
G.P. Fund ----..............................52
Definitions.........................................1
Deputation...........................................
---- in Pakistan or abroad..............6
Discontinuing subscription.................
Government servant who exercises
the option allowe dby Rule 1.5
(2) may......................................3
Dispensing...........................................
---- with payment authority........91
E
Eligible to joining...............................
All Government servants in
permanent, temporary or
officiating service (including
probationary service shall be
---- this Fund.............................2
emoluments.....1, 7, 8, 16, 18, 22, 23,
25, 26, 29, 35, 36, 37, 38, 42, 43,
45, 46, 47, 49, 50, 54, 101, 102
F Management of the Fund....................
family. .1, 2, 3, 10, 14, 16, 17, 25, 26,
27, 29, 31, 33, 34, 40, 43, 49, 50,
51, 54, 56, 61, 65, 66, 67, 68, 70,
72
Family.........................................1, 31
Family pensions funds........................
Payments towards insurance
policies and ----.......................16
Final payment.................................15
Final withdrawal.................................
---- of accumulations in the fund26
Form....................................................
---- of agreement.........................79
---- of assignment........................74
---- of contingent notice of
cancellation.............................71
FORM OF AGREEMENT 81, 82, 84,
85
Fund...................................................2
Funerals...........................................10
H overseas passage.................................
Head of Account.................................
---- for crediting unclaimed
interest.......................................9
History of amendments.................100
house...................................................
Purchase of a ----........................10
I ---- or balance to be withheld til
illness..................................................
Prolonged ----..............................10
incurred...............................................
Debts ---......................................10
Ineligible.............................................
A Government servant subscribing
to a Contributory Provident
Fund shall be ---- to join this
Fund...........................................2
Insurance policies...............................
Payments towards ---- and family
pensions funds.........................16
interest...4, 7, 8, 9, 10, 11, 12, 13, 15,
16, 18, 20, 22, 23, 24, 25, 26, 28,
29, 33, 34, 37, 38, 39, 40, 41, 42,
43, 45, 46, 47, 48, 49, 50, 52, 53,
54, 56, 57, 59, 60, 61, 75, 79, 81,
82, 84, 85, 91, 92, 106
Interest.................................................
G.P. Fund ----..............................38
---- shall not be credited to the
account of a Muslim scriber if..8
L
leave..................................................2
M
Constitution and ----...................32
Marriages........................................10
N
No option to withdraw......................3
Nomination.......................................3
Every ---- shall be in such one of
the Forma P.F.1, 1-A, 1-B, or 1-
C, as is appropriate in the
circumstances............................4
Forms of ----................................67
Nominations........................................
G.P. Fund ----..............................33
Non-refundable...................................
Advance ----................................12
O
Optional...............................................
Subscription to the Fund will be
----.............................................5
Optional subscription........................3
Original version of rules...............100
---- for reasons of health or
education.................................10
P
Payment...............................................
G.P. Fund ----..............................52
---- of advance.............................11
the final decision in appeal
against removal, dismissal or
compulsory retirement..............9
Payment authority...............................
Dispensing with ----....................91
Payments.............................................
---- shall be rounded to the nearest
rupee........................................16
---- towards insurance and family
pensions funds.........................16
Pensionable service.........................53
plot of land..........................................
Purchase of ----...........................10
Posthumous.........................................
---- child......................................27
Procedure............................................
 G.P. Fund ----..............................54
Procedure Rules..............................29
prolonged............................................
---- illness....................................10
PROVIDENT FUND..........................
---- Bond System.........................88
Punjab..................................................
---- contributory provident fund
rules.........................................31
Purchase..............................................
--- of a conveyance.....................10
---- of a house..............................10
---- of plot of land.......................10
Purposes..............................................
--- for which advance may be
granted.....................................12
R 100, 101, 102, 103, 106
Rate.....................................................
of monthly subscription........6, 106
RATE OF SUBSCRIPTION...89, 94,
96, 107
Rates of subscriptions.........................
Conditions and ----........................4
---- of G.P. Fund.........................34
Realisation of subscriptions................
G.P. Fund ----..............................37
Reassignment......................................
Form of ----.................................78
Reassignments.....................................
Form of ----.................................77
Recovery.............................................
---- of advance.............................15
Removal..............................................
Appeal against ----, dismissal or
compulsory retirement..............9
Rights and liabilities of a subscriber 3
S
Special retirement...............................
---- advance.................................14
Statement.............................................
---- of account in the fund...........29
Subscriber's Account......................34
Subscribers..........................................
---- Accounts.................................4
subscription...3, 5, 6, 7, 9, 16, 17, 18,
19, 29, 30, 34, 35, 36, 37, 44, 45,
53, 54, 56, 88, 92, 93, 94, 95, 97,
Subscription........................................
--- to the Fund will be optional.....5
T
Title and commencement.................1
U
Uniform...............................................
---- rate of subscription...............89
V
Voluntary subscription........................
Those re-employed for 2 year or
less shall be allowed.................2
Y
Year...................................................2
 GOVERNMENT OF THE PUNJAB
Finance Department
No.FD/SRI-2-3/83 (Prov) dated 1 st Feb., 1988

SUBJECT: - IMPROVEMENT IN THE G.P.FUND SCHEME.

I am directed to state that the General Provident Scheme was
replaced by the Provident Fund Bond Scheme and fixed rate of
subscription towards tlie Provident Fund Bond Scheme by each
employee were notified vide this department's letter No.FD-SRI-2-
3/83(Prov) dated 21-9-1886. These rates were further revised as a
result of revision of basic pay scales with effect from 1-7-1987 vide
this department's letter of even number dated 15-9-1987.

2. The Federal Government have intimated that while working out

the details of the new system it was felt that in addition to the
question of cost effectiveness, operation of the Provident Fund Bond
Scheme was likely to entail practical difficulties in its implementation.
Therefore, after thorough review it has been decided that instead of
introducing the Provident Fund Bond Scheme, its features may be
introduced in the existing General Provident Fund Scheme which
should be continued. Since the main idea behind the new C.P. Fund
Scheme was to provide extra financial benefit to the Government
servants, it has been decided to allow from the date of inception of
the Scheme (1-7-1986) the additional benefit at 30% over and above
the normal rate of profit payable to Ihe Government servants under
the existing G.P. Fund Scheme. Fixed rates of contribution will be
retained and the subscribers will be allowed advance in a manner
that only one advance will remain outstanding at one time.
 No.FD/SRI-2-3/83 (Prov)
GOVERNMENT OF PAKISTAN, FINANCE DEPARTMENT
Dated 24th February 1988
SUBJECT: IMPROVEMENT IN THE G.P. FUND SCHEME
I am directed to refer to this department's circular letter of even
number dated 01.02.1988 and to enclose a copy of Federal
Government's O.M.No.F.l(5)-Reg(7)/87-1507 dated 20.12.1987 with
enclosures on the subject noted above and to state that the
clarifications made therein have been adopted by the Punjab
Government.
2. I am directed to state that there may have been instances
where Government servants at the end of last financial year
deposited additional matching subscriptions permissible under the
defunct Provident Fund Bond Scheme. It has been decided that such
Government servants be given the option to either get a refund of the
amount deposited or have the amount credited to their G.P.Fund
accounts. Such amounts along with other G.P.Fund balance will be
entitled to all the benefit allowed on the closing balance of G.P.Fund
as on 30th June, 1987.
----------------------------------------------------------------------------------------------
--------------------

GOVERNMENT OF THE PAKISTAN,

FINANCE DIVISION
No.F.l(5)-Reg(7)87-1507, dated20.12.1987 .
To Auditor General of Pakistan
SUB: IMPROVEMENT IN THE GENERAL PROVIDENT
FUND SCHEME.
I am directed to refer to your letter No. 1046Reg.II/ 16/C/87,
dated the 9th December, 1987 (copy enclosed), on the above subject,
and to state that the points made therein have been considered and
the following decisions taken :-
 i) The latest G.P.Fund advance sanctioned on or before
the date of issue of this letter may be treated as the
single outstanding advance and others be treated as
non-refundable advances.
ii) The subscriptions towards the G.P.Fund will remain
restricted only to the fixed monthly rates for the
respective pay scales. Matching contribution in cash
towards the fund will NOT be admissible now.
iii) The financing of insurance policies out of the
G.P.Fund was made admissible up to 31st May, 1988.
Henceforth, the payment on account of Insurance
Premium from the fund will cease and such policies
would be financed through subscribers' own
resources.
iv)a) The annual rate of profit on the G.P. Fund may vary
from year to year. Additional benefit of 30% over and
above the normal rate of profit means 30%. of the
profit announced by the Government year to year. For
example, normal profit declared by the Government for
a certain year is 14%, the subscribers will get 14%
plus 30% of 14%.
b) Additional benefit of 30% clarified above has been
allowed w.e.f. 1st July, 1986. Normal rate of profit
declared by the Government for the year 1985-86 will,
therefore, apply on closing balances as on 30th June,
1986. Total G.P. Fund balance (G.P. Fund balance
including profit brought forward plus subscriptions
towards P.P. Bonds during 1986-87) thus arrived at on
30th June, 1987 will be eligible for additional benefit.
This will be the method for the subsequent years.
2. Necessary instructions may kindly be issued to all concerned in
the matter under intimation to this Division. It may also please be
ensured that budgetary impact of the change is reflected in the
Revised Estimate of 1987-88.

----------------------------------------------------------------------------------------------
-----------
 GOVERNMENT OF THE PUNJAB
Finance Department
No. FD/SRI-2-3/83 (Prov) dated 5th June 1988.
To
The Accountant General Punjab
SUB:- IMPROVEMENT IN THE GENERAL PROVIDENT
FUND SCHEME
Reference your letter No. FD-l/AS/Provl.GPF/22, dated 29.3.1988 on
the subject noted above.
3. It is clarified that a second non-refundable advance is
admissible but it will not be allowed until at least a period of one year
has elapsed since the previous advance had been drawn.
----------------------------------------------------------------------------------------------
-
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
Fund II/AS/GPF – Schedules/1618 Dated: 07-08-
1982
To
All Heads of the Department,
of the Punjab Government.
Lahore.
Subject: PRE-CHECKING AND PREPARATION OF G.P.
FUND RECEIPTS SCHEDULES IN THE OFFICE
AND DISBURSING.
It has been observed that the G.P. Fund Schedules in
the offices of the drawing and disbursing officers are not being
prepared in accordance with the instructions issued from time to time
by this office as well as by the Government of the Punjab, which
causes the increase in number of missing credits in the G.P. Fund
Accounts of the Government servants for no fault on their part.
The defects noted in the G.P. Fund receipt schedules
are mainly of the following nature.
(i) G.P. Fund Account numbers are not shown at all in
the schedules.
(ii) Incorrect Account numbers are invariably being written
in the schedules.
(iii) Guide letter such as II/GA, II/EDU etc are not
indicated with account numbers allotted by the Audit
office.
(iv) Schedules are not prepared in series of one thousand.
(v) Wrong totaling of schedules.
(vi) Note regarding retirement, suspension, dismissal
death, leave and transfer from one place to another of
a subscriber is not recorded in the schedules.
(vii) Schedules are prepared on minor slips instead of on
full or half page written with illegible handwriting.
(viii) Schedules are not got printed or cyclostyled after
verification by the audit office.
2. This besides creating much complications in the
proper maintenance of G.P. Fund Accounts of the
Government servants in this office as well as in all the District
Accounts Officers is creating mental torture to the subscribers
for nothing.
For the preparation of correct schedules, the
instructions already issued on the subject are supplemented
with the following guidelines, which may be strictly observed
while preparing the G.P. Fund schedules.
(i) Each schedule must be printed or cyclostyled on full
page and not on a minor slip in the series of thousand
viz 1 to 1000, 1001, to 2000, 2001 to 3000, etc.
(ii) The G.P. Fund schedules of Account numbers having
separate symbols viz. II GA, Misc. II EDU etc should
be prepared separately.
(iii) Amount of refund of withdrawals need not be printed
that should be filled in every month.
(iv) Grand totals of each series of schedules should be
shown in red ink in figures as well as in words.
(v) In case of a gazetted officer his Account No. Name,
Fathers Name should be printed, which will suffice for
his whole period of service, the amount of monthly
subscription of G.P. Fund and refund of withdrawals
should invariably be checked by him while signing the
schedule.
(vi) The information about the dismissal, resignation,
termination of service, death suspensions form
service, transfer to autonomous bodies or other audit
officer/DAOs. of the subscriber may be men-tined in
the remarks column of the schedules, In case of a
 gazetted officer he should furnish the said
informations in writing to Audit Office.
(vii) In case of non-gazetted Government servants where
schedules are enclosed with one bill, a covering list for
these schedules be prepared giving therein totals of
each series of schedule with grand totals in figures as
well as in works.
(viii) No other schedule such as B/Fund
Deduction/recovery on account of other than G.P.
Fund should be prepared on the sheet of G.P. Fund
schedules.
(ix) No deduction on account of G.P. Fund subscription
should be made from the pay of the new subscribers
unless their Account Numbers are allotted by the Audit
Office.
(x) The forms for the allotment of the G.P. Fund Account
No. in case of a Government servants who is likely to
complete his 2 years service should be submitted to
audit office well in time to avoid subsequent
complications.
(xi) The scheme of one account No. throughout the
service of a Government servant has since been
introduced. In the cases of the Government servants
transferred after 1-10-1981 there is No. need for
requesting for the fresh account number, there
existing G.P. Fund A account numbers should be
quoted in the schedules in their new officers.
(xii) A simplified specimen of G.P. Fund receipts schedule
is given below for guidance and proper preparation of
G.P. Fund schedules.
Sr. A/c Name Pay Actual of Refund of Total Remarks
No. No. Father’s Rate withdrawal
 Name &
Deductio
Designatio s
n
n
1 2 3 4 5 6 7 8

3. You are therefore, requested to direct all the

subordinate offices under your control to get all the G.P. Fund
schedules including your own office both gazetted as well as
non gazetted pre-checked from the fund sections of
concerned Audit Offices if already not got checked during this
year, the verified schedules may be got printed or cyclostyled
for the entire financial year and enclosed with the pay bills for
the months of 10/82 paid in 11/80 onwards.
4. In the failure cases, the matter will be brought to the
notice of the Administrative department government of the
Punjab, for taking suitable action against the defaulting
officers.
5. In order to eradicate the entire defects in the G.P.
Fund schedules, it has been decided that the pay bills of the
gazetted officers as well as non gazetted staff for the month
of 10/82 to be paid in 11/82 onwards will not be
entertained/passed in the pay bills passing section in the
main office as well as in the district Accounts offices in the
Punjab, unless these are accompanied by the G.P. Fund
schedules, prepared according to the above noted
instructions.
The receipts of this letter may please be
acknowledged.
 (RANA
ASAD
AMIN)
DEPUTY ACCOUNTANT GENERAL (FUND)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
Office Order No: Fund – 1/113
Dated: 27/30-1-1982
OFFICE ORDER.
In order to consider the simplification of the transfer of G.P.
Fund balance form the Main Office to the District Accounts Office and
vice versa and form one District Accounts Office to another District
Accounts etc., a meeting with Mr. M. Y. Khattock Deputy Auditor –
General (-T & R) and Mr. Abdul Salam, Assistant Auditor General
was held on 3-1-1982 in the room of the Accountant General,
Punjab, Lahore.
2. A result of the decision arrived at, in the said meeting, it is
ordered, that with immediate effect, the intimation of transfer of G.P.
Fund Balances (Specimen Enclosed) Duly embossed with special
seal signed by the Deputy Accountant – General/ Fund, should be
sent to the concerned accounts office an acknowledgement printed
on the intimation should be sent back to the transferring office
certifying the account of the amount in the books of the receiving
account office.
3. The following procedure will be adopted in this respect.
(i) At the end of the month, the fund section transferring the
account in the Main office will prepare District Accounts
Office – wise/Department – wise covering lists (specimen
enclosed) in triplicate of all such transfer intimations and
send to the Fund – II (Coord) section under the signatures
of the deputy Accountant – General/Funds alongwith
office copies of the transfer intimation.
(ii) Fund – II (Coord) Section will consolidate all such lists
received from the various fund sections District Accounts
Office – wise and will prepare a consolidated T.E. (D.A.O.
Wise) debiting the amount to the G.P. Fund head of
 Account by affording the credit to the District Accounts
Office Suspense Account.
(iii) One copy of the covering list prepared by the G.P. Fund
Accounts transferring section will be passed on by the
Fund – II – Coordination section to the District Accounts
Office concerned after recording thereon the No: of the
T.E. and the month of account with a certificate of the
preparation of the T.E. over the signatures of the Deputy
Accountant General/Funds. This will serve the purpose of
advice, the second copy of the covering list will be sent to
the fund section maintaining the accounts of the
department in the main office as a schedule of minus
credit, while the third copy will be retained in Fund – II –
Coordination section alongwith the office copies of the
transfer intimation.
(iv) On receipt of the covering list in the District Accounts
Office, a T.E. for affording the credit to the G.P. Fund
Head of Account by per contra debit to the District
Accounts Office, Suspense will be prepared by the District
Accounts Office and the Amount will be credited to the
Accounts of the subscribers in the respective month of
Account without waiting for the actual credit through
Accounts from the account transferring Office.
(v) On receipt of the sealed transfer intimation sent the
concerned G.P. Fund account Transferring section, the
District Accounts Office should record the particulars of
the same in a register to be kept with him in safe custody
and hand – over the intimation to the superintendent, G.P.
Fund section who should paste the same in the relevant
ledger card and return the acknowledgement printed on
the intimation to G.P. Fund – II – Coordination of the Main
 office which will arrange its posting in the relevant Ledger
Card.
(vi) The number and date of acknowledgement would be
noted against the original entry of the register maintained
in the District Accounts Office as stated in para – V above.
4. In the cases of the retired/retiring, resigned or died
subscribers, the existing procedure of issuing the sealed final
payments authorities from the main office will however continue.
(Accountant General’s order dated 25-1-82)

DEPUTY ACCOUNTANT
GENERAL/FUNDS
OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB,
LAHORE
No: Fund – I/AS – 19/A.G. Conference/80 – 81/786.
Dated: 27/30-1-1982
Copy forwarded for information and necessary action to: -
1. All Branch officers of fund section.
2. All the funds section in the main office.
3. All District Accounts Officers in the Punjab (by name
registered).
4. Assistant Accounts Officer T.M.
5. Assistant Accounts Officer T.D.H.
6. Officer on special Duty (Re – Organization Cell) Local.
7. Office order Book.

(RANA ASAD
AMIN)
DEPUTY ACCOUNTANT
GENERAL (FUND)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No: Fund – 1/110
Dated: 21-12-1981

The Auditor General of Pakistan is very keen that the scheme

introduced vide this office No. Fund – 1/104 dated 17-9-81 copy
circulated vide audit: No. Fund – 1/AS – 18/75 – 80/146 dated 17-9-
81 regarding continuation of one G.P. Fund Account No. through out
the service of a Government servant is strictly implemented in the
Main Office as well as all District Accounts Officers in the Punjab.
The Accountant General, Punjab, Lahore has therefore been
pleased to order to depute Malik Mohammad Umar Assistant
superintendent funds – II (Cood) section to verify the implementation
of the above said scheme in the Main Office as well as in the District
Accounts Offices form time to time. The Assistant Accounts Officer
Funds Coordination has also been directed to verify the
implementation of the scheme in the District Accounts Offices while
attending the meetings of the P.C.D.C.

Accountant General
Orders dated 23-11-81.

DEPUTY ACCOUNTANT
GENERAL.
No. Funds. 1/AS – 18/75 – 81/604 Dated 21-
12-1981
Copy forwarded for informations to all: -
1. All branch officers of the funds section.
2. All funds sections in the office.
3. O.S.D. (Re-Org. Call) Local.
4. O.O. Book.
 5. All District Accounts Offices in the Punjab. They are
requested to extend full cooperation to Malik Mohammad
Umar Assistant superintendent and Mr. Munawar Ali
Shah, Assistant Accounts Officer Funds (Cood) in carrying
out the verification as and when they visit their officers for
the purpose.
6. Syed Munawar Ali Shah, Assistant Accounts Officer
Funds Sections (Coordination).
7. Assistant Accounts Officers, Incharge Administration – II
Sections.
8. Malik Mohammad Umar Assistant superintendent funds –
II sections. He should take up the verification in the main
Office immediately and put up a programme of his visits in
the District Accounts Offices Accordingly.

DEPUTY ACCOUNTANT GENERAL. (FUNDS)

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE

No: Fd. I/I – IV/M3/6 Cr. 338 Dated: 15-
9-1982
To
The Deputy Accountant General,
GAD. Sections (Locals).
Subject: ADJUSTMENT OF MISSING CREDIT.
The Deputy Auditor General (Inspection) Lahore in his
letter No. 1380-A/23-79, Dated 10-12-79 had pointed out that inspite
of adopting different measures for the improvement of the
maintenance of G.P. Fund accounts, no progress could be achieved.
The number of missing credits of the subscribers is still high and this
process of gradual clearance/addition has now become a regular
feature fore one reasons or the other. The subscribers are thus put to
lot of inconvenience due to the missing credits and delay in the final
payment of their G.P. Fund accumulations.
The Accountant General, Punjab had therefore
ordered circulated vide Office order No. Fund. I/AS/57, dated 6-1-80
(copy enclosed) that the following measures should be adopted to
accelerate the pace of progress of clearance of missing credits.
That in the case of Gazetted Government servants the
requisite certificate of G.P. Fund deductions may be obtained from
the concerned G.A.D. Sections and adjust the missing credits on the
basis of collateral evidence.
A list of the Gazetted Officers for the verification of the
missing credits was sent to the assistant accounts officer Incharge
GAD. IV. The assistant accountant officer Incharge GAD. IV has
returned the same with the observations that the record of GAD
section is not much authenticated as the loose papers are generally
detached.

The record of GAD Section is of a permanent nature

and the remarks of the branch officer are quite un-called for.
It is, therefore, desired that the necessary instructions
may be issued to all the GAD sections that full co-operation may be
extended and the missing credits lists when ever sent to GAD
Section for verification by G.P. Fund Section may be verified at once
so that the adjustment of the missing credits of the officers is carried
out on collateral basis.

Sd/-
(RANA ASAD
AMIN)
DEPUTY ACCOUNTANT
GENERAL (FUND)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No: GAD. I/Coord/909
Dated: 23-x-1982
Copy alongwith copy of this office letter No. Fund.
I/AS/57 dated 6-1-80 is forwarded to all the GAD Sections & District
Accounts Offices for compliance of the orders of the Accountant
General.

ASSISTANT
ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.L No. Fund. I/A/S/57
Dated: 6th Jan: 80.
Subject: MAINTENANCE OF G.P. FUND ACCOUNTS
The Deputy Auditor General (Inspection) Lahore vide
his Letter No. 13. D-A/23-79 dated 10-12-79 has pointed out that
inspite of adopting different measures for the improvement of the
maintenance of G.P. Fund accounts; no substantial progress could
be achieved. The number of missing credits is still high and this
process of gradual clearance/addition has now become a regular
feature for one reason or the other. The subscribers are put to a lot
of inconvenience due to the missing credits and delay in the Final
payment of their balance. He has also directed to submit him the
quarterly progress report of missing credits.
The Accountant General, Punjab, Lahore has
therefore ordered to adopted to adopt the following special measures
to accelerate the pace of the progress of clearance of missing credits
and compliance reported to fund. I Co-ordination section by the 20th
Jan: 1980.
1. All the Fund sections should over-haul the G.P.
Fund Accounts of all the subscribers and the missing credits should
be communicated to respective drawing and disbursing officers in
respect of non-gazetted subscribers asking them to certify. The
deductions actually made form their pay and in case of gazetted
Government servants, the requisite certificate may be obtained from
basis of collateral evidence.
2. The clearance of the items placed in the difference
sheets is not perused by the Fund sections. This is a serious
omission on the part of the fund sections. All the fund sections
should issue difference sheet memos to the respective departments
and to watch its reply and clearance.
 3. All the Branch Officers should sign the difference
sheet and missing credit memos simultaneously while signing the
monthly accounts and a certificate to this effect be recorded on the
Account proforma sent to fund II section.

S
d/-
ACCOUN
TANT
GENERA
L.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No. Fund. I/AS/In-Act/87-88/179.
Dated: 08-11-1988

The Auditor General of Pakistan has ordered to reduce the

number of in-active ledger cards and that further accumulation
thereof may not be allowed in any Case.
The following steps may be taken for this purpose;
(i) To find out the designation / office of employment of such
subscribers, the ledger card may be consulted upto the
first ledger card.
(ii) In case none of the ledger cards bears this information the
index register may be consulted. This address may be
many years old but on addressing the head of the office,
the present whereabouts of the subscriber can be
obtained.
3. The matter should be taken up immediately with G.A.D.
Section / Drawing and disbursing officers to know the reasons for
non-receipts of credit, as well as, the whereabouts of the subscriber
in case of transfer where a subscription is not received.
A progress report, on 5th of each month in the usual form, may
be sent to fund. I. Co-ordination, section.
(A.G’s Orders dated 7-11-88)

DEPUTY ACCOUNTANT
GENERAL

No: Fund. I/AS/In-Act/87-88/367.

Dated: 8-11-88
Copy forwarded for strict compliance to: -
1. All Branch Officer in the Main Office.
2. All Fund Section in the Main Office.
3. All District Accounts Office in the Punjab.

ASSISTANT
ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PAKISTAN
REVENUES AGPR COMPLEX, G. 8/4 ISLAMABAD
No. CF. I/Coord/SLG/99-2000/594 Dated: 29-
07-1988
To
Mr. Iftikhar Ahmad Mir,
Additional Accountant General
Sub Office of the A.G.P.R
Lahore
Subject: STREAM LIVING THE SYSTEM OF G.P. FUND
ACCOUNTS.
According to the prevailing system of G.P. Fund,
accounts are being allotted to the subscribers under specific symbols
or the Ministries/Divisions/Department and national identity Card
numbers of the subscribers are not mentioned in the ledgers.
It has been decided that besides G.P. Fund Numbers
necessary measure may be taken to record the National Identity
Card Numbers in the relevant accounts to avoid duplicate/bogus
payments.
Presently the missing credits of a particular month are
not being mentioned in transfer cases, which create problems at the
time of final payment, and sometimes even over adjustment is made
which may lead towards over payments. The missing credits, if any,
existing in a particular year may be shown in detail in all transfer
cases i.e.
a. Federal-to-Federal Accounts.
b. Federal to Provincial Accounts.
c. Federal to District Accounts and so on.
Receipts of this letter may please be acknowledged and
compliance of para. 2 may be reported on month basis.
S
d/-
MUHAMMAD SHOAIB ANSARI
ACCOUN
TANT
GENERA
L
 OFFICE OF THE ACCOUNTANT GENERAL PAKISTAN
REVENUES SUB OFFICE LAHORE
NO. AGPR/Sp-1/T.M.(1-6)/712
Dated.____________
(i) All D.A.Os in the Punjab.
(ii) Treasury Officer Lahore.
(iii) All the Sections in the Office.
ACCOUN
TS
OFFICER/T.M.
OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
NO: Fund. I (C) /CD/AS/129. Dated: 19-
07-2000.
To
All G.P. Fund Manual Section.
1. All D.A.O’s.
Subject: A HESITATION OF NEWLY OPENED LEDGER
CARDS
It has been decided by the competent authority that
while opening a new page of the ledger card it should be signed by
the Assistant Accounts Officer of the concerned section showing his
full name also.
2. This issued with the approval of the Addl; A.G. Funds).

ACCOUN
TS OFFICER
 GOVERNMENT OF PAKISTAN FINANCE DIVISION
(REGULATIONS WING)
NO. F.2 (1) R. 7/96-1327/99. Islamabad, the 22nd Nov.
1999.

OFFICE MEMORANDUM

Subject: ADMISSIBILITY OF OPTION FOR CONVERTING

NON INTEREST BEARING G.P. FUND ACCOUNT
OR VICE VERSA AND PERMISSION/RECOVERY
OF INTEREST ON ADVANCE (S).

The undersigned is directed to refer to this division

O.M.No. F.2 (1) R. 7/76-1103/99, dated 29-9-1999 on the above
subject and to say that the following amendments have been make in
paras 4&5 of the O.M. ibid;
i) The word “Muslim” appearing before the word
subscribers in Para 4 has been deleted.
ii) Para 5 has been substituted as follows;
“5. The above decision is effective form 1-7-1999 and
finance divisions U.O. NO. F. 2 (1) R. 7/96-726, dated
7-10-1996 may be treated as amended to the above
extent with effect form the same date i.e. 1.7.1999.”

Sd/
-
TARIQ MAHMOOD JAVAID CH.
SECTION
OFFICER
(R.7)
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE
No.TM. 1/2 – 2/GPF/95-2000/CD/120 Dated: 9-
3-2000
Copy in continuation of this office Endst. No. TM. I/3-5/88-
99/CD/506, dated 29-10-99, is forwarded for information and
necessary action to: -
1. All DAO’s in the Punjab/T.O. Lahore.
2. All Officers in the Main Office.
3. A.O. ADMN. I,II, IAS, FDS.C. PEN. C. PR. C. Reorg.
Cell PEN. FS. S in the Main Office.
4. I.C.O. (For Kind information of A.G. Punjab).

ACCOUN
TS OFFICER

GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT.

NO: - SO(B&E-I)4-3/90. Dated: - Lahore, the 4th
December 1999 .

To
1. The Accountant: General Fun jab, Lahore.
2. All District accounts Officers in the Punjab/Treasury
Officers, Lahore.
SUBJECT: G.P.FUHD ADVANCE ETC-ADDITIONAL CHECKS.
Kindly refer to this department’s letters of even
number dated 27.8.1999 and 5.11.1999, on the subject noted above.
2. It has further come to the notice of the Finance
Department that the civil servants are facing inconvenience in the
matter of drawl of G.P. Fund advance/final payments on account of
delay in the process of reconfirmations of sanctions by your offices
from the sanctioning authorities Difficulties have also been reported
about the verification of the bonafides of the payee through personal
appearance before the District Accounts Officer/ Accounts Officer.
3. In order to obviate the aforesaid difficulties, it has
been decided as below: -
i. The reconfirmation of sanction from the respective
sanctioning authority shall be under taken by the office
of the AG (Pb)/DAO(s) within seven (7) days of its
receipts.
ii. The requirement of personal appearance of the payee
(non gazetted employee) alongwith the DDO before
the AO/DAQ (Para 2 (vi) of instructions dated
27.8.1999 refers) at the time of authorization, of G.P.
Fund claim has been dispensed with. He/She would
now be required to only appear personally before
the respective drawing & disbursing officer (DDO) at
the time of disbursement of claim.

S
d/-
(KHALI
D MAHMOOD)
SECTION
OFFICER(B&E-I).
NO. &. Date Even
A Copy is forwarded for information and necessary action to:-
1. All Administrative Secretaries, Govt. of .the Punjab.
2. The Registrar, Lahore High Court, Lahore.
3. All Heads of attached-departments.
4. All Commissioners of the Divisions in the Punjab.
5. All District & Session Judges in the Punjab.
6. All .the Deputy Commissioners in the Punjab.
7. The Secretary, Punjab Public Service Commission Lahore.
8. All Heads of Autonomous/Local Bodies in the Punjab.
 Sd/
-
(KHALID
MAHMOOD)
SECTION
OFFICER(
B&E-I).

OFFICE OF THE ACCOUNTANT "GENERAL PUNJAB" LAHORE

NO: - Fund. I(C)/Advances/CD/5084.
Dated;-15.12.1999./
A copy is forwarded for information and necessary action: -
1. I.C.O for information of Worthy Accountant General
Punjab, Lahore.
2. All the P.As to Accountant General Punjab, Lahore,
Director General Additional Accountant General Punjab,
Lahore.
3. All the Deputy Accountant General in Main Office.
4. All The Accountant Officer in Main Office.
5. All The Assistant Accounts Officers in Main Office.
6. All The District Accountant Officers in Punjab.
ACCOUN
TS OFFICER.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
NO. Fund, I. (c)/AS – Misc/4879.
Dated: 07-10-1998
OFFICE ORDER
Subject: COUNTERMOTION OF G.P. FUND BALANCE
TRANSFERRED EXCEEDING TO RS. 50,000/-
In suppression of this office, office orders No. Fd.
II/AS/, Dated: 17-9-1998, it order that all amount exceeding to Rs.
50,000/- on account of G.P Fund balance transferred to this office or
from one District Accounts Office to other District Accounts Offices
may be got confirmed before making any payment.
The above orders must be complied with strictly.
Sd/-
DEPUTY ACCOUNTANT
GENERAL
No: Fund, I. (c) / AS – Misc/4880. Dated: 7-
10-1998.
Copy forwarded to: -
1. All District Accounts Officers.
2. All Accounts Officers of Fund Sections.
3. All Assistant Accounts Officers of Fund Sections.

ACCOUN
TS OFFICER
 OFFICE OF THE ACCOUNTANT GENERAL, PAKISTAN
REVENUES
NO. CF-I/GPF/Zakat/99-2000/285
Islamabad. 27-04-2000
To
The Additional Accountant General,
Sub-Office of the A.G.P.R.
Lahore.
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND.
Kindly find enclosed finance division (Regulation
Wing) U.O. No. F. 2 (1). R – 7/96 – 413/2000, dated 10-4-2000 on
the above subject.
The case has been examined in Finance Division. It
has been decided that the judgment of Supreme Court of Pakistan
dated 9-3-99 has to be followed. If a person files a declaration on the
prescribed form (CZ-50) Zakat shall not be deducted from his G.P.
Fund account.
Sd/-
DEPUTY ACCOUNTANT
GENERAL (F&P)

GOVERNMENT OF THE PAKISTAN FINANCE DIVISION

(REGULATION WING)
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND.
Reference AGPR’s letter No. CF. I/GPF/Zakat/98-
99/206-207/ Dated 7-4-2000 on the subject noted above.
The case has been examined in finance division. It
has been decided that the judgment of Supreme Court of Pakistan
dated 9-3-99 has to be followed. If a person files a declaration on the
prescribed form (CZ-50) Zakat shall not be deducted from his G.P.
Fund account.
Sd/-
 DEPUTY ACCOUNTANT
GENERAL (F&P)
ACCOUNTANT GENERAL PAKISTAN REVENUE, ISLAMABAD
Fin. Div. u.o. No. F. 2 (1) – R-7/96-413/2000
Dated: 10-4-2000
1. All the DAOs in the Punjab.
2. All the Section of this Office.
3. T.Os Lahore.

ACCOUN
TS
OFFICER/
TM

OFFICE OF THE CONTROLLER GENERAL OF ACCOUNTS

10-D WEST TAIMUR CHAMBERS, 4TH FLOOR, BLUE AREA,
ISLAMABAD
No. 60/86/P-I/CGA/C/2001
January 12, 2002
CIRCULAR
Enclosed please find herewith letter No. TM/Misc/III/5132,
dated December 24, 2001 received from Accountant General,
Balochistan alongwith its enclosures for information and further
necessary action at your end.
Sd/
-
(S.
MANZOOR-UL-
ABBAS)
ASSTT. CONTROLLER GENERAL (ADMN)
Copy to: -
1. The Accountant General, Punjab, Lahore.
 Sd/
-
(S.
MANZOOR-UL-
ABBAS)
ASSTT. CONTROLLER GENERAL (ADMN)
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No.TM – I/2 – 2/GPF/2001-02/CD/11.
Dated: - 02-2002.
Copy with the copies of under noted enclosures is forwarded
for information and necessary action to: -
1. All DAOs in the Punjab.
2. All Officers in the Main Office.
3. AO I/C Admn. I, II, IAS, Reogran. Cell, PR – I (c), FD – I
(c), Pen. FS Section in the Main Office.
4. ICO (For Kind information of the A.G Pb.)
Reference No. of Enclosures.
1. Accountant General Balochistan Office Memo. No.
TM/Misc/III/5132, dt, 24-12-2001.
2. Accountant General Office Memo. No. TM/Misc/III/362/
AO, dt. 06-05-2001.
3. Govt. of Balochistan, Law Department Memo. No. OPM: 5
– 2 – Law/89/2158, dt. 11-04-2001.
4. Advocated General, Balochistan Memo No. 4231/AG Dt.
6-4-2001.
5. Accountant General Balochistan Office Memo. No.
TM/Misc – III/2000-01/AO, Date. 10-03-2001.

ACCOUN
TANT
GENERAL
(Cont………..2)
{2}
 OFFICE OF THE ACCOUNTANT GENERAL BALOCHISTAN
No. TM/Misc/III/5132 dated
December 24-2001
To
The Controller General of Accounts,
Islamabad.
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND.
The employees belonging to Fiqa-e-Jafria are
exempted from at source deduction of Zakat Against their G.P. Fund
accumulation but now the Honorable Supreme Court of Pakistan has
announced a judgment and the employees related to other Fiqas viz
Hanafi, Shafai, Malki, Hambali have been declared at per with Fiqa-
e-Jafria for at souce deduction of Zakat.
2. The matter was referred to the Provincial Law
Department of the Government of the Balochistan for advice. In
response the Law department obtained the legal opinion of the
advocate General which confirms that the said provisions are
applicable to the followers of other Fiqas.
3. These were communicated to the Auditor – General of
Pakistan. Vide this office latter NO. TM/Misc/III/362/AO dated 6 th May
2001 for necessary advice. No reply has yet been received from the
Auditor – General Office.
4. In view of the above position it is requested that
necessary decision in the matter may kindly be communicated to
enable this office to settle the pending cases of the Govt. employees.
Encl: As above.

Sd/-
ACCOUNTANT GENERAL
BALOCHISTAN

Cont…………..P/3
 {3}
OFFICE OF THE ACCOUNTANT GENERAL BALOCHISTAN
18-Model Town, Near T.V Station, Hali Road
No. TM/Misc/III/362/AO Quetta May 06,
2001
To
The Auditor General of Pakistan
Constitution Avenue,
Islamabad,
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND
The employees belonging to Fiqa-e-Jafria are
exempted form at source deduction of Zakat against their G.P. Fund
accumulation but new the honorable Supreme Court of Pakistan has
announced a Judgment the copy of which is enclosed. On perusal of
the Judgment we understand that the said exemption has also been
extended to the followers of the other Fiqas on production of relevant
Affidavit. However, the matter was referred to the Provincial Law
Department. They have issued advice in consultation with the
advocate General Balochistan vide NO. OPN/5-2/Law/89/2158 dated
11th April 2001 (copy enclosed), which confirms our presumption.
2. In view of the above it is requested that the case may
kindly be examined and necessary advice may please be issued.
Encl: As above.

Sd/-
(FARRUKH
SOHAIL MALIK)
ACCOUNTANT
GENERAL
No. OPN: 5-2-
Law/89.2158
 Government of
Balochistan
Law Department
Dated. Quetta, the
11th April 2001.

Cont……………P/4
 {4}
To
The Accountant General,
Balochistan, Quetta.
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND
The undersigned is directed to refer to your letter No.
TM/Misc-III/2000-01/AO dated 10-3-2001 on the subject cited above
and to forward herewith a copy of memorandum No. 423/A.G dated:
6-4-2001 received form the office of the advocate General
Balochistan, Containing legal opinion on the point of reference.

S
d/-
(EUGENE.
L.M
WANG).
SECTION OFFICE (OPINION).
From:
The Advocate General,
Balochistan, Quetta.
To:
The Secretary,
Government of Balochistan,
Department of Law, Civil,
Secretariat, Quetta.
Memorandum No. 423/A.G
Dated: 6-4-2001
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND.
Kindly refer to your letter No. OPN/5-2-Law/8/89-1056-
57 dated 24-3-2001 on the subject cited above. In view of the
judgment enclosed alongwith above referred the provisions are
applicable to the case of the followers of other Fiqas if the
Declaration filed by the person/individual is in accordance with the
relevant provisions of ordinance and sub rule (1) of rule002of the
Zakat (Deduction & Refund) Rules, 1981.
S
d/-
(GHULAM MUSTAFA MENGAL)
ASSTT. ADVOCATE GENERAL.

Cont…………..P/5

{5}
OFFICE OF THE ACCOUNTANT GENERAL
BALOCHISTAN 18-MODEL TOWN
NEAR T.V STATION HALI ROAD QUETTA CANTT
NO. TM/Misc-III/2000-01/AO Dated: 10-
03-2001
To
The Secretary,
To the Government
Of Balochistan,
Law Department, Quetta.
Subject: DEDUCTION OF ZAKAT FROM G.P. FUND.
Sir,
The undersigned has been directed to enclosed a
copy of the judgment of the honourable Supreme Court of Pakistan
which is self explanatory on the captioned subject.
2. This office may kindly be advised whether the
provisions applicable to the Fiqa-e-Jafria are also applicable to the
employees belonging to other Fiqas.
3. An earlt advice is requested.

Sd/
-
(ACCOUNTS
OFFICER)
TM
Phone No.
9202756
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
NO. AGPB/ICO/HM/452
Dated:2/12/99
To
1. All District Accounts Officers in Punjab.
2. All Pension & Fund Sections
Subject: DELAY IN DISPOSAL OF PENSION CASES AND
G.P. FUND FINAL PAYMENT CASES OF THE
RETIRED EMPLOYEES OF THE PUNJAB
GOVERNMENT
I have the honour to invite your attention to the
Provincial Ombudsman Punjab office circular letter No. POP-c—7/98
(Pension) dated: 17-1-99 regarding the subject noted above (Copy
enclosed).
2. During the disposal of complaints of retired civil
servants of the Punjab Government, it has been observed by the
provincial Ombudsman Punjab, that although performance of
pension and G.P. Fund sections, in this office, and in District
Accounts Officers, in regard to disposal of pension and G.P. Fund
cases has been commendable. He has, pointed out that a number of
complaints are being filed to this office by the referred employees of
the Punjab Government for non-payment of pension and G.P. Fund
timely. In the circular letter under reference, the provincial
Ombudsman Punjab has directed to accelerate the finalization of
pension cases and ensure expenditure payment of G.P. Fund dues
to the aggrieved persons/retired employees.
3. In this regard attention is invited to instructions
contained in this office O.O. No. TM-I/39 dated 16-9-1998, circulated
under 16-9-98. Endl: No. TM-I/2-5/98-99/CD/46 to 125 dated: 16-9-
98 (copy again enclosed) wherein time frame for the disposal of
pension, G.P. Fund etc, cases, in this office as well as in the District
Accounts Officers, has already been laid down. It was also directed
that the time frame fixed/. Therein shall be strictly observed in
disposal of the above cases. It is, therefore, again directed that the
disposal of pension and G.P. Fund final payment cases of the retired
employees of the Punjab Government, may be disposed of more
expeditiously, as desired by the Provincial Ombudsman Punjab, and
the same should not be delayed in future in any case. Weekly diary
reports should be prepared regularly and approved by the branch
officer/DAG (Pension/Funds Wing) as the case may be monthly
report of all pension, and G.P. Fund cases diaries (in main office)
may be submitted to the Accountant General through the Additional
Accountants General (Pension/G.P. Funds) without fail. Any
deviation form the above instructions would render the responsible
person (s) liable to strict disciplinary action under civil servants E&D
Rules 1973.
4. The report about the pension and G.P. Fund cases
called for by the Provincial Ombudsman office in para 3 of his circular
letter No. POP-C-7/98 (pension), dated 17-12-99, may be
consolidated by the coordination sections of pension and Fund wings
and sent t that office in due time, now and in future. The said reports
relating to District Accounts Officer, shall be consolidated by the
Reorganization cell section, and handed over to the pension I/G.P.
Fund (I) Coordination sections for onward transmission to the office
of Provincial Ombudsman Punjab, Lahore.

(A.
R.ARIF)
ACCOUNTANT GENERAL
Endst. No. Eneu/453 Dated: 28-
12-99
Copy forwarded for information and necessary action to:
1. P.A. to D.G. (Das) for Information of the D.G (Das).
2. P.A. to Addl A.G. (Pension).
3. P.A. to Addl A.G. (Funds).
4. The DAG (Pensions and Funds).
5. The DAO (C), Incharge Re-organization Cell (Local).
6. The A.O. Pension I Coord (Local).
7. The A.O. Fund I Coord (Local).
8. The A.O. T.M.I Section (Local).
9. The A.O. Payroll Coord Section (Local).
10. The A.O. (I.A.S) (Local).

