841

106 GI/81—2

MINISTRY OF FINANCE

(IXpartmen' o( Economic Affairs)

NOTIFICATION

New Delhi, the 24th April, 1981

G.S.R. 309(K).—In exercise of the powers confcired by

section 12 of the Government Savings Certiiiducs Act, 1959

(46 of 1959), the Central Government hereby makes the

fol'owinit rules, namely ;—

1. Shoit title, commencement and application.—fl) These

rules may be ca'lcd the National Savings Certificates (VI Issue)

Rules. 1981.

(2) They shall come into force on the 1st day of May,

1981,

(3) They shall apply to the National Savinfis Certificates

(VI Issue).

2. Definitions.—In these rules, unless the context otherwise

requires—

d) "Act" means the Government Savings Certificates

Act, 1959 (46 of 1959);

(ii) "Certificate" means the National Savings Certificate

(VI Issue);

(iii) "Co-operative Society" means a society registered or

deemed to have been registered under the Co-opera-

tive Societies Act, 1912 (2 of 1912) or under any

other law for the time being in force ;

(iv) "Corporation" means a corporation established bv or

under any law for the time beinp in force, but does

not include a company ;

(v) "Form" means a form appended to these rules ;

(vi) "Government Company" means a company as de-

fined in section 617 of the Companies Act, 1956

(1 of 1956);

(vii) "Identity Slip" means an identity slip issued to a

holder of a certificate under rule 12 ;

(viii) "Local Authority" means a municipal corporation,

municipal committee, district board, body of port

commissioners or other authority legally entitled to

or entrusted by the Government with the control

or management of a municipal or local fund ;

(ix) "Old Certificate" means a certificate issued under the

Post Office Savings Certificates Rules, 1960, or the

National Savings Certificates (First Tssue) Rules,

1965, or the National Savings Certificates (TV Issue)

Rules, 1970 or the National Savings Certificates

fV Tssue) Rules, 1973. or a Bond issued under the

National Development Bonds Rules, 1977;

(x) "Post Office" meam, any post office in Tndia doing

Savings Bank work,

3. Denominations in which certificates shall be issued.—

The National Savings Certificates (VI Tssue) shall be issued in

denominations of Rs, 10, Rs. 50, Rs. 100, Rs. 500, Rs. 1,000

and Rs. 5,000.

4. Types of Certificate" and Issue thereof.—(1) The Certi-

ficates shall be of the following types, namely ;—•

fa) Single Holder Type Certificates :

(b) Joint 'A' Type Certificates ; and

842

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART II—SEC. 3(i)]

(2) (a) Single Holder Type Ceitifidites may be issued to an

adult for himself or on behalf of a minor or to a minor.

(b) Joint 'A' Type Certificates, may be issued to two adults

payable to bolh holders jointly 01 to the smvivoi.

two adults payable to cithci of the holders or the survivor.

5. Purchase of Certificates.-—Ccitificatcs may be purchased

for any amount.

6. Procedure for purchase of certificates.—Any

person

desiring to purchase a certificate' shall present at a post office

on or after the 1st day of May,

1981 an application in

Form I (obtainable free of cost at all cost offices) either in

person or through his messenger or through an authorised

agent of the Small Savings Schemes.

7. Purchase of Certificates on behalf of others —A person

or body specified in column I of the Table below may pur-

chase certificate^) on behalf of persons specified against

his or its n-ame in the corresponding entry in column TI of

the said Table :

Provided that the persons specified in the said column II

are eligible under these rules to purchase certificates.

TABLE

Person or body who can

purchase

(i) an adult

(ii) a Co-operative society in-

cluding a co-operative bank,

or a scheduled bank.

(iii) A Gazetted Government

officer, an officer of a Govern-

ment company or of a cor-

poration or of a local aut-

hority, or an officer of a

corporate body like a mark

eting

committee establi-

shed under a State Act and

authorised by the State Go-

vernment in this bohalf, in

his Official capacity or the

Reserve Bank of India.

on behalf of

a minor

its members, clients, em-

ployees or contractors whose

moneys arc held as deposit

or otherwise with such so-

ciety or bank.

persons

whose

monys

arc held

deposit

or otherwise with such

officer or the Reserve Bank.

8. Legal Tender.—Payment for the purchase of a cciti-

ficate may be made to a post office in any of the following

modes, namely:—

(i) cash;

(ii) a cheque, pay order or demand draft;

(iii) duly signed withdrawal form together with the pa,=s

book for withdrawal from tho post office wings

bank account;

(iv) Surrender of a matured old certificate duly discharged

as follows— "Received payment through issue of fresh

certificate vide application attached".

9. Tssue of certificates—(1) On payment being made under

rule H, except where payment is made by a cheque, pay order

or demand draft, a certificate shall noimally be issued imme-

diately, and the dale of such certificate shall he the date of

payment.

(2) Where payment for the purchase of a certificate is

made by a cheque, pav order or demand draft, the ceitifkate

shall not be issued before the proceeds of the cheque, pay

order or demand draft, as the case may be, are realised and

the date of such certificate shall be the date of encashment of

the cheque, pay order oi demand diaft, as the case may

be.

(3) If foi any leason a certificate cannot be issued imme-

diately, a provisional receipt shall be given to the purchaser

which may latci bo changed for a certificate and the date

of auch certificate shall be as specified in sub-rule (1) or sub-

rule (2), as the case may be.

10. Certificate in lieu of proceeds of old certificate.—A

holder of an old certificate entitled to encash that certificate

may make an application in Form 1 for the grant of a certi-

ficate under these rules; on receipt of such an application, there

shall be issued to the applicant a cei tificate under these

rules, the date of I'isuc bcinc the date on which the old certi-

ficate duly discharged is piescnted.

11.

Irregular holding.—(1) Any ceitificate puichafed or

acquired in contravention of these rules shall be encashed

by the holder as soon as the fact of the holding being in

contravention of Ihese rules is discovered and no imeicst shall

be paid on any holding in contravention of thc^e rules.

(2) If any intcicst has been paid on any holding which is

in contravention of these rules, it shall be forthwith lefund-

ed to the Government failing which the Government frhall be

entitled to recover the amount involved from any money

payable by the Government to the investor or as an aitcar of

land revenue.

12. Identity Slip.—(1) If a request for the issue of an identi-

ty slip is made ijt any time by an individual adult holder of

a certificate incuding a holder on behalf of a minor or by

joint holders to the post office where the certificate stands

registered, an identity slin shall be issued to such holder or

holders on his or their sinninj; the identity slip.

(2) The identity slip shall be surrendered at the time of

the final discharge of the certificate or in case of its loss, a

declaration of such loss shall be furnished to the post office

in the form laid down by the Director General, Posts and

Telegraphs.

13. Transfer from one post office to anoiher.—(1) A certi-

ficate may be. transferred from, a post office at

which it

stands registered, to any other post, office on the holder

or holders making an application in the form laid down

the Director General, Posts and Telegraphs, at either

the two post offices.

(2) Every such application shall be sigrod by the holder

or holders of the certificate :

Provided that in the case of a Joint "A' Type Certificatei

or a Joint 'E' Type Certificate,

the application may

signed by one of the joint holders if the other is dead.

14. Transfer of certificate from one peison to another.—

A certificate mav be transferred with the previous consent

in writinc of an officer of the post office as specified

below

(hereinafter referred to in these rules is authorised Post-

master) .

Cases in which transfer can be sanctioned.

(a) (i) From the name of a deceased holder")

to his heir.

(iii) From a holder to a court of law, |

or to any other person under the |

orders of a court of law.

(iii) From a single holder to the names y

of two joint

holders of whom

the transferer shall be one.

(iv) From

joint holders to the name

of one of

the

joint holders.

(b) Allothercases

Designation of

the officer com-

petent to grant

permission

for

transfer.

Head Post-m aster

sub-Post-

master of the

post office where

the certificate

stands

regis-

tered.

Head postmaster

843

(2) An authorised Postmaster shall give his consent to the

transfer of a certificate only if the following conditions are

satisficdv-tnamely :—

(a) the transferee is eligible under these rules purchase

certificates ;

(b) the transfer is made after the expiry of a period of

at least one year from the date of the certificale or

where the transfer is sought before the

expiry of

such period, the transfer falls under any of the follo-

wing categories, namely :—

(i) transfer to a near relative out of natural love and

affection;

Explanation.—For the purposes of this nile,

"near relative" means husband, wife, lincil a->-

cendant or desccdant, brother or sistei.

(ii) transfer in the name of the heir of the

d.'cc iscj

holder;

(iii) transfer from a holder to court of law or to any

other person under the orders of a iouit ol hiw;

(iv) transfer in accordance with rule 16; and

(v) Iransfer in the name of the survivor in the event

of the death of one of the joint holders.

