Mahila Pradhan Khestriya Bachat Yojna Rules
[Issued vide MOF (DEA) letter NO. F.1(1)-NS/71 dated 29.1.1972 and NSC Nagpur letter No. 42327-78/MGC(s)(3) 81 dated 5.12.1981 and further amended from time to time.]
RULES OF THE SCHEME
- The Scheme will be called the ‘Mahila Pradhan Kshetriya Bachat Yojana’.
- Objectives:- The objectives of the ‘Mahila Pradhan Kshetriya Bachat Yojana’ are as under :-
- To educate housewives in family budgeting.
- To inculcate the habit of thrift among households and self-employed people.
- To canvass for and secure investments in P.O. 5-year recurring Deposit Accounts from small savers.
- To raise resources for financing development and defence of the country.
- Date of Introduction :- The Mahila Pradhan Kshetriya Bachat Yojana has come into force with effect from the 1st April, 1972.
- Scope of Agency :- The Agency will be confined to canvassing for and receiving investments in the Post Office 5-Year Reccuring Deposit Accounts. The Appointing Authority shall intimate to the post office to which a Mahila agent is attached under this scheme, the fact of the appointment and the address of the Mahila agent. The Director General Posts will issue instructions to post offices directing them to stamp the schedules as and when presented at the post office by the Mahila Agent.
- Eligibility :-
- An individual woman (hereinafter called Mahila Agent) who being a resident of locality is desirous of being appointed as authorized Mahila Agent under this scheme to canvass the households in that locality and is recommended for such appointment by the District Small Savings Officer of that area.
- No Central/State Government employee should be appointed as Mahila Agent.
- Near relatives of the employees of Department of Posts and National Savings Institute are not eligible for appointment as agents or renewal of their existing agency under Mahila Pradhan Kshetriya Bachat Yojana.
- Near relatives of other Central/State Government official (excluding Department of Posts and NSI officials) may, however, be appointed as agents provided clearance is given by the Head of Office/Department of the concerned official.
- A person will be regarded as near relative of an official if the official is the person’s wife/husband, legitimate child or step child, father/step father, mother/step mother, brother/step brother, sister/step sister, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law or daughter-in-law.
[Ministry of Finance (DEA) letters No. F.1/5/83-NS dated 3.1.1984 and No. F.1/5/83-NS dated 16.2.1985]
Note:- An individual selected for appointment as agent should be a person of substance and integrity having wide contacts and sufficiently educated to transact the agency business. The agent should be major and at least matriculate.
Important Decision :- Discontinuance of appointment of juridical persons as SAS/MPKBY/PPF Agents :-
- The responsibility for appointment of renewal of small savings agents to promote the various small savings schemes issued by Government of India, vests with the State Governments. Instructions have been issued by the Government of India for appointment of agents under the Standardized Agency System, the Mahila Pradhan Kshetriya Bachat Yojana and the PPF Agency System. The existing instructions, inter alia, provide for the appointment of juridical persons like registered co-operative societies, scheduled banks, registered social service organisations, universities, gram panchayats and institutions specially approved by the Government as agents.
- Keeping in view the current strength of agents and the small savings mobilizations, it has been decided that fresh approvals for agencies to juridical persons may henceforth not be considered. Fresh approvals include extensions of existing agencies held by juridical persons on expiry of their tenure.
- The above changes may be given immediate effect.
[MOF (DEA) letter No. F.2/6/2005-NS.II Dated 12.9.2005 addressed to all State/UT Governments]
- Application for appointment :-
- Individual Mahila agent will apply in form No. ASLAAS-I (B) (Annexure-1)
- The Appointing Authority shall inform the Mahila agent about her approval for appointment in a form No. ASLAAS-2 (Annexure-2)
- Security :-
- a. A security of Rs. 100/ Rs. 500, as the case may be, shall be furnished by the Mahila agent in the shape of a 6-Year National Savings Certificate duly pledged to the President of India in his official capacity.
- b. Security may also be given (i) in the form of Fidelity Guarantee Policy of the value of Rs. 1000/ RS. 5000, as the case may be, or (ii) two personal sureties, each guaranteeing to the extent of Rs. 1000/ Rs. 5000.
Note:- For handling cash at a time upto Rs. 5000, the lower amount of security (Rs. 100) is required and for handling cash upto Rs. 10,000 at a time the higher security (Rs. 500) will be required.