INTERNAL
CHECK OFFICER
 No. POP-C-7/98
(Pension)
OFFICE
OF THE
PROVINCIAL
OMBUDSMAN PUNJAB,
2-BANK
ROAD LAHORE.
Dated Lahore, the 17th
November 1999
To
1. The Accountant General,
Punjab, Lahore.
2. The District Accounts Officers,
Punjab.
Subject: PENSION CASES
I have been directed by the Honourable Ombudsman,
Punjab to draw your kind attention to his order dated 28/1/1997 to
accelerate the finalization of pension cases and ensure expenditure
payment of outstanding amounts of G.P. fund to the aggrieved
persons.
2. The Ombudsman has observed that performance of
Accountant General, Punjab and District Accounts Officers in this
regard has been commendable. Nevertheless, it is pointed out that
number of complaints is being filed by the retired civil servants for
non-payment of pension and G.P. Fund. This situation needs special
attention of the Accountant General, Punjab and all the District
Accounts Officer, Punjab.
3. In order to ascertain the present position about the
finalization of Pension /G.P Fund cases, the Accountant General,
Punjab and all the District Accounts Officers shall furnish
consolidated reports in the first instance, on a proforma indicating the
number of pensioners who have been paid or their cases have been
finalized w.e.f. 1-1-1999 to 30-11-1999 so as to reach this office on
or before 10-12-1999. This may be treated as most urgent. The
report showing the disposal of G.P./Pension Cases in December
1999 be however, furnished so as to reach this office by 7 th January
2000.

(N
A
W
AZI
SH
ALI
)
RE
GISTRAR
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No. TM/I/39
Dated: 16-9-98

OFFICER ORDER

It has been observed that the cases of G.P. Fund Final

Payment, Pension and pay Fixation (Non-Gazetted Employees) are
not being finalized in this Office in due time. They are delayed
causing hard-ship to the concerned employees of the Punjab Govt.
the Accountant General, Punjab has viewed this state of affairs with
concern, and has been pleased to order that henceforth, the
following time frame shall be observed in disposal of the above
cases.
(i) Pension Cases and G.P. Fund Fifteen
days of
Final Payment cases, receipts form
S.S.U.
Receipts form the Special
Service unit (S.S.U.) in O.K Position.
(ii) Pension Case for revision/ Seven
days form the
restoration of commuted receipt of
cases in pension
portion/restoration of
Gratuity cases/Family
Pension cases.
(iii) Issue of P.P.Os on the Five days
form the
basis of authorities receipt of
cases
 received form other audit in the
Pension Section.
circles (other provinces)
(iv) Verification of Pay of N.G. Ten Days
form the
employees of the Punjab Govt. receipt of
service book
on account of General in the P.F.
Section.
Revision of pay scales/
Grant of advance increments
On account of possessing/
Acquing higher qualification and
2. In cases where L.P.C./Service Statements are
required to be issued by the P.R. Sections for issue of PPOs to the
Gazetted employees, the concerned P.R. Section must issue the
requisite document to pension section within three days of the receipt
of requisition from the pension section.
3. The Pay Fixation Section (Local) should maintain
separate diary from receipts and disposal of service books for
verification of Pay. Regular diary reports should be prepared and
approved to the Accounts Officer (PF)/D.A.G.
4. Any deviation from the above instructions would
render the responsible person (s) liable to strict discipliner/action
under the civil servants (E&D) Rules, 1973.
(THIS ISSUES WITH THE APPROVAL OF THE A.G. PUNJAB)
ADDL: ACCOUNTANT GENERAL (PRS)
No. TM/1/2-5/____________ Dated: 16-
9-98
Copy forwarded for information & necessary action.
1. All Officer to the
2. All Officers in the Main Office.
3. All Pay roll sections, F. Aid, TDH. I. II. III. IV, Pay Fixation
Section, G.P. Fund Sections, Account General Section,
Pension F.S. Section, supply – I & II, I.A.S. in the Main
Office.
4. T.D.O, (for A.Gs kind information please).

ACCOUNTS
OFFICER (TM.I)
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE
No. TM. 1/2-5/98-99/40
Dated: 21-9-98
OFFICE ORDER
It has been observed with concern that the issue of
pay slips/L.P’s /service statement and countersignatures on L.R.C’s
of the Non-Gazetted employees of the Punjab Education
Department, are not disposed of timely in this office as well as in the
DAO’s in the Punjab. The accountant General, has therefore, been
pleased to order that henceforth the cases of issue of pay
slips/L.P.C’s/Service statement should be finalized within ten days of
the receipt of requisite documents form the concerned quarters.
2. In cases of countersignature on the L.P.C’s of the
Non-Gazetted employees of the Punjab Govt. in terms of this office
order No. TM.1/29, dated 01-9-97, requisite action should invariably
be taken within five days of the receipts of such cases in the sections
concerned.
3. All such letters for issue of Pay slips/L.P.Cs/Service
Statements/Countersignature on L.P.Cs of N.G. employees of the
Punjab Govt. employees, should be dirarised in the sectional dairies
and disposal marked against them, in order to ascertain the time
taken in the disposal of those cases.
4. Any deviation of the above orders would render the
concerned person (s) liable to strict disciplinary action under
Government servants (E&D) Rules, 1973.

(THIS ISSUES WITH THE APPROVAL OF THE A.G. PUNJAB)

ADDL: ACCOUNTANT
GENERAL /PRS.
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE
NO. Fund. I (Coord)/CD/44/12/2 Dated:
February 2002
To
All the District Accounts Officers
In Punjab. Okara.
Subject: DELAY IN CONFIRMATION OF G.P.F. BALANCES
TRANSFERRED FROM ONE ACCOUNTS OFFICE
TO OTHER ACCOUNTS OFFIC
It has been noticed with great concern that un-
necessary and abnormal delay is caused in confirmation of GPF
balance of the subscribers transferred form various stations. In order
to speed up and accelerate the pace of the confirmation process of
GPF balances transferred from various stations, it has been decided
that:
i. All District Accounts Officers should bring up
details/list of G.P.F transferred cases form main office
to their offices and from their offices to main office
alongwith monthly account and get confirmed form the
officer Incharge of the concerned GPF section
personally and take alongwith him the confirmed list
and leave the confirmation their officers with the
concerned branch officer of GPF section;
ii. In case of confirmation of GPF transfer cases
pertaining to DAOs it has been decided that district
accounts officers should prepare a weekly list and
send the same to the concerned District Accounts
Officer who will return the list within a week back to the
quarter concerned after confirmation.
iii. The District Accounts Officer concerned shall ensure
that has list being sent to the DAO/A.G. contains full
name of the subscriber, parentage, G.P.F. Account
 numbers from and to which balance has been
transferred and the relevant monthly account month
and year.
2. All District Accounts Officers are directed to implement
the above-mentioned guidelines in letter and spirit in future and
follow the procedure accordingly to mitigate the hardship of the
subscribers.
3. This issues with the approval of the Accountant
General.

ADDL: ACCOUNTANT GENERAL (FDS)

 Copy forwarded for information to:
1. P.S to the Accountant General for his information.
2. P.S to the Director General (DA) for information.
3. The Deputy Accountant General (Funds).
4. All Accounts Officers (G.P.F. Section. 1-12).

ADDL: ACCOUNTANT GENERAL (FDS.)

 GOVERNMENT OF PAKISTAN MINISTRY OF RELIGIOUS
AFFAIRS ZAKAT, USHR AND MINORITIES AFFAIRS (ZAKAT AND
USHR WING)
No. 66 CE 34 (C)/CA 425/92 Islamabad, the 8th
December 1999
To
All ZCCA’s.
Subject: EXEMPTION FORM COMPULSORY DEDUCTION
OF ZAKAT
Dear Sir,
I am directed to refer to this Ministry’s letter No. 52 –
CE 34/(c) CA 426-dated 26-11-1999.
2. The matter has been under active consideration and in
consultation with the Law and Justice Division, it has been decided
that until the Federal Shariat Court declares that declaration
regarding exemption form compulsory deduction of Zakat under
Zakat and Ushr Ordinance, 1980, by any Muslim is invalid according
to the Fiqh he follows, any such declaration made by Muslim has to
be accepted and exemption form deduction granted.
3. Your are requested to please advice all your branches
all over the country to follow above instructions meticulously,

Sd/
-
(COL. (R) MUHAMMAD
JAVAID NOOR)
JOINT
SECRETARY
(HQ)

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE

No. Fund – II/Zakat/AS/HM/298
Dated; 18-11-2000
 Copy forwarded for information and necessary action to: -
1. All district Accounts Officer’s in the Punjab.
2. All Fund Section in the Main Office.

ACCOUNTS OFFICER
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE
No. Fund – II/Zakat/AS/HM/296
Dated; 15-11-2000
To
The District Accounts Officer,
Sheikhupura.
Subject: MISCLASSIFICATION OF ZAKAT MONTHLY
DEDUCTED FROM THE G.P. FUND FINAL
PAYMENT CASES AND NON-REFUNDABLE
ADVANCES
It has been observed in the monthly accounts received
from your offices that the deduction of Zakat from the G.P. Fund final
payment cases and non-refundable advances is not properly booked
under the receipt head 3501030 Zakat collection account. In the said
head certain amount of the other head have also been being
included/booked every month. The said amounts are related to the
head namely PLA accounts 3501003. These amounts create
confusion while transferring the Zakat collected from the G.P. Fund
Head of the Central Government.
2. All the District Accounts Officers are directed to book
these amounts under the proper head of accounts instead of Zakat
collection account. The amounts deducted from G.P. Fund final
payment cases and non-refundable advances may be booked under
the head Zakat collection account in future.
3. These instructruction are strictly observed in future.
Any negligence of your office will be brought to the notice of higher
authority for a suitable disciplinary action the defaulter.
ACCOUNTS OFFICER
No. Fund – II/Zakat/AS/HM/297 Dated 15-11-
2000
Copy forwarded to: -
1. All the Accounts Office (Fund Section) in the Main Office.
 2. T.M. Section.
3. 3. Deputy Accountant General (Funds).
4. O.S.D, (Re-Org. Cell)
5. Chief Inspector of Treasuries T.D.H.II Section and
T.D.H.III Section Department, Lahore.
6. Accounts Officer, Incharge T.D.H.II Section and T.D.H.III
Section.
7. Administrator Zakat Government of the Punjab, 2-Court
Road, Lahore

ACCOUNTS OFFICER

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE

No. Fund – I/CPR/HM/1225 Dated; 06-
12-2001
To
The District Accounts Officer,
Shiekhupura.
Subject: DAILY PROGRESS WORK OF STAFF
Accountant General, Punjab has been pleased to
approved a format (copy attached) to check/examine the daily work
progress of the staff working in G.P. Fund Sections.
2. Your are requested to take immediate action
accordingly. The work progress report is to be filled in by the class
three officials and maintained in your office. The said report can be
checked by the internal audit central of this office at any time.

DEPUTY ACCOUNTANT GENERAL

 NAME OF SECTION

Dated _______________ Work Sheet of Mr.

_______________________________.

1. Final Payment Cases with G.P. Fund Numbers

O.B. F.R. Disposal
Balance.

2. G.P Fund Advances Cases with G.P. Fund No.

_____________________. 3. Verification/Confirmation
1. Main Office
2. D.A.O’s
4. Posting
1. Board Sheets
2. Ledger Cards.
5. Bills with T.R. Numbers.
6. Diary
1. Ordinary Diary
2. Urgent Diary
3. Special Diary
4. G.P. (Open Katchery)
5. Wafaqi Mohtasib/Provincial Mohtasib diary.
7. Inward
8. Out Ward
9. C.E. Adjustments.
10. Computer Changes.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE
No. Fund – 1(Coord) CD/56 Dated; 01-
03-2002
To
All the District Accounts Officer,
In Punjab.
Subject: IMPLEMENTATION OF RECOMMENDATIONS OF
THE INQUIRY COMMITTEE FOR MAINTENANCE
OF IN FUND SECTIONS
Some time back Accountant General, Sindh constituted
a committee to probe into illegal payment/withdrawal of GPF
advances the said committee submitted the following
proposals/recommendations to the controller General of Accounts to
streamline the GPF Ledger Cards and withdrawal of GPF advances
and to guard against illegal fraudulent withdrawals of GPF advances:
i. An inventory of all available GPF Fund Ledgers needs to be
prepared. The missing ledger, if any needs to be identified
and kept on record by Fund coordination section for
confirmation within 24 hours to P.F. Sections on request
about availability or otherwise missing of any particular
ledger for adjustment of missing credits.
ii. The controlling Officers may be requested to direct all DDOs
under them to carry out exercise recording of all G.P. Fund
advances and recoveries thereof in the service books of all
non-gazette officials.
iii. A checklist should be prepared for guidance of A.O. to
conduct general review as required in para 214 (iii) of Audit
Manual and notify specific responsibility of A.O. thereto, if
any. The A.O. in a monthly report should record specifically
item wise in detail as to what has been checked and in
token of check, he mist sign the relevant portion of record
too.
2. The Accountant General Punjab has directed that the
above-mentioned recommendations may be implemented in letter
and spirit while processing the claims of GPF advances. The
accountant General has further directed that the following check list
may also be kept in view while processing the claims of GPF
advance and before making payment to the subscribers: -
i. Sanction number and date for advances a granted by the
competent authority should be recorded in the requisite
register maintained in Form – 66.
ii. Recovery on account of principle and interest should be
recorded regularly as laid down in Para 213 (iv) of Audit
Manual:
iii. It should be ensured that the sanctions have been accord by
the concerned competent authority.
iv. The amount sanctioned as advance is covered under the ret
prescribed in the rules and is matching to the balance
available in the account of the subscriber.
v. Conditions as warranted by the GPF rules have been fulfilled;
vi. Reasons for withdrawal of advances form GPF should be
mentioned in the remarks column of the ledger card Form –
60.
vii. Number of installments and recovery rate should be entered
in the remarks of the ledger card against the GPF account
number of the concerned subscriber.
viii. Recovery of refundable advances and interest thereon should
be watched strictly through monthly post audit of ledger
cards.
ix. Cases of GPF refundable and non refundable advances
should regularly be reviewed by the DAO Annually:
x. Posting in ledger cards should be completed and updated to
date and broad sheets should be maintained as warranted by
the rules; and
 xi. Inward and outward diary for transfer of GPF cases form and
to other stations should be regularly maintained in a register,
which shall be a permanent record.

ADDL: ACCOUNTANT GENERAL (FUND)

Copy to the P.S. to the Accountant General for his
information.

ADDL: ACCOUNTANT GENERAL (FUND)

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE
No. Adm – II/G.P. Fd/CD/230/TR/226 Dated;
15-04-2002
To,
The District Accounts Officer,
Okara.
Subject: RECORDING OF G.P. FUND ADVANCES AND
RECOVERIES OF NON-GAZETTED OFFICIALS
In the light of the instructions contained in Controller
General Account’s Letter No. 64/17/Estt. /Discip/2001 dated 06-11-
2001 (Copy enclosed) the Accountant General Punjab has directed
to carry out the exercise regarding recording of G.P. Fund advances
and recoveries thereof in the service books of all concerned non-
gazetted officials and sent monthly report to this office.
The attached proforma may filled in accordingly and
pasted in the service Book of the concerned official.

Encl: - one.
ACCOUNTS OFFICER
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE
No. 64/17/Estt. /Discip/2001,
Dated;
To,
The All Accountant Generals.
Subject: IMPLEMENTATION OF RECOMMENDATIONS OF
THE INQUIRY COMMITTEE FOR MAINTENANCE
OF RECORD IN FUND SECTION.
In a disciplinary case of an Accounts Officer of the
Accountant General Sindh Karachi regarding illegal payment of G.P.
Fund advance the concerned Inquiry Committee has submitted some
recommendations for implementation in Fund section of the
Accountant General Sindh. The CGA has desired that such
recommendations should also be implemented in al other A.G.
Officer if already not existing there.
In this connection please find enclosed herewith
photocopy of said recommendations viz 15.2. to 15.4 of the Inquiry
Report for further action at your end. This office may kindly be
informed about in existence of implementation of such
recommendations new in your office.
S
d/-
(SYED
MANZOO
R ABBAS)
RECOMMENDATIONS: -
15.2 An Inventory of all available G.P. Fund ledgers needs to be
prepared. The missing ledger if any needs to be identified and
kept on record by Fund Coordination section for confirmation
within 24 hours to PF Section on request about availability or
otherwise missing credits.
15.3 The Controlling Officers may be requested to direct all DDOs
under them to carryout exercise regarding recording of all G.P
Fund advances and recoveries there of in the Service Books
of all non-Gazetted Officials.
15.4 Prepare a checklist for guidance of A.O. to conduct general
review as required in para 214 (iii) of Audit Manual and notify
specific responsibility of A.O. there to if any. The A.O. in a
monthly report should record specificall itemwise in detail as
to what has been checked and in token of check he must sign
the relevant portion of record too.
S
d/-
(SYED
MANZOOR
ABBAS)
 DETAIL F G.P FUND ADVANCES IN RESPECT OF
MR.______________________ _______________Designation
__________________Account No. _____________. (Monthly
Recovery)

Date of Drawal of Advance

Amount applied for

Nature of Advance

September

November

December

February
January
October
August

March
S. No.

P. No.

June
April

May
July
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB LAHORE
No. Fund – I/(Coord)/234 Dated;
18th April 2002
To,
The Drawing & Disbursing Officer,
Okara.
Subject: CAMPAIGN FOR UPDATEION / CONSOLIDATION
OF GPF BALANCE OF THE SUBSCRIBERS
RETIRING DURING 2002
For ensuring and facilitating prompt/immediate GPF
final payment at the time of their retirement and saving them from
mental torture they are facing presently, this office has taken up an
exercise of updation/consolidation of GPF balance of those
Government servants/Civil Servants who are going to retire during
2002. This is indeed a big task and cannot be completed without
cooperation of the concerned subscribers/civil servants /DDOs.
2. I would requested you to provide information / details
on the enclosed proforma immediately to the Accounts Officer, Fund
– I (Coord), Office of the Accountant – General, Punjab, Lahore to
consolidate/update GPF balance well in time before their retirement.
A list showing the names of Civil servants / Subscribers of your
Department who are going to retire during 2002 is enclosed for your
convenience and information,
Encl: as above (HAFIA
MUHAMMAD ISLAM)
ADDL: Accountant
General (Fund)
Ph: 9210155,
Fax: 9210175
Copy forwarded for information & necessary action to:
-
1. The Deputy Accountant – General (Fund) Office
of the Accountant – General, Punjab, Lahore.
2. The Accounts Officer, Fund – I (Coord), Office of
the Accountant – General, Punjab, Lahore.
 3. All District Accounts Officers in Punjab for
initiating similar action.

(HAFIA MUHAMMAD
ISLAM)
ADDL: Accountant
General (Fund)
 PROFORMA
Statement showing record of the subscriber working in o/o
__________________.

Status of
N.I.D. No. Designatio postings &
Name and
S. of the n& Name in GPFA/c Compu
Futures
No. Subscribe Department Chronologica No. Numb
Name
r Office. l order with
Dates.
1 2 3 4 5 6 7

DRAWING & DISBURSING OFFICER

DEPARTMENT _________________.
DD.O. CODE NO. _______________.
 GOVERNMENT OF THE PUNJAB, SERVICES & GENERAL ADMINISTRATION
DEPARTMENT (O & M WING)
Pension/G.P Fund Cases No. So (PCDC) 13
(1)/97 – Summary.
Dated Lahore, the
March 2002.
To
1. All Administrative Secretaries, Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab.
4. All Regional & Divisional Heads of
Departments in the Punjab.
5. All Deputy Commissioners in the Punjab.
6. The Registrar, Lahore High Court, Lahore.
7. The Registrar, Punjab Service Tribunal,
Lahore.
8. The Secretary, Provincial Ombudsman,
Lahore.
9. The Secretary, Punjab Public Service
Commission Lahore.
10. All District & Session Judges in the Punjab.
Subject: PROMPT FINALIZATION OF PENDING
PENSION/G.P. FUND CASES
Sir,
I am directed to refer to the above noted subject and
to state that on a report regarding disposal of pending pension/G.P.
Fund Cases submitted to Government to Governor, he was pleased
to observe as under: -
“……………….Expedite the process of finalization of pension
cases especially which are pending since long. In future,
period of pendency of pension cases may also be indicated in
the report (returns)”.
2. In this regard your attention is invited to the earlier
circular letters of even number dated 23-12-1997 and 2-9-1998,
which contained detailed instructions on the subject. In the light of
the above quoted observations of the Government, these instructions
may be reiterated upon to all the pension Sanctioning Authorities
under your control so as to ensure finalization of the pending
pension/G.P Fund cases accurately and expeditiously. Adherence to
the time frame prescribed for processing/finalization of pension cases
as contained in the pension rules must be observed.
Your Obedient
Servant,

(KHAQA
N BABAR)
O&M
WING S&GAD

No & Date Even

Copies are forwarded for information and necessary
action to:
1. The Accountant General Punjab, Lahore.
2. All District Accounts Officers & Treasury Officers in the
Punjab.
3. All Additional Secretaries, Deputy Secretaries, Under
Secretaries & Section Officers in the S & GAD.

UNDER
SECRETARY/SECRETARY
PENSION CASES DISPOSAL
COMMITTEE PUNJAB.
 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CONSTITUTION
AVENUE ISLAMABAD
No. 69/Reg – II/10-2000/Mohtasib’s Recom:/ Dated;
th
10 April 2000
To,
The Accountant General Punjab,
Lahore.
Subject: COMPLIANCE OF OMBUDSMAN’S
RECOMMENDATIONS
Reference: MOHTASIB’S ANNUAL REPORT FOR THE YEAR
1998.
The recommendations are reproduced for strict
compliance: -
Para. 14 (a) “G.P. Fund Accounts should be computerized
Deductions are made regularly from the emoluments
and as such it is the responsibility of the agency to
ensure of action posting. Failure to do so should be
the cause of action against officials of the agency
responsible for the neglect.
(b) If any G.P. Fund credits are still missing whatever
evidence is available with the Government Servant
should be accepted and the credit should be duly
given.
(c) Proper and complete accounts of G.P. Fund of all
Government employees must be maintained G.P.
Fund slips including the latest balance must be
issued to the subscribers regularly every years”.
It is stressed upon that if the above recommendation
at (c) Para 14 (Regu. H/13000/99), is strictly followed
the lapses will also come to notice in time and can be
rectified accordingly. Kindly acknowledge its receipts
and ensure compliance.
Sd/-
(EJAZ HUSSAIN MALIK)
 ASSTT. AUDITOR GENERAL
(REGULATION)
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fund I/(c)/HM/107
Dated: 10-6-2000
Copy forwarded for information and strict compliance to: -
1. All Accounts Officer Fund Section.
2. All Assistant Accounts Officers Fund section in main
Office.
3. All District Accounts Offices in the Punjab.
4. I.C.O. for (A.G’s Kind information please).
5. Accounts Officer T.M. Section.
ACCOUNTS OFFICER.

OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE

No. RECRG./FSD/G.P.F/CD-9900 Dated: 22-
03-1997
To
All the District Accounts Officers,
In the Punjab.
Subject: ADMISSION OF G.P. FUND BILLS IN PAYMENT.
It has observed that generally D.A.O’s while passing
the G.P. Fund advance as well as final payment bills do not attest the
entries made in the relevant G.P. Fund Ledger Cards. This lapse
__________leads to fraudulent drawals of G.P. Funds.
In order to avoid fraud in G.P. Fund side the following
instructions in continuation of the instructions circulated in the posts
may also be adhered to while making payment of G.P. Fund.
1. No Bill for advance/final payment of G.P. Fund should
be admitted by the D.A.O. Without his initialing the entry of the same
in the ledger card.
2. A disbursement certificate may be obtained form the
D.D.Os after passing the G.P. Fund Bills. In case the subscriber
happened to be D.D.O. himself then the disbursement certificate
should be obtained form him. Disbursement certificate may be kept in
the safe custody.

DISTT: ACCOUNTS OFFICERS (C)

A.A.O. (Admn) to please note for compliance and circalate it to his

subordinates.
Copy of letter No. Tr/4-61/Vol.XIII/2779, Dated. 14-
2-1983,
From office of the Accountant General Pakistan Revenues,
Complex, G-8/4, Islamabad

Subject: MAINTENANCE OF BROADSHEETS

RECONCILIATION OF FIGURES.
The object of maintaince of the broadsheets of long-
term advance cannot be achieved unless differences between
Ledgers and B/Sheets figures are reconciled and adjusted. It has
generally been observed that reconciliation work has not been done
for a long term now. The cause of this lapse has been pointed out by
the pre-audit sections to be the fact that the figures are not booked
department wise by compilation section. Instead the lump sum
amount deducted / recovered by all the pre-audit sections
(GAD/TAD) is posted in the Ledger. Resultantly the broadsheets
cannot be got verified. The matter has been examined at length and
to tide over the problem the following procedure have been
suggested: -
i. All pre-audit sections (Both GA & TA) while pre-auditing the
claims may distinctly mark, the name of section at lop of each
bill.
ii. The accounting sections while compiling the accounts may
take claims may take every care that figures both of
GAD/TAD in respect of long-term advances are booked
separately and shown as such in the classified and
consolidated abstracts.
iii. C.C. sections may also made provision and render
computerized accounts showing invariably the names of
respective pre-audit sections.
iv. Completion section may made arrangement to book the
figures accordingly.
2. These proposals may please be considered.
Views/Comment communicated by 25-02-1983 positively.

Sd/
-
(TANWIR
ALI AGHA)
ADDL.
ACCOUNTANT
GENERAL.
Copy to: -
1. to 3. xxxxxxxxxxxxxx
4. Mr. Naseer Ahmad Sheikh, Deputy Accountant General, Sub-
Office of the A.G.P.R, Lahore.
5. to 10. xxxxxxxxxxxxx

Sd/-
(TANWIR ALI
AGHA)
ADDL. ACCOUNTANT
GENERAL.

OFFICE OF THE ACCOUNTANT GENERAL PAKISTAN REVENUES,

SUB-OFFICE, LAHORE
No. TM/Rcc/CD/1366 Dated: 12-
03-1983
Copy forwarded for information and necessary action
to: -
The Comments/View may kindly be furnished within 3 days so that
the A.G.P.R., may be approved of the information.
1. All District Accounts Officer’s in the Punjab.
2. All Branch Officer in the Office.
3. All Sections in the Office.
4. Accountant General, Punjab, Lahore.

ASSISTANT ACCOUNTS OFFICERS.

 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fund. II/AS/G.P.F./Schedules/83-84/39 Dated: 02-
11-1983.
To
1. All Administrative Secretary to Government of
the Punjab.
2. All Heads of attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab.
4. All Deputy Commissioners and District and
Session Judges in the Punjab.
5. The Registrar, Lahore High Court, Lahore.
6. The Secretary, Punjab public service
Commission, Lahore
7. All District Accounts officers in the Punjab.
Subject: PREPARATION AND PRE-CHECKING OF G.P.
FUND RECEIPT SCHEDULES.
In has been observed that the G.P. Fund receipt
schedules in the offices in the drawing and disbursing officers are not
being prepared in accordance with the instructions issued from time
to time by this office as well as by the Government of the Punjab,
which causes the increase in number of missing credits in the G.P.
Fund Accounts of the Government of the Government Servants for
no fault on their part.
2. The defects noted in the G.P. Fund receipt schedules
are mainly of the following nature:
i. G.P. Fund account Numbers are not shown at all in the
schedules.
ii. Incorrect Account Numbers are invariably being written in the
schedules.
iii. Guide Letter such as II/GA, II/Edu, II/Misc: etc are not
indicated with Account Number allotted by the Audit Office.
iv. Schedules are not prepared in series of thousand.
v. Wrong totaling of Schedules.
 vi. Note regarding retirement, suspension, dismissal death, leave
and transfer form one place to another of a subscriber is not
recorded in the schedules.
vii. Schedules are prepared on minor slips instead of or full or
half page written with illegible handwriting.
viii. Schedules are not got printed or cyclostyled after verification
by the Audit Officer.
 While signing the schedule attached with his pay bill.
vi The information about the dismissal, resignation,
termination of service, death, suspension form service,
transfer to autonomous bodies or other Audit
Officer/District Accounts Office of the subscriber may
be mentioned in the “remarks column” of the schedule.
In case of a gazetted officer he himself should furnish
the said information in writing to audit office.
vii In case of non-gazetted Government Servants where
schedules are enclosed with one bill a covering list for
these schedules be prepared giving therein to tals of
each series of schedules with grand totals in figures
as well as in words.
viii No other schedules such as B/Fund deduction any
recovery on account of other than G.P. Fund should
be prepared on the sheet of G.P. fund schedules.
ix No deduction on account of G.P. Fund subscription
should be made form the pay of the new subscriber
unless there account Nos. are allotted of G.P. Fund
A/c No. in case of Government servants who is likely
to complete his two years service should be submitted
to audit office well in time to avoid subsequent
complications.
x A simplified specimen of G.P. fund receipts Schedule
is given below for guidance and proper preparation of
G.P. Fund Receipt Schedules.
Actual rate of

with drawals.
Account No.

Designation

deduction

Refund of

Remarks
Father’s
Name &
Name,
S. No.

Total
Pay

1 2 3 4 5 6 7 8
7. All the drawing and disbursing officers may also
please be directed to depute their accounts clerk to concerned Audit
– Offices for quarterly reconciliation of the G.P. Fund Accounts of the
quarterly reconciliation of the G.P. Fund Accounts of the Government
servants regarding missing credits alongwith the reconciliation of
quarterly expenditure as already directed by the former Government:
of west Pakistan/Punjab in their Circular letter Nos. mentioned in
para – 4 above,
The receipts of this letter may please be
acknowledged.
Sd/-
(SARSHAR AHMAD
KHAN)
DEPUTY ACCOUNTANT
GENERAL
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fund. II/AS/G.P.F./Schedules/83-84/342
Dated: 10-04-1985.
To
8. All Administrative Secretary to Government of
the Punjab.
9. All Heads of attached Department in the
Punjab.
10. All Commissioners of Divisions in the Punjab.
11. All Deputy Commissioners and District and
Session Judges in the Punjab.
12. The Registrar, Lahore High Court, Lahore.
13. The Secretary, Punjab public service
Commission, Lahore
14. All District Accounts officers in the Punjab.
Subject: PREPARATION AND PRE-CHECKING OF G.P.
FUND RECEIPT SCHEDULES.
 In continuation of this office circular letter No. Fund.
II/AS/G.P.F./Schedules/83-84/39, Dated: 02-11-1983 you are once
again requested that G.P. Fund receipt schedules must be prepared
and pre-checked in accordance with the instructions issued form time
to time by this office as well as by the Government of the Punjab.

When a person is on leave or under suspension and

no deduction is made on account of G.P. Fund for such cases, the
G.P. Fund Receipt schedules must be prepared indicating zero
deduction.

Sd/-
SH. ABDUL
GHAFAR
DEPUTY ACCOUNTANT
GENERAL
O.O. No. Fund-I/145. Dated: 26-
01-1984

It has been observed form the complaints received

form the subscribers that the G.P. Fund final payment cases are not
being timely finalized by the G.P. Fund sections of this office as well
as by the district Accounts Officers in the Punjab. The interest upto
the date of admissibility is also not allowed to the retired Government
Servants.
The Accountant General has taken a serious notice of
this state of affairs and ordered that henceforth the G.P. Fund final
payment cases of the retired Government servants should be
finalized without any delay alongwith the full interest as admissible
under rule 1.13 of the Punjab provident rund rules, 1978. Any
disregard of the Punjab Provident Rund Rules, 1978. Any disregard
of these orders, if noticed, will be severely dealt with.

Sd/-
SH. ABDUL
GHAFAR
DEPUTY ACCOUNTANT
GENERAL (FUND)

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE

NO. Fund – I /AS-18/Vol. II/83-84/261,

Dated: 26-01-1984
Copy forwarded for strict compliance to: -
1. All the Branch Officers Fund Section.
2. All the G.P. Fund Sections.
3. All the District Accounts Officers.
4. Office order book.
5. I.C.A.

ASSISTANT ACCOUNTS OFFICER

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. FDS.I/COORD/153
Dated. 11-10-1984

OFFICE ORDER

In compliance with the President’s orders regarding

improvement in the procedures of Pension and G.P Fund, it has
been decided that it should be clearly indicated on the annual G.P.
Fund Accounts statement whether the Nomination papers in respect
of the subscribers concerned had been received and the same were
on record. In cases where Nomination Papers had not been received
the fact should be indicated on the Accounts statement of the
subscribers concerned.

For the purpose, two rubber-stamps viz;

(i) “Nomination papers received and entered at serial No.
of the stock register No.___________.
(ii) “Nomination papers not received be got prepared for
the use with immediate effect.

S
d/-
ACCOUN
TANT
GENERA
L
No. FDS.I/COORD/153
Dated. 11-10-1984

Copy forwarded for information and necessary action to: -

1. All the Branch Officers in the Main Office.
2. All the Funds Sections in the Main Office.
3. All the District Accounts Officer in the Punjab.

DEPUTY ACCOUNTANT
GENERAL (FDS)
REGISTERED
IMPORTANT
OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL
GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
To
All Audit & Accounts Officers,
Central/Provincial.
Subject: MAINTENANCE OF G.P. FUND
ACCOUNT/TRANSFER FROM ONE OFFICE TO AN
OTHER
It has been noticed with concern that the instruction
issued from time to time for upto date and proper maintenance of
G.P. Fund accounts, adjustments of missing credits, transfers of
balances and issuance of annual account statements to the G.P.
Fund Subscribers before 30th September each year have not been
acted upon resulting in complaints to the Wafaqi Mohtasib
(Ombudsman). It is, therefore, requested that instructions contained
in our circulars. Numbers. 433-A/23-79. Vol. I, dated the 13th April
1982 and 608-A/32-79, dated the 4th June 1984 (copies enclosed),
may please be complied with strictly admit may please be ensured
that G.P. Fund Accounts for the Subscribers are maintained properly.
Missing Credits, if any, adjusted with the help of the officer record as
for as possible and without any reference to the subscribers. The
upto date account is transferred in cases of transfers of the
subscribers form one office to another promptly. The annual account
statement should be supplied to the subscribers before 30th
September each year. A final payment arranged promptly on
retirement including interest on the upto date balance at the credit of
the retired Government servants.
2. The receipt of this letter may also please
acknowledge within a week of the week of the receipt on your office.
Encl. As above.

Sd/-
(MUHAMMAD ASHRAF
QURESHI)
ASSISTNAT AUDITOR
GENERAL (AUDIT)

(Cont………2)
 -2-
No. 1485-A/12-79.11 Dated: 31-
12-1986
Copy forwarded to the Assistants Officer, Inspection
section (Local)(in duplicate) with reference to Deputy Auditor General
(1) Ednst. No. 3150 (Insp) 84-84 (WM), dt. the 3rd December, 1984.

Sd/
-
(MUHAMMAD ASHRAF
QURESHI)
ASSISTNAT AUDITOR
GENERAL (AUDIT)

OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE

No. FD.1/AS/Accounting procedure/84-85/90
Dated. 31.12.84

Copy together with a copy of its enclosures is

forwarded for information and necessary action to: -
1. All District Accounts Officers in the Punjab.
2. All Funds Section in the Main Office.
3. All Branch Officers (Funds).
4. All Supervisory Officers in the Main Office.
5. I.C.A.
6. T.M.

DEPUTY ACCOUNTANT GENERAL

 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL
GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
No. 433-A/23-79
Dated: 13-04-82
To
1. The A.G.P.R. Islamabad. (by
name)
2. The A.G. Sindh, Karachi.
-do-
3. The A.G.N.W.F.P. Peshawar.
-do-
4. The Comptroller Balochistan Quetta.
-do-
Subject: MAINTENANCE OF G.P. FUND ACCOUNT.
It has been noticed that G.P. Fund Accounts are not
being maintained properly viz, missing credits are not adjusted; huge
amounts are lying in the difference sheets and annual accounts
statements for the year 1979-80 and 1980-81 are still to be issued in
same office. This shows that no serious efforts are made to ensure
the correct compliance of the mandatory provisions of civil servants
Act, 1973.
2. In this connection attention is invited to section 20 of
the Civil Servants Act, 1973 which requires that before the expiry of
the third month of every financial year, the accounts Officer or other
officer required to maintain provident Fund accounts shall furnish to
every civil servant sub-scribing to a Provident fund, the account of
which he is required to maintain a statement under his hand showing
the subscriptions to including the interest accruing thereon, if any,
and withdrawals or advance from, his provident fund during the
preceding financial year. Where any subscription male by a civil
servant to his provident fund has not been shown on credited to the
account o the Civil servant on the basis of such evidence as may be
prescribed. The missing credits are to be adjusted either with
reference to the records of the Audit Office or on the basis of the
required certificates furnished by the departmental authorities.
3. The matter may please be looked into personally so
as to ensure the compliance of the above mandatory provisions in
letter and spirit suitable instructions may please be issued to all
concerned as early as possible under intimation to this office, so that
the G.P. Fund Accounts are kept complete and upto date and the
G.P. Fund Accounts are kept complete and upto date and the annual
account statements are issued in September each year.
Sd/-
FAZAL AHMAD
DEPUTY AUDITOR
GENERAL (INSP)
In the accounts by accounts or other Officer required to maintain
such account, such subscription shall be credit.
 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL
GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
No. 608-A/32-79
Dated: 04-06-84
To

1. The Accountant General, Pakistan Revenue,

(by name)
Islamabad
2. The Deputy Accountant General, Pakistan,
Revenue, (by name)
Sub-Office, Lahore.
3. The Additional Accountant General Pakistan
(by name)
Revenues, Sub-Office.
4. The Deputy Accountant General, Pakistan
(by name)
Revenues, Sub-Office, Peshawar.
5. The Deputy Accountant General, Pakistan
(by name)
Revenues, Sub-Office, Quetta.
6. The Deputy Accountant General, Pakistan
(by name)
Revenues, Sub-Office, Gilgit.
7. The Accountant General, Punjab, Lahore.
(by name)
8. The Accountant General, Sindh, Karachi.
(by name)
9. The Accountant General, NWFP, Peshawar.
(by name)
10. The Comptroller Balochistan Quetta.
(by name)
Subject: TRANSFER OF G.P. FUND ACCOUNT FROM ONE
OFFICE TO ANOTHER
If has been noticed with concern that instructions for
transfer of G.P. Fund account in the event of transfer of Government
servant form are account office to another as laid down in the rules
are not being observed strictly. The G.P Fund balance are not being
transferred promptly and action is initiated on the request for this
purpose form the subscriber concerned. Due to in ordinate delays in
the transfer of G.P. Fund balance, complaints are being received
either directly by this office or these are routed through the Wafaqi
Mohtasib.
2. In this connection attention is invited to para graph
219 of the Audit Manual which required that the G.P. Fund account
of a Government servants is to be maintained by the accounts officer
form whom he draws his pay. Accordingly when a Government
servant is transferred from one Audit Office to another, he applies to
he Accounts Officer of the Audit Circle to which he is transferred for
allotment of a new G.P. Fund Account Number stating his previous
account number and the name of the Accounts Officer. It is the duly
of the Accounts Office to allot him a new G.P. Fund Account Number
and also to take up the matter with the previous accounts office for
the transfer of the G.P. Fund balance for credit to his account.
3. Paragraph 221 of the Audit Manual provides that the
stop pace of subscription should also be recorded on the G.P. Fund
ledger Accounts. Accordingly if s.no. Subscription in any G.P. Fund
account is being posted it is duty of the accounts office to as certain
the reasons for that. If this is done this fact of transfer can come to
the notice of the Audit Office and action for transfer of balance taken
promptly. It may be mentioned that subscription to G.P. Fund can be
stopped during leave and suspension instructions in this record have
already been issued vide this office circular letter No. 1441-A/53-77,
date. 24-12-79 that in G.P. Fund Schedule stating the reasons for
discontinuance of the subscription may be attached with the pay bill,
so that the abbreviation “L” of “S” is recorded in the ledger accounts.
If no such entries exist the reasons for stoppane of subscription
could be the transfer. His records transfer orders these are received
in the Audit Sections and those Sections are required to endorse a
copy to the G.P. Fund section concerned for taking action to transfer
the G.P Fund balance.
4. Paragraph 243 of the Audit Manual provide for transfer
of G.P. Fund account of a subscriber from account circle to another.
The transfer of balance was previously affected through exchange
accounts and a lot of time was taken for final adjustment in the
ledger account. After the setting up of the sub-Office of the
accountant General, Pakistan Revenue it has been decided that the
transfer of balance form Main Office to the Sub-Offices and between
the sub-offices would be affected by issue of unsealed authority and
not through the accounts. The balances are increased and
decreased on Performa basis. Similar procedure is being followed
form transfer of balances between the District Accounts Offices.
5. The Manual of Fund section of the various Audit and
Accounts Officers also provide for transfer of balances of a
subscriber who is transferred to the jurisdiction of another Audit
Office. Previsions also exit that if a subscriber is transferred to the
audit control of an Audit Office his ledger account and other
documents should be called for form the concerned Audit Office if
these are not furnished.
6. Whatever the procedure may be the most important
point is to ensure prompt transfer of balance by one accounts office
to another without any requ3est form the subscriber. It is therefore,
requested that the above provision may be brought to the notice of
all concerned and necessary of G.P. Fund balance of the
Government servants involved is done promptly in the event of their
transfer form one office to another or form one District Accounts
Office to another District Accounts Officers as the case may be
ledger.
The receipt of this memo may please be
acknowledged.

Sd/
-
(MUHAMMAD ASHRAF
QURESHI)
ASSISTNAT AUDITOR
GENERAL (AUDIT)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No. Fund-II/TFR-A/C-Procedure/84-85/260
Dated. 27-11-84
To
1. All the District Accounts Offices in the Punjab.
2. A-l Fund sections in the Main Office.
3. A-ll Branch Officers of Fund Section.
4. Officer on Special Duty Re-org Cell.
5. Assistant Accounts Officer T.M.
Subject: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCE AS FROM ONE OFFICE TO
ANOTHER
It has been observed that the new procedure
regarding transfer of G.P. Fund balance from one office to another
introduced vide this office order No. Fund. I. Accounting
prodedure/83-84/19 dated. 22-7-84 is not being followed
according to the instructions contained therein.
The following shortcomings have been noticed on the
part of the District Accounts Offices.
(a) (i) The ward credit memo” is not written at the top of
“Credit Memo/Transfer Memo with the result that it creates confusion
as to whether the amount has been transferred under old procedure
or new procedure.
(ii) T.D.H. II Section has reported that certain District
Accounts Officers are still following the old procedure involving cash
account with which the implementation of new procedure has
become unoperative. The old procedure should be discontinued
forthwith.
(iii) “Inwards and Outwards” registers have not so for been
opened.
(iv) The sealed transfer credit memo when received in the
G.P. Fund sections of Main Office as well as of the District Accounts
Officers are not being recorded and credited immediately in the
“Inward Register” as well as in the L/Card of the subscribers in the
proper month as plus and minus entry in the ledger card in case of
transfer to other office.
(v) A-t the close of every month each District Accounts
Office was required to submit a consolidated list of “Inwards and
Outwards” giving details viz both the account No’s name of the
subscriber, and amount to Fund. II Coord section of this office for
proper watch and reconciliation, which is not being done. This should
be observed and such lists should be sent to this office duly typed or
written with legible handwriting.
(vi) The acknowledgments are not being sent up
transferring office immediately after the case is received in the fund
section of the District Accounts Office and Main Office.
(vii) The Transfer Credit Memo” forms may not be used for
the cases, which are to be, transferred to other Audit circle viz
Accountant General, Sindh, Karachi, Accountant General, NWFP,
Peshawar, Comptroller, Balochistan, Quetta and Accountant General
P.R. Offices etc. The balance to other audit circle will be transferred
under the old procedure of T.E. through account III section of this
office.
(viii) On receipt of the sealed transfer credit memo in the
G.F. Fund section, payment regarding and final withdrawals can be
made after posting the credit on the L/Card and inward register.
(b) (i) The balance in large number of subscribers in whose
cases sealed transfer intimations were issued under the old
procedure but their advices have not so for been received in the
officers to which these were transferred viz: in the main office as well
as in the District Accounts Officers due to which balances have not
actually been credited in the ledger account of the subscribers. To
avoid further complications all such cases may be adjusted as plus
and cleared in the monthly account in hand under intimation to the
transferring office for minus entries under present procedure and
such sealed intimations treated as credit memo.
 (ii) The instructions already issued and shortcomings
pointed out in this circular letter may kindly observe strictly.
(iii) Please acknowledge receipt of this letter.
MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
Copy forwarded to Assistant Accounts Officer, T.D.H.II
section with the remarks that no such amount on account of G.P.
Fund balance transferred through cash account by any District
Accounts Office should be accepted.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL
GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
No. 1484-A/12-79. II.
Dated. 17-12-84
To
All Audit & Accounts Officers,
Central / Provincial.
Subject: MAINTENANCE OF G.P FUND
ACCOUNT/TRANSFER FROM ONE OFFICE TO AN
OTHER
It has been noticed with concern that the instructions
issued from time to time for upto date and proper maintenance of
G.P. Fund Accounts, adjustments of missing credits, transfers of
balances and issuance of annual account statements to the G.P.
Fund subscribers before 30th September each year have not been
acted upon resulting in complaints to the Wafaqi Mohtasib
(Ombudsman). It is, therefore, requested that instructions contained
in our circulars. Numbers. 433-A/23-79-Vol.I, dated the 13th April
1982 and 608-A/32-79, dated the 4th June 1984 (copies enclosed),
may please be complied with strictly and it may please be ensured
that G.P. Fund Accounts of subscribers are maintained properly.
Missing credits, if any, adjusted with the help of the office record as
for as possible and without any reference to the subscribers. The
upto date account is transferred in cases of transfers of the
subscribers from one office to another promptly. The annual account
statement each year. A final payment arranged promptly on
retirement including interest on the up to date balance at the credit of
retired Government servants.
2. The receipt of this letter may also please
acknowledged within a week of the receipt in your office.
Encl: above.
MUHAMMAD SHARIF BHATTI
DEPUTY ACCOUNTANT
GENERAL

SUB-OFFICE OF THE ACCOUNTANT GENERAL, PAKISTAN,

REVENUE, LAHORE
No. TM/FDS/SDL/768
Dated: 3-4-85
Copy alongwith copies of enclosures forwarded to: -
1. Funds – I, II, Rangers Cell.
2. All the District Accounts Officers in the Punjab for
necessary action.