(.c) An application for the transfer is made in the form

laid down by the Director General, Post and Te'c-

grupris and is signed by the holder or holdeis of the

certificate:

Provided that in the case of a Joint 'A' Type Ccitificate or

a Joint 'B' Type Certificate, the application may "be signed by

one of the holders if the other is dead.

(3) Without prejudice to the provisions of sub-rule (2), un

authorised Postmaster ahall give his consent to the transfei

of a certificate held on behalf of a minor only if at the tune

of the pioposed transfer, a parent or the guardian referred to

in sub-clause (i) or, as the case may be. sub-clause (iil, of

clause (b) of section 5 of the Act, certifies in writing, that the

minor is alive and that such transfer is in his interest.

(4) In every case of transfer, other than a transfer under

rule 16, the original certificate shall be duly dischaiged and

the new certificate bearing the same date as that of the oiij{i-

nal certificate surrendered shall be issued in the name of the

transferee.

15. Transfer from sinsle holding Lo joint holding ,ind \icc-

vers.-—Subject

to the provisions contained iu sub-iule (1) of

rule 14, on an application to this effect being made—

(a) a certificate in the name of a single holder may be

transferred jointly in the names of the holder and

any other person;

(b) a certificate in the names of ioint holders may be

transferred to the name of one of he joint holders.

16. Pledging of certificate.—(1) On an application

being

made in the form laid down by the Director General, Posts

and Telegraphs, by the transfercr and the transferee, the Post-

master of the office of registration may, at any time, permit

the transfer of any certificate as security t o -

la) the President of India or Governor of a State in his

official capacity;

(b) the Rcseive flank of fndia or a scheduled bank,

or. a co-operative society including a co-opeiative

bank;

(d) a local authority:

Provided that the transfer of a certificate purchased on be-

half of a minor shall not be permitted under this sub-iule

unless the r>aren or the guardian of the minor referred to in

nub-clause fi) or, as the case nay be sub-clause (ii>, of clause

(b) of section 5 of the Act certifies, in writing, that the minor

is alive and ihe transfer is For the benefit of the minor.

(2) When

any certificate is transferred as security under

sub-rule (1), the Postmaster of the office of registration shnll

make the following endorsement on the certificate, namely;—

"Tiansfetred as

sccunty to

(3) Except as otherwise provided in these rules, the transferee

of a certificate under this rule shall, until it is r c-tr ansferrcd

under sub-rule (4), be deemed to be the holder of the certi-

ficate.

(4) A (.crtifkale transferred under sub-rule (2) may, on the

written authority of the pledjjee, be re-transfericd with the

previous sanction in writing of the authorised Postmaster and

when any such

ic-tiansfer is made, the Postmaster of the

office of registration shall muke the following endorsement on

the certificate, namely—

"Re-transferred to

Note 1.—A Gazetted officer of the Government accepting

the certificate as security under sub-rule (1) or releasing the

pledge under sub-rule (4) on behnlf of the President or the

Governor of a Stntc, shall ccitify thai he is duly authorised

under his dated signature and seal of office that as a duly

or deeds on behalf of the President of India or the Governor

of the State, giving the particulars of the number and date of

the notification of the Government authorising him in

this

behalf.

Note 2.— An officer of the Reserve Bank of India or a

scheduled bank or a co-operative society indudin« a co-opera-

tive bank, a. corporation or a Government

company or a

local authority, as the case may be, accepting the certificate

ay security under sub-rule (.1) or releasing the pledge- under

sub-rule (.4) on behalf of the respective institution, shall certify

under his dated signature and seal of office that he is duly

authoriyed under the ai tides of the said instituion, to execute

such instruments or deeds on its behalf.

(5J Where as a result of several endorsements made undor

sub-iules (2) and (4) on a certificate, no

space is left for

making further endorsements of a like character on that certi-

ficate, a fresh certificate may be lusued by the Postmaster of

the office of registration in lieu of such certificate.

(f>) A fresh certificate issued under sub-iule (5) shall be

treated as equivalent to the certificate in lieu of which it has

been issued for all the purposes of these rules.

17. Replacement of lost or destroyed certificate.—(I) If a

ccitificate is lost, stolen, dcstioyed, multilated or defaced, the

person entitled thereto may apply for the issue of a duplicate

certificate to the post office, where the certificate is refiistered

oi to any other post office in which case the application will

be forwarded to the post office of registration.

(2) Every such application shall be accompanied by—

(a) a statement showing particulars, suth as, number,

amount and date of the certificate and the circum-

stances attending such loss, theft, destruction, mutila-

tion or defacement;

(b) an identity slip, if any.

(3) If the officer in charge of the post office of registration

h satisfied of the loss theft, destruction, mutilation or deface-

ment of the certificate, he shall issue a duplicate certificate

on the applicant's furnishing an indemnity bond in the form

laid down by the Director General, Posts and Telegraphs with

one of more approved sureties or with a bank's guarantee ;

Provided that where the face value or the aggiegatc face

value of the certificate of certificate^, lost, stolen, destroyed,

mutilated or defaced is Rs. 500 or less, a duplicate certi-

ficate or certificates may be issued on the applicant furnishing

an indemnity bond without any such surety or jjuar.intce:

Provided further that where such application is made with

respect to a certificate mutilated or deforced, of whatever face

value, a duplicate certificntc may be issued without -my such

indemnity hond, surety or guarantee, if

(he certificate muti-

lated or defaced and the identity slip, if any, aie suirendered

and the certificate is capable of being identified as the one

originally issued.

844

THE GAZETTE OF INDIA: EXTRAORDINARY

[PVRT II—SEC. 3(i)]

(4) A duplicate certificate issued under sub-rale (3) shall be

treated as equivalent to the original certificate for

all the

purpose? of these rules except that it shall not be cncashable

at a post office other than Uic post office at which such certi-

ficate is rcgistcicd without previous verification.

18. Nomination.-—(1) Subject to Ihc provisions of sub-iulcs

(2) to (6). the single holder or joint holders of a certificate

may, by filling in necessary particulars in Form. 1 at the time

of purchasing the certificate, nominee any person who, in the

event of death of the single holders or both ihc joint holders,

as the case may be, shall become entitled to the certificate and

to the payment of the amount due thereon. If such nomination

is not made at the time of purchasing the certificate, it may

he made by the single holder, the joint holders or (he surviving

joint holder, as the case may be, at any time after Ihc purchase

of the certificate but before ita matuiity, by means of an

application in Form 2 to the Postmaster of the office at which

the certificate stands registered.

(2) There shall not be mote than one nominee, except

cases where the denomination of a cer. ideate is Rs. 500 or

more,

(3) No nomination shall be made in respect of a ceuificiite

applied for and held by or on behalf of a minor.

(4) A nomination made by the holder or hokleis. of a certi-

ficate under this rule may be cancelled or varied by submittine

an application in Form 3 affixing posiaiic stamps of the vnlue

specified in sub-rule (2) of rule 29 together with the ceitificate

to the Pohtm.'isler of the post ofikc at which the certificate

stands registered.

(5) Separate applications for nomination or cancellation of

a nomination or variation of a nomination shall be made in

respect of certificates registered on different dates.

(6) The nomination or the cancellation of a nomination or

the variation of a nomination shall be effective from the date

it is registered in (he post office, which date sh.il! be noted on

the certificate.

19. Encashment on maturity. — The maturity pciiod of a

certificate of any denomination shall be six years commencing

from the

date

the

certificate.

The

amount,

in-

clusive of Interest, payable on encashment of a ceifificate

any time after the expiry of its maturity period shall be

Rs. 2DA5 for the denomination of Rs. 10 and at proportionate

rate for any other denomination. The interest ss specified in

the Table below shall accrue to the holder or holders of ilie

certificate at the end of each year and the interest so accru-

ing at tho^{e n d} of each year upto the end of the fifth year

shall be deemed to have been re invested on behalf of the

holder and aggregated with the amount of face value

the certificate.

TABLE

The year for which interest

accrues

First year

Second year

Third year

Fourth year

Fifth year

Sixth year

Amount of Interest (Rs.) ac-

cruing on certificates of Rs.

10 denomination.

1.24

1.39

1.56

1.75

1.97

2.24

NOTE : The amount of interest accruing on a certificate o

any other denomination shall be proportionate to

the amount specified in the Table above.

20, Premature encashment—(1) Notwithstanding

; nythipy

anything contained in rule 19, .i ccrtiiic ite of any denomina-

tion may, at the option of the holder or holdci.s, be encashed

at a discount at any time after the evpiry of thiee yciirs from

the date of the certificate, On such premature encashment, the

the amount payable inclusive of interest accrued under rule 19

and after adjustment of discount, shall be as specified in the

Table below for a certificate of Rs. 10 denomination and at

proportionate rate for a certificate of any other denomination

TABLE

eriod from the date of the certificate to

the date of its encashment

years or more, but less than 3 years and

6 months

years and 6 months, or more, but less than

4 years

yeais or more, but less than 4 years and

6 months

\ years and 6 months, or more, but less than

5 years

J years or more, but less than 5 years and

6 months

> years and 6 months, or more, but less than

6 years

Amount pay-

able, inclusivi

of interest

(Rs.)