- Agreement :- The Mahila agent shall execute an agreement in writing ( in form No. ASLAAS-3) ( Annexure-3).
- Certificate of Authority:- the Mahila agent shall be given a Certificate of Authority (in for ASLAAS-4) ( Annexure-4) attaching her to one post office only.
(1) Attachment of MPKBY Agents to Post Officers :- A doubt was raised whether a MPKBY agent can be attached with an EDBPO or EDSPO. Although rules are not specific, it may be mentioned that the post office regards HPOs as Head Bank and sub post officers as such banks. Branch Post Offices even though permitted to carry out Savings Bank transactions, are doing so as an extension of the account office, (HPO or SPO) to which they are attached. The Branch Postmaster’s certification of postal accounts/records is not taken as final. In other words, even if the money is deposited in RD accounts standing open in a branch office, it would be necessary for the schedules to be certified by the Sub-postmaster of the office to which the branch office is attached. In some cases, branch office may be directly attached to a HPO when the schedule will have to be certified by the Head Postmaster. It is, however, suggested that preferably the agents should be attached only to Head/Sub Post Offices.
[NSC Nagpur letter No. Dev 1/22/1/11/83-Temp. dated 12.12.1988]
(2) Validity of certificate of authority for acceptance of RD collections by MPKBY agent on expiry of validity period of license specified in the agreement :- The National Savings Institute, Nagpur has advised that the post offices should not accept deposits from MPKBY agents after expiry of the validity period of license as specified in the agreement.
[D.G. Posts letter NO. 62-8/88-SB dated 12.12.1988]
- Field of operation :- The Mahila agent shall be allowed to canvass for and receive investment in the area specified in the Certificate of Authority.
- Issue of Card to Depositors :-
- With effect from 1st April, 1977 the Mahila agents will use serially numbered card in form ASLAAS-5 (Annexure 5) for acknowledging receipt of the deposits. The card has three foils. These cards will be supplied to Agents by the State Government.
- When a Mahila agent visits an existing or prospective depositor who wished to deposit money :-
- She will use a serially numbered card, fill in columns (1), (2), and (3) of first foil of the card and hand over the card to the depositor.
- While issuing a card to a depositor, the Mahila agent will detach and keep with herself the third foil of the card, after completing all the blanks therein and getting the signature of the depositor. She will serially arrange all such foils and send them once in ten days to the District Small Savings Officer of the State Government.
- She will retain the second foil of the card for her record after filling the entries.
- If the money has been received in respect of an existing account, she will take money and the pass book from the depositor. She will sign with date in column 3 of the card (First foil).
- If the money has been received in respect of a new account, the Mahila agent will only receive the money and the application form for opening an account. She will sign with date in column 3 of the card (First foil).
- The agent will take to the post office the money collected by her along with the concerned pass books/application forms and deposit them with the post office along with a schedule.
- On delivery of pass book, the agent will obtain depositor’s signature in column 4 of the second foil of his card and fill other columns.
Note :- According to the existing procedure a Mahila Agent is authorized to handle cash not exceeding Rs. 5,000 or Rs. 10,000 as the case may be, at any given time depending upon the amount of security she has deposited. The District Savings Officer should keep a watch on the money transactions every month with reference to the amounts and dates written by the agent on the first foil of cards, to ensure that the limit has not exceeded.
- Handling of cash exceeding Rs. 5000 at a time by MPKBY Agent :-
- a. It has been observed that the agents under the Mahila Pradhan Kshetriya Bachat Yojana in the course of their work, sometimes handle cash exceeding Rs. 500 at a time. Payment of their commission for such occasion requires condonation by this office leading to delay.
- b. An agent may have to handle more than Rs. 5000 at a time in the following circumstances:-
i) When she has received various smaller amounts on several days, totaling upto more than Rs. 5000 and wants to deposit them on a single day.
ii) When the total amount of several deposits (each less than Rs. 5,000) collected by her on a single day exceeds Rs. 5,000/-.
iii) When the total amount of several deposits collected by her exceeds RS. 5,000 (normally advance deposits in RD accounts).
- c. In the first case the limit can be adhered to by the agent making deposits more promptly in the post office. In the second case, also the agent can go to the post office before the amount with her exceeds Rs. 5,000/- Only the third type of case presents a difficulty. It is to be stressed that it is in the interest of the agent herself as also of the investor and the Government that the agents should not handle large amounts of cash. In case of a single large deposit, it is therefore advisable for the agent, to obtain a crossed cheque from the investor in favour of the Postmaster, rather than cash. It is also decided that the limit of Rs. 5,000/- will apply to actual cash (i.e. currency) and not to the amount of crossed cheques for the purpose of Rule 6 of the M.P.K.B.Y. Rules.