ASSISTANT ACCOUNTS OFFICER

OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL

GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
No. 433-A/23-79.
Dated. 13-4-1982
To

1. The A.G.P.R., Islamabad. (By

Name)
2. The A.G.P.R., Karachi.
-do-
3. The A.G.P.R., NWFP, Peshawar.
-do-
4. The Comptroller Balochistan, Quetta.
-do-
Subject: MAINTENANCE OF G.P. FUND ACCOUNT.
In has been noticed that G.P. Fund Accounts are not
being maintained properly viz, missing credits are not adjusted, huge
amounts are lying in the difference sheets and the annual accounts
statements for the years 1979-80 and 1980-81 are stilly to be issued
in some offices. This shows that no serious efforts are made to
ensure the correct compliance of the mandatory provisions of civil
servants Act, 1973.
2. In this connection attention is invited to section 20 of
the Civil servants Act, 1973 which requires that before the expiry of
the third month of every financial year, the accounts officer or other
officer required to maintain provident Fund accounts shall furnish to
every civil servant subscribing to provident fund, the account of which
he is required to maintain a statement under his hand showing the
subscriptions to, including the interest accruing thereon, if any, and
withdrawals of advances from, his provident fund during the
preceding financial year. Where any subscription made by a civil
servant to his provident fund has not been shown or credited to the
account of the civil servant on the basis of such evidence as may be
prescribed. The missing credits are to be adjusted either with
reference to the records of the Audit Office or on the basis of the
required certificates furnished by the departmental authorities.
3. The matter may please be looked in to personally so
as to ensure the compliance of the above mandatory provisions in
letter and spirit suitable instructions may please be issued to all
concerned as early as possible under intimation to this office, so that
the G.P. Fund Accounts are kept complete and upto date and the
annual account statements are issued in September each year.
(FAZAL AHAMD)
DEPUTY AUDITOR
GENERAL (INSP)
In the accounts by the accounts or other officer required to maintain
such account, such subscription shall be credited.
OFFICE OF THE AUDITOR GENERAL OF PAKISTAN CENTRAL
GOVERNMENT OFFICERS BUILDING GULBERG III LAHORE
No. 608-A/32-79.
Dated. 4-6-1984
To
1. The Accountant General, Pakistan Revenues,
Islamabad.
2. The Deputy Accountant General, Pakistan,
Revenues Sub-Office, Lahore.
3. The Additional Accountant General, Pakistan,
Revenues Sub-Office, Peshawar.
4. The Deputy Accountant General, Pakistan,
Revenues Sub-Office, Peshawar.
5. The Deputy Accountant General, Pakistan,
Revenues Sub-Office, Quetta.
6. The Deputy Accountant General, Pakistan,
Revenues Sub-Office, Gilgit.
7. The Accountant General, Punjab, Lahore.
8. The Accountant General, Punjab, Karachi.
9. The Accountant General, Punjab, Peshawar.
10. The Comptroller Balochistan, Quetta.
Subject: TRANSFER OF G.P. FUND ACCOUNT FORM ONE
OFFICE TO ANOTHER.
It has been noticed with concern that instructions for
transfer of G.P. Fund Account in the event of transfer of Government
Servant form one Account Office to another as laid down in the rules
are not being observed strictly. The G.P. Fund balances are not
being transferred promptly and action is initiated on the request for
this purpose form the subscriber concerned. Due to in ordinate
delays in the transfer of G.P. Fund balances, complaints being
received either directly by this office or these are routed through the
wafaqi Mohtasib.
2. In this connection attention is invited to paragraph 219
of the Audit Manual, which required that the G.P. Fund account of a
Government servant in to be maintained by the Accounts Officer from
whom he draws his pay. Accordingly when a Government servant is
transferred from one Audit Office to Another, he applied to the
Accounts Officer of the Audit circle to which he is transferred, for
allotment of a new G.P. Fund Account Number stating his previous
account number and the name of the Accounts Officer. It is the duty
of the Accounts Office to allot him a new G.P. Fund account number
and also to take up the matter with the previous accounts office for
the transfer of the G.P. fund balance for credit to his account.
3. Paragraph 221 of the audit Manual provides that
stopped of subscription should also be recorded on the G.P. Fund
ledger Accounts. Accordingly if no subscription on in any G.P. Fund
account is being posted it is duty of the Accounts Office to as certain
the reasons for that. If this is done this fact of transfer can come to
the notice of the Audit Office and action for transfer of balance taken
promptly. It may be mentioned that subscription to G.P. Fund can be
stopped during leave and suspension instructions in this regard have
already been issued vide this office circular letter No. 1441-A/53-77,
Dated. 24-12-1979 that in such cases G.P. Fund schedule stating
the reasons for discontinuance of the subscription may be attached
with the pay bill, so that the abbreviation “K” or “S” is recorded in the
ledger accounts. If no such entries exist the reasons for stoppace of
subscription could be the transfer. As regards transfer orders these
are received in the Audit sections and those sections are required to
endorse a copy to the G.P. Fund section concerned for taking action
to transfer the G.P. Fund balance.
4. Paragraph 243 of the Audit Manual provide for transfer
of G.P. Fund account of a subscriber form account circle to another.
The transfer of balance was previously effected through exchange
accounts and a lot f time was taken for final adjustment in the ledger
accountant General, Pakistan Revenues it has been declare that the
transfer of balances form main office to the sub-offices of and
between the sub-office would be effected by issue of a sealed
authority and not through the accounts. The balances are increased
and decreased on Performa basis. Similar procedure is being
followed form transfer of balances between the District Accounts
Officer.
5. The Manual of fund Sections of the Various Audit and
Accounts Officers also provide for transfer of balances of a
subscriber who is transferred to the jurisdiction of another Audit
Office. Provisions also exist that if a subscriber is transferred to the
audit control of should be called for from the concerned Audit Office if
these are not furnished.
6. Whatever the procedure may be the most important
point is to ensure prompt transfer of balances by one accounts office
to another without any request form the subscriber. It is therefore
requested that the above provisions may be brought to the notice of
all concerned and necessary steps taken to ensure that the transfer
and adjustment of G.P Fund balances of the Government servants
involved is done promptly in the event of their transfer from one office
to another or form one District Accounts Office to another District
Accounts Officers as the case may be.
The receipt of this memo may please be
acknowledged.
(MUHAMMAD ASHRAF QURESHI)
ASSISTNAT AUDITOR
GENERAL (AUDIT)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
NO. FD. I/154 Dated: 23-
12-1984
Subject: MAINTENANCE OF G.P. FUND LEDGER CARDS.
Is has been noticed that while opening the new ledger
Card, the entries recorded on the old ledger cards regarding
“Designation”, “Office Nomination registration No.” and “No interest”
are not completely copied on the new ledger card which create
confusion at later stage. Due to Omission of “No interest” entry on
new ledger cards erroneous G.P. Fund account statements are
issued to the subscribers after adding interest.
2. On the basis of erroneous account statements the
subscribers claim interest on their accounts at the time of final
payment, which is not admissible as laid down in rule 1.13 (5) of
Punjab G.P. Fund rules 1978.
3. The A.G. has taken very serious view of this of this
state of affairs and has been pleased to order that all the current
ledger cards should be compared with the previous ledger cards and
attested by the Accountants and a certificate to the effect that all
entries of the old ledger cards have been carried over on the current
ledger cards should be sent to Fund I Section within a fort-night by
the Branch Officers.
In future, the Superintendent and Auditor concerned
will be held responsible for the incorrect issue of G.P. Fund balance
statements in case of detection of such Omissions and errors in the
ledger cards.
(Accountant General’s Orders date. 18-12-1984)

DEPUTY
ACCOUNTANT
GENERAL
OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd.I/AS-Misc/Vol-II/81-84/79
Dated: 27-07-1984
Copy forwarded for information and necessary action
to: -
1. All District Accounts Officers in the Punjab.
2. All Branch Officers (Fund) in the Main Office.
3. All G.P. Fund Sections.
The receipt of this letter may please be acknowledged.

DEPUTY ACCOUNTANT GENERAL

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund- I/AS-18/INT/84-85/196
Dated: 18-03-1985
To
All the District Accounts Officers,
In the Punjab.
Subject: PAYMENT OF INTEREST ON RESIDUAL BALANCE
OF G.P. FUND
Rules 1.13 of the Punjab G.P. Fund rules 1978 is
silent and there is no provision with regard to the administratively of
interest on residual balance, the payment of which is delayed by
Audit Office for one or the other reason and as such a reference was
made to the Government of Punjab Finance Department in the case
of Late Mr. Abdul Latif Khan, Supdt. Home Department for necessary
advice. The finance department for necessary advice. The finance
department observed that as the payment of residual balance was
delayed by Audit department on account of late transfer of balance
or missing credits therefore, the subscriber is entitled to the payment
of interest upto the end of month proceeding that in which the
payment of balance is made.
Copies of the connected correspondence made in this
respect are enclosed herewith for information and future guidance.

DEPUTY ACCOUNTANT GENERAL

No. Even/197
Dated. 18-3-85
Copy forwarded for information and necessary action
to: -
1. All the Branch Officer of the Fund Sections in the Main
Office.
2. All Fund Sections in the Main Office Lahore.

ASSISTANT ACCOUNTS OFFICER

 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. FD/Sri-2-4/84 Lahore
the11th March, 1985
To
The Deputy Accountant General (Funds),
Accountant General, Punjab,
Lahore.
Subject: PAYMENT OF INTEREST ON RESIDUAL BALANCE
OF G.P. FUND.
Kindly refer to your letter No. Fund-I/As/137, dated 12-
2-1985 on the subject noted above.

2. The decision has been taken by this department after

due consideration. The clarification already made is in accordance
with the spirit of rules and does not require any amendment therein.

RAIZ UL HAQUE
AWAN
UNDER
SECRETARY (SR-I)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund -I/AS/137
Dated: 12-02-1985
To
The Secretary,
to the Government of the Punjab,
Finance Department,
Lahore.
Subject: PAYMENT OF INTEREST ON RESIDUAL BALANCE
OF G.P. FUND ACCOUNT.
Reference: Your memo No. Fd.SRI/2-4/84 dated Nil.

The decision conveyed vide memo under reference is

against the instructions contained in rule 1-13 of the Punjab G.P.
Fund rules 1978 as well as the decision contained in letter No. F-1 (i)
R-7/84, 1035, dated 20-9-84 of the Government of the Pakistan
Finance Division (Regulation wing II). Copy of which has already
been supplied vide this office memo. No. Fd.1/AS/95 dated. 2-1-
1985.

It is therefore, requested that the matter may please

be re-considered or otherwise necessary amendment may please be
made in rule 1.13 of the Punjab provident fund rules 1978.

Deputy
Accountant
General
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. FD/Sri-2-4/84
To
The Accountant General Punjab,
Lahore.
Subject: PAYMENT OF INTEREST ON RESIDUAL BALANCE
OF G.P. FUND.
Refer your memo. No. Fund-1/AS/95 date. 2-1-85 on
the subject noted above.
2. This Department observes that as the payment of
balance amount of G.P. Fund was delayed by the Audit, in this case,
on account of late transfer of balance or missing credits the
subscriber is entitled to payment of interest upto the end of the
month preceding that in which the payment of balance is made.

RAIZ UL HAQUE
AWAN
UNDER
SECRETARY
(SR-I)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-I/AS/95
Dated: 02-01-1985
To
The Secretary,
to the Government of the Punjab,
Finance Department, Lahore.
Subject: PAYMENT OF INTEREST ON RESIDUAL BALANCE
OF G.P. FUND ACCOUNT
Mr. Abdul Latif Khan, Superintendent, Home
Department west Pakistan secretariat retired from service on 24-7-59
and died on 17-12-83. He applied for the payment of his G.P. Fund
account in 7/60. The authority for the available balance amounting to
Rs. 2184/- of his G.P. Fund account No. II DA 4694 maintained in
this office was issued vide No. Fds-iv/GA-F/HM/897 dated 3-8-1970.
As the subscriber applied for the final payment after one year of his
retirement he was allowed interest for six months i.e. upto 1/60 after
retirement according to the instructions contained in rule 1.13 of the
Punjab G.P. Fund Rules 1978.
2. Prior to 10/55 before the integration of one unit the
account of the subscriber was maintained by the Comptroller
southern area West Pakistan. The Amount of 3459/- was transferred
by that office in 6/58, which could not be adjusted for want of
complete particulars of account through which it was transferred. The
matter remained under correspondence between this office and
comptroller southern area West Pakistan/A.G. Sindh/Comptroller
Balochistan. The amount was adjusted in 8/84, and authority
amounting to Rs. 3674/- or the balance transferred to the this office
adding interest thereon upto 1/60 was issued to the secretary to
Government of the Punjab Home Department vide this office
authority No. Fds-I/SP/HM/No. 1195 dated 14-11-1984 for
disbursement to the legal heirs of the deceased subscriber.
3. The widow of the deceased subscriber has claimed
that the should be paid interest upto 8/84 on the balance transferred
from C.S.A. Karachi in 6/58, because payment was delayed due to
non-adjustment of balance by various Audit Officers. The contention
of the widow is that she should be paid interest on the balance
remained un-adjusted, as the deceased could have derived benefit
by investing it somewhere else if he had been paid total balance in
the first instance i.e. in 7/60.
4. Rule 1.13 of the Punjab G.P. Fund rules 1978 is silent
in this respect and there is no provision, that in the instant case,
where the subscriber had applied for final payment after six months
of his retirement, should be paid interest upto the end of he month
proceeding that in which the payment is made. It is, therefore,
requested, that the case may please be examined and this office
advised as to whether interest paid for six month after retirement in
this case is correct and if otherwise the decision of the Government
communicated to this office. The copies of the references made on
this subject by the Auditor General of Pakistan decision of the
Government of Pakistan Finance Division (Regulation Wing II) are
enclosed, which may also be kept in view.

DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-II/AS/GPF/Schedules/84-85/342 Dated: 10-
04-1983
To

1. All Administrative Secretaries to Government of

the Punjab.
2. All Heads of attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab.
4. All Deputy Commissioners and District &
Session Judges in the Punjab.
5. The Registrar, Lahore High Court, Lahore.
6. The Secretary, Punjab, Public service
Commission, Lahore.
7. All District Accounts Officers in the Punjab.
SUBJECT: PREPARATION AND PRE-CHECKING OF G.P.
FUND RECEIPT SCHEDULES.
In continuation of this office circular letter No. Fund-
II/AS/GPF/Schedules/83-84/39, dated 2-11-83 you are once again
requested that G.P. Fund receipt schedules must be prepared and
pre-checked in accordance with the instructions issued from time to
time by this office as well as by the Government of the Punjab.
When a person is on leave or under suspension and
no deduction is made on account of G.P. Fund for such cases, the
G.P. Fund Receipt schedules must be prepared indicating zero
deduction.

SH. ABDUL
GHAFAR
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd-I/AS-1-35/A.G.Conf/1985/549
Dated: 07-10-1985
To
All District Accounts Offices,
In the Punjab.
SUBJECT: DISPENSING WITH PAYMENT AUTHORITY AND
TIME LIMIT FOR PAYMENT OF G.P. FUND
BALANCE.

Please refer to this office circular No. Fd.1/AS-1-

35/A.G.Conf/1985/498 dated 22-9-1985 and expedites the
submission of the required certificate upto 13-10-85.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd-I/AS-1-35/A.G.Conf/1985/498
Dated: 24-9-1985
To
All District Accounts Officers,
In the Punjab.

SUBJECT: DISPOSING WITH PAYMENT AUTHORITY AND

LIMIT FOR PAYMENT OF G.P. FUND BALANCE.

Please refer to this office circular letter No. Fd-1/AS-1-

35/A.G. Conf. 1985/479 dated 7-9-85 on the subject cited above.

Please furnish a certificate that final payment of G.P.

Fund balance is being made within seven days for transmission to
Auditor-General of Pakistan.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd-I/AS-Misc/487-88-89-90-91
Dated: 18-9-1985
To
All District Accounts Officers,
In the Punjab.
Subject: TRANSFER OF G.P. FUND
BALANCE/SETTLEMENT OF G.P. FUND OF FINAL
PAYMENTS.
The expenditure transfer of G.P. Fund balance and
quick settlement of G.P. Fund final payment cases does not require
any emphasis.
2. There has been a perpetual stream of complaints from
the subscribers about the delay caused in the transfer of G.P. Fund
balances and in settlement of final payment by the various District
Accounts Officers. Of late, the wafaqi Mohtasib is being continuously
approached by the aggrieved subscribers on this score, and he (the
Wafaqi Mohtasib) has taken a very serious view of this lapse on the
part of the District Accounts Officers.
3. I am, therefore, to invite your PERSONAL
ATTENTION to this vital issue and to request you to ensure that the
transfer of G.P Fund balances and settlement of final payment cases
is done within seven days from the date of receipt of the application
under your personal supervision. Any disregard, in future, would be
attributed as the personal failing on the part of the DAO and
superintendent Incharge of the G.P. Fund section and would invoke
strict disciplinary action against them.
The receipt of these instructions may please be
acknowledged.

ACCOUNTANT GENERAL
Copy forwarded for information to: -
1. The Auditor-General of Pakistan with reference to his
letter No. 3273-Insp/101-85 (WM) dt. 14-9-85.
2. Director Investigation – II Office of the Wafaqi Mohtasib
(Ombudsman)’s Secretariat Government of Pakistan
Islamabad for information with reference to his letter NO.
Reg-II/1341/85-728 dated 5-8-1985.
3. All Branch Officer of the Fund Section in the Main Office.
4. All Superintendents in the Fund Sections.
5. Ch. Sakhawat Ali Chairman PCDC/Additional secretary
S&GAD Government of the Punjab, Lahore.

MUHAMMAD
SHARIF BHATTI
DEPUTY
ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd-I/AS-1-35/A.G.Conf/1985/479
Dated: 7-9-1985

SUBJECT: DISPENSING WITH PAYMENT AUTHORITY AND

TIME LIMIT FOR PAYMENT OF G.P. FUND
BALANCES.
Final payments of G.P. Fund Should be made to
subscribers on the bases of available balance in the L/Cards within
seven days of the receipts of application. Issue of a payment
authority by the audit office may be dispensed with of payment is to
be made on the same station.
2. Payment authorities will, however need to be issued
by one audit circle to another and one District Accounts Officer to
another where so required.
3. Departments Drawing and Disbursing Officers and
Officers may henceforth be asked to submit bills for final withdrawal
of G.P. Fund at the pre-audit counter of the audit office concerned
together with G.P. Fund form 10 and application. The bill will be
completed by the Department/Drawing and Disbursing
Officers/Officer with the help of the G.P. Fund balance shown in the
latest accounts statement available with them. Necessary correction,
if required in the amount of the claim will, however, be made by the
respective Audit Office/District Accounts Office and the claim passed
for payment. An intimation of the balance/interest paid or still to be
paid will also be issued by the Audit Office concerned to the Drawing
and Disbursing Officers/Gazetted Officers for their information.

ACCOUN
TANT GENERAL
Copy forwarded for information and necessary action
to: -
1. All District Accounts Officers in the Punjab.
2. All Branch Officers in the Main Office Lahore.
3. All Fund sections in the Main Office Lahore.
4. Secretary to the Government of Punjab, Finance
Department for issuing necessary instructions to all the
department of the Punjab Government.
5. Ch. Sakhwat Ali, Additional Secretary S&GAD/Chairman
Pension & G.P. Fund claims Disposal Committee Civil
Secretariat Punjab Government Lahore.
6. All Supervisory Officers in this Office.
7. I.C.A. (Local).
MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 CIRCULAR
Copy of memo. No. CF.I/AG’s- Instructions/1102 dated
11-8-85 of office of the Accountant General, Pakistan Revenues, G-
8/4, Islamabad, addressed to Rana Assad Amin, Deputy Accountant
General, Office of the AGPR, Lahore.

SUBJECT: DELAY IN DISPOSAL OF BILLS IN G.P. FUND

SECTIONS.

In has been brought to the notice of the Accountant

General, Pakistan Revenue, Islamabad through a complaint that
G.P. Fund advance bills are delayed in audit office (AGPR) beyond
prescribed time limit 3 days. The Accountant General has therefore
ordered that the following instruction may be strictly followed for
prompt disposal of the bills and in future delays should be
investigated and responsibility may be fixed under intimation to this
office: -
1. No bill should be kept in Fund Sections for more than 3
days.
2. No bill should be returned un-passed on the grounds of
insufficient balance unless upto date balance is worked
out from the monthly computer slips or from schedules
received form accounting sections.
3. The daily outstanding bills report may be submitted for the
A.A.O’s information.
4. If it is deemed necessary to return a bill, all relevant
objections should be raised on l1st occasion.
5. Bills should be dealt with on top priority basis.

DEPUTY ACCOUNTANT
GENERAL (FUND)

SUB OFFICE OF THE ACCOUNTANT GENERAL, PAK:

REVENUES, LAHORE.

No. AGPR/TM/SOL/1-6/G.P.F/CD/9 Dated: 21-

8-1985

Copy forwarded for information and necessary action

to Fund – I and II section and rangers call.
Copy forwarded to All the District Accounts Officers in
the Punjab.

ASSISTANT ACCOUNTS OFFICER

 WAFAQI MOHTASIB (OMBUDSMAN)’S SECRETARIAT
FINAL ORDER

Complaint No. Reg.II/4085/85-999

Name of the complainant: Mr. Mumtaz Hussain Bajwa.
Agency complained against: A.G. Punjab.

SUBJECT: DELAY IN THE TRANSFER OF G.P. FUND

BALANCE FROM D.A.O. GUJRAT TO
FAISALABAD.
Mr. Mumtaz Hussain Bajwa, Instructor, Government
college of Technology, Samanabad, Faisalabad, in his Complaint
dated 2-7-85, alleged delay in the transfer of his G.P. Fund balance
by the DAO Gujrat to the DAO Faisalabad.
2. The complaint was taken up with the Auditor General’s
Office on 16-7-85, for report. In reply dated 5-8-85, the Agency
reported transfer of G.P. Fund balance of Rs. 17900/- to the D.A.O.
Faisalabad on 25-7-85 after allowing interest upto 6/85.
3. Although the G.P. Fund balance of Rs. 17900/- had
been transferred to the D.A.O. Faisalabad by the D.A.O. Gujrat, it
appears desirable to impress on the Accounts Offices to avoid delay
in the transfer of G.P. Fund balance, on the transfer of the
subscribers form one station to another. Relief has been provided to
the complainant in the instant case. The complaint stands disposed
of.

S
d/-
ACTING
OMBUDS
MAN
Place. Islamabad.
Dated: 15th August 1985.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Reorg/WM/GRT/CD/1579/TR-108/
Dated: 9-9-1985
To
The Deputy Accountant General (Fund). (Local).
Subject: DELAY IN THE TRANSFER OF G.P. FUND
BALANCE FROM DAO GUJRAT TO DAO
FAISALABAD.
Please find enclosed a copy of the final decision
passed by Wafaqi Mohtasib bearing No. Reg-II/4085/85-999, dated
15-8-85 for issue of necessary instructions to Assistant Accounts
Officer/District Accounts Officers for strict compliance.

OFFICER ON
SPECIAL DUTY
No. Fund. 1/AS-1/1-1/Misc/490/-
Dated. 19-9-1985
Copy alongwith a copy of Wafaqi Mohtasib decision
dated. 15-8-85 is forwarded to the following with the directions that
the delay in the transfer of G.P. Fund balances should be avoided by
their offices& the same transferred to the concerned District
Accounts Office with in 7 days of the receipts of request for the
transfer of G.P. Fund balance in their offices. In case for the transfer
of G.P Fund balance in their offices. In case the transfers of G.P.
Fund balances are not effected with in 7days, disciplinary action will
be taken against the defaulters.
1. All Branch Officers in the Main Office.
2. All G.P. Fund Sections in the Main Office (Local).
3. All District Accounts Officers in the Punjab.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
No. Fund .I/AS/1-1/Misc/491-92/
Dated: 19-9-85
Copy alongwith its enclosure is forwarded for
information to:-
(i) Secretary to the Government of the
Punjab, Finance Department Lahore.
(ii) Ch. Sakhawat Ali, Additional Secretary
S&GAD Civil Secretariat, Lahore &
Chairman Pension Cases Disposal
Committee, Punjab Government, Lahore.

MUHAMMAD SHARIF
BHATTI
 DEPUTY ACCOUNTANT
GENERAL

Office Order No. FD. 1/AS/1-1/394

Dated: 29-7-85

It has been noticed that the detail as well as the

amount of the interest is not being shown distinctly while transferring
the G.P. Fund Deposits of a subscriber form one quarter to another.

It is therefore ordered that in future the amount of the

interest and the month upto, which the same has been allowed, may
invariably be mentioned distinctly.

DEPUTY ACCOUNTANT GENERAL

No. Fund-1/AS/1-1/395
Dated: 29-7-85

Copy forwarded for information and strict compliance to: -

1. All Branch Officer of Fund Sections in the Main Office.
2. All Fund Sections.
3. All DAO’s in the Punjab.

DEPUTY ACCOUNTANT GENERAL

O.O No. Fd-1/AS-18/346-353
Dated: 26-6-85
In view of formation of two new districts in the Punjab
from 1-7-85. The Accountant General Punjab bas been pleased to
order that the abbreviation to denote the name of the Districts noted
below before each may please be prefixed before the initials of the
Department in the G.P. Fund Account Numbers of the subscribers to
be allotted newly.
S. ABBREVIATION TO BE USED BEFORE THE INITI
NAME OF DISTRICT
NO. OF THE DISTRICT AND ACCOUNT NUMBER
1 Chakwal II CKL
2 Khanewal II KNL

These abbreviations may please be prefixed before

the initial of the department and the G.P. Fund Account Number of
the Subscribers (for example).
II CKL/Edu/786 II KNL/Edu/2124
II CKL/GA/1012 II KNL/GA/786 etc.
The new G.P. Fund Account Numbers may be allotted
department wise and not in one serial to Government Servants
transferred form other Districts to your District, and for each
Department separate index register may be maintained giving both
the G.P. Fund Account Numbers may also be noted in the new broad
Sheets as well as new ledger cards.
Please acknowledge receipts of this letter.

ACCOUN
TANT
GENERA
L
No. Fund-I/AS/1-18/351
Dated: 26-6-85
Copy forwarded for compliance to: -
1. All the Branch Officers of Fund sections in the Main
Office.
2. All Fund sections in the Main Office.
3. Officer on special Duty Re-organization cell.
4. Assistant Accounts Officer Incharge T.M.
5. All the District Accounts Officers in the Punjab.
6. Assistant Accountant General Incharge Routine.
7. AGPR Sub Office Lahore.

DEPUTY ACCOUNTANT GENERAL

 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN, CENTRAL
GOVERNMENT OFFICES BUILDING, GULBERG III, LAHORE
No. 509-A/32-79 Dated: the
th
16 May, 1985
To
The Accountant General,
Punjab, Lahore.
SUBJECT: ADDITION IN THE FORM OF G.P. FUND ACCOUNT
STATEMENT (A.T.M.80)
Please refer to your memo No. Fd. I/Misc/227, dated
the 3rd April, 1985, on the subject noted above.
2. The proposal for addition of a note in the form of
Account Statement (Form No. A.T.M.80) to the effect that the
balance shown therein is “Provisional”, has been examined in this
office in consultation with the other Accountants General. The reason
for this proposal as stated is that the balance shown in the statement
was subject to revision at the time of final payment or on transfer of
the accounts from one office to another.
3. According to the normal practice in the audit and
Accountant Offices, the G.P. Fund account of a subscriber is
completely overhauled form the beginning of the service upto the
retirement and the amount arrived at after overhauling is authorized
to him for payment, ignoring the balance communicated to him in the
last annual account. His practice is not covered by any provision in
the rules and orders and, moreover, the subscribers generally agitate
against any decrease in the balance last communicated to them
while making final payment. It is correct that the possibility of mis-
postings and errors exists in every accounting procedure and even in
banks such omissions are committed but there is no logic to review
the accounts only at the time of retirement. Paragraph 253 of the
Audit Manual Provides for complete review of the G.P. Fund
accounts at interval of 3 years after the dispatch of annual accounts.
If this review is carried out intelligently and effectively, there remains
no room for any omission remaining undetected in the G.P. Fund
Accounts so for as the adjustments of balances transferred form
other Audit and Accounts Offices and the adjustments of missing
credits in the subsequent years are concerned, these adjustments
increase the balance at credit of the subscriber and, as such, there
would be no, scope of any complication.
4. The practice of reviewing the entire record of the
subscriber at the time of final payment was examined in the
Accountants General’s conference held from 4th to 8th of December
1979 and was found to be irregular, it was decided in that conference
that the Audit and Accounts offices should make payment of the
available G.P. Fund balance forthwith as indicated in the last ledger
card and should not with hold the payment on the please of over
hauling and scrutiny and that they should ensure that the triennial
review is conducted regularly.
5. It would thus be seen that the decision of Accountants
General’s Conference of December 1979 is quite clear on the
subject. The word “Provisional” will further depress the morale of
subscribers without giving any tangible benefit. The mistakes in the
accounts can always be corrected and we need not rest ourself un-
necessarily on the work “Provisional” but there should be great
emphasis on “Triennial Review”.
6. In view of the above, it has been decided that all the
Audit and Accounts Offices should ensure compliance of the
provisions of Audit Manual in Letter and spirit so that the triennial
review of G.P. Fund accounts is conducted regularly reported to the
subscriber, is rectified in the next account, explaining the reasons to
the subscriber. This work should not be put off till final payment on
retirement.

MUHAMMAD
ASHRAF QURESHI
ASSISTANT AUDITOR
GENERAL (AUDIT)
No. 510-A/32-79
Date:
Copy forwarded for information and necessary action
to the to the Accountant General/Sindh, Karachi/NWFP;
Peshawar/Balochistan, Quetta and Accountant General, Pakistan
Revenues, Islamabad/Assistant Accounts Officers M&M – I,
Inspection section (Local).

MUHAMMAD
ASHRAF QURESHI
ASSISTANT AUDITOR
GENERAL (AUDIT)
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fd-I/AS-Misc/CD/301
Dated: 23-5-85
Copy forwarded for information and strict compliance
to: -
1. All Assistant Accounts Officers of the Fd. Sections.
2. All Supdts. Of the funds sections.
3. All DAO’s in the Punjab.

DEPUTY ACCOUNTANT GENERAL

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-I/Misc – 707
Dated: 18-01-1986
To
All the District Accounts Officers,
in the Punjab.
SUBJECT: CORRECTION OF G.P. FUND ACCONT
An extract of para 6 of the Wafaqi Mohtasib letter No.
Reg – II/4824/85 dated 2-1-96 is sent herewith for issuing necessary
instructions to the subordinates to be very careful in maintaining the
G.P. Fund Account and for issuing balance sheets.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL

Copy forwarded for information to all the Branch

Officer in the Main Office for strict compliance.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
EXTRACT OF PARA 6 OF THE WAFAQI MOHTSIB LETTER NO.
REG. II/4824/85, DATED: 2-1-1986

6. The above facts indicated that the complainant was

dismissed form service on 27-09-1979 and the G.P. Fund balance
statement for Rs. 6919/- for the year 1982-83 was wrongly issued. At
the time of making final payment the error was detected and the final
payment for Rs. 3882/- was made to the complainant. In view of the
above explanation, the demand of the complainant for the payment
Rs. 6919/- on the basis of wrong balance sheet is not justified and no
over payment beyond the actual contribution of G.P. Fund with
interest can be allowed to the complainant. His requested. The
Accountant General should be issue instructions to his sub-ordinates
to be very careful in maintaining the G.P. Fund accounts and for
issuing balance sheets.
WAFAQI MOHTASIB (OMBUDSMAN)’S SECRETARIAT
ORDER
Complaint No. Reg.II/650/85-712.
Name of The Complainant: Muhammad Hussain Shah
Agency Complained Against: A.G. Punjab.
SUBJECT: DELAY IN THE PAYMENT OF G.P. FUND BALANCE
RELATING TO MATURITY PROCEEDS OF
INSURANCE POLICY
Mr. Anayat Hussain Shah, in his complaint against the
A.G. Punjab, Lahore, Dated: 23-1-85 alleged a delay of five years in
the payment of the maturity proceeds of insurance Policy, financed
through his G.P. Fund Account. The complainant stated that he was
retired under Martial Law regulation 114 in 1972. He was paid the
G.P. Fund balance. He was reinstated in 1978 but the annual
premium from 1972 onwards was paid by him the life Insurance
Policy taken by him in 1965matured in March 1980. The maturity
value of the Policy was Rs. 18,000/-. The A.G. Punjab was required
to obtain the matured value of the policy form Insurance Corporation
for credit to his G.P. Fund Account. This has not been done with the
result that not only the amount of maturity value has not been paid to
him but the interest the amount would have earned had also been
denied to him.
2. The Investigation of the complaint revealed that the
Insurance Policy of the Complainant was lost in the A.G. Punjab,
Lahore. The letters written by the complainant to the A.G. Punjab,
Lahore, in March 1980, November and December 1984, could not be
replied because the G.P. Fund Account Number was not mentioned
in the first letter. As regards the remaining two letters, some
confusion prevailed as to the correct G.P. Fund account number of
the complainant. The Accountant General then called for the
duplicate insurance policy form the company on 3-4-1985. The state
life insurance then issued cheque for Rs. 18473/- on account of
maturity proceeds of the Insurance policy of the complainant on 30-
4-85. The same was deposited by the A.G. Punjab, Lahore, into the
State Bank of Pakistan for clearance and authorization of the
amount.
3. The loss of original policy by the A.G. Punjab, Lahore
and the subsequent negligence and in action of almost five years in
obtaining the maturity value of Insurance policy constituted mal-
administration. I, therefore, asked the Auditor General’s office to
show cause why upto date interest not be paid to the complainant for
the loss of profit for five years. Instead of accepting the
consequences of negligence and delay as ostensibly demonstrated
in this case and also conceded by the A.G. Punjab, in his letter dated
23-4-85, the Audit Department came up with the please, that since
the maturity proceeds remained with the insurance corporation which
is responsible for delay, upto date interest could not be allowed. It
was also stated that it was the duty of complainant to get his policy
re-assigned in his name on retirement form Government service. The
Audit Department also stated that because the complainant paid
insurance premier form 1972 onwards, the maturity proceeds should
have been paid to the insurant direct by the Corporation.
4. The above replies were incorrect and untenable. It
was the duty of the A.G. Punjab, Lahore to have returned the
Insurance Policy to the complainant after the final payment of his
G.P. Fund. It was also the responsibility of the A.G. Punjab, Lahore
to re-assign the policy in the name of the complainant before its
return to him. The corporation could have paid the maturity value of
the insurance policy to the complainant directly only of the policy had
been re-assigned in his favour by the A.G. Punjab, Lahore. This was
not done and hence the A.G. Punjab, Lahore could not be absolved
of its responsibility for the negligence and delay in the timely
payment of the maturity value of the Insurance policy which became
due in March 1980.
5. Accepting these established facts, the Auditor
General’s Office ultimately agreed to allow upto date interest to the
complainant on the maturity proceeds of Insurance Policy, which
amounted to Rs. 18470/- The Department intimated the issue of
authority for Rs. 18470/- and Authority for interest, indicated the
calculation of interest upto 6/1985 on the maturity proceeds of Rs.
18470/- Although the Authority for interest, indicated the calculation
of interest upto 6/1985 on the maturity proceeds of Rs. 18470/- the
amount of interest calculated was prima facie incorrect. The
complainant also pointed out the less calculation of interest.
6. This negligence was also taken up with Auditor
General’s Office for immediate correction. The Auditor General’s
office then intimated the issue of another Authority ion account of
interest for Rs. 12026/- the complainant was informed and the DAO,
Dera Ghazi Khan informed me that the bills amounting of Rs. 12026/-
and Rs. 4012/- on account of interest had been passed by his office
and sent to the complainant at Bahawalpur for collecting the amount
from the National Bank of Pakistan Dera Ghazi Khan.
7. The investigation of the complaint confirmed the
negligence and delay in the complainant after proper re-assignment
by the A.G. Punjab, Lahore. In addition the office of the A.G. Punjab,
demonstrated negligence for calculating the correct amount of
interest of Rs. 16038/- on the maturity proceeds of the Insurance
policy. As against this amount, the A.G. Punjab, only another
authority for Rs. 12026/- was issued. It is as result of negligence and
delay on the part of the office of the A.G. Punjab that the
Government had to bear total additional liability of Rs. 16038/- on
count of interest. It is high time that the Audit and account offices
realize the consequences of delay in arranging payment of
admissible dues. Not only the persons entitled to receive the
admissible claims are put to inconvenience, hardship and financial
loss, the Government also bears additional liabilities on account of
negligence and delay caused by its functionaries. It is, therefore,
necessary that the Government Offices should ensure promptness in
the discharge of their duties.
8. The complainant has been paid the maturity proceeds
of Insurance policy amounting to Rs. 18470/-. Interest on the same
amounting to Rs. 16038/- has also been authorized. The complaint is
disposed of.

SARDAR
MUHAMMAD
IQBAL
OMBUDSMAN
FOR PAKISTAN
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE

No. Fd-I/AS/1-8/159
Dated 6-1-86

Copy forwarded for information and strict compliance

as desired by the Wafaqi Mohtasib in para7 to: -

1. All District Accounts Offices in the Punjab.

2. All Fund Sections in the Main Office.
3. All Branch Officers (Fund).

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 Copy of memo. No. 1428-Reg.II/23-79,II, dated: 4-12-
1985 of service of the Auditor General of Pakistan, Central
Government Offices Building, Gulberg – III, Lahore addressed to
AGPR, Sub-Office, Lahore.

SUBJECT: DECISIONS ARRIVED AT IN THE ACCOUNTANT

GENERAL’S CONFERENCE HELD FROM 7TH MAY
1985 REVIEW OF THE PROGRESS ACHIEVED
FINAL PAYMENT OF G.P FUND WITH IN A WEEK
It was decided that final payment of G.P. Fund should
be made to the subscribers on the basis of available balance in the
ledgers with out overhauling the entire accounts from beginning of
service to the retirement. For this purpose triennial review should be
conducted regularly as required under para 253 of the Audit Manual.
The accounts of Government servant, who have rendered more than
20 years service should immediately be overhauled to supplement
the triennial reviews not conducted in the past. In all the cases the
final payment of G.P. Fund should be made/authorised within seven
days of the receipt of the applications.
2. In cases, where payment is to be made locally by
Audit and Accounts Offices/Sub-Offices/District Accounts Offices, no
authority for payment be issued and departments may be advised to
send bills alongwith the applications so that these are passed for
payment after retrenchment, if necessary.
3. It has been observed from the returns received in this
office that above decisions are not being complied within letter and
spirit and final payment G.P. Fund balance are not being made within
a week of the receipt of application. It is also not mentioned in the
returns whether the department. It is also not mentioned in the
returns whether the departments submitted the bills alongwith
application for final payment of G.P. Fund balance where the
payment is to be made at the same station.
4. It is, therefore, requested that, if not already done, the
controlling offices may be asked to instruct the heads of
office/Drawing and disbursing officers that in all cases where the
payments are to be made locally the bills for the probable amounts
payment may be attached with the applications for final payment of
G.P. Fund balances. Arrangements may please be made to insure
final payment of G.P. Fund balances to the subscribers within a week
of the receipt of application either by passing the bills received or by
issue of the authorities for payment. It may also be indicated in the
future reports in the shape of a footnote that so many bills were
received with the applications for final payment…

5. The receipt may please be acknowledged.

MUHAMMAD
ASHRAF QURESHI
 ASSISTANT AUDITOR
GENERAL (RIC)

SUB OFFICE OF THE ACCOUNTANT GENERAL, PAKISTAN

REVENUE, LAHORE
No. AGPR/SO/TM/2-6/III/244 Dated: 15-
12-1985

Copy forwarded to: -

1. The Assistant Officers Funds – I, II and Rangers
conducted cell. The instructions in the above memo. of
the Auditor General, may please be noted by the
concerned staff carefully for future compliance.
2. All the District Accounts Offices in the Punjab for
information and compliance.

ASSISTANT ACCOUNTS OFFICER/TM

Subject: G.P. FUND SUBSCRIPTION DURING
LEAVE/SUSPENSION.

1. No G.P. Fund schedules are attached with the pay

bills in case of the Government servant who do not wish to contribute
towards G.P. Fund during leave suspension other wise.
2. It has been decided that henceforth in such cases
G.P. Fund A/c No. Contribution shown as “Nil” must be prepared and
attached with the pay bill of these employees who do not contribute
towards their G.P. Fund account during leave or suspension and this
fact may be recorded in the remarks Col of the G.P. Fund schedules
so that the credits of these months are not considered as missing
from their G.P. Fund ledger Cards etc. “Nil” entries will be posted in
the ledger cards and broad sheets by auditors in funds sections and
District Accounts officers. Accounts officers should ensure that nil
entries are in variably posted.
3. The Drawing and Disbursing officers should also keep
a proper record/note of nil contributions with them so as to avoid the
adjustment of credits for these months at a later stage.
4. The receipt of these instructions may kindly be
acknowledged.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O No. Fund. II/W. Mohtasib/DAO/85-86/564 Dated:
19-04-1986
To
1. All the District Accounts Officers in the Punjab.
2. All Fund Sections in the main Office.
3. All Branch Officers of Fund Sections in the
main Office.
4. Internal Check Accountant for AG’s
information.
SUBJECT: PROMPT DISPOSAL OF COMPLAINTS RECEIVED
FORM WAFAQI MOHTASIB REGARDING FINAL
PAYMENT TRANSFER ADJUSTMENT OF MISSING
CREDITS ETC.
It has been noticed with concern that
Complaints/References received from Wafaqi Mohtasib/Auditor
General of Pakistan are not being dealt with properly.
Ch: Muhammad Hussain Registrar Wafaqi Mohtasib
Lahore has complained to the Deputy Auditor General Inspection of
Pakistan vide his D.O. No. Genl/WM/PA-R/86, dated 17-3-86 with a
copy to Accountant General Punjab that references are made to his
secretariat without mentioning the complaint number due to which
great difficulties are being faced to traceout the relevant cases in his
office.
2. All are directed that in future all references made to
Wafaqi Mohtasib Secretariat the complaint No. should always be
mentioned.
3. As already directed to all the District Accounts officers
in the Punjab vide O.O. No. Fund – II/W.Mohtassib/DAO/85-86/500,
dated. 27-11-85 that prompt action may be taken on the complaints
received from W. Mohtasib direct or through Main Office. The reply
should be sent to this office before the target date by name to
Assistant Accountant General Incharge Fund. II (c) section under
registered cover without fail.
Please acknowledge receipt of this letter.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd. I/PCDC/841-42 Dated:
09-04-1986
To
1. All the District Accountants Officers, in the
Punjab.
2. All Fund Sections in the Main Office.
SUBJECT: TRANSFER OF G.F. FUND BALANCES.
It has been noticed that various G.P. Fund Account
numbers if there are more than one, are not mentioned in the
transfer memo. While transferring that G.P. Fund balance of a
subscriber.
Each G.P. Fund account number should in future be
mentioned in the transfer memo in case a subscriber has more than
one account number.
It should also be clearly stated in the transfer memo
that the balance relating to each of the accounts has been
transferred / is included in this transfer memo.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
Copy forwarded for information to Ch. Shakawat Ali
Additional Secretary (Regulations) S&GAD Civil Secretariat Punjab
Lahore and Chairman PCDC Civil Secretariat Punjab, Lahore.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd. I/FP/759 Dated:
19-02-1986
To
District Accountant Office,
Okara.