(2)

(Rs.)

13,20

13,85

14.50

J5.20

15,90

16.65

(2) Notwithstanding anything contained in sub-rule (1) and

rule 19, and subject to sub-rules (3) and (4), a certificate may

be prematurely encashed before the expiry of three years

fiom the date ot the ccitiflca'e in any of the following

circumstances, namely :—

(a) on the death of the holder or both the holders in caso

of joint holders ;

(b) on forfeiture by a pledgee beinjj a Gazetted Govern-

ment officer, when the pledge is in conformity with

these rules;

(3) If a certificate is encashed under sub-rule (2) within a

period of one year from the date of the certificate, only the

iare value of the certificate shall be payable and no interest

shnil be payable.

(4) If a certificate ia encashed under sub-rule (2) after the

expiry of one year but before the expiry of three years from

the elate of tho certificate, the encashment shall be at a dis-

count, On encashment of the ".ertiflcate. an amount equivalent

to (he face value of the certificate together uilfi simple interest

shall be payable. Such simple interest shall be calculated on

the face value, at the rate applicable from time to time

nnulc accounts under the Post Office Savings Bank

Rules,

1965, for the complete months for which the certificate

has

been held. The difference between the aforesaid simple interest

nnd tte inteiest accruing under rule 19 shall be deemtd to b<"

he discount

21. Place of encashment—A Certificate shall be eucashable

nl ihe post office at which it stands registered :

Provided that a certificate mav be encashed at any

other

post office if the officer-in-chargi; nf that post office is ^aihfied

on nroduclion of identitv slip or on verification from the office

of its registration that the

person prrsentinn

the certificate

for encashment is entitled thereto.

845

22. Discharge of certificate—(1)

The

person

entitled to

receive the amount due under a certificate shall, on ils cn-

caifchiTitpt, sign on the back thereof in token of having received

the payment,

(2j In the case of a certificate purchased on behalf of a

minor who has since attained majority, the certificate shall be

signed by such a person himself, but his signature shall be

attested cither by the person who purchased it on bh behalf

or by any other person who h known lo the Postmaster

(3) A certificate of discharge may be issued by the nost

office to any person encashing a certificate on payment of the

fee specified in sub-rule (1) of rule 29.

23. Encashment of minor's certificate—A person encashing

u certificate on behalf of n minor shall furnish a letter from

the parent or the guardian of ihe minor referred to in sub-

clause (i), or as the case may be, sub-clause (ii), of clause

fb) of section 5 of the Act, to the. effect that the minor is

alive and that the money is lequired on behalf of the minor.

(2) When the nominee is a minor, the person appointed

under sub-section (3) of section 6 of the Act while encashing

the certificate, shall furnish a certificate that the minor

alive and that the money is required on behalf of thu minor.

24. Payment to heirs—(1) Fot the purposes of sub-s^t-ticn

(4) of section 7 of the Act the authorities named below shall

be competent

to sanction

claims upto

the

limit noted

against each on the death of the holder of the certificate,

without production of the probntc of his will or letters

administration of his estate or succession ccitificate granted

under the Indian Succession Act, 1925 (39 of 1925) : —

TABLE

Name of authority

]

(1)

(i) Time Scale Departmental Sub-post-

master

(ii) Sub Postmaster in Lower Selection Grade

(iii) (a) Non-Gazetted Head Postmaster and "1

Sub- Postmaster in Higher Selection |

Grade

(b) Deputy Postmaster in Higher Selec- I

tion Grade and Assistant Presidency

Postmaster in Higher Selection

Grade.

(iv) Deputy Postmaster in Group 'B' and

Deputy Presidency Postmaster

(v) (a) Group 'A' or Group 'B' Pcstmaster/ ~)

Presidency Postmaster and Superin-

tendent of Post Offices/Senior Super-

intendent of Post Offices.

(b) Heads of Postal Circles Assistant |

Director/

Assistant

Postmaster |

General)

Limit

~~(2)

Rs.

100

Rs.

250

Rs.

500

Rs.

2,000

Rs. 5000

25. Encashment of Certificate held by Army, Air Fon.e

and Navy Personnel.—Where a certificate ii held by a per-

son who is subject to the Army Act, 1950 (46 of 1950) or

the Air Force Act, 1950 (45 of 1950) or the Navy Act, 1957

(62 of 1957), and such person dies or deserts, the Command-

Ing Officer of the Corps, department, detachment unit or ship

to which the deceased or deserter belonged or the Committee

of Adjustment, as the case may be, may send a requisition

to the officer in charge of the post office where the certified

stands registered to pay to him or it, the amount due under

the certificate; and the officer in charge of the po5t office

shall be bound to comply with such lequisition even though

there U in force at the time of death or desertion of holder

of the certificate a nomination

made in favour

of any

person.

Explanation : The afoiesaid requisition must be made

under section 3 or section 4 of the Army and Air

Foicj (Disposal of Private Propeity) Act. 1950 (40

of 1950), in the case of a person belonging to the

Army or the Air Force, or under section 171 or

section 172 of the Navy Act, 1937 (62 oi 19573 in

the case of a person belonging V) (he Navy.

26. Rights of nominees—<1) In the event of the death of

the holder of a certificate, in respect cf which a nomination

is in force, the nominee or nominees shall be entitled at any

time before or after the maturity of the certificate to :—

(a) encash the certificate; or

(b) sub-divide the certificate in appropriate denomination*

in favour of individual nominees or two

adult

nominees jointly.

(2) For the purpose of sub-iule (1), the surviving nominee

or nominees shall make an application to the Postmaster of

the office of registration, supported by pi oof of death of the

holder and of deceased nominee or nominees, if i\ny.

(3) If thcic arc more nominees than one, all the nominees

shall give a joint discharge of the certificate at the time of

receiving payment or sub-division.

Note—When there is a nomination in favour of a single

nominee or two adult nominees the post office of

registration may, on an application made in that

behalf, issue a fresh certificate in the name of such

nominee or nominees jointly as the case may be,

27. Conveision

from one denomination to anothc/—(1)

Certificates of lower denomination n ay be exchanged for a

certificate or certificates of higher denomination of the same

aggregate face value or a certificate of richer denomination

may be exchanged for certificates of towei denomination of

the same aggregate face value :

Provided that certificates bearing different dates shall not

be combined for being exchanged for ceitificate or certifi-

cates of higher denomination.

(2) The date of the certificate or certificates issued

exchange shall be the same as that of the original certificate

ot certificates- surrendered and not the dale on which the

exchange is mode.

28 Income-tax—Interest

on these

certificates shall

liable to tax under the Income-tax Act, 1961 (43 of 1961),

on the basis of the annual accrual specified in rule 19, but

no tax shall be deducted at the time of payment of dis-

chai ge value.

29. Fees.—(1) A fee of rupee one in the case of a certi-

ficate of the denomination of Rs. 500 or above and a fee

of twenty-five paise in any other case shnll be chargeable

in respect of the following transactions, namely :—

(i) tiansfcr of certificate from one person to another,

other than a transfer from the holder to a court

of law or under the orders of a couit of law;

(ii) issue of a duplicate certificate under rule 17;

(iii) issue Of a certificate of discharge under rule 22;

(iv) conversion from one denomination to another under

rule 27.

Explanation-—<1) The fee to be charged for the is.sue of

a certificate of discharge under clause (iii) shall be

calculated separately on the aggregate face value of

all certificates which were purchased '">n any

one

application and which arc included for discharge

certificate.

Explanation—(2) The fee io be churned for a conveisinn

under clause (iv) shall be based on the number nnd

denomination of the certificates required to be fciued

on sucTTconversion.

(2) A fee of fifty paise shall be chargeable on every arpli-

cntion for registration of nomination, or of any variation in

nomination or cancellation theieof ;

846

THE GAZETTE OF INDIA: EXTRAORDINARY

[pARr II- -SEC. 3(i)]

Provided that no fee shall be charged on an application foi

registration of the first nomination.

30. Responsibility of the Post Office—The post office shall

not be responsible for any loss caused to a holder bv jr.y

person obtaining possession of a certificate and fraudulently,

encashing it.

31. Rectification of mistake*—The Director General, Posts

and Telegraphs or the Postmasters General or Heads of Postal

Divisions in their respective jurisdictions, may either suo motu

or upon an application by any person interested in any certi-

ficate issued in pursuance of these rules, rectify nny clerical

Or arithmetical mistakes

with resnect to that certificate,

provided that it does not involve any financial loss to the

Government or to any such person.

