30th June retirees case - Supreme Court passed comments- noncompliance costs as well as interest may be imposed.

SB ORDER 05 /2024 dtd 21.08.2024    By Com A.Kesavan, Asst General Secretary

More than one PPF account for the same depositor

a) This is the most common scenario now a days we are seeing in the office after the introduction of Finacle and after the evaluation of CBS.

b) This type of regularization is very much available earlier itself, but due to unaware of these things our staff become scapegoats for the irregular accounts opened in this category. 

c) The officials should be more vigil, and they have to follow the procedure for regularization of this kind of irregularly opened accounts.

d) The primary account shall earn the interest @ of interest. The Primary account can be chosen by the depositor amongst the first 2 accounts opened. This will be continued and the secondary account will be closed.

e) That means the depositor may choose the 2ndly opened account to be continued.

f) The balance in the secondary account will be merged with the primary account subject to the maximum ceiling limit applicable in each year.

g) If the deposits of a particular year exceeds the allowed maximum then excess without interest will be refunded.

h) After merger, the secondary account will be closed and the primary account will be continued. 

i) The 3rd and more accounts will be closed without any interest .