Payment of arrears of pension under the payment of arrears of pension (Nomination) Rules�


Office of the Principal Controller of Defence Accounts (Pension), Draupadi Ghat,
———————————————————————————- Circular No. 194

No. AT/Tech/012-IX Dated: 24.11.2017
1. The Chief Accountant, RBI Deptt. of Govt. Bank Accounts, Central
office C-7, Second Floor, Bandre- Kurla Complex, P B No. 8143, Bandre
East Mumbai-400051
2. The Director of Treasuries of all state …….
3. The Manager CPPC of Public Sector Banks including IDBI
4. The CDA (PD) Meerut……….
5. The CDA-Chennai……….
6. The Nodal Officers (ICICI/ AXIS/HDFC Bank)….
7. The Pay & Accounts Officers…………
8. Military and Air Attache, Indian Embassy Kathmandu, Nepal.
9. The DPDO…………
10. The Post Master…………..
Sub:(i) Payment of arrears of pension in cases where valid nomination has not
been made under the payment of arrears of pension (Nomination) Rules,
(ii) Payment of arrears of family pension-regarding.
Difficulties being faced by the defence pensioners in obtaining the legal heir-ship- certificate, for payment of arrear of pension where valid nomination has not been made
under payment of arrear of pension (Nomination) Rules, 1983 and payment of arrear of
family pension, were drawing attention of the Govt. since long.
2. To obviate the above difficulties of the defence pensioner, GOI, Ministry of
Defence department of Ex-Servicemen Welfare, vide letter No. 1(10)/2013- D(Pen/Policy) dated 29th August 2017 (copy enclosed) has decided that in the absence of
nominee or any “will” of the deceased pensioner, the arrear of pension will be paid as
(i) Under the order of the Pension Disbursing Authority to the heir without
production of legal authority, if the gross amount of arrears of pension claim does not
exceed Rs. 25,000/-, provided he is otherwise satisfied about the right of the claimant.

(ii) If the gross amount of arrears of pension claims exceeds Rs 25,000/- but does not
exceed Rs 2,50,000/-, under the orders of Principal Controller of Defence
Accounts(Pension) on execution of an Indemnity Bond in Form IAFA-642 duly stamped
for gross amount due for payment with such sureties as may be deemed necessary and
accepted on behalf of the President by an officer duly authorized under article 299(i) of the constitution

(iii) In case of any doubt and also in cases where the amount of arrear exceeds Rs
2,50,000/- payment shall be made only to the person producing the legal authority.
3. Normally there should be two sureties both of known financial ability. However,
in case the amount of claim is less than Rs 75,000/- the authority accepting the Indemnity
Bond for and on behalf of President of India should decide on the merits of each case
whether to accept only one surety instead of two. The obligor as well as the sureties
executing the Indemnity Bond should have attained majority so that the bond has legal
effect or force. The Bond is required to be accepted on behalf of the President by an
Officer duly authorized under Article 299(i) of Constitution.
4. This Ministry letter No. 1(16)/2009-D(Pen/Policy) dated 15.03.2010 stipulates
that in the event of death of family pensioner, the right to receive any arrears of family
pension would automatically pass on to the eligible member of the family next in line. The
requirement of succession certificate for payment of any arrears occurs only where there is
no member in family who is eligible to receive family pension after the death of the family
pensioner. Therefore, it has been decided that the provision of this letter will also apply to
the payment of arrears of family pension where no member of family is eligible to receive
family pension.
All the Pension Disbursing Authorities are, therefore, advised to regulate the
payment of life time arrears of pension and family pension in terms of instructions
mentioned above.

(Sandeep Thakur)
Jt.CDA (P)

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