32. Power to relax—Wheic the Central Government

satisfied that the operation of nny of the provisions of thete

rules causet yjjdue hardship to the holder or holders of a

certificate, it may, by order, for reasons to h: recorded in

wrftimr. relax the requirements of thnt rjrovision in a mnnner

not inconsistent with the provisions of the Act.

FORM 1

\See Rule fi, 10, and 18(1)]

INDIAN POSTS AND TELEGRAPHS DEPARTMENT

Form of Application for the purchase of National Savings

Certificates (VI Issue)

Serial No

(1) I/We hereby apply for the purchase of National Savings

Certificates (VI Issue) detailed in the statement

below and

tender the amount shown in column 1 of the statement.

Form of tender

Amount Deno-

No. of *Type

Total

mina-

certifi-

Face

tion

cates

Joint

value

of certi- requi- certifi-

ficates

red

catcs

applied

requi-

for

red

CA' or

'B'

type)

Rs.

" 1

~~2~

(i) Cash

(ii) Cheque, de-

mand

draft

or an appro-

ved

local

Bank's Pay

order or pay

100

slip No. Dt.

500

on Bank.

(iii) application for

withdrawal

from

Post

Office Savings

Bank

1000

(iv) Matured certi-

ficates for re-

investment

5000

TOTAL FACE VALUE

*To be filled in only in case of joint holding.

(a) **In my/our namc(s)

(in Block

Capitals)

with aliases, if any,

** For single or joint holder.

(b) .. On behalf of minor

(Block Capitals)

.. For purchase on behalf of minor

Date of birth of minor

£To be made encashablc by the minor's

(i) Father, (ii) Mother, (iii) Either Parent, (iv) LijU

Guardian.

t(Cross out the alternative not ro^uired or all the items,

if it is not desired to make an authorisation).

[Cross out (a) or (b) whichever is not required)].

»j (c) In the name of

(members etc.)

through

(society or company, etc.)

("(For a co-operative society, co-operative bank or

scheduled bank, on behalf of its members, clients, employees or

contractors, whose monies are held as desposit or otherwise

with &uch society or bank; for a gazetted Government Officer,

an officer of a Government company or of a corporation or of

a local authority, or an officer of a corporate body like a

mark-

ing commitee established under a State Act and authorised by

the State Government in this behalf, in his official capacity,

or the Reserve Bank of India.

(2) I/We hereby agree to abido by the National Savings

Certificates VI Issue) Rules. 1981.

(3)***T/We do/do not require identity slip. (In case of an

investment through an authorised agent or a messongor, specimen

signature's) and marks of identification should be given below

paragraph (5)

***Cross out whichever is not applicable.

Note—No Identity slip shall be Issued to a person other than

the one authorised vide paragraph l(b) above in case of purchase

on behalf of a minor.

Signature

(not thumb impression

of the (or thumb impression if illi-

person(s) authorised if any,

terated) of investor

per paragraph l(b) above.

Date

Address

Note- In case of an illiterate applicant the father's name may

be given.

847

-vt

(4) The certificate(s) and the identity slip may be made

over to my/our agent Shri/Snit

Authority No

or messonger who presents this

application.

(cross c i.t words not "ppl'cable.)

•To be signod or thumb impres- 'Signature for thumb impres-

sion affixed only whei the sion if illiterate) of investor,

investor d v:, n }t take delivery

of certificates personally.

Date

(5) Received the certificates detailed above£ and identity

slip.

£ Cross out, if the identity slip is not to bo issued.

Signature or thumb impression

of purchaser or his agent/

messenger.

(In case of

authorised agent his Authority

No. should be given).

Marks of identification.

Specimen Signature.

(6) Under provisions of section 6(1) of the Govern-

ment Savings Certificates Act, 1959, I/We

the

holderis) of Savings Certificated) mentioned in this application

hereby nominate the person^)

mentioned below who shall,

on my/our death, become entitled to the Savings Certificate^)

and the amount due thereon to the exclusion of all other

perton(s) :—

Serial

No.

(1)

(2)

(3)

Name of the

Nominee(s)

Full Address

Date of

birth

nominee in

case of minor.

As the nominee(s) at serial

above

is/are minoKs), I/We appoint Shri/Smt./Kumari

(name and full address)

as the .person to recover the amount due thereon in the event of

my/our death during the minority of the nominees).

Signature and full address of

Signature (or thumb impres-

witness

sion if illiterate)

holdeHsl

To be completed by the Post Offlco

Sl.

No. <

certi-

ficates

issued

Issue price

Rs.

Date of

encashmeni

Initials of

t Post Mastei

Remarks

: transfer.

Issue

duplicates

etc. Sc. initials of

Post Master.

Total number of National Savings Certificates (VI

Issue)

Siguatue

Postmaster

Date

19-.

FROM 2

[See Rule 18(1)]

INDIAN POSTS AND TELEGRAPHS DEPARTMENT

Serial No

FORM OF APPLICATION FOR NOMINATION

UNDER SECTION 6 OF TH1I GOVERNMENT

SAVINGS CERTIFICATES ACT, 1959

(This form will bo filled inby the h^lder/s and submitted

with the certificates to the Postmaster of the offlco

where the certificates stand registered)

The Postmaster,

Under provisions of section 6 (1) of the Government Savings

Certificates Act, 1939,1/We

tho

holders of Savings Certificates detailed on the reverse, hereby

nominate the persons mentioned below, who shall , on my/our

death, become entitled to the Savings Certifbate/s anil to be

paid the sum due thereon to tho exclusion of all other persons.

I/We hereby declare that I/We have not so far nude any nomi na-

tion in respect of these certificates. Thj> eertifl.jats] aw

en-

closed.

Sl. Name of tho nominee

Full address Dato of birth

No.

of nominee in

case of minor.

(1)

(2)

(3)

As the nominee/s at serial

abova is/are minor/s

I/We appoint Shri /Smt./Kumari

(name and full addresj) as the person to recover the sum the due

thereon in the event of my/our death during tho minority of

the nominee/s.

S.Nos.

Denomination

Date of Issue Offlse of issue

Certificates

(1)

(2)

(3)

Address :—

(In case of illiterate holder father's

name should be given)

Yours faithfully

Signature (or thumb impres-

sion, if illiterate) of

holder/ii.

848

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART I [—SEC. "(i)]

Witnesses —

Name

Address

(I)

Name

A-Jdress

(2)

N.B.— In the case of illiterate holders, tho witnesses

shall bo persons whose signatures are known to tho post office.

Order of the Postmnter accepting the nomination.

Date stamp

Signature of Head/Sub-poslmaster

FORM 3

[Soo Rulo 18(4)]

TNDTAN POSTS AND TELEGAPHS DEPARTMENT

Serial No

FORM OF APPLICATION FOR CANCELLATION OR

VARIATION OF NOMINATION PREVIOUSLY MADE IN

RESPECT OF SAVINGS CERTIFICATES UNDER SECTION

6 OF THE

GOVERNMENT SAVINGS

CERTIFICATES

ACT, 1959. (This form will be filled in by the holder/s and

submitted with the certificate to the

Postmaster of the office

where the certificate stands registered).

The Postmaster,

Space for

Postage Stamps

Under provisions of section 6(1) of the Government Savings

Certificates Act,

1959, I/wc,

the holder/s of

Savings Certificates detailed on the reverse, hereby cancel tho

nomination previously mado by me/us in respect of these cer-

tificates and registered in your office under No

dated....

•In place of the cancelled nomination, I/we hereby nominate

the person/s mentioned below, who shall, on my/our death,

become entitled to the Savings Certiflcate/s and to be paid tho

sum due thereon to the exclusion of all other persons

SI. No. Namo of he nominee

Full Address Date of birth of

nominee incase

minor

•To be filled up in case of variation only.

As the nominee/s at serial

above is/aro minor/s,

I/we appoint Shri/Smt./Kumari

(name and full address)

as the person to recover the sum due thereon in the event of

my/our death during tho minority of the nomineo/s.

The Certificates are enclosed.

SI Nos. of Cer-

Denomi-

Date of issuo

Office of issue

tificates

nation

Address :—

Yiu.-j futhfully,

(In case of illiterate holder, father's

name should be givon)

Signature (>r thun'] i mission

if illiterate ) of hiil^r/s.

Witnesses :

Namo

Address

(1)

Name

Address

(2)

N.B.—In the case of illiterate holders, the witnjises shall

be persons whose signatures are known to tho, Post Office.

Date stamp

Order of tha Postmaster accepting nomi-

nation.

Post Office

Signature of He id/Sub-Postmastcr

[F. No. 3/5/8 l-NS(i)]

A.C. T1WARI, Jt. Secy.

