Every employee who retires is required to submit a nomination in triplicate, in Form “A,” to the Department from which he or she is retiring. Also, pensioners who retired prior to the Rules’ introduction were obliged to submit nominations to the appropriate Pension Disbursing Authority.
According to the latest notification from the Department of Pension & Pensioners’ Welfare, “The pensioner can, subsequently, modify the nomination (if nominee pre-deceases the pensioner, or otherwise) by submitting Form “A” in triplicate to the Pension Disbursing Authority. The Pension Disbursing Authority is required to return to the pensioner the duly attested duplicate copy of the nomination within thirty days of the receipt of nomination. The triplicate copy is to be sent to the Accounts Officer of the Department from where the pensioner had retired while the original copy of the nomination shall be recorded with the PDA.”
If a pensioner’s arrears of pension accrue after his or her death, the arrears are paid to the person to whom a nomination under the Payment of Arrears of Pension (Nomination) Rules, 1983 has been made.
Payment of life-time arrears of pension (LTA)
LTA refers to a pension that has not been drawn during a pensioner’s lifetime. According to the Arrears of Pension (Nomination) Rules, 1983, pensioners must designate someone else during their lifetime to collect the pension arrears owed to them upon their death. This is paid to the nominee, and if there is no nominee, the legal heirs can claim and settle lifetime arrears. Time-barred claims, on the other hand, will be settled with the approval of the relevant Pension Sanctioning Authority.
Some pensioners/pensioners’ associations have complained to this Department that when pensioners submit nominations to the Pension Disbursing Authority (PDA), bank staff are hesitant to accept them because they are unfamiliar with the foregoing regulations.
Furthermore, even if a nomination is accepted by the bank, the pensioner is unaware of its safekeeping or retrieval when necessary since he is unsure whether the nomination has been fed into the bank’s system.
The notification said, “The matter has been examined in this Department. The procedure for submission and acknowledgement of nominations for life-time arrears of pension is well defined in the Payment of Arrears of Pension (Nomination) Rules, 1983. All retiring Government employees are mandatorily required to submit the nomination for arrears of pension in Form A while filling up the pension papers. This nomination is then forwarded to the Pension Disbursing Authority along with the PPO.”
The problem may also emerge if the nomination made at the time of retirement becomes invalid due to the nominee’s death or for any other cause, and the pensioner fails to submit a new nomination to the Bank in Form A, or the Bank Branches personnel refuses to accept the nomination due to ignorance, the notification further stated.
Focusing on such issues, the department has issued action guidelines for Accounts Officers, Central Pension Accounting Office and Pension Disbursing Authority/Bank to handle such cases.