SUBJECT: FINAL PAYMENT OF G.P. FUND BALANCE WITH IN

SEVEN DAYS.

The report of final payment for December 1985

received form all the District Accounts Offices is not satisfactory. Out
of 937 cases, final payment has been made in 301 cases within one
week.
Instructions issued vide this office circular letter No.
FD. I/AS/Misc/487 dated: 18-9-85 have not properly been
implemented. The Auditor General of Pakistan has taken a serious
view of this situation. You are therefore, ordered to comply with the
decision as communicated and ensure that G.P. Fund final payments
are arranged within seven days. The instructions already issued vide
this office circular letter No. Fd-I/AS-Misc/487 dated 18-9-85 may be
strictly followed. Any disregard in future would be attributed as a
personal failing on the part of District Accounts Office.
The receipts of this letter may be acknowledged.

ACCOUNTANT GENERAL
Copy forwarded for information in continuation of this
office endorsement No. Fd-I/As-Misc/487-88-89-90-91 dated 18-9-85
to the Auditor General of Pakistan Lahore with reference to his letter
No. 168-Reg. II/23-79-II dt 16-2-86.

ACCOUNTANT GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No. Fd. II/TRF-GPF/A/C/85-86/594
Dated: 10-05-1986
To
1. All the District Accounts Officer.
2. All Fund Sections in the Main Office.
3. All Branch Officers of Fund Section in the Main
Office.
SUBJECT: TRANSFER OF G.P. FUND BALANCE
It has been noticed that some of the District Accounts
Offices as well as Fund sections in the Main Office upon the
communication of last fund deduction when they are asked to
transfer G.P. Fund balances of the subscribers, due to which such
cases are delayed unnecessarily and the Government servants have
to face great inconvenience in getting their balances early transferred
with the result that the subscriber launches complaints to the Auditor
General of Pakistan and Wafaqi Mohtasib.
If year-wise details are recorded on each transfer
credit memo then the month of last fund deduction may not be called
for form subscriber, Therefore all are directed that the balances may
be transferred to other offices with out insisting upon the last fund
deduction.
As already directed in para 5 of 0.0 No. Fund.
I/Accounting – procedure/83/84/19 dated: 22-7-84, when sealed
credit memo is received in the fund Section/District Accounts Office,
recording the particulars in the sectional inward register and year-
wise details in the ledger card, the credit may be preserved in a file
under safe custody of supadent of fund section Incharge instead of
pasting on the ledger card and posting as plus in the monthly
account in the broad sheet may be done form inward register.
Please acknowledge receipt of this letter.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. FD/SRI-2-4/83(Provl) Lahore the 5 th
June 1988.
To
The Accountant General,
Punjab Lahore.

SUBJECT: IMPROVEMENT IN THE GENERAL PROVIDENT

FUND SCHEME

Reference your letter No. FD-I/AS/Provl. GPF/22,

dated 29-3-88 on the subject noted above?
2. It is clarified that a second non-refundable advance is
admissible but it will no be allowed until at least a period of one year
has elapsed since the previous advance had been drawn.

MUHAM
MAD ISMAIL
SECTION
OFFICER (SRI)
No. & Date even.
A copy is forwarded to the all District Accounts Officer
in the Punjab for information only.

MUHAM
MAD ISMAIL
SECTION
OFFICER (SRI)
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. O.O. No. FD-I/169
Dated: 2-3-1987

It has come to notice through inspections of District

Accounts Offices and Fund Sections by the Deputy Accountant
General (Funds) that the instructions contained in Auditor General of
Pakistan memo No. 2064-Pro/112-72 Vol. II. Dated. 21-11-1974,
circulated twice vide this office Endst No. Fd.I/AS-10/72-73/288
dated. 6-12-1974 and No. Fd.I/AS-10/KW/78-82/995 dated. 1-4-1982
(copies enclosed) are not being follow strictly. The Accountant
General has taken serious view of this, state of affairs and has
ordered the offices for strict compliance of these instructions.
It is once again stated that these orders are to be
complied with strictly in future.
It has further been ordered that the following
information should be provided on the ledger cards immediately and
a compliance report furnished to this office by 31-3-1987 positively.

1. Date of Birth.
2. Date of entry into service.
3. Name and address.
4. Father’s Name.

ACCOUN
TANT
GENERAL
No. Fd-I/AS-10/72-73/194
Dated: 2-3-1987
Forwarded for strict compliances to the: -
1. All Branch Officers of Fund sections.
2. All Fund Sections.
3. All District Accounts Officers in the Punjab (By Name).
4. Officer on special Duty (Re-org) Local.
5. Assistant Accounts Officer T.M. Section.
6. Internal Check Accountant (for) Accountant General’s
Information.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE AUDITOR GENERAL OF PAKISTAN
CENTRAL GOVERNMENT OFFICES BUILDING GULBERG – III,
LAHORE
No. 2064/Pro/112-72. Vol. II Dated: 21
November 1974

To
The Accounts General & Controller
SUBJECT: MEASURES TO AVOID FRAUDULENT
PAYMENTS/DRAWALS FROM. G.P. FUND
ACCOUNTS ON PRESENTATION OF BOGUS
AUTHORITIES
The cases regarding fraudulent drawals from G.P.
Fund accounts on present of bogus authorities have been examined
and measures which should be taken to check the increasing
number of Frauds were discussed across the table as well as
through correspondence with various Accountants General. The
following instructions may please be adhered to strictly in future while
making the payments of G.P. Fund accumulations to the subscribers
or their legal heirs. These will apply equally to other payments as
well.
1. The existing forms meant for final payment of G.P.
Fund may be machine numbered, and kept in the personal custody
of the superintendent of the Funds sections will keep an account of
their receipts, use and balance and will be held responsible if any
form goes into the hands of unscrupulous person.
2. All payment authorities may be typed on perforating
machines and in the inscribed limit, i.e., below Rs. ___________
should also be typed and filled in.
3. The special seal may be kept with an A.A.O. who
should be required to maintain a record of payment authorities
attested by him during each month indicating the SI. No. date and
other particulars. The serial number of this account may also be
recorded on the payment authority at the top on right hand corner.
4. Compliance should be ensured of the existing
provisions in the Manual of Accountant General Punjab which require
that (i) Particulars of authorities for final payment should be noted on
the ledger card as well as in the register of closed accounts (ii) the
cards of the subscribers who had discontinued their subscription and
the closed cards should be kept separate from the live cards, may be
strictly enforced. The Branch Officer can enforce the requirement No.
(i) at the time of signing the payment authorities, and can also
occasionally test check the requirement No. (ii) through surprise visits
to the sections. The entries regarding payment made in the ledger
card and the register of closed accounts will be attested by Branch
officer. If the provision to the above effect does not exist in the
Manual of any office, the same may be made now.
5. The Stamp final payment make should be fixed on the
ledger cards when final payment is made to a subscriber.
6. Duplicate ledger cards should be reconstructed only
after obtaining orders of the Deputy Accountant General (Funds),
and proper investigation about the loss. New ledger cards opened
during the year should be attested by superintendent.
7. The compliance of existing provisions in the Manual of
Accountant General, Punjab, which require that the opening and
closing balance in the ledger card should be attested by the
superintend may be strictly enforced. The attestation should be made
under full dated signatures. The superintendents may be also be
required to verify the accuracy of the balances by comparison with
the Broad sheet. General index register, register of final payment and
register of closed account, before, attesting the entries in the ledger
cards. If the provision to the above effect does not exist in the
Manual of any office, the same may be made now.
8. A final payment register is required to be maintained
by each fund section in this register, full particulars of each case for
final payment should be noted against a serial number immediately
after receipts. The serial number allotted to each case in this register
should be referred in all subsequent documents and al payments
including residual payment should be entered at one place in the
register. The register shall be maintained in alphabetical order of
names of subscribers, and separate pages allotted for each alphabet
so that the register could be easily consulted. The maintenance and
completion of this register may be watched by the Branch Officer at
the time of signing the final payment authorities.
9. The following additional information should be
provided in the ledger cards.
i. Date of Birth.
ii. Date of entry into service.
iii. Name and address.
iv. Father’s Name.
10. The superintendent may be required to review all
previous ledger cards of a subscriber and entries in the Board
Sheets, before signing the final payment authority. It should be
ensured that the balance in the different registers agree with each
other.
11. The existing forms of the Broad Sheets may be
machine numbered and bound as at present. The certificate to
regarding the pages contained in the Broad sheet should be
recorded by the superintendent on the first page under full dated
signatures.
12. In addition to the entries in the ledger cards, register of
closed Accounts and register of final payment the particulars of final
payment authority should also be noted in the broad Sheets and
attested by the superintendent as above. The debit on receipt form
the Treasury/P.L.A. will be posted simultaneously both in the ledger
Card and the broad sheet.
13. The entries in the broad sheets of a year should be
brought forward to the next year’s broad sheet after re-check by the
superintendent with the register of closed accounts and final
payment register in addition to the check with the ledger cards. The
superintendent should certify over his dated signatures in the broad
sheet that this has been done.
14. As far as possible, all payments to non-gazetted
Government servants should be arranged through the drawing &
Disbursing officer, and not direct However, if in a one case, direct
payment at treasury or Bank is inevitable the payee should be
required to submit his claim through the Deputy commissioner that
proper identification is made.
15. All payments to the Gazetted Officers should either be
made by crossed cheques or they may be required to submit their
bills through Bank.
16. All payments to 3rd parties should be made through the
Departments concerned and if in any case direct payment at treasury
or Bank is inevitable the payee should be required to submit his claim
duly countersigned by Deputy commissioner, after identification and
receive payment through Bank.
17. The existing requirement regarding verification of the
genuineness of the signatures and seal on the authorities for
payment may be strictly enforced. The Superintendents may be
required to maintain a file containing specimen signatures of the
office copy of the payment authority that the signatures of the officer
signing the sanction and the payment authority received from the
other audit office have been verified.
18. In order to provide a double check the authorities for
amount exceeding Rs. 20,000/- may also be countersigned by the
Deputy Accountant General concerned.
19. All corrections/over writing in the ledger card/broad
sheets should be attested by the superintendent over his full date
signature in token of check.
20. No superfluous entries should be made in the ledger
cards except in the prescribed column of the particulars of the
payments authorized which are to be noted on the ledger cards in
the remarks column.
21. The Broad sheets should remain in the custody of
superintendent under lock and key and should be handed over to the
auditor for posting only when the superintendent is satisfied that the
account has been proved and posted in the ledger cards.
22. Last Fund deduction should be verified with deference
to the voucher and this fact recorded in the ledger card and on the
voucher under the attestation of the superintendent.
23. Suitable instructions may be issued to the
Departments authorities that all cases for final payment should be
forwarded under the signature of the sanctioning authority/drawing
and disbursing officer.
24. All copies of authorities for payment should be sent to
the dispatch section together.
25. The cheques for a passed bill on account of final
payment of G.P. fund should be singed by the officer who had signed
the pay order on the bill with a view to enabling him to detect the
forget signatures, if any similarly a cheque for supply payments to the
contractors may be signed by the officer who passed the bills. The
arrangement may be introduced immediately, if not already done.
These instructions may please be circulated among all
the officers/staff of your under intimation to this office.

ACCOUNTANT GENERAL
OFFICE OF THE ACCOUNTANT
GENERAL
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No: Fd.I/AS-10/72-73/288
Dated: 6-12-1974
Copy forwarded for strict compliance to:-
1. All Branch Officers of Fund Section.
2. All G.P. Fund Section (Through Urgent Diary)
3. All District Accounts Officers.
4. T.M.I. for information.
5. Cheque Section.

ASSISTANT
ACCOUNTS OFFICER
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No: Fd/SRI-2-3/83 (Provl) Lahore
the 5th June, 1988
To
The Accountant General,
Punjab, Lahore.
SUBJECT: IMPROVEMENT IN THE GENERAL PROVIDENT
FUND SCHEME.

Reference your letter No. Fd-I/AS/Provl. GPF/22,

dated 29-3-1988 on the subject noted above.
2. It is clarified that a second non-refundable advance is
admissible but it will not be allowed until at least a period of one year
has elapsed since the previous advance had been drawn.

MUHAMM
AD ISMAIL
SECTION
OFFICER (SRI)
NO. & DATED EVEN
A copy forwarded to the all District Accounts Officer in
the Punjab for information only.

MUHAMM
AD ISMAIL
SECTION
OFFICER (SRI)
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fd-I/AS/1-37/Provl/106 Dated: 18-
6-1988
Copy forwarded for information and necessary action.
1. All Branch Officers in main office.
2. All Sections in the Office.
3. All Supervisory Officers.
4. All D.A.O’s in the Punjab.
5. I.C.A (For A.G’s information)
6. A.Os I/c payanoll
7. Vice President Habib Bank (Computer Branch) Cricket
House, Gulberg Road Lahore.

DEPUTY ACCOUNTANT GENERAL (FDS)

OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE

No. Fd-I/F.P/Report/1024
Dated: 18-1-1988
To
All The District Accounts Offices,
in the Punjab, Okara.
SUBJECT: FINAL PAYMENT CASES OF G.P. FUND.
It has been noticed that a large number of final
payment cases are pending for one or the other reasons in your
office. It is presumed that the instructions contained in this office
circular No. Fund.I/AS-1-35/Accountant General conference
1985/479 dated. 7-9-1987 are not being observed strictly. The
Auditor General of Pakistan has taken a serious case of this situation
& vide his letter No. 42/23/Reg. II/C/79 dated. 11-1-1988 and
ordered that the final payment cases must be disposed within 7 days
in future. Moreover, the Department Authorities may also be
requested to furnish complete particulars in all cases in order to
arrange final payment to the retiring Government servant with in a
week.

SHAHID
HUSSAIN
DEPUTY ACCOUNTANT
GENERAL (FUNDS)

No. Endst No. Fund.I/F.P. Report/1025

Dated. 18-1-1988
Copy forwarded to Mr. Mohammad Aslam Accounts
Officer Office of the auditor General of Pakistan, Central Government
offices Building, Gulberg – III, Lahore with reference letter No.
42/23//Reg. II/C/79 dated. 11-1-1988 for information.

SHAHID
HUSSAIN
DEPUTY ACCOUNTANT
GENERAL (FUNDS)

OFFICE OF THE A.G.P.R., SUB-OFFICE, LAHORE

No. Fd-I/Supdt./Misc/87-88/CD – 3
Dated: 13-6-1988
To
1. All the District Accounts Officers in the Punjab.
2. The A.G.P.R., Sub-Office,
Karachi/Quetta/Peshawar, Gilgit.
SUBJECT: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCE FORM ONE OFFICE TO
ANOTHER.
Please refer to A.G. Punjab circular letter No. Fund –
II/TFR/A/C Procedure/85-86/555 dated 16-3-1986, and Auditor
General of Pakistan, circular letter No. 302/40-AC-II/P/87, dated 17-
10-1987 on the subject.
2. In the office order referred to above, the procedure
regarding transfer of G.P. Fund balance has not out in detail. But
most of DAO’s had considered the said procedure that it covers only
the cases, which were transferred on Provincial level viz; form one
DAO, to another DAO, or to their main office, i.e. A.G. Punjab,
Lahore.
3. As DAO’s are also functioning at District Headquarters
on behalf of A.G.P.R., in respect of the Central Govt. Employees, so
they were follow the same “Transfer Credit Memo Procedure” for
central Employees as already setout for Provincial Employees.
4. The main features of the system will be as under: -
(i) The G.P. Fund transfer credit memo, duly embossed
with special seal, signed by Accounts Officer, I/c Fund section upto
the amount of Rs. 50,000/- and deputy Accountant General in cases
exceeding Rs. 50,000/- will be acknowledged by the receiving to the
issuing office, certifying that the amount has been accounted for, in
the ledger as well as in the Broadsheet.
(ii) The “Inward and outward transfer C.W. Registers will
be maintained in each Fund Section (For Central Govt. Employees at
DAO’s and A.G.P.R., Offices. At the close of each month, these
registers will be closed, viz; totaled and their figures i.e. plus for
Inward and minus for outwards will be accounted for in the Broad
Sheets in the monthly account, when prepared.
(iii) All transfer cases will be entered in the same calendar
month, viz. when a case is transferred in the month of July that case
will be accounted for in the B/Sheets in the month of July at both
ends.
(iv) When a sealed transfer credit memo. is received in
fund sections, the same will be recorded in sectional. “Inward
Register” as well as in the ledger A/c of proper month of the
subscriber, giving year wise details as recorded on the reverse of the
memo. The sealed memos may be kept in the safe custody of the
Accountants.
(v) At the end of every month, each DAO, will have to
submit a consolidated list of Inward and Outward memos (Central)
giving details, viz; both G.P.F. a/c numbers name of the subscriber,
amount and name of the receiving Accountant office to Fd. I (coord)
section of this office, for proper watch and reconciliation.
(vi) As regard the transfer of G.P.F. Balances, of
Provincial Govt. Employees, who are transferred to the Centre Govt.
the existing procedure of T.E., will however, remain operative. For
example, if an employee of Provincial Education Deptt. Transferred
to federal Govt. Education Deptt. and for the transaction of his G.P.F.
balance two Govt. will involve, so the existing procedure will be
adopted.
(vii) The year wise details duly signed by sectional supdts
of each transfer case may be recorded on the back of sealed C.M.
Specifying the month of last deduction.
 (viii) Central consolidated Register broadsheet will be
maintained in Fd. I (Coord) for proper watch and check up of these
cases.
(ix) On receipt of sealed transfer credit memo. in the
G.P.F. Fund Sections payments regarding advances and final
withdrawals can be made after posting the credit in the ledger and
recording the details in the Inward register.
(x) The procedure stated above, may please observed
strictly and in future the transaction may please be made accordingly.
(xi) Please acknowledge its receipts with the suitable
suggestions & shortcomings, if any.

ACCOUNTS OFFICER/FUNDS
Copy for information to: -
1. The Accountant Officer I/C Fund. II (Coord), Office of the
Accountant General Punjab, Lahore.
2. The Accounts Officer, I/c C.F – II (Coord) office of the
A.G.P.R. Islamabad.
3. The Accounts Officer, I/c Fd. II & Fd. III, Sections, for n/a
& for strict compliance.

ACCOUNTS OFFICER/FUNDS
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. Fd/SRI-2-3/83 (Prov) Lahore the 1st
February 1988
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High Court, Lahore.
9. The Secretary Punjab Public Service
Commission, Lahore.
10. The Deputy Commissioners and District and
Sessions Judges in the Punjab, Lahore.

SUBJECT: IMPROVEMENT IN THE G.P. FUND SCHEME.

I am directed to state that the General Provident

scheme was replaced by the provident Fund Bond scheme and fixed
rate of subscription towards the provident Fund Bond Scheme by
each employee were notified vide this department’s letter No. FD.
SRI-2-3/83 (Prov) dated. 21-9-1986. These rate were further revised
as a result of revision of basic pay scales with effect form 1-7-1987
vide this department’s letter of even number dated. 15-9-1987.
2. The Federal Government have intimated that while
working out the details of the new system it was felt that in addition to
the question of cost effectiveness, operation of the Provident Fund
bond scheme was likely to entail practical difficulties in its
implementation. Therefore, after through review it has been decided
that instead of introducing the Provident Fund bond scheme its
features may be introduced in the existing General Provident Fund
bond scheme which should be continued. Since the main idea
behind the G.P.F. Scheme was to provide extra financial benefit to
the Government servants, it has been decided to allow from the date
of inception of the scheme (1-7-86) the additional benefit at 30% over
and above the normal rate of profit payable to the Government
servants under the existing G.P. Fund Scheme. Fixed rates of
contribution will be retained and the subscribers will be allowed
advances in a manner that only one advance will remain outstanding
at one time.
 Your obedient
servant

RIAZUL HAQUE
KHAN
DEPUTY
SECRETARY (SR)
 TELE: P.B.X. 870301-09
TELEX: 44101 AUDIT PK.
TELEGRAMS “AUDIT”
DEPARTMENT OF THE AUDITOR GENERAL OF PAKISTAN
GULBERG III, LAHORE. 11
Dy. Auditor General
A/cs & Pyaments.
Ph: 875967
D.O. No. 568-Reg, II/67/C/77. Dated:
June 26, 1989.
My Dear Fazal,
It has been noticed from the complaints received from
various pensioners or their families that quite often a pension case is
not given or, if given, is incorrect due to which that office cannot trace
the previous pension papers. The Account Office then straightaway
asks the pensioner or his family or his Department to intimate the
correct PPO No. Similarly G.P. Fund cases are returned if the G.P.
Fund Account No. is either not indicated or is incorrectly indicated.
This results in delay in finalizing the case.
2. It is felt that the attitude of returning a case because
reference of PPO of G.P. Fund Account No. is not given or
incorrectly given is not the proper attitude. As a service department, it
is our responsibility to provide the best service with least
inconvenience to the Government servants. Accordingly instead of
making a reference to the Government servant, his family or his
department, we should, in the first instance, make an effort to trace
the case of a pensioner or G.P. Fund subscriber form our own
record. For this purpose, PPO registers and G.P. Fund Ledger/Broad
sheets should be maintained properly. This means that this record
should not only be kept in a tidy condition but also quite handy and
under proper security arrangements.
3. I, therefore, request you to look into the record
keeping arrangements of the pension and G.P. Fund sections at all
stations and to give the present position under the following
headings:
(a) Number of (i) PPO Registers and (ii) G.P. Fund
Ledger/Broad Sheets at each station.
(b) Whether these records are maintained Department wise
or not.
(c) Where these records are kept i.e. on the table, in racks, in
almirahs or on the floor.
(d) Whether the table, rack or almirah in which the record is
kept is in the charge of one Audit Assistant or more.
(e) What are security arrangements for these records to avoid
unauthorized persons reaching these records?
(f) What are your plans to improve the record keeping
arrangements of the above mentioned records?
4. I will be obliged if the requisite information is sent to
me by 25-7-1989.
With regards.
Yo
urs
sincerely

KH
ALID
RAFIQUE
Ch. Fazal Ahmad,
Accountant General,
Punjab, Lahore.
 GOVERNMENT OF THE PUNJAB, FINANCE DEPARTMENT
No. FD/SRI-2-3/83 (Prov) Lahore the
24th February 1988.
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High Court, Lahore.
9. The Secretary Punjab Public Service
Commission, Lahore.
10. The Deputy Commissioners and District and
Sessions Judges in the Punjab, Lahore.
SUBJECT: IMPROVEMENT IN THE G.P. FUND SCHEME
Sir,
I am directed to refer to this department’s circular letter
of even number dated. 1-2-1988 and to enclose a copy of Federal
Government’s O.M.No. F. (5) Reg (7)/871507 dated. 20-12-1987 with
enclosures on the subject noted above and to state that the
clarifications made therein have been adopted by the Punjab
Government;
2. I am directed to state that there may have been
instances where Government servants at the end of last financial
year deposited additional matching subscriptions permissible under
the defunct provident Fund Bond Scheme. It has been decided that
such Government servants be given the option to either get a refund
of the amount deposited or have the amount credited to their G.P.
Fund Accounts. Such Amounts alongwith other G.P. Fund balances
of G.P. Fund as on 30th June 1987.

Yours
Obedient
Servant,

RAIZUL
HAQUE AWAN
DEPU
TY SECRETARY
A copy of O.M.NO.F. 1 (1) – R. 7/84 – D. 564/89, dated 25th April
1989
GOVERNEMNT OF PAKISTAN, FINANCE DIVISION
(REGULATION WING. II), ISLAMABAD
SUBJECT: FINAL PAYMENT OF MISSING CREDITS OF G.P.
FUND BALANCE PAYMENT OF INTEREST
THEREON.
The undersigned is directed to refer to this Division’s
O.M. No. F. 1 (1) – R. 7/84 – D. 564/89, dated 9 th June, 1984 on the
above subject, wherein it is laid down that in cases of delayed
payment of G.P. Fund and residual balances thereof, the payment of
interest may be made upto the end of the month preceding that in
which the payment of residual balances (s) is/are made. It has been
brought to the notice of this Division that the O.M. referred to above,
creates an impression in all cases of delayed payment of G.P. Fund
or of residual paid subsequently.
2. It is, therefore, clarified that in cases of delayed
payment of G.P. Fund/residual balance thereof, entirely due to
administrative reasons, the payment of interest may be made upto
the end of the month preceding that in which the payment is made.

RAIZ
AHMAD SHAIKH
DEPUTY
SECRETARY
(R.III).
 DEPARTMENT OF THE AUDITOR GENERAL OF PAKISTAN
GULBERG – III, LAHORE
CORRECTION SLIP NO. 74
INCORPORATION OF SUB PARA 3 TO PARA – 243 OF AUDIT
MANUAL

The following may be added as sub para 3 to existing

para – 243 of the Audit Manual.
“The Accounts Offices should point out to the
subscribers at the time of final payment of the G.P.
Fund Balance or on its transfer form one Accounts
Office to another, the detail of missing credits, if any,
In case no credit is missing, a certificate should be
endorsed on the transfer instruments/final payment
authority that there are no missing credits”.

A.
A. ZAIDI
Director
General (G.A)
OFFICE OF THE ACCOUNTANT GENERAL, PAKISTAN
REVENUE, G-8/4
No. HA/5-1/Vol. VIII/2156-C
Islamabad, the 14-2-90
Copy to 1 to 3xxxxx 4. The DAGPR, Sub Office,
Lahore 5 to 9xxxxxxxxxxx.

A.
A. ZAIDI
Director
General (G.A)
SUB OFFICE OF THE ACCOUNTANT GENERAL PAK: REVENUE,
LAHORE
No. AGPR/SOL/TM/2079
Dated: 5-3-1990
Copy forwarded to: -
1. All District Accounts Officers in the Punjab.
2. All Accounts Officers/Accountants of this office.
3. Treasury Officer, Lahore.

ASSISTANT ACCOUNTANT GENERAL/TM

A COPY OF LETTER NO. 1469/VIG.I/220-89, DATED 12-1-90 OF
AUDITOR GENERAL OF PAKISTAN, GULBERG III, LAHORE,
ADDRESSED TO THE AGPR, LAHORE 2 TO 5.

SUBJECT: PAYMENT OF PROFIT ON FINAL WITHDRAWAL OF

G.P. FUND.

Under rule 14 (4) of the G.P. Fund (Central Services)

rules while making final payment of G.P. Fund balance to a
subscriber profit is to be paid upto the end of the month preceding
that in 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 that person, profit 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.
2. Similar Rules may be exiting in the G.P. Fund rules of
the provinces as is indicated from rule 1.13 (4) of the Punjab
Provident Fund Rules.
3. A subscriber of G.P. Fund to whom authority for final
payment was issued on 18-12-88 and in response, a bill was
presented on 21-12-88 which was passed on 2-1-89, claimed profit
upto Dec, 1988because no date of payment was mentioned on the
authority issued by the Accounts Officer. He lodged a complaint with
the Wafaqi Mohtasib pleading that since the authorised amount was
physically paid to him on 2-1-89 he was entitled to the profit upto the
month of Dec, 1988. he laid stress on the word “payment” used in
rule 1-13- (4) of Punjab G.P. Fund Similar to rule 14 (4) of the G.P.
Fund rules (Central Services and argued that since the bill was
passed on 2-1-89 which (according to him) shall be reckoned as the
date of payment and he should be paid profit upto the preceding
month.
4. According to Wafaqai Mohtasib the main question was
the interpretation of a cut of date regarding payment to be made to
the subscriber. While the subscriber construed the word “payment” to
note passing of the bill, the department treats the authority letter
issued by the Accounts Office on 18-12-88 as “payment” because it
was the final substantive step in the entire transaction when all the
accounts of the subscriber were closed and to more payment
accrued to the to the account holder.
5. The Wafaqi Mohtasib observed that under the
established procedure governing such cases, the authority letterform
the Accounts Office was the document determining the cut off date
beyond which no money was to be paid to the subscriber.
Accordingly the Accounts Office had correctly allowed interest upto
November, 1988 as purported by the words, “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 that person, profit shall be paid only upto end of the
month preceding the date so intimated. All subsequent procedural
steps i.e. preparation of the bill its passage etc. are appurtenants to
the authority letter dated 18-12-88 and give effect to it. Any payment
prior to 18-12-88 can be claimed but not after it. The Wafaqi
Mohtasib therefore rejected the complaint.
6. The above decision of the Wafaqi Mohtasib is brought
by your notice for guidance.

Bashid
Ahmad
Asstt: Auditor
General R&V
A copy of letter No. CF-I/Coord. Updation/88-89/89-90, dated
27-1-90 of Office of the Accountant General, Pakistan Revenue,
Islamabad, addressed to the D.A.G.P.R., Sub Office, Lahore.
SUBJECT: PAYMENT OF PROFIT ON FINAL WITHDRAWAL OF
G.P. FUND.
A decision taken by the Wafaqi Mohtasib in a final
payment case under Rule – 14 (4) has been conveyed by the Auditor
General of Pakistan vide No. 1469/Vig-I/220-89, dated 13-1-90.
A copy of the decision is enclosed herewith for your
informationand guidance. It may also be brought to the notice of
D.A.O’s functioning under audit Jurisdiction.

MOHAMMAD
YAQUB
Deputy
Accountant
General.
SUB OFFICE OF THE ACCOUNTANT GENERAL, PAK: REVENUE,
LAHORE.
NO. AGPR/SOL/TM/1-6-/CDE/2139
Dated: 26-3-90
Copy alongwith a copy of the Auditor – General Office letter
dated 13-1-90 is forwarded for information and necessary action to:-
1. All Accounts Officers/Accountants of this Office.
2. All District Accountant Officers in the Punjab.
3. Treasury Officer, Lahore.

ASSISTANT ACCOUNTANT GENERAL

 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. FD.SRI-2-3/85 Dated Lahore the
26th August, 1991
Form
Mr. Zulafiqar Ali Shah,
Finance Secretary
Government of the Punjab.
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High Court, Lahore.
9. The Secretary Punjab Public Service
Commission, Lahore.
10. The Deputy Commissioners and District and
Sessions Judges in the Punjab, Lahore.
SUBJECT: MAINTENANCE OF GENERAL PROVIDENT FUND
ACCOUNTS.
Sir,
Accountant General Punjab, Lahore has reported that
instructions issued form time to time by this Department, and by his
office for the proper maintenance of G.P. Fund Accounts have not
been given a satisfactory response. The non-compliance of
prevailing instructions on the subject on the part of D.D.Os has
created much trouble for the Account Offices as well as the
subscribers. A large number of complaints/references are being
received form the Wafaqi Mohtasib regarding delay in the adjustment
of missing credits, transfer of balances and final payment of G.P.
Fund.
2. In order to streamline the maintenance of these
accounts correctly all concerned quarters especially D.D.Os may be
directed to ensure strict compliance of the following instructions: -
(A) PREPARATION OF RECEIPT SCHEDULES WHERE PAY
ETC HAS NOTBEEN COMPUTERIZED YET (IN THE
DISTRICT ACCOUNTS OFFICES:.
i) The G.P. Fund Account Nos. of the subscribers may
be get verified from the concerned Audit Officers, and their receipt
schedules be printed/cyclostyled for the series of thousand viz, 1 to
1000, 1001 to 2000 etc.
ii) The G.P. Fund schedules of Account Nos. having
separate symbols viz II – GA, II – Edu, should be prepared
separately.
iii) Amount of refund of withdrawals need not be
printed/cyclostyled.
iv) Grand totals of each series of schedules should be
shown in red ink in figures as well as in words.
v) Father’s name and designation of each subscriber
may be given distinctly in each schedule.
vi) The information about the dismissal, resignation,
termination of service, death, suspension form service and transfer to
other places, departments and autonomous bodies of the subscriber
may be mentioned in the remarks column of the schedule. In case of
Gazetted Officer, he himself should furnish the said information to
the Audit Office.
vii) No other schedule such as B/Fund deductions and
any recovery on account of other than G.P. Fund deductions and any
recovery on account of other than G.P. Fund should be prepared on
the sheet of G.P. Fund schedules.
viii) No deduction on account of G.P. Fund subscription
unless his Account No. is allotted/registered by the Audit Office.
ix) A simplified specimen of G.P. Fund receipt schedule is
given below for guidance and for proper preparation of the
schedules: -

advance. Refund of
Designation

Actual deduction
Sr. A/c No. Name and

Scale of pay

Total
No. Father’s Name

1 2 3 4 5 6 7 8

(B) TRANSFER OF G.P FUND BALANCE

(i) In order to obviate delays and early proper adjustment
of the credits of a subscriber, whenever be is transferred form Audit
Circle f one District Accounts Office to another District Accounts
Office, his previous office G.P. Fund may be got transferred soon
and consolidated at his present place of posting. For the transfer of
G.P. Fund balance the transferring posting. For the transfer of G.P.
Fund balance the transfer office may be informed full particulars viz.
G.P. Fund Account Nos. of both by him at the previous station. Each
G.P. Fund transfer case should be routed though present D.A.O. in
whose circle he is working.
(ii) It is incumbent upon each accounts office that
whenever a Gazetted Officer’s G.P. Fund Account is transferred, his
balance may be transferred after adjusting the missing credits of his
office period.
(C) ADJUSTMENT OF MISSING CREDITS.
(i) A large number of missing credits of the subscribers in
their G.P. Fund account have been receiving attention of the
Government as well as the Audit Officers for quite some time. It has
been felt that all the missing credits should be located and adjusted
with the minimum of delay.
(ii) In future the work should be done in such a way that
there is no recurrence of missing credits. In order to achieve these
objectives, all the Drawing and Disbursing Officers should contact the
Audit Officers by deputing their Accounts Clerks for reconciliation of
the G.P Fund accounts of the Government servants when the
missing credits are located. The present Drawing and Disbursing
Officers are required to certify the missing credits in case of non-
gazetted employees with the help of service book of the employee
that he was on duty, and not on leave, without pay, or suspended,
only rate of deduction may be certified.
(iii) It is not possible for the Accounts Officers to make
adjustment of missing credit without active cooperation of the
Drawing and Disbursing Officers. They are requested to initiate all
possible steps according to the prevailing instructions of the
Government.
(iv) All the Gazetted Officers are requested to locate their
missing credits form the Audit Offices through personal contacts and
get them adjustment soon. In the District Accounts Officers if their
Audit Registers are not available, they should certify their missing
credits on collateral basis. Which should be countersigned by their
next higher/controlling officer and sent to the Audit Office for proper
adjustment.
(v) At Lahore the pay of all the Government servants has
been computerized and all the subscribers have been informed
about their previous missing credits sent alongwith the computer
account statement closed for the year 1989-90. All the Drawing and
Disbursing Officers are directed to certify the missing credits and
send to Accountant General, Punjab for proper adjustment etc.
(D) FINAL PAYMENT
(i) It has been noticed with grave concern that the cases
of non-gazetted civil servants, after their retirement, death and
removal/dismissal form service for final payment of G.P. Fund are not
sent in time to the Accounts Office for proper action. In so may
cases, after sending it is not pursued. It is provided under rule 1.32 of
the G.P. Fund Rules that a Government servant can stop his G.P.
Fund deductions and can drew the whole G.P. Fund amount one
year before his date of actual retirement.
(ii) The Accounts office should invariably ensure/arrange
final payment of the available balance to the subscriber within seven
days of the receipt of the case, complete in all respects. Therefore,
all the Drawing and Disbursing Officers must ensure strict
compliance of these instructions specially in cases of death, which
should not be delayed and must be pursued after dispatch to
Accounts Office.
3. The Government lays special stress on the proper and
accurate maintenance of G.P. Fund Accounts as subscription to this
fund is compulsory and in most cases it is the life savings of the civil
servants. It is, therefore, essential that every precaution should be
taken to make maintenance of the accounts as smooth as possible.
The Drawing and Disbursing Officers should ensure prompt
compliance of these instructions. The Accounts Clerk of the Drawing
and Disbursing Officer may be directed to visit the audit offices
concerned twice in a year first in the month of May for pre-checking
of Account numbers and next in the month of November for
reconciliation of G.P. Fund accounts of the civil servants presently
serving in their offices. Negligence, delay and deviation from these
instructions may please be viewed seriously, and in such cases the
competent authority may please take immediate action under Punjab
Civil servants (E&D) Rules, 1975 against the defaulters.

Your
Obedient
Servant,

RANA AMAN ULLAH KHAN

DEPUTY SECRETARY (SR)
FINANCE SECRETARY
GOVERNMENT OF THE PUNJAB.
NO. & DATE EVEN.
A copy of forwarded to: -
1. The Accountant General Punjab, Lahore w/r to his memo.
No. Fund-I/CMFS/F-231/90-91/1197, dated 14-44-1991.
2. All District Accounts Officers, in the Punjab.

MUHAMMAD YOUSAF
UNDER SECRETARY (SR-I)
Office order No: Fund – I/74 Date: 10-
11-80

SUBJECT: SCHEDULE FOR “NIL” SUBSCRIPTION TO G.P.

FUND
It has been observed that the instructions for
recordings facts of non-deduction of G.P. Fund/ledger cards and
subscriptions in the broad sheet and attaching “NIL” schedule with
the pay bills contained in office order No. Fund-I/60, dated 30-1-80
are not being observed by the funds, D.A., G.A.Ds and T.D.A.
sections on the plea that the Punjab Government has not yet issued
necessary instructions to their Officers/Drawing, Disbursing Officers,
where as the Government of the Punjab, Finance Department, has
already issued instructions in this respect vide their memo No. FD-
SRI-2/13-79, dated 25.3.1980.
2. The Accountant General, Punjab has noted this
situation with great concern and has ordered that instructions
contained in the afore-said office order should be strictly observed in
future. Any failure in this respect will be seriously viewed.

DEPUTY ACCOUNTANT
GENERAL
Phone:
312836
OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
NO. Fund – I/I-IV/Mcr./3054 Dated: 10-
11-1980
Copy forwarded for necessary action: -
1. All Branch Officers Fund Section.
2. All Fund Sections.
3. All G.A.D., D.A. and T.D.A. Sections.
4. All District Accounts Officers.
5. I.C.A.
6. Reorganization Cell. Local.

ASSISTANT ACCOUNTS OFFICER

 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. FD.SRI-2-3/85 Dated: 1st
March, 1992
Form
Mr. Zulfiqar Ali Shah,
Finance Secretary
Government of the Punjab.
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High Court, Lahore.
9. The Secretary Punjab Public Service
Commission, Lahore.
10. The Deputy Commissioners and District and
Sessions Judges in the Punjab, Lahore.
SUBJECT: INACTION TOWARDS MISSING CREDITS OF G.P.
FUND ACCOUNTS.
Sir,
I am directed to refer to the subject cited above and to
state that in certain cases Government servants while in service do
not take interest in updating their G.P. Fund accounts and after
retirement they send applications to the Wafaqi Mohtasib’s
secretariat in order to have the missing credits adjusted. They shift
the onus of collecting collateral evidence from Government agencies
to the Wafaqi Mohtasib’s secretariat. He has to spend a significant
amount of time in engaging in lengthy correspondence (with the
concerned department) and to incur expenditure on the visits of the
representatives of the agencies and investigating officers of his
secretariat. While recording final decision in such a case, the Wafaqi
Mohtasib has observed that the time and expenditure involved can
be avoided if Government servants become vigilant about their G.P.
Fund accounts and get the same updated in all respects while in
service. They should thoroughly examine the annual account
statements supplied to them every year. Further, in case of mistakes
or omissions they should continue to pursue the matter till the
missing credits are adjusted and recorded in the next account
statement.
2. I am, therefore, directed to request that all the
employees under your administrative control may be advised to look
after their G.P. Fund accounts properly during service as indicated
above.

Your Obedient
Servant,

RANA
AMANULLAH
KHAN
DEPUTY
SECRETARY (S.R)

No. & date even.

A copy is forwarded to: -
1. The A.G. Punjab w/r to his Memo. No. Fund –
I/AS/Mics/1279, date 31-8-1991 for information.
2. All Additional Secretaries/Deputy Secretaries/ Under
Secretaries/Section Officers, in the Finance Department.

SECTION OFFICER (SR.I)

157 DATED 31-1-1980 FROM THE A.G. PUNJAB, LAHORE
ADDRESSED TO ALL THE DISTRICT ACCOUNTS OFFICERS IN
THE PUNJAB AND OTHERS.
As provided in rule 10 (I) of G.P. Fund (CS) Rules and
rule 13-9 of C.S.R. : Punjab, Vol. II, the subscription to G.P. Fund is
not made during suspension. Similarly, a subscriber may, at his
option, elect not to subscribe during leave. In cases where G.P. Fund
subscription is not deduction from pay bills, no schedule is attached
to the bills of the Government servants of Grade 16 and above while
in the case of other Government Servants the fact of non-dedication
is not shown in the combined schedule attached to the pay bills.
Accordingly the fact of non-subscription is not recorded in the ledger
cards of the subscribers, maintained in the Main Office as well as in
the District Accounts Offices and the monthly column is left blank.
Some time a blank column gives rise to the suspicion that the G.P.
Fund subscription for that month might have been made but was
either lying in the Difference sheet or misclassified, or the relevant
schedules might have been misplaced. While arriving at the total
number of missing credits, the blank columns are taken into account
even if the subscription for that month has not been made.
2. In order to meet the above situation, the Government
of the Punjab, Finance Department is being approached separately
to issue necessary instructions to their officers/Department that in
future “NIL” schedules for G.P. Fund should invariably be attached to
the pay deduction is made from the bills and reasons for not
deducting the subscription indicated in the schedules. In the case of
other Govt. Servants the reason for not deducting in the schedules.
In the case of other Govt. Servants the reason for not deducting the
subscription may also be recorded against the name of the Govt.
servant concerned in the consolidated schedule.
3. The Accountant General has ordered that in future
and after issue of relevant instructions to all Department by F.D.
(i) The GAD Sections, while pre-auditing the pay bills of
gazetted Officers, should see that the G.P. Fund schedules are also
attached with the bills even in case of non-deduction of G.P. Fund
and the reason of non-deduction is indicated therein.
(ii) The book/TDH section should also detach such
schedules for nil subscription G.P. Fund and pass on to fund section
alongwith others.
(iii) The G.P Fund sections while making monthly posting
in the ledger cards should indicated the fact of non-subscription in
the ledger cards by recording the word “S” for suspension, “L” for
leave and “T” for transfer.
(iv) In case where the missing credits of the previous
years are adjusted in the Accounts of the current year the month of
adjustment should be indicated in the blank column of the month in
the respective ledger cards by recording the words “Adjusted in
_____________.” This would help in arriving at the correct number of
missing credits.
4. After six months the Internal Check Accountant will
examine the ledger cards so as to ensue that the fact of non-
deduction of subscription and subsequent adjustment of missing
credits is being recorded in the blank column of the ledger cards.