856

THE GAZETTE OF INDIA: EXTRAORDINARY

[PARF II—SEC. 3(i)]

MINISTRY OF FINANCE

(Department of Economic Affairs)

NOTIFICATION

New Delhi, the 24th April, 1981

G.S.R. 310(E).—In exercise of the powers conferred by

section 12 of the Government Savings Certificates Act, 1959

(46 of 1959), the Central Government hereby makes

the

following rules, namely :—

1. Short title commencement and application—CD These

rules may be called the National SaviBRs Certificates (VII

Issue) Rules. 1981.

(2) They shall come into force on the 1st day of

May.

1981.

(3) They shall apply to the National Savings Certificates

(VII Issue).

2. Definitions.—In these rules, unless the context other-

wise requires—

(i) "Act" means the Government Savings Certificates Act.

1959 (46 of 1959):

(ii) "Certificate" means the National Saving Certificate

(VTI Issue);

(iii) "Co-operative Society" means a society resistered or

deemed to have been registered under the Co-operative Socie-

ties Act, 1912 (2 of 1912) or under any other law for the

time beina in force;

(iv) "Corporation" means a corporation established by or

under any law for the time being in force, but does not

include a company;

(v) "Form" means a form appended to these rule^;

(vi) "Government Company" means a company as defined

in section 617 of the Companies Act, 1956 (1 of 1956) ;

(vii) "Identity Slip" means an identity slip issued to

holder of a certificate under rule 12;

(viil) "Local Authority" means a municipal corporation,

municipal committee, district board, body of port commis-

sioners or other authority legally entitled to or enrusted by

the Government with the control or management of a muni-

cipal or local fund;

(ix) "Old Certificate" means a certificate issued undtr the

Post Office Savings Certificates Rules, 1960, or the National

Savings Certificates (First Issue) Rules, 1965, or the National

Savings Certificates (IV Tssue) Rules, 1970, or the National

Savings Certificates (V Issue) Rules, 1973. or a Bond i<sued

under the National Development Bonds Rules, 1977;

(x) "Post Office" means any post office in India doing

Savings Bank work.

3 Denominations: in which cer'ificates shall be issued—The

National Savings Certificates (VII Iwme) shall be issued in

denominations of Rs. 100. Rs. 500, Rs. 1000 and Rs. 5000

4 Types of Certificates and Issue thereof.—(1) The Certi-

ficates shall be of tbe following types, namely •

fa) Single Holder Type Certificates;

(b) loint 'A' Type Certificates; and

(2) (a) Single Holder Type Certificates may be issued to

an adult for himself or on behalf of a minor or to a minor.

857

(b) Joint 'A' Type Certificates may bo issued to two adults

payable to both holders jointly or to the survivor.

adults payable to either of the holders Or the survivor.

5. Purchase of Certificates.—Certificates may be purchased

for any amount.

6. Procedure for purchase of certificates.—Any p;- jn de-

siring to purchase a certificate shall present at a post office

on or after the 1st day of May, 1981 an application

Form 1 (obtainable free of cost at all post offices) either in

person or through his messenger or through an authorised

agent of the Small Savings Schemes.

7. Purchase of Certificates on behalf of others.—A person

or body specified in column I of the Table below may pur-

chase certificate (s) on behalf of persons specified against

his or its name in the corresponding entry in column II of

the «aid Table.

Provided that the persons specified in the said column IT

are eligible under these rules to purchase certificates.

TABLE

Person or bod y who c ^{a n}

purchase

(1) an adult

(ii) a. co-operative society

including a co-operative

bank, or a

scheduled

bank.

(iii) a Gazetted Government

Officer, an officer of a

Government

company

or of a corporation or of

a local authority, or an

officer of a corporate

body liko a marketing

committee established

under a State Act and

authorised by the State

Government in this be-

half, in his official capa-

city, or the Reserve Bank

of India.

on behalf of

a minor

its members, clients, emplo-

yees or contractors whose

moneys are held as deposit

or otherwise

with such

society or bank.

Persons whose moneys are

held as deposit or other-

wise with such officer or

the Reserve Bank.

8. l^gal Tender.—Payment for the purchase of a certifi-

cate may be made to a post office in any of the following

modes, namely ?—

(i) cash;

fii) a cheque, pay order or demand draft;

(iii) duly signed withdrawal form together with the pass

book for withdrawal from the post office savings

bunk account;

(iv) Surrender of a matured old certificate duly

dis-

charged as follows "Received payment through issue

of fresh certificate vide application attached".

9. Issue of certificates.—(1) On payment behut made under

rule H except where payment is made by a cheque, pay

order or demand draft, a certificate shall normally be issued

immediately, and he dnte of such certificate shall be

the

date of payment,

(2) Where payment for the purchase of a certificate

made by a cheque, pay order or demand draft, the certifi-

cate shall not be issued before the proceeds of the cheque,

ruv order or demnnrt dm ft, ?i the rase may be, are realised

106 GI/81—4.

and the date of such certificate shall be the date of encash-

ment of the cheque, pay order or demand draft, as the

case may be.

(3) If for any reason a certificate cannot be issued im-

mediately, a provisional receipt shall be given to the purcha-

ser which may later be exchanged for a certificate and the

date of suclt certificate shall be as specified in sub-rulo (1)

or sub-rule (2), as the case may be.

10. Certificate in lieu of proceeds of old certificate.—A

holder of an old certificate entitled to encash that certificate

may make an application in Form I for the grant of

certificate under these rules; on receipt of such application,

there shall be issued to the applicant n certificate

under

these rules, the date of Issue being the date on which the

old certificate duly discharged is presented.

11. Irregular holding.—(1) Any certificate purchased

acquired in contravention of these rules shall be encashed by

the holder as soon as the fact of the holding being in con-

travention of these rules is discovered, and no interest shall

be paid on any holding in contravention of these rules.

(2) If any interest has been paid on any holding which is

in contravention of these rules, it shall be forthwith refunded

to the Government failing which the Government shall

entitled to recover the amount involved

from any money

payable by the Government to the investor or as on arrear

of land revenue.

12. Identity Slip.—(1) If a request for ihe issue of an

identity slip is made at any time by an individual adult

holder of a certificate including a holder on behalf of

minor or by joint holders to the post office where the certifi-

cate stands registered, an identity slip shall be issued to such

holder or holders on his or their signing the identity slip.

(2) The identity slip shall be surrendered at the time of

the final discharge of the certificate or in case of its loss,

a declaration of such loss shall be furnished to the

post

office in the form laid down by the Director General, Posts

and Telegraphs.

13. Transfer from one post office to another— (1)

certificate may be transferred from a post office at which

it stands registered, to any other post office on iho holder

or holders making an application in the form laid down by

the Director General, Posts and Telegraphs, at either of the

two post offices.

(2) Fvery such application shall be signed by the holder

or holders of the certificate;

Provided that in the case of a Joint 'A' Type Certificate

or a Joint 'B' Type Certificate, the application may be signed

bv one of the joint holders if the other Is dead.

14. Transfer of certificate from one neison to another—

(1) A certificate may be tranierred with the previous con-

sent in writing of an officer of the post office as sneufitd

Vielow (hereinafter referred to in these rules as authorised

Postmaster).

Cases in which transfer c ^{a n} be

sanctioned

(a)

(i) From the name of a

deceased holder to his

heir,

(ii) From a holder to court

of law, or to any other

person under the orders

of a court of law.

(iii) From a single holders

to the names of two

joint holders of whom

the transferor shall be

one.

(iv) From joint holders to

the name of one of the

joint holders.

(b) Ml other cases

Designation of the officer

competent to grant permission

for transfer.

1 Head Postmaster or Sub-

J- Postmastor

of the post

office where the certificate

stands registered.

Head Postmaster.

858

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART II—SEC. 3(i)]

(2) An authorised Postmaster shall give his consent to the

transfer of a certificate only if the following conditions

are

satisfied, namely :—

(j) the transferee is eligible under these roles to purchase

certificate :

fbl the transfer is made after the expiry of a period of

at least oric year from the dale of the certificate or where

the transfer is sought before the expiry of such peiiod, the

transfer falls under any of the following categories, namely :—

(i) transfer to a near relative out of natural love and

affection ;

Explanation.—For the purposes o this rale, ''near relative-"

means husband, wife, lineal ascendant or descendant, brother

or sister.

fii) transfer in the name of the heir of the deceased

holder:

fiii) transfer from a holder to a court of law or to any

other person under the orders of a court of law:

(Iv) transfer in accordance with rule 16 ; and

fvi transfer in the name of the survivor in the ev»nt

of the death of one of the ioint holders.

