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Report No. 137

Chapter III

Magnitude of the Problem-Need for Creation of a Statutory Ombudsman

3.1. Material regarding plight of suffering employees gathered.-

In order to carry out post-audit of this Act and the Scheme framed thereunder, the same being a benevolent socio-economic legislation, the Commission issued a press release on December 20, 1988 [Appendix E] inviting all concerned who had not received the provident fund and retiremental dues for more than one year to furnish relevant particulars in order to apprise the Commission of their plight.

The material gathered by the Commission on the basis of complaints received in response to the press note issued by it reveals that a lementable state of affairs prevails in the sphere of disbursement of provident fund accumulations, etc. Out of a total of 481 complaints received by the Commission, 139 cases were resolved within approximately three months of the matter being taken up by the Commission with the concerned authorities. On an analysis of the data relating to these cases where delay was apparently unjustified, an extremely unaesthetic picture emerges:-

Extent of delay involved

Number of cases

Maximum 21 years, Minimum 10 years


Maximum 10 years, Minimum 6 years


Maximum 6 years, Minimum 4 years


Maximum 4 years, Minimum 2 years


Less than 2 years




(Full details pertaining to these 139 cases are embodied in Appendix F.)

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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