OFFICE OF THE DISTRICT ACCOUNTS OFFICER

BAHAWALNGAR
No: DA/BWN/HM/
Dated:_______________
Copy of the above is forwarded to all the sectional
accountants for information and necessary action.

DISTRICT ACCOUNTS OFFICER,

BAHAWALNGAR
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fds/ Date;
To
_________________
_________________
SUBJECT: INTRODUCTION OF SCHEME FOR COMPULSORY
SUBSCRIPTION TO THE GENERAL PROVINCIAL
FUND.
The defects noticed in the application, nominations
and contingent notice of cancellation form signed by the subscribers
are indicated against their names. These may please be got
removed under their full signatures and form returned expenditure for
acceptance.

ASSISTANT ACCOUNTS OFFICER

LIST OF DEFECTS:
1. As the subscriber has a family he should fill in form P.F.I or
P.F.I.A.
2. As the subscriber has nominated of his family he should fill in
the contingent notice of cancellation in P.F. 2.
3. As the subscriber has no family the nomination should be
made in P.F.I.B. or P.F.I.C.
4. The subscriber has no family, as such the form of contingent
notice of cancellation should be made in P.F. 2A.
5. Form P.F.I./P.F.I.A./P.F.I.B./P.F.I.C, has not contained the
word “Occurring” between the words “death and before” as
used in the second addition of CSR/(PB) Volume II.
6. Form P.F.2/as prescribed in C.S.R. contains the addition
between the words “me” and “the” or of my contracting a fresh
marriage or of my marriage with my wife/any of my wives
being dissolved by divorce or otherwise. This may be made in
the form sent to this office.
 7. As the subscriber has a family he cannot nominate any one
other than his wife or wives, (ii) children or (iii) widow or
widows etc.
8. Complete home address of the nominee not given in column I
of the form of nomination. The needful may please be done
now.
9. As more than one members have been nominated the share
of amount payable to each must be specified in the last
column of the nomination form.
10. To avoid disposing in accounts, father’s name of the
subscriber may please be intimated.
11. The amount of subscription payable monthly towards the fund
is required to be expressed in whole rupees.
12. The late rate fixed for class IV Government Servants is Rs. ½
as such the subscription may please be revised, accordingly.
13. The date as recorded in the form
P.F.I./P.F.I.A/P.F.I.B./P.F.I.C. does not tally with that
indication in P.F.2/P.F.2-A/which may please be rectified.
14. It should be specified clearly whether the subscriber desires
interest upon the accumulations or not.
15. All the cuttings on the form should be got attested by the
subscriber.
S. No. Name & Account No. Defect No. Name & Account No. Defect No
 GOVERNMENT OF THE PUNJAB, S & GAD DEPARTMENT
(SERVING WING)

SUBJECT: GRANT OF ADVANCES FORM THE G.P FUND

ACCOUNTS.

Advance from the G.P. Fund Account of a subscriber

can be granted for different purposes under rule 1.14 to 1.18 of the
Punjab General Provident Fund Rules. 1978. In one of the cases, of
an officer, from payment of for the reason that: -
(a) The officer has already drawn non-refundable
advances sanctioned for different purposes under
rules 1.15, 1.16 and 1.17 of the rules and that no
further non-refundable advance can be drawn by the
said office.
(b) The amount of advance drawn previously is to be
counted towards calculation of and as he has drawn
an advance annual to 80% of the amount under rule
1.17, he cannot be allowed another advance
sanctioned under rule 1.15 ibid within a period of 12
months. Even if payment is to be made, then the
previous amount and the amount now sanctioned
would be calculated towards 80% limit proscribed
under rule, 1.15 ibid.
2. Finance Department is requested kindly to clarify
whether there are any restrictions on the drewal of non-refundable
advance a for more than 4 times after the subscriber has attained the
age of 50 years to the age of his Superannuation. It may also be
made clear whether the 80% limit is to be taken into account at the
time of sanction of each advance for different purposes and under
different rule or the amount previously drawn and the amount
sanctioned within 12 months’ period (though under different rules for
different purposes) are collectively to be taken into account for
purposes of 80% limit.

UNDER
SECRETARY
(S.VIII)
To
The Under Secretary (SR-IV)
Finance Department
O.O No: S-VIII (S&GAD) – 16 (77)/72, dated the 25 th September
1980.

GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT

SUBJECT: GRANT OF ADVANCE FORM THE G.P. FUND

ACCOUNT.

Will the under secretary (S-III), Government of the

Punjab, SRA&I Department, kindly refer to his U.O. Reference No.
S.VIII (S&GAD) – 16/72, dated 20th September 1980 on the subject
noted above.
2. The reply to S&GAD’s opnion in is as under:-
(a) No restriction has been on forced by this Department
on number of non-refundable advance, form G.P.
Fund for different purposes.
(b) 80% limit would be taken into account at the time of
sanctioning each advance for different purpose and
the previous advances would not be taken into
account for the purpose.
 RAIZUL
HAQUE
AWAN
UNDER
SECRETA
RY SR-I
THE UNDER SECRETARY (S-III),
GOVERNMENT OF THE PUNJAB, S&GAD.

U.O. No: FD-SRI-2/1-76 Dated: 7th

December 1980

Endst: NO: FD-SRI-2/1-76, Dated: 7th

December 1980
A copy with a copy of S&GAD’s U.O. reference No: S-
III (S&GAD) – n16 (77)/72, dated 25th September 1980 is forwarded
to the accountant General, Punjab, Lahore for information.

RAIZUL
HAQUE
AWAN
UNDER
SECRETA
RY SR-I
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
Office Order No. Fund-I/73
Dated: 15-10-1980

SUBJECT: SAFE CUSTODY OF NOMINATION PAPERS.

Under the provision of para 9 of the Manual of
provident Fund Sections of the Accountant General, Punjab, the
nomination papers are required to be kept under lock and key in the
personal custody of the Gazetted Officer Incharge of the Fund
Section. The verification of nomination papers is also required to be
conducted once in three years vide para-iv App: 2 ibid. The register
of nominations should remain in the personal custody of the Branch
officers. Besides whenever a change of the gazetted officer Incharge
of the provident fund Sections occurs, certificate to the effect that the
nomination papers are quite intact is required to be signed in the
register of nominations by the relieved and relieving officers.
2. It has been observed that the procedure prescribed for
the maintenance of nomination papers has not been properly
adhered to in the past and nomination papers are laying in the fund
sections instead the custody of the Branch Officer concerned.
3. It is, therefore, directed that the nomination papers,
and register of nominations lying in the fund sections should
immediately be handed over to the Branch Officers concerned, who
should conduct physical verification and submit the results thereof to
the Fund-I (Co-ord) by 20-11-80 positively. Any disregard to the
above orders will be severely dealt with.

S
d/-
ACCOUN
TANT
GENERAL
No: Fund – I/AS-10/2961
Dated: 15-10-1980
Copy forwarded for necessary action to: -
1. All Branch Officers Fund Sections.
2. All Fund Sections Through Special Diary.
3. T.M.I. Section.
4. All District Accounts Officers in the Punjab.

ACCOUN
TANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
Office Order No. Fund-I/71
Dated: 07-10-1980

In some cases the Government employees when

transferred form one district to another at the verge of retirement of
while proceeding on L.P.R., after a month of so, do not contribute
towards G.P. Fund at the new District. Thus the Department do not
get their G.P. Fund Account numbers allotted from the District
Accounts Office of the new District.
2. A question has arisen whether in such cases allotment
of a new account number at the new District is mandatory of not.
3. The matter has been considered at length and it has
been decided that in such cases it is not necessary to insist on
allotting a new account number by the new District Accounts Office
and /or transfer of G.P. Fund balance to the last district of posting.
4. Final payment cases of such Government employees
duly completed in all respects should be received in the District
Accounts Office at the new District., who after indicting the fact of
non-allotment of G.P. Fund was made by the subscriber concerned,
should forward it do the District Accounts Officer of the District, where
he last remained and contributed towards G.P. Fund. That District
Accounts Officer in turn will deal with the final payment case and
issue final payment authority of the amount standing at the credit of
the subscriber concerned duly embossed with deal to the District
Accounts Officer of the new District under intimation to the Drawing
and Disbursing Officer/Subscriber concerned.

DEPUTY ACCOUNTANT GENERAL

No: Fund-I/AS-10/79-80/31 Dated: 7-
10-1980
Copy forwarded for necessary action to:-
1. All Branch Officers in Fund Sections.
2. All Fund Sections.
3. All District Accounts Officers in the Punjab.
4. Officer on special duty (Reorganization Cell).

ASSISTANT ACCOUNTS OFFICER.

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Reorg/1-1/R&R/1891
Dated: 13-12-1980
To

All the District Accounts Officers

In the Punjab.
SUBJECT: REASONS AND REMEDIES OF EVER MOUNTING
BALANCES “UNDER D.A.O. SUSPENSE” AND
DELAY IN TRANSFER OF G.P. FUND BALANCE OF
THE SUBSCRIBERS ON THEIR TRANSFER FROM
ONE DISTRICT ACCOUNTS OFFICE TO ANOTHER.
It has been noticed that the clearance of the head
“D.A.O. Suspense” is not being pursued vigorously by the District
Accounts Officers, and the receipt of wanting documents i.e.
Vouchers and schedules are not being pursued form the originating
Accounts Officers, besides subsequent clearance by adjustment to
the proper head is also not being watched, with the result that the
balances are increasing tremendously.
2. The procedure prescribed by the Auditor General of
Pakistan for the maintenance of the “ D.A.O. Suspense” was
circulated to the District Accounts offices with this office with this
office letter No. Reorg/A.S/CD/448. dated 14-4-1975, wherein it was
required that the progress report showing the opening balance,
number of items and the amount cleared during the month and
closing balance both in respect of Central and Provincial
transactions (debits and credits) may be passed on to this office for
keeping a watch over the clearance of this head. This item has not
been pursued vigorously although the representatives of your office
attend this office frequently for obtaining the figures and details
booked under this head, yet the progress is not satisfactory and is
not being reported to this office. A specimen of forms, on which the
information is to be supplied, is again enclosed for regular future
submission.
3. i) In addition to the above circular, it is stressed upon
now that the items of debits and credits appearing in the books of the
District Accounts Officers/Accountant General, which require
adjustment in the books of others, should be passed on to the other
party, through an advance Schedule without delay showing full
particulars of the transactions.
ii) This advances schedule should be prepared in
triplicate in Form D.A.O. 55 (Specimens) and shall have reprinted
machine number. The first copy will be sent with the
Vouchers/Schedules to the District Accounts Officers concerned or
the Accountant General, on the preparation of transfer adjustment,
duplicate copy of all the advance schedule dispatched, shall be
arranged district wise and sent with the covering list in Form 56-A to
the Provincial Accounts Officer with the monthly accounts. The third
copy being detained as an office copy. The adjusting Accounts
Officer shall send a schedule or responding item in Form 56-B with
the monthly Accounts.
iii) The originating District Accounts Officer will maintain
the sequence of that machine number to watch the acknowledge
from the other party so as to be sure of the adjustment of the
transaction with the adjusting Accounts Officer.
iv) The adjustment should invariably be made by
credit/debit to the proper head and minus credit/debit to the head
District Accounts Officer suspense however old the item may be.
4. As regards the G.P. Fund Transactions while
preparing the transfer adjustment advance schedules in the above
form giving full details of G.P. Fund Account number allotted by both
the District Accounts Officers, transferring the amount and that of the
office to which the Government servant has been transferred and the
name of the subscriber etc. should be sent duly embossed with
special seal to the adjusting Accounts Officer, who will adopt this
balance in his new Account for all purposes. The Book transfer will,
however, follow in the Accounts in due course and will be responded
as prescribed above. This procedure should be adopted with the
Accounts of 7/1980. The prescribed form will be made available
shortly.
5. As far the previous balance, the month wise detail of
the original and responding may be furnished to this office for the
maintenance of the Broad sheet required to be kept in main office.
D.A. As above.

M. HAMID HASSAN
ADDITIONAL ACCOUNTANT GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Reorg/AS/CD/448
Dated: 14-04-1975
To

All the District Accounts Officers

In the Punjab
SUBJECT: REASONS AND REMEDIES OF EVER MOUNTING
BALANCE UNDER D.A.O. SUSPENSE AND DELAY
IN TRANSFER OF G.P. FUND BALANCE OF THE
SUBSCRIBER ON HIS TRANSFER FORM ONE
DISTRICT ACCOUNTS TO ANOTHER.
Copies of the Auditor General of Pakistan Office
memorandums No. M&M.I/M(C-22)/72-73/Vol.II/8, dated 4-1-1975
and No. VIII (25) M&M/69-70/1959, dated 4-2-1971 alongwith the
enclosures are forwarded for information and strict compliance.
Progress reports showing the (i) opening balance (ii) No. of items
and amount cleared during both in respect of Central and provincial
transactions may be furnished to T.D.H. Section of this office so as to
reach not later than 3rd of the month following the month to which the
report relates. The receipt of this memorandum may please be
acknowledged.

(JAMEEL AHAMD
ZAIDI)
ADDITIONAL ACCOUNTANT GENERAL
No: Reorg/AS/449
Dated: 14-4-1975
Copy alongwith copies of the memorandums referred
to above alongwith enclosure and copy of paras 6/Note to 12/Note
forwarded to Ch. Zafar Elahi, Assistant Accounts Officers (T.D.H.) for
General of Pakistan is being requested for the sanction of a post of
an Auditor with effect form 1-6-1975 onwards and the incumbent
when sanctioned will be posted to T.D.H. Section in due course of
time.

ADDITIONAL
ACCOUNTANT GENERAL
FROM:
Dr. A.A. K. Babar, PA&AS,
Director, Modernization of Accounts
D.C. PT&T Buildings, 1st Floor,
Nabha Road, Lahore.
Tele: 52613
Dated: 4-2-1971
My dear,
Please refer to Ch. Mohammad Din’s D.O. letter No.
VIII (25) M&M/69-70/893, dated 12-6-70 to Mr. Manzoor Hussain
regarding opening of the Minor Head “District Accounts Office,
Suspense”
2. We have considered the various aspects of the case.
The transactions taking place in Govt. account can be grouped in
three main categories: -
i) Items pertaining to revenue, service and capital heads
of account, which do not close to balance in the annual accounts of
the government.
ii) Items pertaining to debt and deposit heads of
accounts, for which the Government assumes the liability to repay or
has right to recover, such accounts are not tied with districts and
instructions as for example, public debt, Benevolent Fund, etc; and.
iii) Items pertaining to debt and deposit heads of
accounts, for which the Government assumes the liability to repay or
has right to recover, such accounts are tied with Government
servants, individuals and institutions in the district, such as tacavi
advance, loans and advances to Government servants, loans to the
municipalities, G.P. Fund balances, etc;
3. It has been held that no adjustment need be made in
respect of transactions falling in categories (i) and (ii) above, as was
also set down in Mr. Muhammad Din’s D.O. letter referred to above.
In other cases, however, the transfer adjustments where necessary,
should be made in the books of main Office and the District Accounts
Offices. The occasion for carrying out transfer adjustments would be
the transfer of the Government servants from one district to anther
and the opening of a new District Accounts Office when these
balances would be transferred to District Accounts Offices. The
instructions contained in succeeding paras: should be followed for
carrying out adjustment of such transactions.
i) The existing minor head “Pay and accounts Office
Suspense” opened below, Major head “Suspense Accounts in
section “P-Deposits and Advances – Part-IV suspense “Should be
Renamed District Accounts Office, suspense”
ii) The said minor head should be divided into sub-
heads with the name of the District in which District Accounts Officers
are established and such head be opened the books of provincial
Accounts Office and all District Accounts Offices under him. one sub
head “Main Office” shall also be opened for passing on transactions
to the comptroller.
iii) The new suspense head should be operated upon the
same manner as the “Departmental Adjusting Accounts” subject to
procedural differences herein after set down. Accordingly all debits
and credits shall be responded to and cleared by minus Debits and
minus credits respectively irrespective of the year to which the
adjustment relates.
iv) The items of Debits and or credits appearing in the
books of one District Accounts Office/Comptrollers officer which
require adjustment in the books of the other, should be booked under
the relevant sub head. The District Accounts Officer/ Comptroller
initiating the Debits/Credits Shall without delay send an “Advance
Schedule” setting forth the details of Debits/Credits to the other.
v) The Advance schedules shall be prepared in triplicate
in form DAO 55 (Set out in Annexure) and shall have reprinted
machine number. The first copy will be sent with the vouchers, etc; to
the District Accounts Office concerned or the Provincial Accounts
Officer. At the close of the month the duplicated copies of all the
advance schedules dispatched shall be arranged district wise and
sent with covering lists (in form PAO-56a) to the Provincial Accounts
Officer with the monthly accounts and the third copy of the advance
schedule shall be retained as office copy. Separate covering lists
should be prepared for debit raised and credits afforded during the
month. Similarly the adjusting accounts officer shall also send
schedule of responding items in form PAO 56-B, with the monthly
Accounts.
iv) The Provincial Accounts Officer shall maintain a Broad
sheet in form PAO-57 (annexed). Separate pages shall be sea apart
for each sub head (District) and all responding debits/credits. The
broad sheet shall be closed on 15th of the following month and a
proof sheet shall be prepared in form (PAQ-57-A) at the time of
monthly closing to show the totals of Debits/Credits. Progressive
balance shall be worked out in the proof sheet.
vii) If a transaction requiring adjustment has both
Debits/Credits, the net amount of transaction shall only be passed on
to the other District Accounts office. As for example if Mr. “A” is
transferred form District “Z” to District “Y” and the balance in Mr. “A”
account are G.P. Fund balances Rs. 10,000/- (Cr.) House Building
Advance 4,000/- (Dr.) and advance of pay Rs. 10.000/- (Dr.) the
District Account Officer “X” District “Y” by making the following entries
in the his books.
 (Debits) O-Unfunded Debt
State Provident Fund G.P. Fund 10,000-/
(Credit) P-Deposit and Advances Part-III
Advance not bearing interest
Advances repayable Civil Advances 1,000/-
Part – VI suspense
Suspense Accounts D.A.O.
Suspense
5,000-/
(Credit) R-Loans and Advances by
Provincial Government
Loans to Government
Servants House Building
Advances.
4,000/-
4. It is requested that all balances which have not so far
been transferred to the district view of instructions contained in
D.A.O. referred to above may now be adjusted accordingly.

Your Sincerely

Sd/-
A.A.K. BABAR
MR. S.I.SHABBIR,
PA&AS, COMPTROLLER, NWFP,
PESHAWAR
Office order No. Fund – I/AS/83. Dated: 19-
2-1981

It has been decided that in case of retired or deceased

Government servants etc., wherein final payment is to be made, the
normal transfer of G.P. Fund balances from Main Office to the District
Accounts Offices is not necessary but instead a final payment
authority in respect of balance standing at the credit of the subscriber
should be issued to the District Accounts Officer, concerned with the
instructions that all necessary formalities should be completed by him
while making payment to the subscriber.
A specimen of the authority is attached.
(Accountant General’s orders dated 15-2-81)

ABDUS
SATTAR
DEPUTY ACCOUNTANT
GENERAL,
Phone:
312030

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE

No. Fund-I/AS-I/Misc/3441
Dated: 19-02-1981
Copy forwarded to: -
1. All District Accounts Officers in the Punjab.
2. All Branch Officers Fund Sections.
3. All Fund Sections.
4. Officer on special duty reorganization cell (local).

ASSISTANT ACCOUNTS OFFICER.

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Dated.
To
The District Accounts Officer,

_______________________

SUBJECT: FINAL PAYMENT OF G.P.FUND

Dated: __________________

You are authorized to arrange payment of a sum of

Rs. ____________ (Rupees
______________________________________________________
_____, representing the available /residual balance standing at the
credit of _____________ in G.P. Fund Account No.
______________________________________________ of
______________________________and to discourse it to the
subscriber/ Nominee / Legal heirs through his department. The debit
may please be raised against this office after the payment, quoting
this letter as authority.
It may however, please be ensured that the
documents required for the final payment are complete in all respects
and this balance standing at his crediting in his G.P. Fund Account
No: ___________________________________of your Office is
also.
Residual payment for the deductions made from the
pay bill for the month _________________drawn in
___________________will be made latter on.
The amount of Rs.
_________________________________ (Rupees
________________________ already transferred in the account for
the month ___________________vide T.O. No:
_________________________is hereby confirmed.

ASSISTANT ACCOUNTS OFFICER

No:
Dated:
Copy forwarded for information to: -
1. _______________________________.

ASSISTANT ACCOUNTS OFFICER.

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
Office order No: Fund-I/I-IV/M-Cr/93
Dated. 30-4-1981

The Accountant General has conveyed his

displeasure for the slow progress of the adjustments of the missing
credits while examining the report of the missing credits or 9/60.
2. It has been observed that the instructions already
issued vide office order No: Fund-I/I-IV/M-Cr/2691, dated. 19-7-80
have not been strictly complied with.
3. The Accountant General has taken a serious view of
this situation and ordered that:-
(i) All the Missing credits relating to gazetted officers upto
1979-80 should be adjusted on C.E. basis after
obtaining certificate of actual deductions form the GAD
sections concerned immediately.
(j) The lists of missing credits relating to the non-gazetted
Government servants upto 1979-80 should be
supplied to the respective drawing and disbursing
officers for providing the necessary collateral
evidence.
Previously it was desired that in cases where no
replies had been received the matter may be reported
to the controller officers/administrative departments.
The list of the cases where no reply has been received
inspite of reporting the matter to the higher authorities
may be prepared and sent to Fund – I (Co-ordination
section) within a month for preparing the necessary
draft paras.
4. Any disregard of the above orders will be severely
dealt with.

Sd/
S.
MUHAMMAD
AWAIS
DEPUTY ACCOUNTANT
GENERAL (FUND)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-I/AS-18/78-83/224.
Dated.13-9-82
To
Mr. ___________________________.
The District Accounts Officers,
Khushab, Bhakkr, Leiah, Rajanpur,
Okara and Toba Tek Singh.
SUBJECT: MAINTENANCE OF G.P. FUND IN NEWLY
CREATED DISTRICT ACCOUNTS OFFICES
Since the new District Accounts Offices have started
their function with effect from 1.7.82 the instruction for the
maintenance of G.P. Fund Account of the subscribers may be
followed strictly on the following lines.
(i) The subscribers already working under the
Jurisdiction of the newly created District Accounts Offices may be
allotted fresh G.P. Fund Account Numbers in part – I Index Register
in form ATM 65 of the relevant Department in alphabetical order after
prefixing the abbreviations of the district as that of the department
and their G.P. Fund Account maintained in Part – I of the Broad
Sheets.
(ii) The existing subscribers transferred to there district
with in three i.e. upto 31-10-82 may also be allotted fresh G.P. Fund
numbers as discussed in sub para (i) above.
(iii) The following abbreviation are standardized to denote
the names of the District noted before each which may only be
prefixed before the initials of the Department and the G.P. Fund
Account Numbers of the Subscribers.
SR. NO. NAME OF DISTRICT ABBREVIATION
1 Kahshab KSB
2 Bakhar BKR
3 Leiah LAH
4 Toba Tek Singh TTS
5 Rajanpur RJP
6 Okara OKR
(iv) The subscribers who are transferred form other District
on or after 1-11-82 should not be allotted fresh G.P. Fund
Accountant Numbers but instead their names may be entered in Part
– II Index Register of the relevant Department in alphabetical order
indicating the same G.P. Fund Account Number allotted to them by
the District Accounts Office form whose jurisdiction they have been
transferred. Thus their previous G.P. Fund Account Number including
the prefix of the former district/districts will remain intact, as already
detailed in office order No: Fund – I/104, dated: 17-9-81.
The receipt of this letter may please be acknowledged.
(Accountant General to orders dated 5-9-82)
 RANA
ASSAD AMIN
DEPUTY ACCOUNTANT
GENERAL (FUND)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-I/AS-1-Misc/81-82/372.
Dated.25-9-82
To

The District Accounts Officer,

Rawalpindi.
SUBJECT: INTEREST ON G.P. FUND SEALED AUTHORITIES.
Please refer to your office letter No: DAO/RWP/Fund-
I/793 dated, 18-9-82 on the above subject.
In the cases of authorities issued by this office after
affixing the special seal thereon, if the amount of interest has not
been allowed accordingly to the date of its admissibility the same is
to be calculated by the District Accounts Offices Office and payment
of the said amount made against Account Number allotted by his
office.
If the subscriber applies for final payment within six
months from the date on which the amount becomes payable to him,
he is entitled to get the interest on his accumulations upto the end of
the month proceeding that in which the payment is made under Rule
1.13 (4) of the Punjab General Provident Rules 1978 irrespective of
the circumstances leading to delay.

RAN
A ASSAD AMIN
DEPUTY ACCOUNTANT
GENERAL (FUND)
Office order No. Fund.I/Accounting-procedure/83-84/19 dated: 22-
7-84
To
1. All the District Accounts Officers in the Punjab.
2. All Fund Sections in the Main Office.
3. All Branch Officers of Fund Sections.
4. Officer on special Duty.
5. Assistant Accounts Officer Incharge T.M.
6. Assistant Accounts Officer Incharge Routine
section.
SUBJECT: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCES FROM ONE OFFICE TO
ANOTHER.
The matter regarding the revision the procedure of
transfer of G.P. Fund balance of Punjab Government servants form
Main Office to District Accounts Offices and District Accounts Office
to Main Office and from District Accounts Office to another DAO, has
been under active consideration for some time past, and after careful
examination of all aspects of the existing procedure, it has been
decided with the concurrence of the Auditor General of Pakistan to
introduce a new procedure of credit memo. In which no T.E. is
involved. With the introduction of credit memo procedure the
complications in account that have been experienced in the existing
procedure would be eliminated. The existing procedure already
issued vide this office order No.Fds-113, dated 30-1-82 would
become in operative form the date of issue of this office order. The
salient features of the credit memo procedure will be as under.
1. The G.P. Fund credit memo duly embossed with
special seal signed by the assistant Accounts Officer Fund –I (c) upto
the amount of Rs. 50,000/- (in the Main Office) will be sent to the
concerned accountant office and acknowledgement printed on the
credit memo would be sent back to the issuing office duly signed and
certifying the account of the amount in the ledger card of the
concerned subscriber.
2. In the Main office, all G.P. Fund sections will hand
over to fund II (c) section the sealed credit memos with the covering
lists prepared D.A.O. wise in duplicate, on every Sunday for on-ward
transmission to District Accounts Office concerned soon after
recording the particulars of credit memos in his main “outward
register”.
3. The “Inward” and outward” registers will be maintained
in each fund section of Main Office as well as in all the District
Accounts Officers. The inward register as well as be maintained in
each month these registers, will be accounted for in the Broad sheets
monthly account when prepared.
4. All transfer cases will be entered as plus and minus as
the case may be in the same calendar month viz when an case is
transferred in the month of July that case will be accounted for in the
Broad Sheets in the month of July at both ends.
5. When a sealed credit memo is received in the Fund
section/DAO office, then after recording the same in the sectional
inward register it may be pasted on the ledger card of the subscriber
immediately and the total amount may be posted in the proper month
of the ledger card. The year wise details may also be recorded on
the ledger cards.
6. The acknowledgements when received back in the
concerned G.P. Fund section DAO office may, also be pasted on the
L/Cards form where the balances have been transferred.
7. At the end of every month, each District Accounts
office will have to submit a consolidated list of “onward” and
“outward”, giving details viz, Both the account No. ‘s name of the
subscriber, amount and name of the District Accounts office to fund II
(c) section of this office for proper watch and reconciliation.
8. In cases of retired or deceased subscribers, the
existing procedure of issuing the sealed final payment authorities
from the Main office will however continue.
9. The form of credit memo may be arranged locally for
the time being. The same will be provided to each district account
office when printed.
10. As regards the transfer of balances form a province to
Centre and form one province to other province; the existing
procedure of T.E. will however remain as it is. In this respect each
fund section in the main office s well as in the District Accounts
Offices will send the details to account III section of this office after
affording the T.E. for onward transmission to concerned Audit circle.
10. A All existing orders on the subject shall be deemed to
have been modified to the extent indicated above. All existing orders
not so modified shall continue to be in force under this scheme.
11. The year wise details of each transfer case may be
recorded on the back of sealed. “Credit Memo” form the date of
Opening of the D.A.O. and in the main office form 1969-70 onward
specifying the month of last deduction.
12. In the main office all such sealed “Credit memos will
be received by fund II (c) section which will record in “Inward
Register” “outward register as the case may be and then will pass on
to the concerned G.P. Fund section 5th and 20th of the month for
further action.
13. A control Broad Sheet (Register) will be maintained in
Fund II (C) for proper watch and check.
14. The amount of the G.P. Fund Credits transferred may
not be taken into account of monthly account and list of payment.

Accountant General’s order dated: 22-7-1984.

DEPUTY ACCOUNTANT GENERAL FUNDS.

A specimen of the “Credit Memo” is enclosed herewith.
 CREDIT MEMO/TRANSFER MEMO
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE
No. FDs/ /FT/ HM/ Dated:
To
The District Accounts Officers,
________________________.
SUBJECT: TRANSFER OF G.P. FUND ACCOUNTS IN
RESPECT OF MR. ___________ FORM ACCOUNT
NO. ________________TO ACCOUNT NO.
___________________
A sum of Rs.
____________________________(Rupees___________
_____________________only) standing at the credit of the
subscriber upto _______ ________________________is transferred
to your office for adjustment against his account No.
_________________________in the accounts for
_________________ ______________. The amount is transferred
finally. Interest has been allowed upto
_________________________________year wise details are noted
on the back.

Assistant Accountant General
Assistant Accountant Officer
District Accounts Officer
No. Even/ Date:
Copy forwarded to
________________________________________ for information
with reference to his letter No.
_______________________________ dated
_____________________________.

Assistant Accountant General

Assistant Accountant Officer
District
Accounts
Officer

Acknowledgement to be sent to the G.P. Fund
Account Transferring Office. ________________________.
NO. Fds/HM/ Dated: -
The receipt of the sealed Credit memo. No.
Funds/HM/
Dated. ____________for Rs.
____________________(Rupees:________________ only) of G.P.
Fund balance Account No.11/______________in respect of Mr.
______ ______________is acknowledged.
The amount has actually been credited in the account
NO. _________ ______of the subscriber in the accounts for
____________________________in this office and has been noted
at S. No. __________________in the inward register.

Assistant Accountant General

Assistant Accountant Officer
District Accounts Officer
Assistant Accounts Officer (Funds),
Office of the Accountant General,
Punjab, Lahore.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O.No. Funds. II/TFR-A/C Procedure/84-85/273
Dated: 10-12-1984
To
1. All the District Accounts Offices in the Punjab.
2. All Fund Sections in the Main Office.
3. All Branch Officers of Fund Sections in the
Main Office.
4. Officer on special Duty Roorg Cell.
5. Assistant Accounts Officer T.M. Sections.
SUBJECT: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCES FROM ONE OFFICE TO
ANOTHER OFFICE.
In a large number of cases complaints have been
received that the G.P. Fund balances of the Punjab Government
servants transferred from Main Office to District Accounts Officers
and form one District Accounts Office to another and vice versa
through T.E. Introduced by this office vide circular NO. Fund I/113
dated 30-1-1982 accounting system, have not reached at their
destination, consequently the related subscribers have to face great
inconvenience in getting their G.P. Fund dues at the time of final
payment etc. and un-necessary correspondence state in this respect
between the Audit Office. In order to over come such difficulties the
following amendments are made in the procedure for transfer of G.P.
Fund balances.
(i) The cases which were transferred through T.E. and
their minus credits have been received in the Broad sheet as well as
in the L/cards of the subscriber of transferring office but actually the
some have not been received at their destination due to some
reason, and the transferring office has been informed in writing by
the receiving office where the credits were to be received, that no
such balance has been received in his office, for such cases a
duplicate transfer sealed intimations in the form of “Transfer Credits
Memo” may be issued to the office where the credit was required to
be received.
(ii) All such duplicate “ Transfer Credit Memo” will be
adjusted as plus in the receiving office in the month in which there
are issued as duplicate.
(iii) The transferring office will not take it again as minus in
the Ledger/Card as well as in the Broad Sheet.
(iv) In the monthly-consolidated lists of Inwards and
outwards to be sent to funds II (c) section of this office such duplicate
“Transfer Credit Memo” may be shown separately giving full details.
(v) In cases where balances were shown to have been
transferred according to the entries recorded on the L/Card of the
subscribers and no indication of T.E. is available on the L/Card. The
G.P. Fund balances of such subscribers may be transferred again
through “Transfer Credit Memo” under present procedure circulated
vide this office No: Fund. I/Accounting procedure/83-84/19 dated: 22-
7-1984.
(vi) In cases of final payment if a District Accounts
Office/Main Office is informed about non receipt of original final
payment authority, non payment certificate may be obtained and
duplicate authority issued after making necessary entries of non
payment on the Ledger Card.

DEPUTY ACCOUNTANT GENERAL

MUHAMMAD SHARIF BHATTI
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O.No. Funds. II/TFR-A/C Procedure/84-85/260
Dated: 27-11-1984
To
1. All the District Accounts Offices in the Punjab.
2. All Fund Sections in the Main Office.
3. All Branch Officers of Fund Sections.
4. Officer on special Duty Re-org Cell.
5. Assistant Accounts Officer T.M.
SUBJECT: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCES FROM ONE OFFICE TO
ANOTHER OFFICE.
It has been observed that the new procedure
regarding transfer of G.P. Fund one office of another introduced vide
this office order No. Fund. I. Accounting Procedure/83-84/19 dated
22-7-84 is not being followed according to the instructions contained
therein.
The following shortcomings have been noticed on the
part of the District Accounts Offices.
(a)(i) The ward credit memo is not written at the top of
“Credit Memo/Transfer Memo with the result that it creates confusion
as to whether the amount has been transferred under old procedure
or new procedure.
(ii) T.D.H. II Section has reported that certain District
Accounts Officers are still following the old procedure involving cash
account with which the implementation of new procedure has
become unoperative. The old procedure should be discontinued
forthwith.
(iii) “ Inwards and Outwards “ registers have not so for
been opened.
(iv) The sealed transfer credit memo when received in the
G.P. Fund sections of Main Office as well as of the District Accounts
Offices are not being recorded and credited immediately in the
“Inward Register” as well as in the L/Card of the subscribers in the
proper month as plus and minus entry in the Ledger Card in case of
transfer to other office.
(v) At the close of every month each District Accounts
Office was required to submit a consolidated list of “Inwards and
Outwards “ giving details viz both the account No’s Name of the
subscriber, and amount to Fund. II Coord section of this office for
proper watch and reconciliation. Which is not being done. This
should be observed and such lists should be sent to this office duly
typed or written with legible handwriting.
(vi) The acknowledgements are not being sent to
transferring office immediately after the case is received in the Fund
sections of the District Accounts Office and Main Office.
(vii) The Transfer Credit Memo” forms may not be used for
the cases, which are to be, transferred to other Audit circles viz.
Accountant General, Sindh, Karachi, Account General NWFP,
Peshawar, Comptroller, Balochistan, Quetta and Accountant General
P.R. Office etc. The balances to other audit circles will be transferred
under the old procedure of T.E. through account III section of this
office.
(viii) On receipt of the sealed transfer Credit Memo in the
G.P. Fund section, payment regarding advances and final withdrawal
can be made after posting the credit on the L/card and inward
register.
(b) (i) The balances in large number of subscribers in whose
cases sealed transfer intimations were issued under the old
procedure but their advices have not so for been received in the
offices to which these were transferred viz: in the main office as well
as in the District Accounts Offices due to which balances have not
actually been credited in the ledger account of the subscribers. To
avoid further complications all such cases may be adjusted as plus
and cleared in the monthly account in hand under intimation to the
transferring office for minus entries under present procedure and
such sealed intimations treated as credit memo.
(ii) The instructions already issued and shortcomings
pointed out in this circular letter may kindly be observed strictly.
(iv) Please acknowledge receipt of this letter.

DEPUTY ACCOUNTANT GENERAL

MUHAMMAD SHARIF BHATTI
 OFFICE OF THE ACCOUNTANT GENERAL PUNJAB, LAHORE
No. FUND. Zakat/ZD/806/F-II/84-85/356
Dated: 30-4-1985
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High Court, Lahore.
9. The Secretary Punjab Public Service
Commission, Lahore.
10. The Deputy Commissioners and District and
Sessions Judges in the Punjab, Lahore.
SUBJECT: CLAIMS FOR EXEMPTION OF GROUNDS OF FAITH
AND FIQH FROM DEDUCTION OF ZAKAT AT
SOURCE FROM THE G.P FUND ACCOUNTS OF
THE GOVERNMENT SERVANT AT THE TIME OF
NON REFUNDABLE ADVANCES AND FINAL
PAYMENT.
In pursuance of the orders contained in rule 20
under the first proviso to sub section (3) of section I of the Zakat &
Ushr Ordinance 1980, provided one files with the Zakat Deducting
Officer an attested true copy of the declaration on form CZ. 50 (copy
enclosed) within one month as amended vide Government of
Pakistan Ministry of Finance (Central Zakat Administration) NO.
SRO. 243 (i)/84 dated 18-3-1984, proceeding the valuation date
(Valuation date in respect of assets payable to Zakat means the first
day of Zakat year that is the first day of Remzan-ul-Mubarak each
year).
2. It has been observed with great concern that the
above orders have not been carried out by the drawing and
disbursing Officers, resulting in great difficulties and delay on the part
of the Audit Offices at the time of making payments of final payments
and non refundable advances out of G.P. Fund Accounts, Generally
such declarations are always submitted by the claimants with the bills
which is against the rules and cannot be admitted in Audit Offices.
3. Under these circumstances you are requested to
direct all the D.D.O’s under your control for strict compliance.
4. The following shall be treated as recognized Fiqh as:
(i) Hanafi (ii) Maliki (ii) Shefi, (iv) Hamabli (v) Jafariyah
including shia Ismailaia, Shia Bhora, Shia Dawoodi Bohra.
5. The non-Muslim should clearly intimate the Audit
Office that they are non Muslims on plain white paper through proper
channel only once in his service, Form CZ-50 is only for Muslims as
directed by the Central Zakat Administration vide letter No. 3400 C.E.
806 June 1983.
6. The G.P. Fund number must be mentioned in the
declaration form in all cases and the declaration of the Government
servant claiming exemption from deduction of zakat may be
submitted by them to Audit Offices through proper channel so that
note to the effect may be recorded in the Ledger Card of G.P. Fund
account.
The receipt of this letter may kindly be acknowledged.

SHEIKH ABDUL GHAFAR

DEPUTY ACCOUNTANT GENERAL
 Form CZ-50
DECLARATION
(On Rs. 4/- Stamp Paper)
UNDER THE PROVISOS TO SUB-SECTION (3) OF SECTION I OF
THE ZAKAT AND USHR ORDINANCE 1980 (XVIII OF 1980) AND
RULE 20 OF THE ZAKAT (DEDUCTION AND REFUND) RULES,
1981 SWORN ON OATH BEFORE.
12
Son/daugher/wife/wido
of 3
of 4 Years of
age.
Of 5
Do hereby solemnly swear by Allah that
(a) I am a Muslim and follow 6
Fiqh,
(b) According to my faith and the above said fiqh
I am no obliged to pay ………………………..
(i) Zakat on the following types of assets to the
extent indicated against each: 7
and
(ii) Ushr on the following kinds of produce to the
extent indicated against each produce 8
(c) That what is stated above is true to the best of my
knowledge and belief.
Place:
__________________
D
ep
on
ent
Date: _______________________________
We
1–9 Son of 10 of 11
2 – 12 Son of 13 of 14
Solemnly affirm that we know the above deponent and
identify him as the some person as described above.
___________________
___________________
Witness
Witness
The above declaration has been solemnly affirmed on
oath before me this day of
, 198 by the above
deponent in the presence of the above witnesses identified the
above ponent.
Place:
___________________
Date: (Name
and designation of the
Person
administering oath)
Seal of Office
Note: (A) In case of a minor or insane persons his guardian
shall make this declaration. A minor supposed to
follow the fight of his father and the declaration shall
be made accordingly.
(B) Fill in the Blanks as follow:
1. Name, designation and address of the person-
administrating oath.
2. Name of the deponent.
3. Name of the father or husband of the deponent.
4. Age of the deponent.
5. Complete address of the deponent.
6. Name of the recognized fight that the deponent follows.
7. Name of the assets with the extant to which Zakat is not
required to be paid on each asset.
8. Names of the produce as defined in clause (xviii) of
section 2 of the Zakat and Ushr Ordinance, 1980, and the
extant to which Ushr is not required to be paid on each
produce.
9. Name of the first witness.
10. Father’s name of the first witness.
11. Address of the first witness.
12. Name of second witness.
13. Father’s name of the second witness.
14. Address of the second witness.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O. No. Fund: II/GPF/Schedules/84-85/362
Dated: 05-05-1985
To

1. All Administrative Secretaries to

Government of the Punjab, Lahore.
2. All Heads of attached Department.
3. All Commissioners of Divisions in the
Punjab.
4. All deputy Commissioners and District
and session Judges in the Punjab.
5. The Registrar Lahore High Court
Lahore.
6. The Chairman Punjab Public Service
Commission Lahore.
7. The Director public instructions for
colleges Lahore.
8. The Director public instructions for
schools Lahore.
9. Inspector General of Punjab Police
Lahore.
10. All Superintendent of police District
Education in the Punjab.
11. All G.P. Fund sections including
assistant Accounts of Officers of fund sections
in the main office.
12. All Branch Officers I/C of GAD Sections
and DA section in the main office.
13. All District Accounts Officers in the Punjab.
14. All Heads of Offices District and Division level.
SUBJECT: PREPARATION AND PRE-CHECKING OF G.P.
FUND RECEIPT SCHEDULES.
Please refer to our circular letter No:
Fund.II/AS/GPF/Schedules/83-84/39 dated 2-11-83 and No. Fd.
II/AS/GPF/Schedules/83-84/39 dated 10-4-84 (copies enclosed). You
are once again reminded that G.P. Fund schedules must be
prepared and pre-checked in accordance with the instructions issued
from time to time by this office as well as by the Government of the
Punjab.
You are, therefore, requested to direct all the
subordinate offices under your control to get all the G.P. Fund
schedules including those portioning to your own office for both
gazetted as well as non-gazetted staff, pre-checked form the
concerned G.P. Fund sections of Audit Offices before 10-6-1985.
Verified schedules should then be printed or cyclostyled for the entire
financial year and enclosed with the pay bills for the month form 6/85
paid in 7/85 onwards. Failing which pay bills will not be entertained.
A.G’s order dated 4-5-1985.