(e) An application for the transfer is made in the form

laid down bv the Director General, Postsi and Telegraphs

and is fvijmed by the holder or holders of the certificate :

Provided that in the case of a Joint 'A' Type Certificate

or a Joint 'B\ Type Certificate, the application may be signed

by one of tho holders if the other is dead.

(3) Without prejudice to the provisions of nub-rule

(2),

an authorised Postmaster shall cive his consent to the trans-

fer of a certificate held on behalf of a minor only if

the time of the proposed transfer, a parent or the jniardfan

referred to in sub-clause (J) or. as the case may be, sub-

clause Hi), of clause (b) of section 5 of the Act, certifies

in writing, that the minor is alive and that such transfer

in his interest.

(4) Tn every case of transfer, other than a transfer under

rule 16; the original certificate shall be duly discharged and

the new certificate bearing the same date as that of the ori-

einal certificate surrendered shall be issued in the name of

the transferee.

15. Transfer from sinrie holding to Joint holding and vice-

verse.-—Subject to the provisions contained in Sub-rule

(1)

of rule 14. on an application to this effect being made—

fa) a certificate in the name of a single holder

may

be transferred jointly in the names of the holder

and anv other person ;

(bl a certificate In the names of joint holders may be

transferred to the name of one of the joint holders.

16. P1edain.fr of certificate.¹—(11 On an application being

mad<? in the form laid down by the Director General, Posts

find TelerrRTiris. bv the trap«fai"er and 'he transferee, the Post-

master of the office of registration mav. at anv time, permit

the transfpr of anv certificate as security to—

(a) the President of Tndia or Governor of a State in

his official .caoaci'y;

fb) the Reserve BanV of India or a scheduled banV. or

a co-operative society,

including

co-operative

bank ;

(d 1 a local authority;

Provided that the tranfer of a certificate purchased

behalf of a minor shall not be permitted under this ijub-rule

unless the parent or the guardian of the minor referred to in

srub-clause (T) or, a» the case may be, sub-clause (ii),

clause (b) of Section 5 of the Act certifies in written that

the minor is alive and the tranfer is for the benefit of

the

minor.

(2) WheD any certificate is tranferred as security under

sub-rule (1), the Postmaster of the oflce if registration shall

make the following endorsement on the certificate, namely—

"Transferred as security to

(3) Except as otherwise provided in these rules, the trans-

feree of a certificate under this rule shall, until it is re-trans*

fcrred under sub-rule (4), be deemed to be the holder

the certificate.

C4) A certificate transferred under sub-rule (2) may, on

the written authority of the pledgee, be re-transferred with

the previous •sanction in writing of the authorised Postmaster

and when any such re-transfer is made, the Postmaster

the office of registration shall make the following endorse-

ment on the certificate.

"Re-transferred to

Note 1.—A Gazetted Officer of the Government accepting

the certificate as security under siib-rule (1) or releasing the

pledge under sub-rule (4) on behalf of the President or the

Governor of a State, shall certify that he is duly authorised

under article 299 of the Constitution to execute such instru-

ments or deeds on behalf of the President of India or the

Governor of the State, giving the particulars of the number

and date of the notification of the Government authorising

him in this behalf.

Note 2.—An officer of the Reserve Bank of India or

schedule bank or a co-operative society including a co-opera-

tive bank, a corporation or a Government company or a local

authority, as the case may be, acceptinjf the certificate

security under sub-rule (1) or releasing the pledge

under

sub-rule (4) on behalf of the respective institution,

shall

certify under bis dated signature and seal of office that he

is duly authorised under the articles of the said institution,

to execute such instruments or deeds on its behalf,

(5) Where as a result of several endorsements made under

sub-rules (2) and (4) on a certificate, no space m left for

nidkinK lurthei endorsement of a like churacler on that

certificate, a fresh certificate may be issued by the Post-

muster of the office of registration in lieu of such certificate.

(6) A fresh certificate issued under sub-rule (5) shall be

treated as equivalent to the certificate in lieu of which

has been issued tor all the purposes of these rules.

17, Replacement, of lost or destroyed certificate.—(1) If a

certificate is lost, solen, destroyed, muKUated or defaced, the

person entitled thereto may apply for the issue of a dupli-

cate certificate to the post otticc, where the certificate

legtstered or to any other post office in which case

the

application will be forwarded to the post office of registra-

tion,

(2) Every such application shall be accompanied by^—

(a) a statement showing particulars, such as, number

amount and date of the certificate and the circum-

stances attending such loss, theft, destruction, mu-

tilation or defacement;

(b) an identity slip, if any.

(3) If tbi officer iD charge of the post office of registra-

tion is satisfied of the loss, theft, destruction, mutilation or

defacement of the certificate, he shall issue a duplicate certi-

ficate on the applicant's furnishing on indemnity bond in the

form laid down by the Director General, Posts and Telegraphs

with one or more approved sureties or with a bank's guaran-

tee .

859

Provided that where the face value or the aggregate face

value Of the certificate or certificates lost, stolen, destroyed,

mutilated or defaced is Rs. 500 or less, a duplicate certificate

or certificates may be issued on the applicant turnishlng an

indemnity bond without any such surety or guarantee :

Provided further that where such application is nude with

respect to a certificate mutilated or defaced, of Whatever face

value, a duplicate certificate may he issued without any such

indemnity bond, surety or guarantee, if the certificate mutila-

ted or defaced and the identity slip, if any, are surrendered

and the certificate is capable of being identified as the one

originally issued.

(4) A duplicate certificate issued under sub-rale (3) shall

be treated as. equivalent to the original certificate for all the

purposes of these rules except that it shall not be encashable

at a post office other than the post office at which such certi-

ficate is registered without previous verification.

18. Nomination.>—(1) Subject to the provisions of sub-

rules (2) to (6), the single holder or joint holders of

certificate may, by filling in necessary particulars, in Form I

at the time of purchasing the certificate, nominate

any

person who, in the event of death of the single holder

both tbe joint holders, as the case may be, shall become en-

titled to the certificate and to the payment of the amount

due thereon.

If such nomination is not made at the time

of purchasing the certificate, it may be made by the slnRle

holder, tbt joint holders or the surviving Joint holder, as the

case may be, at any time after the purchase of the certificate

but before its maturity, by means of

application

Form 1 to the Postmaster of the office at which the certifi-

cate stands registered.

(2) There shall not be more than one nominee, excent

in cases where the denomination of a certificate is R». 500

or more.

(3) No nomination shall be made in respect of a certifi-

cate applied for and held by or on behalf of a minor.

(4) A nomination made by the bolder or holdeis of a

certificate under this rule may be cancelled or varied

submitting an application in Form 3 affixing postage stamps

of the value specified in sub-rule (2) of rule 29 together

with the certificate to the Postmaster of the post office

which the certificate stands registered,

(5) Separate applications for nomination or cancellation

of a nomination or variation of a nomination shall be made

in respect of certificate registered on different dates.

(6) The nomination or the cancllation of a nomination

or the variation of a nomination shall be effective from tbe

date it is registered in the po&t office, which date shall

noted on the certificate.

19. Encashment on maturity and payment of interest—

(1) The maturity period of a certificate of any denomination

shall be six years commencing from the date of the ccrtifi-

ca'e.

A certificate shall be rncashable at par at any time

after the expiry of its maturity period.

(2) Interest on a certificate of anv denomination shall be

payable at the end of every six months from the date of the

certificate, but not beyond the maturity period for which the

certificate is held. Such interest shall be calculated at the

rate of 12 per cent per annnum on the face value of the

certificate.

Note : The interest for each six monthly period can be

claimed at any time after the expiry of that period

and where for any reason such interest havinp be-

come due has not been claimed, no additional in-

terest on that ground shall be payable under anv

circumstances.

20. Premature encashment.—d) Not withstanding anything

contained in rule 19, a certificate of any denomination

mny,

V the ontion of the bolder or holder" be encashed of a dis-

count at anv time after the expiry of three years from tbe

date of the certificate, in which event the amount payable

after adjustment of discount shall bo us specified w the Table

below :

TABLE

Amount ptiyable after adjustment of discount on premature

encasnment of a certificate.

oriod from the date of the certificate to the

dateof its encashment

years or more, but less than 3 years and 6

months.

years and 6 months, or more, but less than 4

years.

yean or more, but les>s than 4 years and 6

months.

yoars and 6 months, or more, but loss than

5 years.

jears or more, but loss than 5 yoars and 6

months.

years and 6 months, or more, but less th.in 6

years.

Amount

payable (Rs.)

on a certificate

of Rs. 100

denomination

91.55

89.90

83.15

86.35

84.45

82 45

Note:—The amount payable after adjustment of discount

on a certificate of any other denomination stnll

be proportionate to the amount specified in the

Table above.

