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Report No. 137

2.5.1. Inaction or indifference on the part of the employer.-

It has been noticed that many a time the finalisation of cases of provident fund and other retirement dues is delayed due to inaction on the part of the employer. The retiring employee or his nominee or legal beneficiary submits necessary claim application well in time but not action is taken thereon by the employer. A general lack of prompt action has been noticed. The case of Shri M.D. Pandar Bole of Central Warehousing Corporation will illustrate the point.

The intimation regarding the death of Shri Pandar Bole was received by the Central Warehousing Corporation Employees Provident Fund Trust on Jan. 1, 1981. No action was taken in the matter for more than 5 years till August 18, 1986. The Trust, on August 18, 1986, called for the service particulars of the deceased employee from the Regional Office of the Corporation. The claimants produced a Succession Certificate issued by the Tehsildar some time in March/April 1987.

The Succession Certificate was not accepted by the Trust as not having been issued by the Competent Authority. And on February 10, 1989, the claimants were called upon to produce indemnity bond, affidavit and Succession Certificate. The case was still pending settlement at the time of on-the-spot study of the record by officers of the Commission in March 1989. Thus, the delay of five years plus during the period January 1, 1981 to August 18, 1986 and again of nearly 2 years during the period May 1987 to February 10, 1989 has been due to the inaction or indifference on the part of the employer.

Need for creating Office of Ombudsman and for Evolving Legislative - Administrative measures Inter alia to relieve hardships caused by Inordinate Delays in settling Provident Fund claims of Beneficiaries Back

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