SHEIKH ABDUL GHAFAR

DEPUTY ACCOUNTANT GENERAL (FUNDS).
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund: II/GPF/Schedules/83-84/39
Dated: 02-11-1983
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab
4. All Deputy commissioners and District and
Session Judges in the Punjab.
5. The Registrar, Lahore High Court, Lahore.
6. The Secretary, Punjab public service
commission, Lahore.
7. All District Accounts Offices in the Punjab.
SUBJECT: PREPARATION AND PRE-CHECKING OF G.P
FUND RECEIPT SCHEDULES.
It has been observed that the G.P. Fund Receipt
schedules in the offices of the Drawing and disbursing Officers are
not being prepared in accordance with the instructions issued form
time to time by this office as well as by the Government of the
Punjab, which causes the increase in number of missing credits in
the G.P. Fund Accounts of the Government Servants for no fault on
their part.
2. The defects noted in the G.P. Fund receipt schedules
are mainly of the following nature: -
i. G.P. Fund Account numbers are not shown at all in
the Schedules.
ii. Incorrect Account Numbers are invariably being
written in the schedules.
iii. Guide letter such as II/GA, II/Edu, II/Misc: etc are not
indicated with account number allotted by the Audit
Office.
iv. Schedules are not prepared in series of thousand
wrong totaling of schedules.
v. Wrong totaling of schedules.
vi. Note regarding retirement, suspension dismissal
death, leave and transfer form one place to another of
a subscriber is not recorded in the schedules.
vii. Schedules are prepared on minor slips instead of on
full or half page written with illegible handwriting.
viii. Schedules are not printed or cyclostyled after
verification by the Audit Office.
3. The above situation creates much complication in the
proper maintenance of G.P. Fund Accounts of the Government
Servants in this office as well as in all the District Accounts Offices
and mental torture to the subscriber a for nothing.
4. In order to ensure compliance of the Government
instructions contained in former Government of the Pakistan, S&GAD
circular letters No. No. S(R) 2947/12-11/6650 xiii dated 18-1-1967,
and No. S (R) –2495/7-28/6850xiii dated 25-10-1968 and
Government of the Punjab, Finance Department circular letter No.
1164 (SR) iv/71 dated 9-6-1971 and No: 1699 SO (R) Iv/71 dated 25-
6-81 no pay bill will be entertained/passed by this office as well as by
the District Accounts Offices (pay bills passing sections) form 12/83
paid in 1/84 onward, unless it is accompanied by G.P. Fund
schedules prepared/attached with the pay bills according to the
Government instructions.
5. You are, therefore, requested to direct all the
subordinate offices under your control to get all the G.P. Fund
schedules including your own office both Gazetted s well as non-
gazetted staff pre-checked form the concerned G.P Fund sections of
Audit Offices, if already not get checked this year and then these
verified schedules may be got printed or cyclostyled for the entire
financial year and enclosed with the pay bills for the months of 12/83
paid in 1/8, 1/84 onwards failing which the matter will be reported to
Government for taking necessary action against the defaulting
officers.
6. For the preparation of correct schedules the
instructions already issued on the subject are supplemented with the
following guidelines, which may be strictly observed while preparing
the G.P. Fund receipt schedules.
i. Each schedules must be printed or cyclostyled on full
page and not on a minor slips in the series of thousand viz. 10 to
1000, 1001 to 2000 to 3000, etc.
ii. The G.P. Fund schedules of Account number having
separate symbols viz. II/GA.II/Edu, II/Misc: should be prepared
separately.
iii. Amount of refund of withdrawals need not be printed
and should be.
iv. Grand totals of each series of schedules should be
shown in red ink in figure as well as in words.
v. In case of a gazetted
Father’s name should be printed which will suffice for
his whole period of service, the amount of monthly subscription of
G.P. Fund and refund of withdrawals should invariably be checked
by him. while signing the schedule attached with his pay bill.
vi. The information about the dismissal, resignation,
termination of service, death, suspension from service, transfer to
autonomous bodies or other Audit Office/District Accounts Office of
the subscriber may be mentioned in the remarks column of the
schedule. In case of a gazetted officer he himself should furnish the
said information in writing to Audit Office.
vii. In case of non gazetted Government servants where
schedules are enclosed with one bill a covering list for these
schedules be prepared giving therein totals of each series of
schedules with grand totals in figures as well as in words.
viii. No other schedule such as B/Fund deduction any
recovery on account of other than G.P. Fund should be prepared no
the sheet of G.P. Fund schedules.
ix. No deduction on account of G.P. Fund subscription
should be made form the pay of the new subscriber should be made
form the pay of the new subscriber unless their account Nos. are
allotted by the Audit office. The forms for the allotment of G.P. Fund
A/C. No. in case of Government servants who is likely to complete
his two years service should be submitted to Audit office well in time
to avoid subsequence complications.
x. A simplified specimen of G.P. Fund receipt schedules
in given below for guidance and proper preparation of G.P. Fund
receipt schedules.

Actual Refund of
S. Name, F/Name &
A/C Pay rate of with Total Rema
No. Designation
deduction drawals.

1 2 3 4 5 6 7 8

7. All the drawing and Disabusing Officers may also

please be directed to depute their Accounts Clerk to concerned Audit
Offices for quarterly reconciliation of the G.P. Fund Accounts of the
Government servants regarding missing credits alongwith the
reconciliation of west Pakistan/Punjab in their circular letter Nos.
mentioned in para. 4 above.
The receipt of this letter may please be acknowledged.

SARSHAR
AHAMD KHAN
DEPUTY ACCOUNTANT
GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund: II/AS/OFF/Schedules/84-85/342
Dated: 10-04-1985
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of attached Department in the
Punjab.
3. All commissioners of Divisions in the Punjab.
4. All Deputy Commissioners and District &
Session Judges in the Punjab.
5. The Registrar, Lahore High Court, Lahore.
6. The Secretary, Punjab, public service
Commission, Lahore.
7. All District Accounts Officers in the Punjab.
SUBJECT: PREPARATION AND PER-CHECKING OF G.P.
FUND RECEIPT SCHEDULES.
In continuation of this office circular letter No. Fund-
II/As/GPF/Schedules/83-84/39, dated 2-11-83. You are once again
requested that G.P. Fund receipt schedules must be prepared and
pre-checked in acknowledge with the instructions issued from time to
time by this office as well as by the Government of the Punjab.
When a person is only-ave or under suspension and
no deduction is made on account of G.P. Fund for such cases, the
G.P. Fund Receipt schedules must be prepared indicating Zero
deduction.

SH: ABDUL GHAFAR

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE

NO: Fund. XIII/CD/222
Dated: 01-06-1986
To
The under Secretary (SR-I)
Government of the Punjab
Finance Department, Lahore
SUBJECT: DELEGATION OF POWERS FOR THE GRANT G.P.
FUND ADVANCES UNDER THE PUNJAB G.P.
FUND FULES. 1978.
1. Please refer to your office notification No. SRI-2-5/82,
dated. 31-5-83 on the subject noted above addressed to DPI
(Schools) Punjab, Lahore to copy endorsed to this office.
2. In the notification of referred to above the powers to
grant the G.P. Fund advance to the staff upto NPS. 18 were
delegated to the following authorities to the interest of full powers in
accordance with the provident fund rules 1978.
1. District Head of Department
2. Divisional Head of Department
3. Regional Head of Department
4. Head of attached
3. Attention is invited to your office memo No. SR. IV-2,
15-75 dated. 29-4-82 under which it was clarified that the powers
delegated to the appointing authorities in the West Pakistan (Civil
Service) Delegation of powers rules 1962 has not been superseded
by these delegations in the Punjab provident funds rules 1978.
Which supersedes only the rules contained in CSR (Punjab) Vol. II.
The sanctions accorded by the appointing authorities for the grant of
temporary advance form G.P. Fund are in order.
4. It may please be confirmed whether the delegation of
powers grant the G.P. Fund Advance under G.P. Fund Rules. 1978
Conveyed under your office notification No. SRI-2-5/82 dated. 31-5-
83 to the authorities as confirmed by your department to the Director
Public instruction Punjab, Lahore under memo No. SR.IV.2/15-75
dated. 29-4-1982.
An early reply is requested.

MUHAMMAD SHARIF
BHATTI
DEPUTY ACCOUNTANT
GENERAL
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No: FD/SRI-2-5/82 Lahore
the 7th July. 1986.
To

The Deputy Accountant General,

Punjab, Lahore.

SUBJECT: DELEGATION OF POWERS FOR THE GRANT OF

G.P. FUND ADVANCE UNDER THE PUNJAB G.P.
FUND RULES, 1978.

Kindly refer to your letter No. Fd.XIII/CD. 22, Dated 1-

6-1986 on the subject noted above.
2. Finance Department observed that the power to grant
the G.P. Fund Advance under G.P. Fund Rules, 1978 Conveyed this
Department’s notification No. FD/SRI-2-5/82, dated. 31-5-1983 to the
authorities mentioned therein holds well.

Sd/
-
SECTION
OFFICER (SR-I)
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No: FD/SRI-2-3/83 (Provl) Lahore the 15 th
July. 1987
To
1. All Administrative Secretaries, Government of
the Punjab.
2. All Heads of Attached Department.
3. All Commissioners of Divisions in the Punjab.
4. The Secretary to Governor, Punjab Lahore.
5. The secretary to provincial Assembly, Punjab.
6. The Secretary to Chief Minister, Punjab,
Lahore.
7. The Secretary to Punjab public service
commission.
8. The Military Secretary to Governor, Punjab
Lahore
9. The Registrar, Lahore High Court, Lahore.
10. All Deputy Commissioners and District &
Session Judges in the Punjab.
11. All Officers in the Finance Department.
SUBJECT: REPLACEMENT OF EXISTING G.P. FUND SYSTEM
BY PROVIDENT FUND BOND SYSTEM.
Sir,
I am directed to refer to this Department’s circular
letter of even number dated 14-10-86 on the subject noted above
and to state that as complete implementation of G.P Fund scheme is
likely to take some more time, it has now been decided as follows: -
i) Payment of the amount being deduction towards
P.F. bond Scheme from the period form 1-7-86 to
30-6-88 (if the said scheme is not fully enforced by
that time) will be made to them alongwith the final
payment of their G.P. Fund balances.
ii) Grant of advances, recoveries thereof and the
financing of insurance polices out of the G.P. Fund
allowed upto 30-6-87 now stands extended upto
31st

YOUR OBEDIENT SERVANT

DEPUTY SECRETARY (SR)
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No: FD/SRI-2-3/83 (Prov) Lahore
the 5th July. 1988
To
The Accountant General,
Punjab, Lahore.
SUBJECT: IMPROVEMENT IN THE GENERAL PROVIDENT
FUND SCHEME.
Reference your’s letter No. FD-I/AS/provl.GPF/22,
dated 29-3-88 on the subject noted above?
2. It is clarified that a second non-refundable advance is
admissible but it will not be allowed until at least a period of one year
has elapsed since the previous advance had been drawn.

MUHAMMAD ISMAIL
SECTION OFFICER (SR-I)
CONSTITUTION OF "PENSION CASES DISPOSAL COMMITTEE"
The Services & General Administration Department
(O&M Unit) has been conducting a special drive since 1961 to
expedite disposal of delayed pension cases pending in the various
departments of the Provincial Government and considerable
progress has been made in securing final disposal of a large number
of old cases.
2. Action in the O&M Unit is, however, taken only on
reports of delays, which are received, from the retired officials and
the survey of the state of disposal of pension cases is, therefore,
restricted.
3. Complaints of inordinate delays in the final disposal of
pension cases and of the consequent hardship involved continue to
be received and while the cases are processed in the normal way
with the departments concerned, it is considered that the special
drive needs to be intensified and that a systematic review of the state
of disposal of pension cases generally is required to be under taken,
to meet the present unsatisfactory situation.
4. It has been decided for this purpose to constitute a
"Pension Cases Disposal Committee" as under-—
(1) Additional Finance Secretary' ...
Chairman
(2) Joint Secretary (O&M) ...
Member
(3) Officer Incharge, Pension Branch,
Member
office of the Accountant-General,
West Pakistan (Mr. Hashmat Ali) ...

(4) A representative of the Administrative

Member
Department concerned ...
(co-opted)
(5) Section Officer II (O&M) ...
Secretary.
5. The functions of the Committee will be —
1. to eliminate delays in the disposal of pension cases by
adopting suitable measures,
2. to offer guidance to the authorities concerned in the light of
rules, order and instructions issued from time to time, to
overcome difficulties experienced by them in the disposal of
such cases, and

3. to suggest measures necessary to remove bottlenecks, and it

will be responsible for ;
a a review, at fixed intervals, of the pending pension
cases, and
b ensuring that delays are avoided in the disposal of
fresh pension cases, of officials in each
department/office.
6. To enable the Committee to undertake the task
assigned to it, Administrative Departments are requested to furnish
particulars of pension cases (pending as on 1st November, 1965 in
each Department as well as in the Attached Departments, Regional
Offices and Subordinate Offices under its administrative control, in a
consolidated form in the enclosed pro forma. The pro forma
statement should be sent to the Services & General Administration
Department (O&M Unit) positively before 1st December 1965.
7. Attention in this connection is invited to the Services
and General Administration Department's Memorandum No. SR-22-
4/56, dated 1st May, 1957, and letter No. 0&M-II-1-23/61, dated 5th
June, 1962 vide (pages 58-61and 80-83 of the Pension Guide),
pertaining to the submission of quarterly returns of pending pension
cases to the632Administrative Departments and the maintenance of
check registers, by all pension-sanctioning authorities, in respect of
un-disposed of pension cases. It should be possible to complete the
enclosed pro forma statement on the basis of the quarterly returns
and check registers. However, it maybe ensured that the pro forma
statements to be prepared showing the pending cases as on 1st
November 1965 are accurate and complete in all respects and that
there is no omission of any pending case in any department/office.

(S&GA Dept Memo No. O&M-II-1-50/65, dated 1.11.65)

 PRO FORMA

This pro forma statement should, on completion, be sent by each

department/office to the Administrative Department concerned (and
not to the Services & General Administration Department). The
Administrative Departments will send consolidated information to the
Services and General Administration Department.
Department/Office--------------------
Statement showing particulars of pending pension cases (as on 1st
November, 1965)
Sr. Name of retired Post held at the Date of Present sta
No. Government servant time of retirement retirement of disposal
pension cas
 EXPEDITIOUS DISPOSAL OF PENSION/PROVIDENT FUND
CASES
I am directed to invite a reference to this Department's letter No. S
(R)-1620/7-22/66-SOXIII dated the 30he May 1966, on the subject
noted above, and to say that the Pension Cases Disposal Committee
has represented that the statements are needed in quadruplicate. It
is, therefore, requested that the returns may be submitted to the said
Committee in quadruplicate invariably in future.
2. The 0. & M. Unit of Services and General Administration
Department is functioning as the Secretariat of the -Pension Cases
Disposal Committee. The quarterly returns may, therefore, be
addressed to the Committee at the following address: —
"The Secretary, Pension Cases Disposal Committee, 0. & M. Unit
(Section II), Services and General Administration Department, Civil
Secretariat, Lahore."
and should not be sent to Finance Department as mentioned in the
letter under reference.
3. The pro forma circulated by the Pension Cases Disposal
Committee with its letter No. 0. & M-I1/1-50/65, dated 13th July 1966,
may be considered as withdrawn and the information may instead be
furnished in the pro forma appended with this Department's letter No.
S (R) 1620/7-22/ 66-SOXIII, dated 30th May 1956. The Committee
has already addressed a reference to all Administrative Departments
under its letter No. 0 & M-II/5-1/66, dated 8th August 1966.
4. The Administrative Departments are already getting quarterly
returns from their subordinate offices in compliance with standing
instructions contained in Services and General Administration
Department's Memorandum No.l-22/'l-56, dated 21st May 1957. In
case these are (coming in regularly, the Administrative Departments
should take effective steps to ensure therein prompt receipt, which
may then be consolidated, the cases relating to the Administrative
Department itself incorporated therein and return supplied to all
concerned in accordance with the present instructions.
5. I am further to emphasize, that the subordinate offices may be
given definite instructions not to submit urns to the Committee's
Secretariat direct, but invariably route them through the
Administrative Department. The information received piece-meal/or
direct from subordinate offices will be returned to the Administrative
Department concerned for processing the same according to
instructions ,laid in paragraph 4 above.
6. It has been reported by the Committee that the quarterly returns
which were due in the first fortnight of July 1966 have not so far been
received. It is of paramount necessity that these returns are sent on
schedule. It is, therefore, requested that while the returns due in July
may be sent to the Committee forthwith, the returns due in the
succeeding quarters should invariably be sent in the months in which
they are due.

(S & GA DEPT LETTER NO. S (R)-252]/7-8/66-SOXIII, DATED 24.

8. 66)
 EXPEDITIOUS DISPOSAL OF PENSION/ PROVIDENT FUND
CASES
I am directed to invite a reference to marginally noted
communications on the subject noted above and to enclose a pro
forma for the submission of similar quarterly returns in respect of the
outstanding Provident Fund Cases as well.
2. The return in this respect is also to be furnished to the
Pension Cases Disposal Committee functioning in the 0 and M. Wing
of S&GAD, at the specified address, should be in quadruplicate and
copies have to be endorsed to other quarters on the analogy of the
return relating to pension cases. The first return in this respect should
be for the quarter ending 30th September 1966 and should reach all
concerned within the first fortnight of October 1966, and subsequent
returns should follow likewise. It is requested that necessary
arrangements may be made in advance in this respect and it may by
ensured that the information is, received from the subordinate offices
well in time and on a consolidated return is supplied by each
Department. The submission of piece-meal return may please be
avoided and the requisite information instead supplied in one lump
sum. The receipt of this letter may be acknowledged.

(S&GA Dept letter No. S (R)-2520/7-22/66-SOXIII, dated 3.9.66)

No. of letters referred to in para 1 of this letter:

1. No.S (R) 1620/7-22/66.SOXIII, dated 30th May, 1966
2. No.S (R) 2521/7-8/66.SOXIII, dated 24th August, 1966
 Department/Office--------------------

STATEMENT OF PENDING CASES RELATING TO FINAL

WITHDRAWAL FROM G.P.FUND ACCOUNTS BY RETIRING
GOVERNMENT SERVANTS FOR THE QUARTER ENDING--------
Sr. Name of Post held at Date of Date of Present
No. Government the time of retirement Application stage
servant retirement for the ca
withdrawal and
of G.P.Fund progress
made,
since
submiss
n of l
report
 RECOMMENDATIONS OF THE EXPERT COMMITTEE OF THE 0
AND M WING OF SERVICES AND GENERAL ADMINISTRATION
DEPARTMENT REGARDING G. P. FUND ACCOUNTS.
The 0 and M Unit of Services and General
Administration Department has on re-consideration revised the
recommendations, dated 5th June 1964 issued under Government
circular letter No. 579-Adv. (Home)-64, dated the 31 st July, 1964. A
copy of the revised recommendations together with the form of
maintenance of accounts is enclosed herewith for information and
strict compliance.
(Finance Dept letter No. 623-Adv (Home)-65,dated 2. 6. 65).
MAINTENANCE OF GENERAL PROVIDENT FUND ACCOUNTS
Deductions in respect of General Provident Fund are
made in salary bills and shown in separate schedules attached to the
bills. From these schedules, the Audit Offices post entries in the
accounts of the subscribers.
2. In order to enable the subscribers to know the exact
state of their accounts whenever necessary, the Committee
recommend that every department/office should prepare and
maintain a running statement showing monthly subscriptions made
by all Gazetted and Non-Gazetted officials of the Department/Office
concerned and containing other necessary information (particulars of
the subscribers Account No.,withdrawal from the Fund and
repayment). This statement should be shown to the subscribers if
and •when required. The statements should be maintained in the
attached form.
3. The purpose of the statement, which is to be prepared
from the monthly schedules of the G. P. F. deductions, is—
1. a running and a complete record of deductions
may be available in each department/office for
consultation :'by the subscribers;
 2. the amount of each G. P. F, account can be
.ascertainable at any time at a glance ;
3. the statement will help in the rectification of any
.omission which may be found in the G. P. F.
slips issued by Audit Office at the end of each
financial, year ; and
4. It would facilitate making of correct and up-to-
date entries in the Last Pay Certificates, which
are issued on -transfer.
4. The above-mentioned statement will not be a
substitute for the Annual G. P. F. slips, which are and will continue to
be issued to subscribers by the Audit Offices.
5. The Committee recommended that special staff should
be added to the Audit Offices to bring the G. P. F. accounts up-to-
date. The Heads of Audit Offices should be asked to launch a special
campaign for completion of the accounts.

April
February

May

Total in figures & words

Name & Designation of the subscriber

October

December
S.No.

G.P.F A/C No.

June

March
July

January
September

November
August

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

SIGNATURE OF THE DRAWING AND DISBURSING OFFICER /

DEPARTMENMT
RECOMMENDATIONS OF THE EXPERT COMMITTEE OF THE
O&M WING OF THE SERVICES ANDGENERAL ADMINISTRATION
DEPARTMENT REGARDING GENERAL PROVIDENT FUND
ACCOUNT
With reference to this Department's Circular letter
No.623-Adv. (Home)-65, dated the 2nd June, 1965, on this subject, I
am directed to state that it has now been decided that Column 2 of
the Running Statement attached therewith may be amended so as to
include the name of the father of the subscriber as well. This column
may, therefore, be amended as "name with father's name and
designation of the subscriber".
2. It has further been decided that in future an extract
showing the General Provident Fund deductions from the Running
Statement of the Government servant should invariably be enclosed
with the Last Pay Certificate on his transfer from one
Department/Office to the other with a covering entry in column 4 on
page 2 of the Last Pay Certificate.

(Finance Dept letter No. 2057-SR-VJ/66. dated 8.11.66)

 REVIEW OF AUDIT OBJECTIONS AND QUERIES ON THE
PERSONAL CLAIMS OF GOVERNMENT SERVANTS
I am directed to state that complaints have been
received by the Comptroller and Auditor-General of Pakistan that
audit Observations and queries made by the office of the
Accountant-General etc. on the personal claims of Government
servants often become the subject matter of protracted
correspondence between the Audit Officer and claimants leading to
delays in payment. This causes hardship to the claimants on the one
hand and unnecessary increase of work in audit offices on the other.
In order to expedite, the Comptroller and Auditor-General has
introduced the procedure for expeditious settlement and finalization
of personal claims of the officers and staff of the executive Offices as
will appear from his Memo. No. 1364-Pro-I/76-64, dated 23rd
November 1964, copy enclosed (Annexure I).
2. The drawing and disbursing officers receiving the audit
observation or query are required to answer it as at present. In case
the audit observation or query is not settled and thus the drawing
and disbursing officers feel that it is un-reasonable, irrelevant,
vaxatious, over-meticulous or other- wise un-justifiable, he should
move his appropriate superior authority to refer the case to the
Accountant-General/Comptroller (by name) explaining fully the
circumstances in which observations and query raised by him, is
considered inappropriate. If no settlement is reached at this stage the
superior authority should refer the matter to the Comptroller and
Auditor-General of Pakistan through Administrative Department of
Government. The reference to the Comptroller and the Auditor-
General should contain full facts and complete copies of order
relating to the issue and papers should be forwarded to him with a
brief summary of reasons as to why observations and queries of the
Accountant- General/Comptroller are not acceptable to the referring
authority. The Comptroller and Auditor- General will then examine
the case and give his decision which will be communicated to the
referring officer and the Accountant-General/Comptroller concerned.
5. These instructions may please be acknowledged and
brought to the notice of all Government servants.
6. A copy of Memo. No. 1365-Pro. 1/76-64, dated 24th
November, 1964, from the Comptroller and Auditor-General of
Pakistan, addressed to the Accountant-General and Comptrollers,
etc. (by name) is further enclosed (Annexure II).
It explains objects of the scheme discussed above.
The objects are twofold, firstly to enable review of the audit policy
and modify audit procedure and practices so as to make them
consistent with the present day conditions Secondly to create a
sense that Audit and Administration are components of the
machinery of the Government and there is a commonness of the
purpose of endeavour and of -achievement, etc.
(Finance Dept letter No. SO.A.A.II-7(26)/64.1788/64, dated 24.12.64)
3. The procedure applies to all cases of audit
observations and queries of personal claims whether addressed to
the Drawing and Disbursing Officers or to individual Gazetted
Officers whose claims are audited by the Accountant-
General/Comptrollers. The persons not in Government service may,
however, refer their cases direct to the Comptroller and Auditor-
General.
4. While the Comptroller and Auditor-General will
welcome the references of the nature stated above, references on
trivial cases may, however, be avoided. The referring officers are
accordingly advised to exercise due care to ensure that a case is
really important enough to merit consideration of the Comptroller and
Auditor-General, before it is sent to him for decision.
 ANNEXURE
No. 1364-Pro. 1/76-64
OFFICE OF THE COMPTROLLER & AUDITOR-GENERAL OF
PAKISTAN
Dated the 13rd November 1964'
TO
1. The Secretary to the Government of Pakistan,
Ministry of Finance, Rawalpindi.
2. The Secretary to the Government of West Pakistan,
Finance Department, Lahore.
3. The Secretary to the Government of East Pakistan,
Finance Department, Dacca.
Subject—Review of Audit observations and queries
Complaints have been revised by the Comptroller and
Auditor-General that audit observations and queries (hitherto known
as audit objections) made by the office of the Accountants-General,
etc., on the personal claims of the Government servants often
become the subject matter of protracted correspondence between
the Audit Officer and the claimant leading to delays in payment. This
causes hardship to the claimants on the one hand and unnecessary
increase of work in the audit office on the other. In order to expedite
the settlement of personal claims the Comptroller and Auditor-
General has introduced the following procedure for expeditious
settlement of audit observations and queries and finalization of the
personal claims of the officers and staff of executive offices.
2. The drawing and disbursing officer receiving the audit
observation or query should answer it as at present. If the audit
observation or query is not settled thus and the drawing and
disbursing officer feels that it is unreasonable irrelevant, vexatious,
overmcticulous or otherwise un justifiable, he should move his
appropriate superior authority to refer the case to the Accountant-
General/Comptroller (by name) explaining fully the circumstances in
which the observation or query raised by him is considered
inappropriate. If no settlement is reached at this stage, the superior
authority should refer the matter to the Comptroller and Auditor-
General through the Administrative Department of Government. The
reference to the Comptroller and Auditor-General should contain full
facts and complete copies of all correspondence and orders relating
to the point at issue and papers should be forwarded to him with a
brief summary of reasons as to why the observations and queries of
the Accountant- General/Comptroller are not acceptable to the
referring authority. The Comptroller and Auditor-General will then
examine the case and give his decision, which will be communicated
to the referring officer and the Accountant-
General/Comptroller concerned.
3. The above procedure applies to all cases of audit
observations and queries on personal claims whether addressed to
the drawing and disbursing officer or to individual Gazetted Officers,
etc., whose claims are audited by the Accountant-
General/Comptrollers. Persons not in Government service, may,
however, refer their cases direct to the Comptroller and Auditor-
General.
4. These instructions may please be brought to the
notice of all Government servants. A copy of the instructions issued
by Government on the subject may kindly be sent to this office.
5. The Comptroller and Auditor-General desires me to
say that while he will welcome the references of the nature stated
above, references on trivial cases may be avoided. The referring
officers may, therefore, be asked to exercise due care to ensure that
a case is really important enough to merit consideration of the
Comptroller and Auditor-General before it is sent to him for a
decision.
 ANNEXURE II
No. 1365-Pro. 1/76-64
OFFICE OF THE COMPTROLLER AND AUDITOR-GENERAL OF
PAKISTAN
52-B/III, Gulberg/III,
TO
Dated the 24 November, 1964
The Accountants-General & Comptrollers, etc.
(BY NAME)
Subject: Audit Review
I enclose a copy of letter No. 1364-Pro. 1/76-64, dated
23rd November 1964, addressed to the Central and Provincial
Governments by this office. The audit observations and queries
raised by Accountants-General/Comptrollers on personal claims of
the officers and staff of the Administrative offices are proposed to be
reviewed centrally by the Comptroller and Auditor-General. The
objects of the scheme contained in the enclosed letter are two fold.
Firstly, it is intended to give us an opportunity to review our audit
policies and to modify audit procedure and practices as embodied in
our Codes in order to make them consistent with the present day
conditions. Secondly, it is intended to create a sense that audit and
administration are components of the machinery of Government, and
there is a commonness of the purpose, of endeavour and of
achievement. We are, therefore, aiming at closer co-operation with
the administration so that audit may be looked upon as a valued ally
and not an alien and something extraneous in the nature of
impediment. In order to achieve this object, it is essential that we
should take a broader view in audit instead of unduly insisting on
technical errors and trivial lapses. The distressing tendency to raise
objections indiscriminately and simply for the sake of objection must
be curbed. The predominant idea behind audit observation or query
should be the financial interest of the State and not the meaningless
adherence to procedure. Therefore, when the cases arc referred to
you by the superior authority for reconsideration you will take a
broader view of the position.
2. Audit and Administration have hitherto been
functioning in watertight compartments. This exclusiveness of Audit
Department has adversely affected technical efficiency of audit.
There has been little inclination to get together and to understand
each other's point of view with the result that audit observations give
an appearance of "stick in the mud". The rules and regulations, which
audit has to apply were framed long ago in easier times and for
different purpose and under different circumstances and now baffle
application. These rules often prove unsuitable under the present
day conditions. Here audit is in the best position to bring to the notice
of Government where a rule acts harshly or over-liberally leading to
the waste of public money. In such a case audit can very well advise
Government for modification of the rules or the procedures. The
Accountants-General can well discuss such cases personally with
the Finance Department and thus help in toning up the
administration. But, of course, once a suggestion has been made,
which Finance Department will certainly welcome, you need not insist
on its acceptance. A necessary corollary to this new relationship
envisaged in the scheme is to impress upon the auditors
reorientation of the attitudes of mind. How far you succeed in your
efforts to change the outlook of your staff in developing better
understanding and establishing more cordial relationship with the
executive, will come to our knowledge from the cases referred to the
Comptroller and Auditor-General for review from your audit circle.
You must, therefore, try to create a feeling that audit is an agency of
constructive assistance to Government and not an instrument of
distasteful criticism only. As already stated earlier, the scheme is at
present proposed to be restricted to personal claims only and its
results will be watched by us carefully.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O No. Fund.II/(C)/TFR-Accounts/89-90/1288
Dated: 14-01-1990
To
1. All District Accounts Officers in the Punjab.
2. All Branch Officers of Fund Sections in the
main office.
3. All Fund Sections of main office.
4. Officer on special Duty.
5. I.C.O. for A.G’s information.
SUBJECT: TRANSFER OF G.P. FUND BALANCES OF THE
SUBSCRIBERS FROM MAIN OFFICE TO DAO’S
AND FROM DAO’S TO COMPUTER PERSONAL
NUMBERS IN THE MAIN OFFICE.
Please refer to this office Order No. Fund. II (C)
AS/TFR/G.P.F/Accounts/87-88/37 dated 12-11-87 (copy enclosed)
and submissions of Mr. Muhammad Umar Malik Supdt. Fund. II (C) in
the DAO’s meeting held on 8-1-1990.
2. In order to settle the cases of G.P. Fund balances not
yet transferred from main office to DAO’s it has been decided that
duplicate lists of all such transfer cases be prepared and sent
through registered post by name to Mr. Muhammad Umar Malik
Supdt. Fund II (C) in the main office.
3. Fund. II (C) section will hand over one list to the
Supdt./Accounts Officer of concerned G.P. Fund section for the
transfer of balance to concerned DAO.
4. The concerned Fund Sections in the main office are
required to complete the transfer work within one week of the receipt
of the letter in the section. A fortnightly report will be submitted to
DAG/A.G. by Fund. II section in this regard.
5. It has been observed that following omissions are
noticed which cause delay in the early adjustment of credits of the
Govt. Servants and should not occur in future.
a) The name of the transferring office is not recorded in
the transfer credit memo.
b) The year wise details of the balances received from
other Audit Officers are required to be shown separately in the
deposit column of the credit memo. Indicating the name of office from
where the balances have been transferred.
c) The G.P. Fund Accounts No. as well as computer P.
No. are not recorded correctly as directed.
d) In case of final payments the transferring office is not
informed about the period upto, which interest is required to be given
to the subscriber.
e) In case the subscriber is in service, the interest/Bonus
must be recorded upto the close of last financial year in the credit
memo, in each case.
A.G’s Order dated. 13-1-90

CH. FAZAL KARIM

DEPUTY ACCOUNTANT GENERAL
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O No. Fund.II/C/AS/TFR/GPF/Accounts/87-88/37 Dated:
12-11-1987
To
1. All District Accounts Officers in the Punjab.
2. All Branch Officers of Fund Sections in the
main office.
3. All Fund Sections of main office.
4. Officer on special Duty.
5. Officer Incharge TM Section.
6. I.C.O. for A.G’s information.
SUBJECT: TRANSFER OF G.P. FUND BALANCES FORM MAIN
OFFICE TO DAO’S AND FROM OLD DAO’S TO
NEW DAO’S IN THE PUNAJB.
A large number of Govt. servant’s un-transferred G.P.
Fund balances are lying in Funds sections of the main office as well
as in DAO’s.
2. Complaints of delay in transfer are being received
directly from subscribers and through Wafaqi Mohtasib, that G.P.
Fund balances have not been consolidated. In the main office these
balances are lying for want of where about of the subscribers, and
the intimation of correct G.P. Fund A/c number allotted by the DAO’s.
3. In order to settle these long outstanding cases, all
DAO’s are hereby directed to send, in duplicate lists of provincial
subscribers presently posted in their audit jurisdiction of Fund. II
section in the series of thousands of this office Account numbers,
Deptt. Wise of all such cases where of all such cases where
balances have not yet been received so for from main office, to their
offices and from old DAO’s to new DAO’s.
The list should be prepared as under: -
G.P. Fd. A/c
S. G.P. FD. A/c Name of the Father’s Designat
Allotted by
No. No. of Pb. subscriber name (if possib
DAO
1 2 3 4 5 6

4. On receipt of lists in Fund. II section, one copy will be

handed over to Incharge Branch Officer/supdt. of concerned section
in the main office for transfer of the balances to respective DAO’s. A
monthly progress reports regarding transfer of balances from main
office to DAO’s will be submitted to A.G. by Fund. II section in this
respect.
5. The DAO’s to whom the G.P. Fund balances have to
be transferred form old DAO’s should send one copy of the list in the
from noted above in para 3 to DAO concerned from where the
balances are required to be transferred and one copy to Fund. II
section of main office. The progress report of the transferring offices
will be watched through Inwards/outwards details already being
received in Fund. II sections and will be submitted to A.G. on the 10th
of each month.
6. The new operated DAO’s if they are aware about the
Government servants in whose cases the G.P. Fund balances are
require to be transferred form this office should also send the
duplicate list to this office for transfer.
7. The lists should be prepared on top priority basis and
any information required from the DDO’s in this respect should be
obtained through personal contacts. The desired lists should be
typed on a durable paper and must reach this office by 30-11-87.
The delay in this matter will not be tolerated and the DAO, Incharge
will be held personally responsible.
8. All Fund sections in the main office should prepare the
lists Deptt. Wise of those subscribers in whose cases the G.P. Fund
balances are lying outstanding in the Ledger/Cards giving G.P. Fund
A/c No. and the name of the subscriber. The lists should be prepared
after consulting the L/cards for the year 69-73 to 73-77 and onward
and one copy be handed over to Fund. II section. The A.G. has
ordered that the lists not sent by 30-11-87 must be brought in the
DAO’s meeting to be held on 8-12-87.

A.G’s order dated 11-11-87

Ch. Muhammad
Sarwar
Asstt:
Accountant General
 O.O. NO: Fund. II/GPF-TRF-Balaces/85-86/545/ Dated: 24-2-86
To
1. All District Accounts Officers in the Punjab.
2. All Fund sections in the Main Office.
3. All Branch Officers of Fund sections in the
main Office.
4. Assistant Accounts Officer Incharge Account III
section of Main Office.
5. Assistant Accounts Officer I/C TDH sections of
Main Office.
SUBJECT: PROCEDURE REGARDING TRANSFER OF G.P.
FUND BALANCES FORM ONE AUDIT CIRCLE TO
ANOTHER AUDIT CIRCLE THROUGH T.E.
In continuation of this office orders No: Fund.
I/Accounting procedure/83-84/260 dated 27-11-1984 and NO: 273
dated 10-12-85.
It has been observed that the G.P. Fund Balances
transferred from one Audit circle to another through T.E. viz from
provincial to central, province to province, to Pakistan Railway, forest
etc. are not being transferred properly due to non filling of proper
Head of Accounts in the T.E. and not sending the intimation of
transfer of balance to account III sections of this office with the result
that the balances never reach their destination and the subscribers
ledge complaints to Wafaqi Mohtsib and Auditor General of Pakistan.
In order the over come such difficulties the following
guide line sand proper Head of Accounts are given below for your in
formation and compliance.
(i) The form of “credit memo” transfer cases may not be used in this
respect.
(ii) The Form to be used for such cases is enclosed which may
be cyclist let at your ends.
(iii) Head of Accounts.
(a) From provincial to Central.
D/Receipt ………………………….11000000. De-fund liabilities.
11500000. State provident fund.
11503000. G.P. Fund
From A/c NO: ……………………………………
8000000 remthency CR…………………………………
8400000 Settlements Accounts
8401000 Adjusting account between Federal and Provincial
Government’s item adjustable by Accountant General of Pakistan
revenue Islamabad sub office against A/c No: …………………………
Lahore, Peshawar, Quetta, Karachi or C.C.M.A. etc.
(b) FROM PROVINCE TO PROVINCES.
D/Receipt…………………….…….11000 O. Un-Funded debt
11500 State Provident Fund
11502 G.P. Fund R/B provincial
 Accountant General Punjab
Lahore/DAO………………………………
From Account No:
………………………………………………………………………..
15000 Accounts of all types
15600 Remittances
CR…………………………..
15620 Inter provincial suspense
Account item
Adjustable accountant General
N.W.F.P Peshawar
Sindh, Quetta Balochistan
against A/c No. ______.
(C) FROM PROVINCE TO PAKISTAN RAILWAYS.
D/Receipt ………………………… 11000 O. Un-Funded debt
11500 State Provident Fund
11502 G.P. fund R/B Provincial
A.G. Punjab
LHR/DAO……………………………
From A/c No:
……………………………………..
15000 Accounts of all types
15300 Suspense A/C No:
……………………….
15304 Suspense Accounts
Railways
item adjustable by Financial Adviser and chief accounts officer
Pakistan Railways Lahore against A/C NO:
……………………………………………………………………..
(D) FROM PROVINCE TO BUDGET AND ACCOUNT OFFICER
FOREST DEPTT:
D/Receipt ………………………… 110000. Un-funded debt
11500 State provident fund.
11502 G.P. Fund R/B Provincial
A.G. Punjab
LHR/DAO………………………………
From A/C No.
………………………………………..
15000 Accounts of all types
15300 Suspense Accounts.
CR…………………….
15332 suspense Account
Forest.
Item adjustable by budget and
Accounts Officer.
Forest Department against A/c
No. ……………….
(4) One copy containing detail of transfer balance may be
sent to Assistant Accounts Officer Incharge Account III Section of
this office for onward transmission to concerned Audit Office.
(5) In case of Accountant General of Pakistan Revenue
offices one copy may be sent to assistant Accounts officer Incharge
fund. I section of Accountant General of Pakistan revenue sub office
Lahore of Accountant General of Pakistan Revenue sub office
Lahore for onward transmission to concerned Accountant General of
Pakistan revenue offices in addition to Account III Section.
Office of the
………………………………………………………………………………
…. NO: Funds………………FT/
…………………………………..Dated………………………
To
The ………………………………………….
………………………………………………..
………………………………………………..
SUBJECT: TRANSFER OF G.P. FUND ACCOUNT IN RESPECT
OF
Mr. ……………………………………………
From A/c No. ……………………….To A/C No.
……………………….
A sum of Rs…………………………
(Rupee……………………………
Standing at the credit of the subscribers upto
…………………is transferred to your office for adjustment against
account No. ……………………… maintained by your office vide T.E.
NO: ………………………..in the account for ……………………….the
amount is transferred finally. Details of Rs…………………… Rs.
…………………are mentioned on the book.

ASSISTANT ACCOUNTANT GENERAL

ASSISTANT ACCOUNTS OFFICER
DISTRICT ACCOUNTS OFFICER

GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT

No. FD/SRI-2-3/83 (Prov) Lahore the 1st
February 1988
To
1. All Administrative Secretaries, Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Divisions in the Punjab.
4. The Secretary to Governor Punjab, Lahore.
5. The Secretary to Chief Minister Punjab,
Lahore.
6. The Ministry Secretary to Governor Punjab,
Lahore.
7. The Secretary Provincial Assembly, Punjab,
Lahore.
8. The Registrar, Lahore High court, Lahore.
9. The Secretary Punjab public service
commission, Lahore.
 10. The Deputy Commissioners and District and
sessions Judges in the Punjab, Lahore.
SUBJECT: IMPROVEMENT IN THE G.P. FUND SCHEME.
I am directed to state that the General provident
scheme was replaced by the provident Fund Bond, scheme and fixed
rate of subscription towards the provident fund bond scheme by each
were notified vide this department’s letter No. Fd-SRI-2-3/83 (Prov)
dated 21-9-1986. These rates were further revised as a result of
revision of basic pay scales with effect from 1-7-1987 vide this
departments letter of even number dated 15-7-1987.
2. The Federal Government has intimated that while
working out the details of the new system it was felt that in addition to
the question of cost effectiveness, operation of the provident Fund
bond scheme was likely to entail practical difficulties in its
implementation. Therefore, after through review it has been decided
that instead of introducing the provident Fund Bond scheme, its
features may be introduced in the existing General Provident Fund
Scheme which should was to provide extra financial benefit to the
Government servants, it has been decided to allow from the date of
inception of the scheme (1-7-1986) the additional benefit at 30% over
and above the normal rate of profit payable to the Government
servants under the existing G.P. Fund Scheme. Fixed rates of
contribution will be retained and the subscribers will be allowed
advance in a manner that only one advance will remain outstanding
at one time.
Your
Obedient
Servants,

Muhammad Ismail
Section
Officer (SRI)
OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O No. Fund-II/C/TFR/GPF-Accounts/89-90/1480 Dated: 14-
04-1990
To
i) All the District Accounts Officers in the Punjab.
 ii) All Branch Officers of Fund Section in the Main
Office.
iii) All Fund Sections of Main Office.
iv) I.C.O. for A.G.’s information.
SUBJECT: TRANSFER OF G.P. FUND BALANCES OF THE
GOVERNMENT SERVANTS FROM MAIN OFFICE
TO DAO’S AND FROM DAO’S TO COMPUTER
PERSONNEL NUMBER IN THE MAIN OFFICE.
In order to streamline the procedure to expeditiously
transfer the G.P. Fund balances of Government servants, the
following instructions are issued for strict compliance. The orders
already issued vide Office Order No. Fund-II/c/AS/TFR/GPF-
Accountant/87-88/37, dated 12-11-1987 and Office order No. Fund –
II/C/TFR-Accounts/89-90/1288, dated 14-1-1990 are modified to the
extent indicated under these instructions:
a) The District Accounts Officers are advised to transmit the
GPF transfer cases lists of those Government servants
whose G.P. Fund balances are to be transferred from the
main office to the District Accounts Offices. The lists
should be induplicate and addressed under registered
cover, by name, to the Deputy accountant General
(Funds) Mr. Shebzada Muhammad Taimur Khusrow.
b) One list so received will be given to the
superintendent/Branch Officer of the concerned G.P.
Fund section in order to process the transfer of balance to
the District Accounts Office.
c) A special report on the transfer of balances entitled
“GPFT special for A.G.” should be complied. A fortnightly
report of Main Office cases and monthly report of DAO’s
transfer cases will be submitted to the G.A.
d) The Superintendent of Fund Sections in the Main Office
will send the report to Fund-II (c) section on 14th and last
day of the month in the following form.
 G.P. Fd. A/c
S. G.P. FD. A/c Name of the Father’s Designati
Allotted by
No. No. of Pb. subscriber name (if possib
DAO
1 2 3 4 5 6

SHEBZADA MUHAMMAD TAIMUR KHUSROW

DEPUTY ACCOUNTANT GENERAL
MOST URGENT
OFFICE OF THE ACCOUNTANT GENERAL PUNJAB LAHORE
O.O. No. Fund-II/(c)TFR-Account/88-89/1032
Dated: 7-3-89
To
1. All District Accounts Officers in the Punjab.
2. All Branch Officers Fund Sections.
3. All Fund Sections of Main Office.
4. Office order Book.
SUBJECT: TRANSFER OF G.P. FUND BALANCES OF THE
SUBSCRIBERS SERVING AT LAHORE FROM THE
DAO’S TO COMPUTER PERSONNEL NUMBER
Please refer to this order No. Fund/Computer/16 dated
23-11-1988 regarding transfer of G.P. Fund balances of the Govt.
Servants from DAO’s to Lahore against computer personnel No’s
through credit memo. transfer system.
2. It has been observed that the G.P. Fund balances of
the subscribers are not being transferred properly and following
omissions are noticed which caused delays in early adjustments of
the credits.
i) The name of transferring office is not recorded in the
transfer credits memo.
ii) The year wise details of the balances received from
other Audit Offices are required to be shown
separately in the deposit column of the Credit memo.
Indicating the name of office from where the balances
have been transferred.
 iii) The G.P. Fund Account No. as well as computer
personnel Numbers are not recorded correctly as
desired (of main office).
3. In order to obviate delays and early proper adjustment
of credits against computer personnel Number the above omissions
may please be avoided in future.
4. The Subscribers computer slip and a copy of the letter
written to DAO, for the transfer of balance must be endorsed to
Fund. II Section to avoid dual labour after verifications.