<2) Notwithstanding anything contained in sub-rule (1) und

rule 19, and subject to sub-rule (3), a certificate may be

prematurely encashed bcfoie the expiry of three years from

the date of Ihe ceitificute in any of the following circumstan-

ces, namely ;—

(a) on the death of the holder or both the holders in

case of joint holders ;

(b) on forfeiture by a pledgee being a Gazetted Government

Officer, when the pledge is in conformity with the piovl-

sions of these rules;

(3) If a certificate is encashed under sub-rule (2), the

face

value of the certiiicat e shall be payable after deducting therefrom

discount as specified below :—

(i) if th certificate is en- discount equivalent to the inter-

cashed before the ex-

est paid or payable under

piry of one year from

sub rub(2) of rule 19.

the date of tho certi-

ficate,

(ii) if the certilicate is en- discount equivalent to the dif-

cashed after the ex-

forence

between (a) tho in-

piry of ono year but

terest paid or payable under

befor the expiry of

sub-rulo (2) of rule 19 and

three years from tho

(,b) simple interest calculated

date of the certificate.

on the face value of the

certificate, at the rate appli-

cable from time to time to

single accounts under the Post

Office Savings Bank Rules,

1965, for the complete mon-

ths for which the certificate

has been held.

860

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART II—SEC. 3<i)]

21. Place of encashment.—A Certificate shall be encash-

able at the post office which it stands registered :

Provided that a certificate may be encashed at any other

post office if the officer-in-charse of that post office is satisfied

on production of identity slip or on verification from

the

office of its registration that the person presenting the certi-

ficate for encashment is entitled thereto.

22. Discharge of certificate—(1)

The person entitled

receive the amount due under a. certificate shall, on its en-

cashment sign on the back thereof in token of having re-

ceived the payment.

(2) In the case of a certificate purchased on behalf of A

minor who has since attained majority, the certificate shall be

tinned by such a person himself, but his signature shall be

attested filther by the person who purchased it on his behalf

ac by any other person who is known to the Postmaster.

(3) A certificate of discharge may be issued by by the

post office to any person encashing A certificate on pavmcnl

ol the fee specified in sub-rule (1) of rule 29.

23. Encashment of minor's certificate.-—A person encashing

a certificate on behalf of a minor shall furnish a letter from

iho parent or the guardian of the minor referred to in sub-

clause (i), or as the case may be. sub-clause (ii), of clause (b)

of Section 5 of the Act, to the effect that the minor is aJive

and that the money is required on behalf of the minor.

(2) When the nominee is a minor, the person uppointcJ

under sub-section (3) of section 6 of the Act while encashing

the ccitificjte, shall furnish a certificate that the minor is

alive and that the money is required on behalf of the minor.

24. Payment to heirs,—(1) For the purposes of sub-section

(4) of section 7 of the Act the authorities named below shall

be competent to sanction claims upto the limit noted agtiirjst

each on the death o the holder of the certificate, without

production of the proba'e of his will or letters of administration

of his estate or succession certificate granted under the Indian

Succession Act, 1925 (39 of 1925) :—

Name of authority

(i) Time Scale Departmental Sub Postmas-

ter.

(ii) Sub Postmaster in Lower Selection Grade

(iii) (a) Non-Gazetted Head Postmaster and

Sub Postmaster in Highor Selection

Grade,

(b) Deputy Postmaster in Higher Selec-

tion Grade and Assistant Presidency

Postmaster in Higher Selection Grade.

(iv) Deputy Post master in Group 'B' and

Deputy Presidency Post

master.

(v) (a) Group 'A' or Group 'B'

Post-")

Master/Presidency

Postmaster and |

Superintendent

of Post Offices/ |

Senior Superintendent of Post Offices. V

(b) Heads of Postal Circles (Assistant

Director/Assistant Postmaster Gene-

ral)

Limit

Rs. 100

Rs. 250

Rs. 500

Rs. 2,000

Rs. 5,000

25. Encashment cf Certificate held by Army, Air Foice

and Navy Pet sonncl—Where a certificate is held by a person

who is subject to the Army Act, 1950 (46 of 1950) or the

Air Force Act, 1950 (45 of 1950) or th* Navy Act, 1957

(62 of 1957) and <uch person dies or deserts, the Commanding

Officer of the Corps, department, detachment, unit or ship

to which the deceased or deserter belonged or the Committee

Adjustment

the

case

may

be, may

send a icquisi'ion to the officer in-charge of the

post

office where the certificate stands registered to pay to him

or it, the amount due under the certificate; and the officer-

in-charge of the pb»t office :.haJl be bound to comply svitn

such requisition even though there is in force at the time

of death or desertion o£ holder of the certificate a nomina-

tion made in favour of any person.

Explanation : The aforesaid rcauisition must be mode

under section 3 or section 4 of the Army and Air

Force (Disposal of Private Property) Act 1IW0 '40

of 1950), in the case of a person belonging 10 the

Army or the Air 1-orce, or under section 171 or

section 172 of the Navy Act, 1957 (62 OJ 1957) in

the case of a person belonging to the Navv.

26. Rights of nominees—(1) In the event of tho death of

Lhc holder of a certificate, in respect of which a nomination

K in force, the nominee or nominees shall be entitled at

uny time before or after tho maturity of the certificate to :—

(a) encash the certificate: or

Co) sub-divide the certificate in appropriate denomina-

tions in favour of individual nominees or two adult

nominee* jointly.

,2) for the purpose of sub-rule (1), the surviving nominee

u. nominees shall make an application to the postmaster of

Uic office of registeration, supported by proof of death of the

i&er and of deceased nominee or nominees, if any.

(3) If there are more nominees than one, all the nominees

iiwli give a joint discharge of the certificate at the time of

icceiving payment or sub-division,

nominee or two adult nominees the post office o£

registeration may, on an application made in that

behalf, issue a fresh certificate in the nam« of such

nominee or nominees jointly as the case may be.

27. Conversion from one denomination to another.—(1)

Certificates of lower demonstration may be exchanged for a

certificate or certificates of higher denomination of the same

aggregate face value or a certificate of higher denomination

may be exchanged for certificates of lower denomination of

'he same aggregate face value :

Provided that certificate bearing different dates shall not

be combined for being exchanged for certificate or certificates

uf higher denomination.

(.2) The date of the certificate or certificates issued in ex-

change shall be the same as that of the original certificate or

certificates surrendered and not tho date on which the ex-

change is made.

28. Income-tax—Interest on certificates specified in sub-

lule (2) of rule 19 shall be liable to tax under the Income-

tax Act, 1961 (43 of 1961), but no tax shall be deducted at

the time of payment of interest

29. Fees—^1) A fee of rupee one in the case of a certificate

of the denomination of Rs. 500 or above and a fee of twenty-

five paise in any other case "hall be chargeable in respect of

lhc following transactions, namely :—

(i) transfer of certificate from one person to another,

other than a transfer from the holder to a court ol

luw oi under the orders of a court of law;

(ii) issue of a duplicate certificate under rule 17;

(iii) issue of a certificate of discharge under rule 22; and

(iv) conversion from one denomination to another under

rule 27,

Explanation—(1) The fee to be charged for the issue" of

a certificate of discharge under clause (iii) shall b£

calculated «eparatelv on the aggregate face value 6f

all certificates which weic purchased on any one

application and which arc included for discharge

certificate.

Explanation—(2) The fee to be charged for a conversion

under dause (iv) shall be based on the number and

denomination of the certificates required to be issued

on such conversion.

(2) A fee of fifty Paine shall be chargeable on every appli-

cation for registeration of nomination, or of nny variation

in nomination or cancellation thereof.

Provided that no fee shall be charged on an application for

registration of the first nomination.

&61

30. Responsibility of the Post Office--The post office shad

not be responsible for any toss caused to a holder by any

person obtaining possession of a certiilcat and fraudulently

encashing it.

31. Rectification of mistakes—The Director General, Post

and Telegraphs, or the Postmaster General or Heads of Postal

Divisions in their respective jurisdictions, may either suo motu

or upon an application by any person interested in any certi-

ficate issued in pursuance of these rules, rectify any clerical

or arithmetical mistakes with respect to that certificate, pri/-

vided that it does not involve any financial loss to the Govern-

ment or to any iuch person.

32. Power to relax,—Where the Central Government

satisfied that the operation of any of the provisions of thesw

rules causes undue hardship to the holder or holders of a

certificate, it may, be order, for reasons to be recorded in

writing, relax the requirements of that provision in a manner

not inconsistent with the provisions of the Act.

FORM 1

(See Rules 6, 10 and 18(1)

INDIAN POSTS AND TELEGRAPHS DEPARTMENT

Serial No.

FORM OF APPLICATION FOR TGE PURCHASE OF

NATIONAL SAVINGS CERTIFICATES (VII ISSUE)

(1 I/We hereby apply for the purchase of National Savings

Certificates (VII Issue) detailed in the statement below and

tendor the amount shown in column 1 of the statement.