DEPUTY ACCOUNTANT GENERAL

GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT

No. FD/SR-I-2-3/83 Dated. Lahore the 11th
January 1994
Form,
Tariq Sultan,
Finance Secretary,
Government of the Punjab, Lahore.
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. The Registrar, Lahore High Court, Lahore.
4. The Secretary, Punjab Public Service
Commission, Lahore.
5. All Commissioners of Divisions in the Punjab.
6. All Deputy Commissioners in the Punjab.
7. All Districts & Sessions Judges in the Punjab.
SUBJECT: FINAL PAYMENT OF G.P. FUND THROUGH G.P.F.
….10:-
I am directed to state that after careful consideration,
Form G.P.F – 10 has been revised making it simple and more
understandable. Unnecessary details which are not required in the
present conditions have been eliminated. A copy of the offices under
your control and jurisdiction may kindly be advised to use this revised
form when applying for final payment of G.P. Fund balance of their
subscribers.

Your
obedient servants

Rana
Aman Ullah
Khan
Deputy
Secretary (SR)
For
Finance
Secretary.
 OFFICE OF THE _________________________________
No. ……………………………….the ………………..19………………..
To
The AG/DAO/Agency-AO/Sub-Office.
Mr./Miss………………………………………………S/o, D/o,
W/o………………………. has retired, discharged/resigned from
service/died on ………………………………….. you are requested to
please arrange payment of the balance amount in his G.P. Fund
Account No. …………………………………..Computer personnel
No. /NID Card No. ……………………………………………………
Treasury/Pre-audit counter of your office.
The following information/ documents are also
enclosed:
1. A certificate from the applicant/D.D.O. Stating whether any
advance from the Fund was granted to the subscriber during
the previous 12 months, and it so, full particulars of the
advance.
2. The following information may be supplied only in the case of
payment at treasury.
i) Amount and month of the last Fund deduction.
ii) Name of treasury at which payment of the provident
fund money is desired.
3. The following information may be supplied only in the case of
death of subscriber.
i) An attested copy of death certificate or gazetted
notification.
ii) If no nomination was furnished by the subscriber, a list
of his family members (as defined in rule…..) who are
entitled to participate in the fund money under
rule……..of the G.P. Fund rules together/with their
application in original for the refund is enclosed. In the
 case of minor, the application is from the legal
guardians.

Signature

Designation

Note: this form may be submitted by an officer himself or in case of

official (Grade 1 to 15) by the drawing & Disbursing officer.
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No: Fund I/A/S/GPF-10/1198
Dated: 23-04-1991
To
The District Accounts Officer,
Pakpattan.
SUBJECT: FINAL PAYMENT OF G.P. FUND THROUGH GPF-
10.
After careful consideration, form G.P.F-10 has been
revised making it simple, more understandable and the unnecessary
details which are not required in the present changed conditions
have been eliminated. The Auditor General of Pakistan has approved
the revised from, a specimen of which is enclosed. The Govt.
Department in your jurisdiction may kindly be advised to use this
revised form when applying for final payment of G.P.F balance of
their subscribers.

ACCOUNTS OFFICER
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
O.O No:Admn.II/115 Dated: 03-
06-1998
OFFICE ORDER
It has been observed during the secreting of the
applications of G.P. Fund advance, that some officials from District
Accountants Officer’s are gutrebuting towoods G.P. Fund over and
above the uniform rates as laid down by the finance Division
(Regulation wing) circular letter dated. 1-2-1995, which is against this
letter and spirit of above quated circular letter, therefore, it has been
directed in all district accounts officers of Punjab that the G.P. Fund
contribution will be deducted in future in accordance with the uniform
rates as prescribed in the letter dated 1-2-1995. No interest will be
allowed on the contribution of the G.P. Fund Subscription made over
and above the uniform rates.
In cases, where the interest has allowed on the
excess contributions of G.P. Fund and above the uniform rates will
be recovered/deduction form the balances of the subscribers. The
compliance of the same may please be acknowledged as early as
possible.
(ADDITIONAL ACCOUNTANT GENERAL’S ORDER DATED: 29-5-
1998)

ACCOUNTS OFFICER
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. S.O (B&E-I) 4-3/90 Dated. Lahore the
27th August 1999
To
1. The Accountant General, Punjab, Lahore.
2. All District Accounts Officers in the
Punjab/Treasury Officer, Lahore.
SUBJECT: G.P. FUND ADVANCE ETC. ADDITIONAL CHECKS.
As you are aware, there has been a spate of bogus
payment/fraudulent with drawals out of G.P. Fund Accounts of
various subscribers on the basis of fake sanctions of advance
drawals and final payments. In certain cases payments were made
on fictitious balances, where after the relevant record was destroyed.
2. This issue has been engaging the attention of the
Government in the Finance Department for sometime. Accordingly, in
order to arrest such cases of bogus/fraudulent withdrawals out of
G.P. Fund, the following additional checks have been prescribed for
implementation by the office of the Accountant General, Punjab and
District Account Offices maintaining G.P. Fund Accounts of the Civil
Servants under the Punjab Government:-
i) All Sanctions issued by the respective competent
authorities for G.P. Fund advances may only be acted
upon by the A.G. (Punjab) DAOs after reconfirmation of
the sanctions by such authorities, who shall also be
required to mention the National Identity Card No. in the
sanction, besides appending an attested copy therewith.
ii) The office of the Accountant General, Punjab/D.A.O shall
maintain a separate register wherein all verified sanctions
for advances out of G.P. Fund should be entered. This
register shall remain in personal custody of Accounts
Officer/D.A.O. These sanctions shall also be entered in
ledger cards as already prescribed.
iii) The original sanctions shall be placed in a separate file to
be maintained and kept in the personal custody of the
Incharge G.P. Fund section viz; the A.A.O. He shall be
 responsible to produce the sanction as and when required
subsequently.
iv) While processing the claims for G.P. Fund advance etc, it
shall be ensured that the G.P. Fund Balance as in
existence is correct and bonafides. All procedural checks
as already prescribed, shall be meticulously exercised
before authorizing such claims.
v) In order to guard against fraudulent withdrawals of G.P.
Fund advances, instead of directly passing a G.P. Fund
bill/claim, an authority would only be issued in the name of
DDO, as done in case of final payment cases. This would
be communicated to him at his official address by post.
vi) On the receipt of the authority letter from the D.A.O/A.G
(Punjab), the DDO after submitting the claim, as
prescribed would appear in person, or through an
authorized representative before the DAO/AO (AG. Pb),
alongwith the claimant of G.P. Fund advance. He/She
shall be confirm the bonafides of the claim and identify the
payee before the District Accounts Officer/AO. The DAO
may then authorize the claim. A copy of the I.D Card of
payee shall be obtained and retained by the AO/DAO on
his record.
vii) While passing the bills for G.P. Fund advances, in the
prescribed manner, the detail of bills, alongwith token No,
shall be entered in the register stated at (ii) above against
the relevant sanction.
viii) The above procedure shall mutatis-mutandis apply in case
of gazetted Government servants. However, personal
appearance of the office the officer before the DAO/AO
shall not be required.
 ix) In addition to the above checks, all provisions of rules,
and other procedural requirements, as already prescribed,
shall continue to apply.
3. It is accordingly requested that the above instructions
may kindly be observed in letter and spirit to safeguard the interest of
the civil servants with regard to their G.P. Fund accumulation.

Khalid
Mahmood
Section
Officer
(B&E-I)
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fund-I (c)/As-Misc./95-96/4212
Dated: 21-04-1996
OFFICE ORDER
SUBJECT: MEASURES TO AVOID FRAUDULENT DRAWAL
FROM G.P. FUND ACCOUNTS.
The incidence of fraudulent payment etc. out G.P.
Fund Accounts has become a serious matter of concern. Different
cases regarding fraudulent drawal payment out of G.P. Fund
accounts have been examined and it has been considered that
certain measures should be taken to control the occurrence of fraud.
Although G.P. Fund rules presently applicable, the provision of Audit
manual, Treasury rules and GAD manuals provide detailed orders
and rules to process the true spirit, fraud and irregular payments can
be avoided, and such tendencies can be curbed. Therefore it is once
again directed that the relevant rules/orders with reference to the
payment of G.P. Fund may be complied with strictly.
2. In addition to that, however, following instructions are
issued for strict compliance, which must be kept in view while
admitting the G.P. Fund advance bills etc.
1. MAINTENANCE OF INWARD REGISTER.
A register for the purpose may be maintained which
will remain in the custody of the sectional A.A.O. All the G.P. Fund
balances received from other DAO’s in the shape of sealed credit
memo may be diarised in the register and following particulars must
be noted therein.
i. Serial No.
ii. No. and dated of sealed credit memo with name of
DAO/AG.
iii. Name of subscriber.
iv. G.P. Fund Account No. of other DAO form where
the balance is transferred.
v. G.P. Fund Account No. in which the balance is
transferred.
 vi. Month of account in which the balance is
transferred.
vii. Interest and Bonus allowed upto……………….
viii. Signature of Incharge of fund section.
ix. Counter signature of DAO/AO.
The above register will be kept under lock and key by
the Incharge of Fund section.
 2. OUTWARD REGISTER
The similar register for the balance transferred to other
DAO’s may be started to note above particulars of the subscribers
whose balance is being transferred to other DAO/AG. This register
will also be in the safe custody of Incharge of fund sections. All the
sealed credit memos received these will be accounted for in the
Broadsheet and ledger cards. The year wise detail (noted on the
reverse of a inward credit memo) must be noted in the Ledger Card
of the subscriber.
3. POST AUDIT
Post audit of the passed bills must be conducted after
the close of monthly accounts. It will help to detect the money drawn
fraudulently.
4. MAINTENANCE OF LEDGER CARDS
The following information may be noted on the ledger
cards: -
i. Name of the subscriber.
ii. Father’s Name.
iii. Date of Birth.
iv. Date of entry into Govt. service.
v. Office address.
The A.A.O of G.P. Fund section is required to check
all to previous balance in the ledger cards opening and closing
balances may be attested over his full dated signature. Any doubtful
ledger card of a subscriber may thoroughly be investigated.
All correction and ever writing in ledger card should be
attested by the Incharge of Fund section over his full dated
signatures.
Superfluous entries should not be made on the ledger
card except in the column provided for the purpose. Any payment
authorized must be note in the remarks col. of the ledger card.
Sanctions admitted in audit for advances granted to
the Govt. servants may be maintained properly.
Specimen signatures file to fully the signature made
on a bill, invariably be maintained of all the DDOs which will remain in
the custody of Incharge of the fund sections.
G.P. Fund balances received from other DAO/AG
Office over Rs. 50,000/- may be got confirmed before making any
payment.
5. OPENING OF A DUPLICATE LEDGER CARDS
Duplicate ledger cards should be re-constructed only
after obtaining the permission of the D.A.G. (Funds) and after proper
investigation about the loss. New ledger card opened during the
year, the particulars thereon must be attested by the Incharge of
Fund sections.
The entries in the ledger cards must be tallied with the
relevant entries of broad sheet, while making final payment to
subscribers to avoid bogus posting in ledger cards. Timely
preparation of Accounts in Broad sheets and ledger cards must be
ensured.

ADDL. ACCOUNTANT GENERAL

 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
NO: -Fund.l(C)/Advice/CD/5154. Dated;
-21.3.2000.
To
The District Accounts Officer,
Sheikhupura.
Subject: OPINION ON G.P.FUND MATTERS
Please refer to your letter
No.DAO/SKP/Fd/PWD/KK/471 dated15.5.2000 on the above noted
subject.
Since the matter relates to the period earlier to the
introduction of Bonus Scheme and Fixed Rate of subscription, the
subscriber is entitled to the interest also on the amount subscribed in
excess of the prescribed rates as the subscriber then had the option
to do so. As per practice in the main office, the Interest is paid to the
subscribers, having whatever balance on the prescribed rates of that
period. Therefore ore, the subscriber in the present case, is eligible
for the interest on the sum of Rs .22,954/ and he may not be
deprived of the same. The letter issued vide this office memo
No.Fd.I(C)/Advice/CD/5122 dated.5.5.2000 may please be treated as
cancelled/withdrawn.

ACCOUNTS OFFICER
 GOVERNMENT OF PAKISTAN
FINANCE DIVISION
(REGULATIONS WING)
NO: -F.2 (1) R-7/96-1527/99. Islamabad, the 22nd Nov.1999
OFFICE MEMORANDUM
Subject: -ADMISSIBILITY OF OPTION FOR CONVERTING NON-
INTEREST BEARING G.P.FUND ACCOUNT OR VICE VERSA AND
REMISSION/ RECOVERY OF INTEREST ON ADVANCE(S)

The undersigned is directed to refer to this Divisions

O.M.No.P.2 (1) R-7/96-1105/99, dated 29.9.1999 on the above
subject, and to say that the following amendments have been made
in paras 4 & 5 of the O.M. ibid:-
i) The word " Muslim " appearing before the word
"subscribers” in para 4 has been deleted.
ii) Para 5 has been substituted as follows: -
"5. The above decision is effective from 1,7.1999 and
Finance Division's U.O.No.F.2 (1) R-7/96--726 dated
7.10.1996 may be treated as amended to the above
extent with effect from the same date i.e. 1.7.1999".

(TARIQ MAHMOOO JAVAID CH)

SECTION OFFICER. (R.7)
ALL MINISTRIES / DIVISIONS
 THE ZAKAT AND USHR ORDINANCE, 1980.
1.Short title, extent, application and commencement. —
(1) This Ordinance may be called the Zakat and Ushr
Ordinance, 1980.
(2) It extends to the whole of Pakistan; but '[as regards
payment and f of Zakat and' Ushr] applies only to Muslim citizens of
Pakistan -----------------------.
(3) In respect of a person who may believe that the whole
or any part of the recoveries effected from him in the manner laid
down in this Ordinance are not according to his belief, such
recoveries shall nevertheless be made, but shall be deemed to be
contribution to Zakat Fund on the part of that person:
Provided that—
(a) no Zakat or Ushr shall be charged or collected
on compulsory basis in respect of the assets or the produce
of a person, who, not less than thirty days preceding the
Valuation Date in the case of Zakat, and at any time before
the Valuation Date in the case of Ushr, tiles with the
Deducting Agency, or with the Local Committee in the case of
Ushr, a declaration, or an attested copy thereof, in the
prescribed form, sworn by him before a Magistrate, an Oath
Commissioner, a notary public, or any other person
authorised to administer oath, in the presence of two
witnesses who identify him, to the effect that he is a Muslim
and a follower of one of the recognised fiqhs, which be shall
specify in the declaration, and that his faith and the said fiqh
do not oblige him to pay the whole or any part of Zakat or
Ushr in the manner laid down in this Ordinance; and
(b) a declaration, or an attested copy thereof, filed
as aforesaid in one year, whether before or after the
commencement of the Zakat and Ushr (Third Amendment)
Ordinance, 1983 shall continue to be valid for so long :
 (i) the declaration or copy, and the asset liable to
Zakat to which it relates, remain in the custody of the
Deducting Agency; or
(ii) ---------------------------
Provided further that, where for any reason Zakat or
Ushr is collected on compulsory basis from such a
person and he does not wish to leave it in the Zakat
Fund as, sadaqah or khairat in the name of Allah as a
manifestation of the unity of the Ummah and claims
refund, on the basis of a declaration as aforesaid filed
by him within the period specified in the first proviso or
within such further period as may he prescribed, the
amount so collected shall be refunded to him in the
prescribed manner.
Explanation: - In this Ordinance, reference to Zakat deductible at
source or to Ushr realizable on compulsory basis shall be construed
to imply a reference to contribution to Zakat Fund also.
(3A) The Federal Shariat Court may, on the
application of any person, decide the question
whether a declaration such as is referred to in the first
or second proviso to sub-section (3) made by any
person is valid according to the fiqh he professes to
follow, and, if the Federal Shariat Court decides that
the declaration is not valid, such person shall, without
prejudice to any other action that may be taken
against him under any other law, be liable to pay
Zakat or Ushr, as the case may be, in the manner laid
down in this Ordinance.
COMMENTS
EXEMPTION FROM COMPULSORY DEDUCTION OF ZAKAT
Fiqha-e-Hanafiyah is a recognized Fiqha within
meaning of first proviso to S. 1 (3). Its followers are not debarred
claiming exemption from compulsory deduction of Zakat on filing of
requisite affidavit. It was held that wording of first proviso to sub-
section (3) are general and include every recognised Fiqha and as
such it cannot be said that exemption cannot be granted to flowers of
Fiqha-e-Hanafiyah while such exemption is granted to followers of
Fiqha-e-Jafariyah. (NLR 1991 SD 579 - PLD 1991 Kar. 335.)

CLAIM TO EXEMPTION FROM COMPULSORY DEDUCTION OF

ZAKAT
Deducting Agency has no power or authority to
declare as invalid or reject declaration filed by any Hanafi Muslim, if it
is in prescribed form and is filed within time. This jurisdiction is
exclusively assigned by S. 1 (3A) to Federal Shariat Court. It was
held that action of deducting agency in treating declaration as invalid
and consequently refusing to mark her holding as Non-Deduction of
Zakat Account (NDZA) was of no effect being a clear violation of
Ordinance.( NLR 1991 SD 579).

2. Definitions: - In this Ordinance, unless there is

anything repugnant in the subject or context: -
iii) “Assets” means assets liable to, Zakat as provided in
this Ordinance;
(viii) 'Deducting Agency' means a bank, post office or other
institution referred to in the sixth column of the First Schedule;
(ix) “Deduction Date” means, in respect of the assets
mentioned in the First Schedule, the date or dates on which Zakat is
to be deducted at source and which is or are specified in die fifth
column of that Schedule,
(xv a) “Nisab”, in relation to assets liable to Zakat, except
agricultural produce and animals fed free in pastures, means 612.32
grams of silver, or cash or gold, or goods for trade, or any assets
liable to Zakat under Shariah, the aggregate value of which is equal
to the value of 612.32 grams of silver, as notified by the
Administrator General for each Zakat year or, in the case of a person
whose assets liable to Zakat consist only of gold, 87.48 grams of
gold;
(xviii) “Provident Fund” has the same meaning as in the
Provident Funds Act, 1925 (XIX of 1925).
(xx) “Recognised Provident Fund” means a Provident
Fund recognised as such, by the competent authority, under the
Income Tax Ordinance. 1979 (XXXI of 1979);
(xxiii) “Sahib-e-nisab” means, a person who owns or
possess assets not less than nisab, but does not include-----------.
(xxx) “Valuation Date” means (a) in respect of assets liable
to Zakat, the first day of the Zakat year;
(xxxii) “Zakat year” means year according to the Hijra calendar for
which Zakat is chargeable, commencing on the first day of
Ramadhan-ul-Mubarak and ending with the last day of the following
Sha'ban-ul-Moazzam:

RELEVANT EXTRACT OF SECTION 3 OF THE ZAKAT AND

USHR ORDINANCE, 1980
No Zakat shall be charged and collected from the assets of a person
who died on or before the Deduction Date.
RELEVANT EXTRACT OF THE FIRST SCHEDULE TO THE ZAKAT
AND USHR ORDINANCE, 1980
ASSETS SUBJECT TO COMPULSORY LEVY OF ZAKAT
THROUGH DEDUCTION-AT-SOURCE FOR CREDIT TO THE
CENTRAL ZAKAT FUND
SERIAL No.

THE DEDUCTION DATE

THE DEDUCTING AGENCY

ASSETS

DEDUCTED AS ZAKAT
RATE& BASIS FOR
COMPUTING THE
AMOUNT TO BE
1 2 3 4 5
11 Provident Funds In case on non- The date of The autho
refundable payment of the officer
advance, 2.5% of advance or of institution
the amount the balance. making
drawn or in case payment of
of final advance or
settlement, 2.5% the balance.
of the balance
standing to the
credit of the
subscriber as on
the Valuation
Date, excluding,
in both cases the
employer’s
contribution and
the return
accrued thereon.
 THE ZAKAT (COLLECTION AND REFUND) RULES, 1981
Notified vide notification number: CA-1155/CD-285 dated 23rd
April 1981
Rule 2.Definitions
In these rules, unless there is anything repugnant in
the subject or context, the terms used shall have the same meaning
as assigned to them in the Zakat and Ushr Ordinance, 1980 and: -
(d) “Zakat Collection Controlling Agency (ZCCA) means
the Central Office or the Head Office or the Main
Office in Pakistan directing or controlling the affairs
and operations of an institution responsible for the
deduction of Zakat at-source and collection of Zakat
paid voluntarily, grants, atiyyat and other receipts; and
(e) “Zakat Collection Office (ZCO) means a department or
a branch or a sub-office or a regional office of the
ZCCA actually responsible for the deduction of Zakat
at-source and collection of Zakat paid, voluntary
grants, atiyyat and other receipts, and includes a
ZCCA performing the functions of a ZCO”
RULE 14 OF THE ZAKAT (COLLECTION AND REFUND) RULES,
1981
DEDUCTION OF ZAKAT IN RESPECT OF THE ASSETS
MENTIONED AT SERIAL NO.11 OF THE FIRST SCHEDULE TO
THE ORDINANCE
(1) For recording the deductions of Zakat in respect of the
Provident Fund balances at the time of the final settlement and of
non-refundable advances, ZCO shall maintain a separate folio for
each quarter in the Zakat deduction / Refund Register (Form CZ-02),
wherein the necessary details will be entered at the time of the final
settlement and that of the drawal of non-refundable advance.
(2) If a refundable advance is subsequently converted
into a non-refundable advance, Zakat shall be deducted in respect of
the balance of the advance so converted on the date of such
conversion.
15. ZAKAT DEDUCTION TO BE IN WHOLE RUPEES
If the amount to be deducted as Zakat is less than a
rupee, it shall not be deducted, and if it is more than a rupee, but has
a fraction of a rupee, fifty paisa or more shall be treated as the next
higher rupee and less than fifty paisa shall not be charged.
16. ZAKAT DEDUCTION CERTIFICATE
(1) A ZCO shall issue, on request, a Zakat Deduction
Certificate (ZDC) on printed and serially-numbered form CZ-03, in
favour of the person in respect of whose asset deduction has been
effected, retaining a carbon copy thereof for record.
(2) Duplicate copy of a ZDC shall not be issued; if
unavoidable, a letter giving particulars of the original ZDC may be
issued.
21. ZAKAT NOT TO BE DEDUCTED IN RESPECT OF THE
ASSETS OF A PERSON EXCLUDED FROM THE DEFINITION OF
SAHIB-E-NISAB
Zakat shall not be deducted in respect of the assets of
a person claiming exclusion from the definition of sahib-e-nisab
under any of the sub-clause (a) to (n) of clause (xiii) of section 2 of
the Ordinance, the claim for such exclusion to be established through
appropriate documentary evidence.
REFUND OF ZAKAT DEDUCTED
26. REVIEW: -
(1) A person aggrieved by a deduction of Zakat and
seeking refund on the first ground laid down in sub-clause (iii) of
clause (a) of sub-section (3) of section 3 of the Ordinance as
provided in rules 17 to 25 of these rules, shall file with the ZCO that
made the deduction, within ninety days of the Deduction Date, an
application for review, on form CZ-04, or on a plain paper
reproducing the ground per refund or given in form CZ-04
accompanied by the Zakat Deduction Certificate, on form CZ-03:
Provided that a person seeking refund on the ground
of not being a sahib-e-nisab may file such an application for review
within one hundred and five days of the Deduction Date.
(2) The ZCO on receipt of the application for review shall
enter the same in the Zakat Refund Application Register (form CZ-
05) and proceed to dispose of the same on merit, within fifteen days
of the receipt of the application and immediately thereafter intimate
the applicant, on form CZ-06, of the decision on the application.
(3) If on review, the deducted amount is allowed to be refunded in
toto, ZDC will not be returned; if the refund allowed is partial, revised
ZDC will be issued; and if the claim is disallowed in toto, the ZDC will
be returned in original.
27. Revision: -
(1) A person aggrieved by the decision of the ZCO on the
application for review may file within fifteen days of the decision, an
application for revision, on form CZ-04 or on a plain paper
reproducing the ground for refund as given in form CZ-04,
accompanied by ZDC on form CZ-03, and an attested true copy of
the decision proposed for revision, with the revising –authority
nominated for the purpose by the ZCCA:
Provided that the revising authority in no case shall be
lower in rank than that of the authority whose decision is intended to
be revised.
(2) The revising authority, on receipt on the application for
revision, shall enter the same in the Zakat Refund Application
Register (Form CZ-05) and proceed to dispose of the same within
fifteen days of the receipt of the application and immediately
thereafter intimate the applicant, on form CZ-06, of the decision on
his application.
30. REFUNDS
(1) Where a refund is allowed on review or revision, it will
be effected immediately.
(2) Ordinarily, the refund will be effected by reversing the
original deduction entry, or by crediting to the same asset from which
the deduction was effected.
(3) In respect of each refund allowed, an entry in red ink
will be made against the original entry of the deduction of Zakat,
stating the reasons for refund.
32. REMITTANCES FROM A ZCO TO ITS ZCCO
A ZCO will remit to its ZCCA alongwith the ZCR (Zakat
Collection Report) the aggregate of the amounts deducted by it as
Zakat less refunds, if any, for the period to which the Zakat Collection
Report (Form CZ-07) relates.
 GOVERNMENT OF PAKISTAN FINANCE WING
FINANCE DIVISION
No. F.I (5) – Reg, 7/87-498/2001
Islamabad, the 25th March
Office memorandum
SUBJECT: 100% DRAWAL OF G.P FUND ADVANCES BY THE
SUBSCRIBERS ON ATTAINING THE AGE OF 50
YEARS
The undersigned is directed to refer to this Division’s
Notification No. F.1 (5) – Reg. 7/87-D 144/2001, dated 16th Feb,
2001 on the subject noted above and to clarify that 100% G.P. Fund
advance is admissible to those subscribers who avail the non-
refundable advance, on attaining the age of 50 years under rule 15-B
of G.P. Fund (Control Services) Rules. If a subscriber has already
availed 80% non-refundable advance on attaining the age of 50
years, he can avail the abalone 20% non-refundable advance.

Tariq
Mahmood
Javaid
Section
Officer
 OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE
No. Fd-10/CD/366
Dated: 21-11-2001
OFFICE ORDER
NEW SYSTEM OF
SUBJECT: ALLOTMENT OF G.P. FUND ACCOUNT NUMBER
The Accountant General, Punjab has been pleased to
introduce a new system for allotment of G.P. Fund account n umber.
This system will be applicable to the new employees of the
Government of the Punjab. In order to facilitate smooth maintenance
of the G.P.F accounts. Para-208 of the Audit Manual has been
substituted as under: -
“The General Index register in Form ATM-65 should
be maintained only in the Main office Lahore in two parts, part –I
showing numbers assigned to the DAOs and Part-II showing
numbers assigned to Main Office. These numbers should be allotted
through Fund-I (Coordination) Section. The number once allotted will
not be changed through out the service of the subscriber even on his
trans for from one District to another”.
2. Consequent upon the change in procedure, the
following instructions are issued for strict compliance of the new
employed of the Government of the Punjab.
i. Since the responsibility of allotment of GPF account
number to the new Government employee has already
been assigned to Main Office, Lahore with prefixing
the initial of Accounts Officer, Fund-I thus a permanent
Index Register containing 100 pages, properly bound,
should be maintained department-wise for every DAO
using abbreviation as per list enclosed.
ii. The Broad Sheets maintained by the DAOs should be
treated as part-I and their accounts be maintained
 department-wise as mentioned in the existing system
accordingly.
iii. In the Main Office, the Broad sheets should be treated
as Part-II and their accounts be maintained according
to the computerized system i.e. computerized pay Roll
+ BVS system.
iv. GPF accounts number will be allotted to the fresh
Government employee on rendering one-month
Service in part-I or Part-II (as the case may be) In this
regard, all DAOs and Pay Roll Sections ace required
to furnish the GPF allotment From (ATM-65) on the
very first day of every. Government employee to
Fund-I Section for allotment of GPF account must be
registered in Pay slip as well as service book.
v. The subscribers who are transferred from other
provinces/Wafaq on or after 1-1-2002. should not be
allotted frosh GPF account number, but instead their
names should be entered in Part-I or II in the index
Register of the relevant DAO under Department wise
indicating the prefix of the former province/Wafaq will
remain in tact.
vi. In case where, the gazetted employees of the
Government are transferred from one DAO to another,
the GPF account number should be recorded in the
LPC in “Road Lines”. The Accounts Officer signing the
LPCs should promptly trans for their GPF balances
duly completed in all respect (Through Credit Memos)
to the respective DAO against the same number for
timely consolidation of their ledger cards. If there in
any reason for non deduction of GPF credit form the
employees salary, that should be recorded clearly
both in LPC and credit Memo.
vii. In case where the non-gazetted employees are
transferred from one DAO to another, the GPF
account number should be recorded in the service
book, the subscriber is required to set his balance
transferred to the respective is required to get his
balance transferred to the respective DAO against the
same account number within a month, so that his pay
may be continued.
viii. The original nominations submitted by the subscribers
will remain in the custody of Fund-I (Coord) Section as
a permanent record, which may be obtained, as and
when required.

Ac
co
unt
ant
Ge
ner
al
 LIST OF DISTRICT ACCOUNTS OFFICERS

S. NO. NAME OF DISTRICT ABBREVIATION

1 Main Office Lahore II/with first three name of the Department
2 Kasur KSR
3 Sialkot SEK
4 Sheikhupura SKP
5 Gujranwala GRW
6 Gujrat GRT
7 Jhelum JIM
8 Rawalpindi RWP
9 Attock ATK
10 Sargodha SGD
11 Layyah LAH
12 Mainwali MNI
13 Faisalabad FSD
14 Jhang JNG
15 Sahiwal SWL
16 Veheri VEH
17 Multan MN
18 Muzaffargarh MZG
19 Dera Gahzi Khan DGK
20 Mandi Baha ud Din MBD
21 Gahawalpur BWP
22 Bahawalnagar BWN
23 Rahim Yar Khan RYK
24 Okara OKR
25 Hafizabad HFZ
26 Narowal NWL
27 Chakwal CKL
28 Khushab KSB
29 Bhakkar BKR
30 Pakpattan PKN
31 Khanewal KNW
32
33 Rajan Pur RJP
34 Toba Tek Singh TTS
 GOVERNMENT OF THE PAKISTAN FINANCE DIVISION
(Regulation Division)
No. F.I (1) Reg.7/86 II.975/90 Islamabad
th
the 26 July 1990
Form;
Sharafat Ullah Khan
Section Officer,
Tel: 828193
To
The Secretary,
Finance Department
Government of the Punjab
Lahore.
SUBJECT: FINAL PAYMENT OF GENERAL PROVIDENT FUND
Sir,
I am directed to refer to your letter NO. FD/SRI-2-4/84
dated 8th March, 1990 and the correspondence resting with your
letter of even number dated 17th July, 1990 on the subject noted
above, and to state that in 1986 the Government of Pakistan had
decided to change the term” rate of interest” of rate of profit” on G.P.
Fund balance Finance Division’s resolution No. F. 1 (1) – R.7/86-61
dated 16th January 1986 (copy enclosed). The change of the term
rate of interest to rate of profit does not mean that the G.P. Fund
scheme was converted into profit sad loss sharing scheme and
hereby entitled to those subscribers whose G.P. Fund Account had
no interest to receive the profit plus additional benefit at the rate of
30% of that profit automatically. The subscribers having non-interest
bearing G.P. Fund accounts will be entitled to the profit plus
additional benefit at the rate of 30% of that profit on their G.P. Fund
Balance only when they ask for it and inform the Accounts Officer
that they wish to receive it was required under rule 14 (5) of the G.P.
Fund (C.S rules.
 Yours Obedient
Servant

Sharaftullah
Khan
Section Officer
(Reg.7)
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
Endst. NO
NO. FD/SRI-2-4/1987 dated Lahore the 9th September 1990
A copy is forwarded to the Accountant General Punjab
with their letter No. Fund. II/CD/1291 dated 28-1-1990 for information
and necessary action please.
2. Mr. Muhammad Ali Johar Headmaster (Retired)
Government High School Shadara w.r. to his application dated 3-2-
1990.

Muhamm
ad Yousaf
Under
Secretary (SRI)
F.D.
Copy to
S/FD.I, II DA-I, DA-II Conts.
S/Admn.
 GOVERNMENT OF THE PUNJAB FINANCE DEPARTMENT
No. F.D. SR I-2-2/85 Dated Lahore, the 19th
June 1990
From:
Mr. Zulfiqar Ali Shah
Secretary Finance Punjab
Lahore.
To
1. All Administrative Secretaries to Government of
the Punjab.
2. All Heads of Attached Department in the
Punjab.
3. All Commissioners of Division in the Punjab.
4. All Deputy commissioners and District And
Sessions Judges in the Punjab.
5. The Secretary to Government, Punjab Lahore.
6. The Secretary of Provincial Assembly, Punjab.
7. The Secretary to Chief Minister, Punjab,
Lahore.
8. The Secretary Punjab Public service
commission Lahore.
9. The Registrar, Lahore High Court, Lahore and
10. The Military Secretary to Government, Punjab,
Lahore.
SUBJECT: FINAL PAYMENT OF GENERAL PROVIDENT FUND
FORWARDING OF APPLICATIONS
Sir,
I am directed to refer to the subject cited above and to
state that instances have come to the notice of Government where
the applications of retiring civil servants for final payment of General
Provident Fund were un-justifiably withheld by certain department
and were forwarded to the Accountant General Punjab at a very
belated stage. Such subscribers filed applications for payment of
upto date interest where as the second provise of rule 1.13 (4)
provides as under: -
“ Provided further that if the person entitled to the
payment dose not send an application in that behalf within six
months of the dated on which the amount standing to the credit of
the subscribers has become payable, interest shall not be payable
beyond the end of the sixth month in which the amount become
payable”.
2. The question, as to whether the application of the
subscriber for payment of final payment of G.P. Fund be submitted
directly to the Accounts Office by him or routed through
Administrative Department competent authority, has been under
consideration of the Finance Department.
3. It is clarified that application of the subscriber should
invariably be routed through administrative department/competent
authority as the case may be. It is incumbent upon the
department/competent authority to ensure that application is
forwarded to the Accounts Office without delay within the stipulated
period of six month.

Muhamm
ad Yousaf
Under
Secretary (SR.I)
For
Finance
Secretary
.
NO. Date Even
A copy is forwarded to the Accountant General,
Punjab, Lahore with reference to his letter NO. Fund. I/AS/Misc/653m
dated 31.5.1989 for further necessary action accordingly.
 Muhamm
ad Yousaf
Under
Secretary (SR.I)
For
Finance
Secretary.

OFFICE OF THE ACCOUNTANT GENERAL, PUNJAB, LAHORE

NO. Fund.I/AS/Misc/951
Dated: 28-06-1990
Copy forwarded for information and necessary action
to: -
1. All District Accounts Officer s.
2. All Fund Sections in main office.
3. Accounts Officer T.M. Section Local.
4. Accounts Officer Admn. II Section Local.
5. Officer on special Duty (Recorgination Cell).
6. Internal Check Officer.

ACCOUNTS OFFICER

Copy forwarded to: -

DAO-I. II, III, S/Admn, Fund - I, II
SUPDT ADMN
 PART II – PROVIDENT FUNDS
INTRODUCTORY
205. The instructions in this Part of the Chapter lay down
the procedure, which the Accountant General should follow in
conducting the audit of provident Fond transactions prescribed in
Article 103 of the Audit Code. The provident funds to which this part
is applicable are Government Provident Funds within the meaning of
the Provident Funds Act, 1925, as detailed below. The procedure
prescribed in this Part is applicable to these Provident Funds so far
as they are not inconsistent with die provisions of the Provident Fund
Rules themselves.
(i) General Provident Fond.
(ii) I. C. S. Provident Fund.
(iii) I.C.S. (Non-European Members) Provident Fund.
(iv) Contributory Provident Fund.
(v) Other Miscellaneous Provident Funds vide Footnote
317 in the list of Major and Minor Heads of account of
Central and Provincial and Disbursements.
NOTE: In so far as the General and Contributory Provident
Funds are concerned, the Provident Fund Rules, mentioned above
include any rules farmed by the President, Provincial Governments
and. Chief Commissioners applicable to subscribers under their rule-
making control.
The legal. Position in regard to the. Provisions in the
Provident Fund Rules has been dealt with in the " Memorandum
explanatory of Government Provident Fund Rules vis-à-vis the law
On the subject" which has been prepared by the Central Government
in consultation with their legal advisers. The memorandum, as stated
in the preface thereto, is not exhaustive and exceptional cases may
arise which are not covered by the instructions in the Memorandum
but it will be found useful in dealing with the generality of cases
arising under the various Provident Fund rules.
 ADMISSION
206. On receipt of an application in the prescribed form, the
eligibility of a new subscriber should be tested in the Fund Section (in
consultation, if necessary, with the Audit Section concerned) with
reference to the relevant rules. If be is found eligible, an Account
Number should be assigned to him in the General Index register
(vide paragraph 208) and communicated to him direct Of through the
head of his office accordingly as be is a gazetted or a non-gazetted
Government Servant.
207.As soon as it comes to the notice of an account Officer,
either through the prescribed report form the executive authorities to
the Audit Officer concerned or otherwise, that a particular
Government servant belongs to the class of compulsory subscribers
to a Fund, he should see that subscriptions are recovered from him
as required by the rules of the fund.
208. The General Index Register, Form 65, should be
maintained separately for each Department and each such register
should have an alphabetical index prefixed to it. There should be a
separate series of numbers for each department with distinctive letter
prefixed to them, e.g., P. for the police and A.J. for the Administration
of Justice Department. When new departmental numbers are
assigned to old subscribers, the new departmental number should be
shown as numerator and the old number as denominator in the Index
Register so that their past records may be traced easily whenever
required.
NOMINATIONS
209. As soon as a Government Servant starts subscribing to
a Fund, the Account Officer should endeavour to secure that the
subscriber furnishes a nomination as required by the rules of the
Fund.
 Note: A subscriber should not, if he objects, be pressed to
disclose the name of his wife when she is the nominee. Payment
should be made simply on the proof of identity being furnished.
210. The nomination should be kept under lock and key in
the personal custody of the Gazetted Officer in charge of the Fund
Section and verified once in three years under the supervision and
directions of a Gazetted Officer.
211. When a revised nomination is received, the superseded
one should be cancelled and returned to the subscriber.
SUBSCRIPTIONS
212. When a subscription is paid for the first time or a revised
rate is adopted, it should be seen that the amount of subscription is
not below the minimum rates prescribed by the rules of the Fund. In
the case of subscriptions paid subsequently, it should be seen that
the amount paid agrees with the rate adopted in the first month of the
year except when a variation of rate is allowed during the course of
the course of the year under the rules of the Fund. For all months of
the year it should also be seen that all compulsory subscriptions are
paid except when an exemption or a lower rate is allowed. Whenever
a subscription is discontinued by a subscriber, it should be seen that
the discontinuance is permissible.
Note: Any overpayment or subscription to the Fund in any
one month may be adjusted by deduction from, or addition to, the
subscriptions in the subsequent month wherever possible. There is,
however, no warrant for refusal of case payment of recovery if a
subscriber so desires.
TEMPORARY WITHDRAWALS
231. The Audit of temporary withdrawals consists in seeing
the following points among others: -
(i) That the advance has been sanctioned by a
competent authority
 (ii) That the amount sanctioned is covered by the balance
at the credit of the subscriber;
(iii) That the conditions under which the advance can be
granted under the rules of the fund are fulfilled; and
(iv) That recoveries not account of principal and interest
are being made regularly.
Note: The reasons for the drawal of advance from General
Provident Fund should be mentioned in the remarks column of the
ledger card Form 69.
214. A register in form 66 should be maintained for the
purpose of recording the sanctions to temporary withdrawals from the
fund and for seeing that recoveries on account of principal and
interest are being made regularly as laid down in paragraph 213 (iv).
As an alternative, Form 67 may be used for the record of sanctions
and the scrutiny of refunds of temporary withdrawals made from the
ledger direct. In Account Offices where fund accounts are maintained
by the machine method, the following procedure should be observed:
-
(i) When a sanction is received for a temporary
withdrawal, the number of installments in which
recovery is to be made the amount of each installment
and the month of last recovery should be entered in
the “Remarks” column of the ledger card.
(ii) The regularity of the recovery of the advance should
be watched in the course of monthly audit of ledger
cards of live accounts (vide paragraph 231).
(iii) 10 percent, of the cards in which advances are
outstanding should be examined by the auditor and 5
percent, by the superintend. The cards should be so
selected that the outstanding cases of all Government
servants are brought under this review not less than
once a year. The Gazetted Officer in charge of the
 Fund section should conduct a general review every
month.
(iv) A record of review should be maintained in the form
below: -

July 19
Number of active
District or Accounts reviewed by
accounts, i.e.,
Department or Examiner or Superintendent And so on f
where postings
Office Auditor other month
are made No. Initials No. Initials

WITHDRAWALS FOR PAYMENT OF PREMIA TOWARDS

INSURANCE POLICIES
215. Before the financing of a policy from a Provident Fund
id allowed the Account Officer should see that it is acceptable under
the rules of the Fund.
216. In the case of policies financed from Provident Funds,
other than the Indian Civil Service Provident Fund, the Account
Officer should satisfy himself by a reference to the Company at the
time the policy is delivered to him: —
(i) That no prior assignment of the policy exists; and
(ii) That the policy is not otherwise encumbered.
Such enquiries need not be made, however, in the case of a
policy, which is expressed on the face of it to be for the benefit of the
wife -of the subscriber or of his wife and children or any of them.
No other special steps should be taken by him subsequently
to ascertain whether these policies have lapsed or have become
encumbered but when concrete evidence comes to notice of a policy
having lapsed or having become en- cumbered enquiries should, be
made and the exact position ascertained but if such a policy is
merely deposited with the Account Officer (and is not assigned) he
should, as a matter of precaution, inform the Company that the policy
has been so deposited and ask that any dealings involving it should
be communicated to him (the Company may refuse to accept such a
notice but this action should always be taken notwithstanding).
In the case of policies financed from the I. C. S. Provident
Fund, the check prescribed in Rule 15(3) of the I.C.S. Provident
Fund Rules should continue to be applied by the Account Officer
about once a year even after the premia are no longer financed from
the Fund, until it has been ascertained that a policy has matured or
lapsed. This check will be applied only against the lapsing of a policy.
217. A Stock Register in Form 68 should be maintained to
keep a record of policies which have either been assigned to the
President/Governor or delivered to the Account Officer. The policies
should be verified annually and also on the eve of a change in the
charge of the Officer in charge, and the result of verification should
be recorded in the Register. If there has been verification on the
change of the Gazetted Officer in charge, the next annual verification
may be made one year after such verification.
218. All premium receipts of the Company received by the
Account Officer for scrutiny should be endorsed in the following
words; "No abatement of Pakistan Income-tax is admissible", with a
view to safeguarding Government from double exemption from
Income-tax.
MAINTENANCE OF PROVIDENT FUND ACCOUNTS
GENERAL
219. The Provident Fund Account of a Government servant
should be maintained by the Account Officer of the Government on
Whose cadre the Government servant has a permanent lien. If the
Government servant has only a provisionally permanent lien but no
permanent lien, the Fund Account should be maintained by the
Account Officer of the Government on whose cadre he has the
provisionally permanent lien; if he has no lien of either kind, the
account should be maintained by the Accounts Officer of the
Government on whose cadre he is borne at the time.
 Note: 1. All credits and debits in respect of the fund
transactions of a subscriber should be brought to account in the
books of the Government concerned by the Accounts Officer who
maintains the subscriber’s accounts.
Note: 2. Except in cases otherwise decided by the Auditor
General, for the purpose of this paragraph, the Account Officer of the
Government will ordinarily be the Accounts Officer in Pakistan who
brings to account the Pay of the Government servant concerned, but
in respect of a Government servant whose pay is not accounted for
in Pakistan books, the Account Officer of the Central Government
would be: -
(a) In the case of a Government servant who proceeds on
deputation out of Pakistan the Officer who accounted
for his pay immediately before he proceeded on
deputation and.
(b) In the case of a Government servant who is
transferred to Foreign Service, the officer who watches
the recovery of his Foreign Service contribution.
220. Fund transaction arising in account circle which are
adjustable in another account circle should be passed on the
Account Officer of the latter circle, monthly through the exchange or
settlement Account, as the case may be.
COMPILATION OF PROVIDENT FUND ACCOUNTS BY THE
MACHINE METHOD LEDGER CARDS
221. The accounts of subscribers should be maintained in
loose ledger cards in Form No. 69,one card being opened for each
subscriber. When a Government servant is a compulsory subscriber,
the word “Compulsory” should be noted prominently on his ledger
account and the entry attested by the superintendent. The fact of the
receipt of declaration in favour of a nominee or nominees should also
be noted on the top of each page and the entry attested by the dated
initials of the Gazetted Officer in charges. In the case of cash
payments either of subscription, refund of advance or on account of
realization of the proceeds of a policy, the date of receipt should be
noted invariably on the account. In cases of withdrawals for
Insurance payments and substitution of premiums for subscription to
the Fund, a reference to the item No. In the stock register of
Insurance Policies and brief notes showing the amount of
subscription substituted should be given prominently on the account
and such references or notes should be carried forward from year to
year. Stoppages of subscription should also be recorded on the
ledger accounts.
222. Ledger cards, being original records, should be kept in locked
cabinets, duplicate keys of which will remain in the possession of the
Examiner and the correspondence clerk concerned or of the person
nominated for the purpose under the orders of the Gazetted Officer
in charge. The card of one department should be kept in a locked
cabinet separate from those of another department and arranged
either in serial order of Account numbers or by districts, as the
Accountant General, may decide. The cards of subscribers who have
discontinued their subscriptions should be kept separately from the
live cards arranged according to serial numbers, while the closed
cards, i.e., the cards of subscribers whose fund accounts have been
finally closed and payment made should be kept separately from the
cards of subscribers who have discontinued subscription.
A card should never be taken out from the cabinet for
reference without a proper mark (a thick paper slip with the No. and
reasons for removal recorded thereon) being left in the place from
which it is removed. A manuscript transit register with the following
columns should be maintained so that the submission of a card to
the Superintendent or Gazetted Officer and its return may be
watched.
(1) Date of submission of cards.
(2) Name of district.
(3) Account number.
 (4) Initial of the Superintendent.
(5) Initial of the Gazetted Officer.
(6) Initial of the Auditor.
Note: —The requirement may be relaxed, at the discretion of the
Head of the Account Office in case whore Ledger Cards are taken
oat of the cabinet for being submitted to the Superintendent for
review of the refund of advances provided they are returned to the
cabinet on the same day.
233. A record of the closed accounts should be maintained in
a Register of Closed Accounts Form 70.
.
POSTING OF ACCOUNTS
224. The following are the sources from which the Fund
accounts are posted: -
(i) Covering Schedules (one for each district) in the
following form supported by the corresponding fund schedules: -
______________________________________________________
_____________

No. of Voucher
Amount recovered.
______________________________________________________
_____________

______________________________________________________
_____________
Total.
______________________________________________________
_____________

______________________________________________________
_____________
 Total verified with the Department Abstract and all fund
schedules are attached: -
*ADD total of each
Auditor.
Recoveries………
Grand Total……..
Examiner, Fund Section.
Note: The amounts of each recoveries are added by the
Examiner, Fund Section after the consolidated compilation
mentioned in paragraph 225 has been made and before the covering
schedules are made over to the Machinist for posting.
(ii) Schedules of cash recoveries by districts either
supported by fund schedules or themselves containing
.all the necessary information in respect of the
subscribers concerned.
(iii) Schedules, supported by vouchers, of withdrawals
received from treasuries.
(iv) Separate covering statements in respect of credit and
debit items in Exchange or Settlement Accounts
supported by fund Schedules and vouchers of
withdrawals, respectively.
(v) Statements similar to those in item (iv) in respect of
fund transactions appearing in the Transfer Ledger
Abstracts maintained by auditors other than the
departmental auditors.
The documents mentioned at item (i) should be passed on by
the departmental auditors to the Fund Section after the entries in the
fund-schedules have been com-pared with the deductions made
from the pay bills and the certificate of agreement has been recorded
on each schedule. An additional certificate "Pay for 30th June also
checked with the bills” should be recorded on the schedules attached
to pay bills for June and attested by the Superintendent. The
documents mentioned at items (ii) to (v) should be passed on by the
auditors concerned to that section with a similar certificate of
agreement with the Cash Accounts, List of payments, etc., as the
case may be. The fund section should see that all the necessary
information required for audit purposes is furnished in the fund
schedules.
225. On receipt of the documents mentioned in paragraph
224, a consolidated compilation of credits should be prepared by
districts and by departments in the Fund Section. The total amount of
recoveries both in Cash and by deduction from bills should be shown
in lump against each district and under the department concerned.
Similarly all items of receipts appearing through Exchange or
Settlement Accounts or Transfer Ledger Abstract should also be
consolidated in this compilation.
A similar compilation of debits should also be prepared in the
Fund Section. This compilation should be completed on or before the
date on which fund schedules arc received from the departmental
sections, so that work relating to posting of ledger cards is not
retarded.
226. When all the covering schedules (supported by the fund
schedules) relating to a department have been received in the Fund
Section, they should be arranged in the alphabetical order of the
districts in the Province or in the order in which these appear in the
Departmental Classified Abstracts. The Record Clerk should then
collect together from the cabinet all the relevant ledger cards
including those in respect of which recoveries have been made in
cash and arrange them in the order of subscribers in the fund1
schedules and pin together the vouchers of withdrawals to the ledger
cards concerned. If he comes across a case where the ledger card of
a subscriber exists in the bundle of another department, he should
simply encircle the entry in the fund schedule concerned. If the
Record Clerk should have omitted to do so and the card is found to
be wanting-by the Machinist in the course posting the ledger cards,
vide paragraph 228, he should encircle the amount in the schedule
and write against it "Unposted".
227. Two Registers (Outward and Inward) in respect of each
department should be maintained for record of full particulars of
subscriptions recovered from Government servants transferred from
one department to another. The items encircled in the fund schedule
(vide paragraph 226) should be posted by the Machinist in the
Outward Register of the department He should also transcribe the
entries therefrom into the Inward Registers of other departments
concerned and in token of his having done so, he should record a
monthly certificate in his Outward Register to the effect that all the
items contained therein have been properly entered in the Inward
Registers concerned. The superintendent should trace 10 per cent.
of the entries appearing in the Outward Register of a department into
the Inward Register of other departments concerned.
228. The fund schedules and the ledger cards duly arranged
in the manner indicated in paragraph 226 should then be taken up by
the Machinist for posting. He should make entries with regard to
withdrawals in the fund schedules concerned from the vouchers of
withdrawals which should have been pinned to the ledger cards
concerned by the Record Clerk, arrange his tantalizers as below and
proceed to operate with reference to the entries in the fund
schedules.
Opening Subscription Refunds of Withdrawals Closings Cross L
Balance Live withdrawals Balance Balance
Dummy Live Dummy Dummy

Before inserting the card in the machine he should compare

the number and name with the entry in the schedule and take action,
with reference to any card found wanting, as indicated in paragraph
226 supra. The current year's balance alone should be shown in the
closing balance column of the ledger cards, i.e., the current year's
balance should be kept quite distinct from the last year's balance
which, after the annual accounts have been completely proved,
should be posted against the entry "Balance on 30th June" in the
remarks column of the ledger card form. Under this procedure, the
opening and closing balances in the ledger card will, where the
amount of withdrawal taken by a subscriber win excess of his current
year's balance, become "minus balances. In the case of final
payments, the Machinist should, however, type in the opening
balance | column the balance of the previous month as ah o the
closing balance of last year.
229. If the posting is done correctly, the "cross" totalize will be
cleared when the closing balance has been posted and the Machinist
should see that this is inavailably the case. Any mistake in posting
should be settled by him before he proceeds to the next card. When
the schedules of a district including those relating the each
recoveries have been posted, he should, after taking into account
any unposted items, compare the totals on his totalizes with the
consolidated figures on the district covering schedule [vide
paragraph 224 (i)] in respect of subscriptions and refunds of
withdrawals and with the figures in the consolidated compilation of
debits (vide paragraph 225) in respect of withdrawals. After this
agreement has been effected, the figures on the totalizers should be
cleared by the Machinist by carrying them on to a Master Card, Form
71, one for each department. In this way the districts (including those
relating to the Exchange and Settlement Accounts and Transfer
Ledger Abstracts which for this purpose should be treated as
transactions of separate districts) should be posted, proved and
brought on the Master Card which will thus collect the figures for the
province, and these in their turn should be agreed with the Book
Department figures. In case where the number of subscribers in a
department is so large that it cannot be dealt with by one Machinist,
each Machinist should use a separate Master Card and the totals of
one Master card should for purposes of proving the accounts be
transcribed to the other Master Card. In this way provincial figures
relating to a department will be collected in one Master Card.
230. The posting in the ledger cards of items appearing in the
departmental inward register should be made in the ordinary way
without their being brought on to the Master card as such figures are
not necessary for purposes of agreement with the detail book figures
of the department concerned. The examiner or the auditors, as the
Accountant General may decide, should examine that all the items
have been posted, so that no difficulty is experienced in the quarterly
agreement.
AUDIT OF LEDGER CARDS
231. (i) At the time of posting accounts, the Machinist should
keep before him a typed or printed list in the following form: -
 District Irregular Non-recovery Reasons for Remarks
subscription or irregular non-credits
or refunds recovery of
advance

In the course of posting, as he comes across an item open to

objection for one reason or another, he should simply jot down in the
list the number of the ledger card concerned under the particular
column affected. These lists should be by groups of districts
according to the grouping made for purpose of distribution of work
amongst auditors.
(ii) When the posting work is completed, all fund
schedules and the ledger cards concerned should be make over to
the auditors for audit and check of postings together with the lists
mentioned in clause (i) above.
(iii) Immediately on receipt of these documents, the
auditor should first proceed with the audit of ledger cards noted by
the Machinist in the list mentioned in clause (i) above and write down
the necessary objections for communication to the drawing officers
concerned or in cases of discontinuance of subscriptions record the
reason on the ledger card concerned. It should be noted that the
agreement of opening balance of the current month with the closing
balance of the previous month in each ledger card forms part of
audit. It is essential to see that the Machinist has correctly posted the
opening balance, as there is no device in the machine which will
throw up a mistake, if any is made, of this nature. This check will
facilitate the quarterly and annual verification of balances.
Note: Under Compulsory General Provident Fund Scheme a
subscriber can discontinue his subscription only during leave. The
reason for the discontinuance of subscription otherwise than in cases
of leave should therefore be immediately enquired and recorded on
the ledger card or the missing credit tranced and posted before the
class of the monthly account.
(iv) 10 percent. Of the posting in the ledger cards which
should be selected under orders of the Gazetted Officer in charge
should be checked by the auditor with reference to the entries in the
fund schedules and while he does this he should exercise all the
audit checks including check of opening balances in respect of there
postings and issue the necessary objections to the disbursing
officers. If the Machinist has carefully prepared the list mentioned in
item (i) above, there should be no defects left to detect except those
relating to mistake made in posting the opening balances.
(v) The remaining ledger cards should be audited
independently without reference to fund schedules. The main object
of this audit will be to check the opening balances with the previous
closing balances. No review by examiner in necessary.
(vi) The Examiner should see and certify that all items
appearing in the outward registers have been entered in the inward
registers concerned and that all the items appearing in a department
inward register have been posted in the ledger cards concerned.
QUARTERLY VERIFICATION
232. At the end of each of the first three quarters i.e., after
compilation of September, December and March accounts, the
Machinist should compile balances of all the cards in a department
(including those which were closed during the currency of the quarter
tee accounts of which are being verified) in 172. He should do this by
posting in the quarterly statements the last year’s balance and the
current year's balance separately from each ledger card. The total of
the balances collected automatically by the totalisers, will be cleared
by posting the figures shown by them in the quarterly statements.
The statement so completed should be agreed with the figures in the
Proof Sheet (Form 73), which should be posted from—
 (1) The Master Cards for the three months of the
quarters;
(2) Registers of inward and outward items; and
(3) The separate compilation of interest on accounts
closed during the quarter.
There will be no quarterly verification after June, i.e., for the
last quarter, r annual verification together with interest calculation for
the year.
ANNUAL CLOSING
233. (1) The Posting of June transactions into the individual
accounts of subscribers should be taken up by about the middle of
July and completed by the middle of August. The work of calculation
of interest due on each account should be commenced slightly
before the completion of June postings and completed within a
month. The interest calculation made by each auditor with the help of
interest tables should be checked independently by a separate
auditor. The amount of interest for the year as well as total deposits,
refunds and withdrawals be posted in the space provided for the
purpose in the remarks column of the ledger card and the dosing
balance for the year worked out in respect of ledger card. 20 percent
of the calculations should be checked in detail by the Examiner, 10
percent by the Superintendent and 5% by the Branch 0fficer.
Note: interest short or excess credited to a Provident Fund in
the accounts of a previous be readjusted by addition to or deduction
from the interest adjustable in the account of the year in which error
is detected.
(2) Side by side with the above process, the Machinist should
prepare a balance compilation (in duplicate). Form. 74, from the
completed cards, c duplicate copy of the balance compilation
statement into slips, and paste tin the forms of Annual Deposit
Account of subscribers; vide paragraph 252 should satisfy himself
that all the relevant ledger cards relating to a department have been
collected including those which were closed during the currency the
financial year the accounts of which are under verification.
231. As the entries relating to a ledger card are posted in the
balance compilation statement, the Machinist should see with
reference, to the cross totalize the closing balance as given by the
machine agrees with the closing balance al worked out in the ledger
card and that the cross totaliser is cleared as soon t entry is made in
the closing balance column.
235. After the dispatch of the annual accounts of subscribers
(vide para 252). The balances consolidated in Form 74 should be
agreed in the same I in the case of quarterly compilation but with an
additional factor, i.e. interest.
COMPILATION OF PROVIDENT FUND ACCOUNTS BY
THE HEAD METHOD.
LEDGERS
236. The accounts of subscribers should be maintained in a
ledger in 75. One complete folio being allotted to each subscriber.
The instruction in paragraph 221 apply equally to the accounts
maintained in this form. When account of a subscriber is closed, the
date of, and the reason for, the should be noted in the ledger, as well
as in the Index Register.
237. There should be a separate ledger for each unit of
account pages of each ledger should be numbered consecutively in
one series and the number assigned to the account of each
individual should be the same as the number of the page in the
ledger on which his account is recorded. In addition to the as to the
particulars for which space has been provided at the top of the
account an indication either by hand or by seal with a rubber stamp,
whether the account relates to a compulsory or optional subscriber,
should be given prominently and the entry attested by the
Superintendent, as it is made. The fact of the receipt of a declaration
should also be noted on the top of each page and the entry a by the
dated initials of the Gazetted Officer in charge.
POSTING OF ACCOUNTS AND THEIR AUDIT
238. The instructions in paragraph 224 and 225 apply mutatis
mutandis to the posting of Accounts under the Hand Method. On
receipt of the schedules, vouchers etc., relating to a unit of account,
the poster should, after satisfying himself that the schedules
pertaining to a particular account have been completely received
post the transaction in the relevant columns of the ledger, Any
irregularity, omission or discrepancy noticed in the course of posting
should be recorded in the schedule concerned and communicated to
the Government servant concerned through the prescribed Objection
Statement.
239. Ten per cent. of the postings in the ledger should be
reviewed by the Examiner each month. The review should be so
arranged that every depositor’s account is checked at least once a
year.
VERIFICATION
240. A Broadsheet in Form 76 should be maintained
separately for each ledger. Each Broadsheet should be posted direct
from the accounts in the ledger and the monthly totals calculated
therein verified with those in the District or Departmental Abstract
Discrepancies between the District or Departmental Attract and the
Broadsheet figures should be recorded in an Explanation Sheet of
Differences in Form 77 and tine adjustment of differences watched
through that Sheet. An Abstract (page) of Difference, Form 78,
should also be maintained to watch the monthly progress of
adjustment of differences.
241. After all the district and departmental Broadsheet have
been verified, the, total credits and debits for the month as worked
out in each of them should be entered in a consolidated Broadsheet
which should also be maintained in Form 76, the particulars of the
several Broadsheets instead of the account numbers bang entered in
the first column. The total monthly credits and debits as worked oat
m the consolidated Broadsheet should be agreed with corresponding
totals in the Detail Book. The consolidated Broadsheet should be
submitted monthly to the Gazetted Officer in charge.
ANNUAL CLOSING
242. The instructions in sub-paragraph (1) paragraph 233,
apply mutatis mutandis to the annual closing of accounts under the
Hand Posting Method. The interest figure in each individual account,
including interest paid during the year ' on closed accounts, should
be posted in the Broadsheet relating to that particular ledger account
and the total of the unit Broadsheet carried to the consolidated
Broadsheet. Immediately after the accounts for June Final are
closed, the balance at credit of each subscriber on 30th June
including interest for the year should be worked out in the ledger as
well as in the unit Broadsheets and the totals of the latter compared
and agreed with the figures in the consolidated Broadsheet where
Losing balance of each unit Broadsheet should be calculated
similarly. Necessary modification in the figures of balances up to
June final-accounts should be made in the unit and consolidated
Broadsheets after the Closure of the June supplementary accounts.
After both the unit and consolidated Broadsheets have been squired,
the closing balance as per consolidated Broadsheet should be
verified with the figures in the Book Department. The individual
closing balances in the district Broadsheets should also be verified
with those in the ledger before they are carried over to next year's
Broadsheet as opening balances.
TRANSFER OF ACCOUNTS
243. When a subscriber is transferred permanently to another
Government with transfer of his permanent lien, the balance at his
credit in the Provident Fund account should be passed on to the
latter Government. A copy of the subscriber’s ledger account
together with his Declaration form in original and the Insurance policy
or policies (if any) should be forward to the Account Officer of the
Government. Any sum withdrawn under the Fund rules and which
remains to be recovered should also be communicated. A similar
procedure should be followed in the case of transfer of a subscriber
from ode account circle to another under the Central Government
whether the transfer is permanent or temporary for a period
exceeding one year.
SPECIAL PROCEDURE FOR CONTRIBUTORY PROVIDED FUND
344. The Contributory Provident Fund Accounts should be
maintained in a ledger. Form 79, where ledger accounts are posted
in manuscript. In cases where machine methods are adopted for the
purpose, the accounts should be maintained in Form69 with suitable
manuscript additions and alterations.
245. When contributions are adjusted at the end of the year,
these should be posted in the Broadsheet, Form 76, against the
respective account number, in a separate one from that of the
subscriptions a distinguishing line, if thought necessary being used.
Interest OB contributions should similarly be posted separately from
that on subscriptions. At the time of annual closing of the
Broadsheet, the closing balances of deposits and Government
contributions should be brought but separately.
SPECIAL PROCEDURE FOR STERLING BRANCHES OF
PROVIDENT FUND
246. The accounts of sterling branches of the various
Provident Funds should be maintained as subsidiary account to the
rupee accounts, which will be the main Government accounts of
Provident Funds.
247. The ledger account of a subscriber to the sterling branch
should be kept side by side with his rupee account in the same form
as that prescribed for the rupees account. For this purpose the left
half of the ledger folio (Form 75 or 79) of each subscriber should be
used to show the rupee, account and the right half the sterling
account Where the rupee accounts are maintained in the Ledger
card (Form 69), the sterling account should preferably be maintained
in a separate ledger card or alternatively, if difficulties are
experienced, in the same ledger card, the top portion being used for
the exhibition of the rupee account and the bottom portion for the
exhibition of the sterling figures.
248. No separate account number should be given to a
subscriber to sterling branch: the letter "S" should be added to the
account number in the rupee account to denote that the subscriber is
a subscriber to the sterling branch.
249. The transactions connected with the sterling branch of
Provident Fund Accounts should be converted into Pakistan
Currency at the current official rate of exchange of sterling vis-à-vis
the Pakistani Rupee once only at the end of the year on the basis of
the total transactions of each subscriber in the rupee branch without
examination into the monthly details. In the very few cases in which a
rate of change different from the current official rate of exchange of
sterling vis-à-vis the Pakistani Rupee, may have to be applied for
conversion to sterling from rupees, a separate record of any such
amounts and the relative rate of exchange should be maintained as
each transaction occurs and taken into account in making the
residual conversions at the end of the year.
250. The rupee figures in the Provident Fund Ledger (Sterling
Accounts) should be reconciled monthly with those in the Detail Book
in which separate sub-heads have been provided for the rupee and
sterling branches of the Provident Ponds. For this purpose, the
amount credited or debited monthly in the individual sterling account
should be consolidated in a form similar to that of Form 71, "Account
Number" being substituted for "District" in the first column. In offices
where (he Fund accounts are maintained by the Hand Posting
Method, the Broadsheets relating to the two branches may be kept
separately, if this couser is found more convenient.
251. When the sterling account is an exact replica of the
rupee account converted at the current official rate of exchange vis-
à-vis the Pakistani Rupee sterling interest on the balance in the
former account should be calculated by covering the exact amount of
rupee interest on the rupee balance at the same rate with the help of
conversion tables. If the case is otherwise, (he interest bearing
balances in Sterling should be worked out and interest calculated
thereon.
ANNUAL ACCOUNT STATEMENTS TO SUBSCRIBERS
252. Copies of their respective annual accounts should be
dispatched in Form 80 or 81 to the subscribers (according as they
are Gazetted or non-Gazetted Government servants), not later than
(1) the 30th September in cases in which' there are no Exchange
Account transactions, and (2) the 15th November in cases where
subscriptions are adjusted through Exchange Accounts.
Note: —Particulars of the months for which credits are
missing should be given in the annual account statements of
subscribers.
PERIODICAL REVIEW
253. A review of the Provident Fund Accounts should be
conducted at intervals of 3 years after the dispatch of the annual
accounts. The scope of the review should be as follow:
(i) To see that there are no cases of omission to open
ledger accounts or ' cases where double accounts
have been opened for the same subscriber: for this
purpose, a census of the ledger cards (where Fund
Accounts are maintained by machine posting) should
be taken and agreed with the number of subscribers to
the Fund, including subscribers who have
discontinued their, subscriptions;
 (ii) To check in detail one month's credits in the ledger
accounts of each department with reference, to the
schedules, the selection of the month for each
department being made by a Gazetted Officer;
(iii) To examine generally the credits for the remaining 11
months appearing in the ledger accounts and to see
that the reasons for non-recovery or irregular recovery
(short or excess) of advances and subscriptions arc
properly recorded therein;
(iv) To cheek the debit postings of the whole year with
reference to vouchers;
(v) To sec that the balances are correctly carried forward.
IN CONDUCTING THE REVIEW IT SHOULD BE SEEN THAT: —
(a) The instructions in paragraph 221 are observed.
(b) The accounts of subscribers who have ceased to be in
service have been promptly closed and refunds
authorised.
(c) There has been no omission to issue supplementary
refund orders in cases where credits have been un-
disbursed,
(d) There has been no omission to transfer the balances
of the subscribers who have quitted service to
"Unclaimed Deposits" in June Final accounts under
the rules of the Fund.
(e) The subscriptions are not below the minimum limits,
and
(f) All final payments in excess of Rs. 10,000 have been
correctly made.
 CHAPTER XII
OF COMPENSATION
117. Rules as to compensation. --- The compensation
payable in case of dishonor of a promissory note, bill of exchange or
cheque by any party liable to the holder or any indorse, shall be
determined by the following rules --
a) The holder is entitled to the amount due upon the
instrument, together with the expenses properly incurred in
presenting, noting and protesting it;
(b) When the person charged resides at place different
from that at which the instrument was payable, the holder is entitled
to receive such sum at the current rate of exchange between the two
places;
(c) An indorser who, being liable, has paid the amount due on
the same is entitled to the amount so paid with interest at six per
centum per annum from the date of payment until tender or
realization thereof, together with all expenses caused by the
dishonour and payment;
(d) When the person charged and such indorser resides at
different places the indorser is entitled to receive such sum at the
current rate of exchange between the two places;
(e) The party entitled to compensation may draw a bill upon
the party liable to compensate him, payable at sight or on demand,
for the amount due to him, together with all expenses properly
incurred by him. Such &ill must be accompanied by the instrument
dishonour and the protest thereof (if any). If such bill is dishonoured,
the party dishonouring the same is liable to make compensation
thereof in the same manner as in the case of the original bill.
CHAPTER XIII
SPECIAL RULES OF EVIDENCE
 118. Presumptions as to negotiable instrument of
consideration.—Until the contrary is proved, the following
presumptions shall be made :
1. 15 DLR 86(SC.).
(a) that every negotiable instrument was made or drawn
for consideration, and that every such instrument, when it has been
accepted, indorsed, negotiated or transferred, was accepted,
endorsed, negotiated or transferred for consideration ;
(b) as to date.—that every negotiable instrument bearing
a date was made
or drawn on such date ;
(c) as to time of acceptance.—that every accepted bill of
exchange was accepted within a reasonable time after its date and
before its maturity;;
(d) as to time of transfer.—that every transfer of a
negotiable instrument was made before its maturity ;
(e) as to order of endorsement.—that the endorsements
appearing upon a negotiable were made in the order in which they
appear thereon ;
(f) as to stamp.—that a lost promissory note, bill of
exchange or cheque was duly stamped ;
(g) that holder is a holder in due course.—that the holder
of a negotiable instrument is a holder in due course ; provided that,
where the instrument has been obtained from its lawful owner, or
from any person in lawful custody thereof, by means of an offence or
fraud, or has been obtained from the maker or acceptor thereof by
means of an offence or fraud, or for unlawful consideration, the
burden of proving that the holder is a holder in due course lies upon
him.
119. Presumption on proof of protest. —In a suit upon an
instrument, which has been dishonoured, the Court shall, on proof of
the protest, presume the fact dishonour, unless and until such fact is
disproved.
120. Estoppels against denying original validity of instrument.
—No maker of a promissory note, and no drawer of a bill of
exchange or cheque and no acceptor of a bill of exchange for the
honour of the drawer, shall, in a suit thereon by a holder in due
course, be permitted to deny the validity of the instrument as
originally made or drawn.
121. Estoppels against denying capacity of payee to indorse.
—No maker of a promissory note and no acceptor of a bill of
exchange payable to order shall, in a suit thereon by a holder in due
course, be permitted to deny the payee's capacity, at the date of the
note or bill, to indorse the same.
122. Estoppels against denying signature or capacity of prior
party.—No indorser of a negotiable instrument shall, in a suit thereon
by a subsequent holder, be permitted to deny the signature or
capacity to contract of any prior party to the instrument.
 CHAPTER XIV
SPECIAL PROVISIONS RELATING TO CHEQUES
122-A. Revocation of banker's authority. —The duty and
authority of a banker to pay a cheque drawn on him by his customer
are determined by—
(1) Countermand of payment;
(2) Notice of the customer's death ;
(3) Notice of adjudication of the customer as an insolvent.
123. Cheque crossed generally.—Where a cheque crossed
generally bears across its face an addition of the words "and
company" or any abbreviation thereof between two parallel
transverse lines, or of,two parallel transverse lines simply, either with
or without the words "not negotiable", that addition shall be deemed
a crossing and the cheque shall be deemed to be crossed generally.
123-A.. Cheque crossed "account payee".—(1) Where a
cheque crossed generally bears across its face an addition of the
words "account payee" between the two parallel transverse lines
constituting the general crossing, the cheque, besides being crossed
generally, is said to be crossed "account payee".
(2) When a cheque is crossed "account payee".—
(a) it shall cease to be negotiable ; and
(b) it shall be the duty of the banker collecting payment of
the cheque to credit the proceeds thereof only to the account of the
payee armed in the cheque.
124. Cheque crossed specially.—Where a cheque bears
across its face an addition of the name of a banker, either with or
without the words "not negotiable", that addition shall be deemed a
crossing, and the cheque shall be deemed to be crossed specially,
and to be crossed to that banker.
125. Crossing after issue.—Where a cheque is uncrossed,
the holder may cross it generally or specially. Where a cheque is
crossed generally, the holder may cross it specially.
 Where a cheque is crossed generally or specially, the holder
may add the words "not negotiable".
Where a cheque is crossed specially, the banker to whom it is
crossed may again cross it specially to another banker, his agent, for
collection.
When an uncrossed cheque, or a cheque crossed generally,
is sent to a
Banker for collection, he may cross it specially to himself.

125-A. Crossing a material part of a cheque.—A crossing

authorised by this Act is a material part of the cheque ; it shall not be
lawful for any person to obliterate, or, except as authorised by this
Act, to add to or alter, the crossing.
126. Payment of cheque crossed generally. —Where a
cheque is crossed generally, the banker on whom it is drawn shall
not pay it otherwise than to a banker.
Payment of cheque crossed specially. — Where a cheque is
crossed specially,
the banker on whom it is drawn shall not pay it otherwise than to the
banker
to whom it is crossed, or his agent for collection.
127. Payment of cheque crossed specially more than once.
—Where a cheque is crossed specially to more than one banker,
except when crossed Act 26 of 1881 to an agent for the purpose of
collection, the banker on whom it is drawn shall refuse payment
thereof.
128. Payment in due course of crossed cheque. —Where the
banker on whom a crossed cheque is drawn in good faith and
without negligence pays, it, if crossed generally, to a banker, and if
crossed specially, to the banker whom it is crossed or his agent for
collection, being a banker, the banker paying the cheque, and (in
case such cheque has come to the hands of the payee) the drawer
thereof, shall respectively be entitled to the same rights, and be
placed in the same position in all respects, as they would
respectively be entitled to and placed in if the amount of the cheque
had been paid to and received by the true owner thereof.
129. Payment of crossed cheque out of due course.—Any
banker paying cheque crossed generally, otherwise than to banker,
or a cheque crossed specially otherwise than to the banker to whom
the same is crossed, or his agent for collection, being banker, shall
be a liable to the true owner of the cheque for any loss he may
sustain owing to the cheque having been so
Paid :
Provided that where a cheque is presented for payment which
does not at the time of presentment appear to be crossed, or to have
had a crossing which has been obliterated, added to or altered
otherwise than as authorised by this Act, the banker paying the
cheque in good faith and without negligence shall not be responsible
or incur any liability nor shall the payment be questioned, by reason
of the cheque having been crossed or of the crossing having been
obliterated or having been added to or altered otherwise than as
authorised by this Act. and of payment having been made otherwise
than to banker or to the banker to whom the cheque is or was
crossed, or to his agent for collection, being a banker, as the case
may be.
130. Cheque bearing "no negotiable".—A person taking a
cheque crossed generally or specially bearing in either case the
words "not negotiable," shall not have, and shall not be capable of
giving better title to the cheque than that which the person from
whom he took it had.
131. Non-liability of banker receiving payment of cheque.—
Subject to the provisions of this Act relating to cheques crossed
"account payee" where a banker in good faith and without negligence
receives payment for a customer of a cheque crossed generally or
specially to himself, and the customer has no title or a defective title
thereto, the banker shall not incur any liability to the true owner of the
cheque by reason only of having received such payment.
Explanation.—A banker receives payment of a crossed cheque for a
customer within the meaning of this section notwithstanding that he
credits his customer's account with the amount of the cheque before
receiving payment thereof.
131-A. Application of Chapter to drafts.—The provisions of
this Chapter shall apply to any draft, as denned in section 85-A, as if
the draft were a cheque.
131-B. Protection to banker crediting cheque crossed
"account payee"—
Where a cheque is delivered for collection to a banker which
does not at the time of such deliver appear to be crossed "account
payee" or to have had a crossing “account payee” which has been
obliterated or altered, the banker, in good faith and without
negligence collecting payment of the cheque and crediting the
proceeds thereof to a customer, shall not incur any liability by reason
of the cheque having been crossed “account payee”, or of the
cheque having been credited to a person who is not the payee
thereof.
131.C. Cheque not operating as assignment of funds.
__A cheque of itself, does not operate as an assignment of any part
of the funds to the credit of the drawer with the banker.
Returned in original with the following remarks:
1. Under Article 240 of the constitution of Islamic
Republic of Pakistan, the appointments to and the conditions of
service of persons in the service of Province and posts in connection
with the affairs of a Province are determined by or under Act of the
Provincial Assembly. The Punjab Assembly has enacted the Punjab
Civil Servants Act, 1974 for the purpose. In exercise of the powers
conferred by Section 23 of the Punjab Civil Servants Act, 1974, the
Governor of the Punjab has been pleased to make the Punjab
General Provident Fund Rules, 1978. Rule 1.1 (c) of these Rules
defines family as under:
“(c) "Family" means: -
(i) in the case of a male subscriber, the wife or wives and
children of a subscriber, and the widow, or widows,-
and children of a deceased son of the subscriber;
provided that if a subscriber proves that his wife has
been judicially separated from him or has ceased
under the customary law of the community to which
she belongs to be entitled to maintenance she shall
henceforth be deemed to be no longer a member of
the subscriber's family in matters to which these rules
relate, unless the subscriber subsequently indicates
by express notification in writing to the Accounts
Officer that she shall continue to be so regarded;
(ii) in the case of a female subscriber, the husband and
children of a subscriber, and the widow or widows and
children of a deceased son of a subscriber;
Provided that if a subscriber by notification in writing to the
Accounts Officer expresses her desire to exclude her husband from
her family, the husband shall henceforth be deemed to be no longer
a member of the subscriber's family in matters to which these rules
relate, unless the subscriber subsequently cancels formally in writing
her notification excluding him.
(Explanation l-"Children" means legitimate children.)
(Explanation 2--An adopted child shall be considered to be a
child only when the Accounts Officer, or if any doubt arises in the
mind of the Accounts Officer, the Solicitor to Government, Punjab, is
satisfied that under the law applicable to the subscriber adoption is
legally recognized as conferring the status of a natural child.)
(Explanation 3— In a case in which a person has given his
child in adoption to another person and if, under the law applicable to
the adaptor, adoption is legally recognized as conferring the status of
a natural child, such a child shall for the purposes of these rules be
considered as excluded from the family of the natural father.”)
Father of a married female subscriber is not a member
of her family as per the rules quoted above and hence not entitled to
claim share from the General Provident Fund accumulations of the
subscriber.
2. Rules 1.7 of the Punjab General Provident
Fund Rules, 1978, reads as follows: “(1) A subscriber shall, as soon
as may be after joining the Fund, send to the Accounts Officer, 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 nomination, the
subscriber has a family, the nomination shall not be in favour of any
person other than members of his family.”
It has been ascertained from the record
available in this office that the deceased subscriber did not furnish
nomination in favour of any of her family members. An effort was
made to obtain a copy of the nomination, if available, from the District
Accounts Office, Sahiwal.The District Accounts Officer, Sahiwal, has
intimated vide letter No.DAO/SWL/FUNDS/HM/4805 dated 25-07-
2002,that nomination papers in respect of the subscriber are not
available / traceable in his office. It is an admitted fact that
nomination papers in respect of the subscriber are not available. In
the absence of nomination papers, rule 1.34 of the Punjab General
Provident Fund Rules, 1978 becomes operative. The said rule is
reproduced as under:
“On the death of a subscriber before the amount standing to
his credit has become payable or where the amount has become
payable, before payment has been made: -
(i) When the subscriber leaves a family: -
(a) If a nomination made by the subscriber in accordance with
the provisions of rule 1.7 in favour of a member or
members of his family subsists, the amount standing to
this credit in the Fund or the part thereof to which the
nomination relates shall become payable to his nominee
or nominees in the proportion specified in the nomination;
(b) If no such nomination in favour of a member or members
of the family of the subscriber subsists, or if such
nomination relates only to a part of the amount standing
to his credit in the Fund, the whole amount or the part
thereof to which the nomination does not relate, as the
case may be, shall, notwithstanding any nomination
purporting to be in favour of any person or persons other
than a member or members of his family, become payable
to the members of his family in equal shares.”
The deceased subscriber was married but
issueless. She had not adopted a son or daughter. Therefore the
only family member is the husband of the deceased subscriber.
Nothing is on record to suggest that the deceased subscriber had
any intention to exclude her husband from her family. Therefore, the
only legal successor of the deceased subscriber in respect of her
General Provident Fund accumulations is her husband as succession
in property in the Fund goes in accordance with the special law and
the rules framed thereunder and not in accordance with ordinary law
applicable to succession in other matters.
3 It has been provided in rule l.35 (l) of the
Punjab General Provident Fund Rules, 1978, that when the amount
standing to the credit of a subscriber in the fund becomes payable, it
shall be the duty of the Accounts Officer to make payment, as
provided in Section 4 of the Provident Funds Act 1925. Section 4 of
the Provident Funds Act 1925 reads as follows:
Provisions regarding repayments —(1) When under the rules
of any Government or Railway Provident Fund the sum standing to
the credit of any subscriber or depositor, or the balance thereof after
the making of any deduction authorised by this Act, has become
payable, the officer whose duty it is to make the payment shall pay
the sum or balance as the case may be, to the subscriber or
depositor, or if he is, dead, shall:-
(a) If the sum or balance, or any part thereof, vests in a
dependant under the provisions of section 3, pay the same to the
dependant or to such person as may be authorised by law to receive
payment on his behalf: or
(b) If the whole sum or balance, as the case may be, does
not exceed five thousand rupees, pay the same, or any part thereof
which is not payable under clause (a) to any person nominated to
receive it under the rules of the Fund, or, if no person is so
nominated, to any person appearing to him to be otherwise entitled
to receive it; or
(c) in the case of any sum or balance or any part thereof,
which is not payable to any person under clause (a) or clause (b) pay
the same-
(i) to any person nominated to receive it under the rules
of the Fund, on production by such person of probate or letters of
administration evidencing the grant to him of administration to the
estate of the deceased or a certificate, granted under the Succession
Certificate Act, 1889, or under the Bombay Regulation VIII of 1827,
entitling the holder thereof to receive payment of such sum, balance
or part; or
(ii) where no person is so nominated, to any person who
produces such probate, letters or certificate”.
As per Section 2 (c) of the Provident Funds Act
1925 "dependent" means any of the following relatives of a
deceased subscriber to, or a depositor in a Provident Fund, namely a
wife or wives, husband, parent, child, minor brother, unmarried sister
and a deceased son's widow and child, and, where no parent of the
subscriber or depositor is alive, a paternal grand-parent;
Section 3 (2) of the Provident Funds Act 1925
provides that any sum standing to the credit of any subscriber to, or
depositor in, any such Fund at the time of his decease and payable
under the rules of the Fund to any dependant of the subscriber
or depositor, or to such person as may be authorised by law to
receive payment on his behalf, shall subject to any deduction
authorized by this Act and, save where the dependant is the widow
or child of the subscriber or depositor, subject also to the right of an
assignee under an assignment made before the commencement of
this Act, vest in the dependant, and shall, subject as aforesaid, be
free from any debt or other liability incurred by the deceased or
incurred by the dependant before the death of the subscriber or
depositor.
Read with the Punjab General Provident Fund
Rules, 1978,it becomes clear that in case of a nomination in favour of
one or more family members, the GP Fund accumulations are
payable to the nominee or nominees in the proportion specified in the
nomination or in the case of absence of nomination to all the family
members in equal share and in case of absence of any family
members (a husband ceases to be a family member if the female
subscriber so desires and intimates in writing to the Accounts
Officer ) ,to the dependents in order of the following priority:
“Wife or wives, husband, parent, child, minor brother,
unmarried sister and a deceased son's widow and child, and, where
no parent of the subscriber or depositor is alive, a paternal grand-
parent”
Since a family member of the deceased
subscriber is alive and continues to be within the definition of
member of the family under the Punjab General Provident Fund
Rules, 1978,therefore no one except that family member is entitled to
receive the payment of GP Fund accumulations of the deceased
subscriber. A succession certificate issued in favour of any one else
under the Succession Certificate Act, 1889 is a nomination of the
person not entitled under the Punjab General Provident Fund Rules,
1978 and holder of such a certificate cannot lawfully claim GP Fund
accumulations of the deceased subscriber. Even if the husband does
not remain a valid family member under the rules and there exists no
family member, he is on the top of the list of dependents in order of
priority and in this way remains a valid recipient of the GP Fund
accumulations of the deceased subscriber.
4. Where no nomination has been made by the
deceased subscriber, the rules nominate valid recipients of GP Fund
accumulations of a deceased subscriber and the nomination made
by the rules holds good notwithstanding anything contained in any
other law or any act taken or instrument made under such other law,
as has been provided in Section 5 of the Provident Funds Act
1925.Section 7 of the Provident Funds Act 1925 declares that no suit
or other legal proceeding shall lie against any person in respect of
anything, which is in good faith done or intended to be done under
this Act.
 5. In a similar case regarding pension, the
Accountant General Punjab has advised this office vide his letter
No.Pen-1/Coord/20-10/99-2000/1433 dated 23-06-2000 in the
following words:
“On death of one Mr. Muhammad Ali, Chowkidar of D.H.O,
Vehari, while in service, his mother obtained succession certificate
from the court and submitted the pension papers, ignoring the widow
of the deceased.

The matter was referred to the Government of the Punjab,

Finance Department: Whether the family pension/commutation
(gratuity) is payable according to the Pension Rules viz to the widow
or under the decision of the court, to the mother.
The Government of the Punjab, Finance Department, Lahore,
have clarified in their letter No.FD.SR-III-4-5/2000 dated 18-02-2000
that the family pension is payable to the widow instead of the mother
under the provision of Pension Rules and in the light of decision of
the Supreme Court in PLD-1991, SC.731 and the advice of the Law
Department, which is reproduced below:
“It is advised that the judgment of the Honourable Supreme
Court is to be followed even if Succession Certificate to the
contrary has been obtained. The aggrieved party may be directed
to apply to the concerned court for review of the order in the light of
the judgment of the Honourable Supreme Court of Pakistan. (PLD
1991.SC 731).”
Like pension, matters relating to the General
Provident Fund are decided in accordance with the Punjab General
Provident Fund Rules, 1978 read with the Provident Funds Act 1925.
5. Legitimacy flows from the Proclamation of
Emergency of fourteenth day of October 1999 issued by the Chief of
Army Staff and subsequently validated by the Supreme Court of
Pakistan. Article 2(1) of Provisional Constitution Order No. 1 of 1999
reads as follows:
“Notwithstanding the abeyance of the provisions of the
constitution of the Islamic Republic of Pakistan, hereinafter referred
to as the constitution, Pakistan shall, subject to this order and any
other order made by the Chief Executive, be governed, as nearly as
may be, in accordance with the constitution”.
The Provident Funds Act 1925 and the Punjab General
Provident Fund Rules, 1978 are perfectly in accordance with the
constitution. Moreover Article 5 of the Provisional Constitution Order
No. 1 of 1999 read with Article 2 of the Provisional Constitution Order
No. 9 of 1999 reads s follows:
“Notwithstanding the abeyance of the provisions of the
constitution, but subject to the orders of the Chief Executive, all laws,
all ordinances, orders, Rules, bye-laws, regulations, notifications and
other legal instruments, other than the constitution, in force in any
part of Pakistan, whether made by the President or the Governor of a
Province, shall continue in force until altered, amended or repealed
by the Chief Executive or any authority designated by him”.
It is fair to conclude that the Punjab General
Provident Fund Rules, 1978 are the rules, which enjoy the protection
of the Provisional Constitution Orders and are validly in the field.
6. In the light of the foregoing submissions, it is
deemed in the public interest to request that the case of final
payment of General Provident Fund accumulations of late Nadeem
Sohail, wife of Syed Sohail Najaf, bearing G.P.Fund account No.
OKR/Edu/539 may be revised and submitted in this office in
accordance with the rules quoted above. The process of revision and
re-submission of the case may kindly be completed as early as
possible to save the family of the deceased subscriber from financial
hardship and to enable this office to authorize payment in
accordance with the rules.
 The following documents are being returned
herewith for re-submission after necessary correction/ revision,
where required under the rules: -
1. G.P F 10 (in original)

2. Application of the husband of the subscriber (in original)

3. A photocopy of the Succession Certificate, as received.
4. A photocopy of the Death Certificate, as received.
5. Letter No.2175 B&A dated 25- 04-2002 of the EDO
(EDU), Okara, (in original)

(MUHAMMAD
AKHTAR)
District Accounts
Officer
Okara.
District Officer (Colleges)
Okara