Form of tender

Amount Deno-

No.

*Typo Total

mina-

of of

tion

certifl-

joint

face-

cates

certi-

value

certi-

required flcates

flcates

rcqui-

applied red

for

('A or

Rs.

*fl' typo)

3 4 5

(i) Cash

(ii) Cheque, de-

mand draft

or an appro-

ved, local Bank's

Pay order or

Pay SHp, No

100

dated ...,on..

Banh.

500

(iii) Application 1,000

for withdrawal

from Post

Office Savings

Banh

5,000

(iv) Matured

certificates for

reinvestment.

Total face value

•To be filled in only in case q£ joint holding

(a) " I n my/our name(s)

(in Block Capitals)

with aliases, if any.

'•For single or joint holder.

(b) tOn behalf oi minor

Block Capital;,

i For purchase on behalf of minor.

Dato of birth of minor

%1o be made encashable by the ininoi's.

(i) Father, (ii) Mother, (iii) Litfacr

parent,

(iv)

Legal

Guardian.

t(Ooss out the alternative not required or all the items if it is

nOL, desuod to make an authorisation).

(Cross out (a) or (b) whichever is not required).

@(c) In

the name

of———— •

(members

cm,)

through

(society or company,

etc.)

@(For a co-operative society, co-operative bank or a ichc-

duiod bank, on behalf of its members clients employees

contractors, whoiO monies are held as deposit oi otherwise

with such society or bank; for a gazetted Government officer,

an officer of a Government company or Qf a corporation or

of a local authority, or or an officer of d corporate body like

a marketing committee established under State

Act_ and

authorised by the State Government in this behalf, in his offi-

cial capacity, or the Reserve Bank of IndwJ.

(2) I/We hereby agree to abide by the National

Saving"

Certificate (VII Issue) Rules, 1981.

•**1/We do/do not require identity slip. (In case of an

investment

through an authorised agent oi a messengo,

specimen slgnature(s) and marks of identification should be

given below paragraph (5)).

•••Cross out whichever is not applicable.

Note—No identity slip shall be issued lo a. person

other

lhan the one authorised vide paragraph l(b) above in case

of purchase on behalf of a minor.

Signature (not thumb Impression)

ot the person(s) authorised if

any, per paragraphs l(b) above.

Signature (or thumb

impression if illiterate)

•

Address

Date

Address

•

•—-—-

Note—In case of an illiterate applicant this father's

name

may be given.

(4) The certificate(s) and the identity slip may be made

over to my/our agent Shri/Smt.

— —

Authority No.

or messenger

who

presents this application. (CIOSK out words not applicable).

•To be signed or thumb

impression affixed only

when the investor does not

take delivery oFccrtificates

personally.

•Signature (or thumb impre.'sion

if illiterate) of investor.

Date

(5) Received the certificate detailed above and identity slip.

£Cross out, if the identity slip is not to bo issued.

Signature or thumb irnpreasitjn

of purchaser or his agent/

messenger.

(In case of authorised agent his

Authority No. should be given.)

Marks of identification.

Specimen Signature.

862

THE GAZETTE OF INDIA: EXTRAORDINARY

[PART II—SEC. 3(i)]

(6) Under provisions of section 6(1) of the Government

Savings Certificates Act, 1959, I/We,

the holders) of Savings Certificates) mentioned, in this appli-

cation hereby nominate the person/s mentioned below who

shall, on my/our death, become entitled to the Savings Certi-

fttca«(s) and the amount duo thereon to the exclusion of all

other person(s):—

Serial

Name of Nominees) Full Address

Date of birth of

No.

nominee in case

of minor-

As the norainee(s) at serial No. (s)

above is/aro

minors) I/We apoint Shri/Smt./Kumari

(name and full address) as the person to recover the amtmnt

due thereon in the event of my/our death during the minority,

of the nominoe(s)

Signature and full address

Signature (or thumb impression

of witness.

if illiterate) of holder/s.

To be completed by the Post Office.

Sl. No.

lasuo

Date of

Remarks

ofcerti-

Price

payment of encashment like

flcates

Rs.

interest

and

transfer,

issued

initials

Issue of

of Post-

Duplicates

muster.

etc.

& initials

of Post-

master.

Totul number of National Savings Certificates (VU Issue)

Date

Signature of

Postmaster

FORM 2

[See Rule 18(1)]

INDIAN POSTS AND TELEGRAPHS DEPARTMENT

Serial No

FORM OF APPLICATION FOR NOMINATION UNDER

SECTION 6 OF THE GOVERNMENT SAVINGS

CERTIFICATES ACT,1959

(This form will befilled in by the holder/s and submitted

with the certificates to the Postmaster of the office where

the certificates stand registered)-

The Postmaster,

Under Provisions of section 6(1) of the Government Savings

Certificates Act, 1959, I/Wo

tho holders of

Savings Certificates detailed on the reverse, hereby nominate

the person/s mentioned below, who shall, on my/our death,

|beconie entitled to the Savings Certificate/s and to be paid the

ium duo thereon to the exclusion of all other porsons. I/We

here by declare that I/We have not so far made any nomination

in respect of these certificates. The certificates are en;losei.

Sl. Nam of the nominee

Full address

Date of birth

No.

of nominee in

case of minor

As tho nominee/s at serial

above is/aro minor/s,

I/We appoint Shri/Smt./Kumari

name

and full address) as the person to recover the sum du£ thereon

in the event of my/our death during the minority of iho no-

minee/s.

S. Nos. of

Denomination

Date of Issue

Office of

Certificates

Issue

Address:—

(In case of illiterate holder

father's name should be given)

Yours faithfully,

Signature (or thumb impression,

if illiterate) of holder/s.

Witnesses—

Name

Address

(1)

Name

Address

(2)

N.B.:—In tho case of illiterate holders, the witnesses shall

be persons whose signatures are known to the Po->t

Office.

Order of the, Postmaster accepting the nomination.

Date stamp

Signature of

Hoad/Sub-

Postmaster

Post Office

FORM i

[See Rule 18(4))

INDIAN POSTS AND TELEGRAPHS DEPARTMENT

Serial No

FORM OF APPLICATION FOR CANCELLATION

VARIAHON OF NOMINATION

PREVIOUSLY

MADE IN RESPECT OF SAVINGS CERTIFICATES

UNDER SECTION 6 OF THE GOVERNMENT

SAVINGS CERTIFICATES ACT, 1959

(This form will be filled in by the holder/s and submitted

with the certificate to

the Postmaster of the

office

where tho certificate stands registered).

The Postmaster,

Space for

Postage Stamps

Under provisions of Section 6(1) of the Giivernmmt Savings

Certificates Act, 1959, I/We,

the

863

holder/s of Savings Certificates detailed on the reverse, hereby

cance{4he nomination previously made by mo/us in respect of

these certificates and registered in your office under No

dated

•In place of the cancelled nomination, I/We hereby nominate

the pcrson/s mentioned below, who shall, on my/our death,

become entitled to the Savings Certlflcate/s and to bo paid the

sum due thereon to the oxclusion of all other persons.

Sl. No. Name of the nominee

Full Address Date of birth

of nominoo

in case of

minor

•To be filled up in case of variation only

As the nominee/s at serial

above is/are minor/s,

I/We appoint Shri/Smt./Kumari

(name and full address)

as the person to recover the sum due thereon in the event of my/

our death during the minority of the nomlnec/s.

The Certificates aro enclosed,

Sl. Nos. of

Denomination

Date of issue

Office of issue

Certificates

Address:-

Yours

faithfully,

(In case of illiterate holder,

father's name should be given)

Signature (or thumb impression,

if illiterate) or holder/s.

Witnesses:—

Name

Address

(1)

Name

(2)

Ail dress

N.B.:—In the case of illiterate holders, the witnesses shall

be persons whose signatures are known to the Post Office.

Date Stamp

Order of the Poslmaster accepting nomination

Post Office

Signature of

Head/Sub-Postmaster

FF. No. 3/5|81-NS(ii)]

A. C. TIWATU, Jt. Secy.

G.S.R. 311(E).—In exercise of the powers conferred by vub-

section (3) of section 1 of the Government Savings Certifica-

tes Act, 1959 (46 of 1959), the Cential Government hereby

specifies that the National Savings Ceitificates—VI Issue and

the National Savings Certificates—VII Issue shjll be

ihe

classes of savings certificates to which the said Act applies.

[F. No. 3/5/81-NS(iii)]

A. r. TTWART, Jt Secy.

PRINTED BY IHE MANAGER, GOVT. OF INDIA I>RFSS, RINO ROAD, NEW DELHI-1 10064

AND PUBLISHED BY THE CONTROLLER OF PURLfCATIONS, DELHI-1 10054,

1981