- d. Hereafter, it will normally not be necessary to refer any case to this office for condoning violation of Rule 6. There would hardly by any justification for condonation in case of the first and second type referred to in para (2) above.
- e. Incidentally, it is also to be pointed out that while the date of deposits through cheques in R.D. accounts, is to be taken by the post office as the date of presentation of the cheque to the post office, the entry in pass books is to be made only when the cheque is cleared.
[N.S.C. Nagpur letter No. Dev/22-3/85 dated 23.3.1985]
12A. Handling of cash by MPKBY Agents – raising of limit from Rs. 5,000 to Rs. 10,000 :- As per the existing procedure the MPKBY Agent is authorized to handle cash not exceeding Rs. 5,000/- at a time. There has been a persistent demand from the MPKBY Agents that their limit may be raised to at least Rs. 10,000/- at a time. With a view to remove the difficulties now faced by the MPKBY Agents it has been decided to enhance the limit of handling cash by MPKBY Agents to Rs. 10,000/- at a time. However, the facility may be extended to such of those MPKBY Agents who furnish cash security for Rs. 500/- in the shape of 6-Year NSCs in place of present cash security for Rs. 100. Similarly, the MPKBY Agents furnishing security in the shape of Fidelity Guarantee Policy may have to furnish F.G. Policy of Rs. 5,000/- in place of Rs. 1,000/- as at present.
[N.S.C. Nagpur letter No. 2393-2442/Agency/23-1/87 dated 31.8.1987 circulated under D.G. Posts letter No. 62-9/87-SB dated 22.9.1987]
Note :- The limit of Rs. 10,000 in cash to be handled at a time by the agent does not apply to the amounts of cheques received for deposit. For deposit by cheques there is no limit of amount to be handled at a time by the agent.
Clarification :- Handling of cash by MPKBY Agents :- We have received a complaint that some post officers are not accepting deposits of more than 10,000/- in a day under M.P.K.B.Y. Agency.
In our circular letter No. 2393-2442/Agency/23-1/87 dated 31.8.1987 it had been decided that MPKBY Agents cannot handle cash in respect of their depositors beyond Rs. 10,000/- at a time. This does not mean that the agents are debarred from depositing more than Rs. 10,000/- in a day on more than one occasion. You are requested to kindly bring this to the notice of the concerned post offices.
[N.S.C. Nagpur letter No. 17672/Agency/23-1/87 dated 12.10.1995 circulated under D.G. Posts letter No. 61-43/95-SB dated 12.1.1996]
- Transactions through messenger :- Unauthorized person like male relatives, etc. of a Mahila agent should not be permitted to transact business on behalf of Mahila agent. The scheme does not envisage such agency by proxy. Only a limited facility of the use of messenger by Mahila agents has been provided in D.G. Posts Circular No. 61-7/73-SB dated the 30.4.1974 [See para 4 of Part V]. This permits the nomination of messenger only for depositing monies collected by agents with the post offices. The messenger will have to be accredited for this purpose. No other person can act as messenger.
It has been decided that in the event of sickness, absence away from headquarters or in other circumstances when Mahila agent cannot perform her functions under the scheme, a messenger may be permitted to be nominated by the agent in the same manner as is done by the SAS agent and the Director, Small Savings of the area, on the recommendation of the District Small Savings Officer concerned, may accredite the messenger. For this purpose, the agent will have to execute a Supplementary Agreement in form at Annexure-6 indemnifying the Government against any loss as a result of this messenger, transacting business with the post offices on her behalf.
[NSC Nagpur letter No. 42327-78/MGS(3)/81 dated 5.12.1981]
Note:- The form of Supplementary agreement has been taken from the book of Executive Instructions issued by the Government of Haryana.
- Commission:- With effect from 1st January, 2000 commission at the rate of 4% of deposits shall be paid to MPKBY agents on the total investment deposited by her.
[MOF (DEA) letter No. F. 18/5/99-NS.II dated 1.1.2000]
Author’s Note:- The agent will also be entitled to commission on deposits made through her on accounts continued with deposits after maturity for a further period upto maximum of 5 years under rule 10 of PORD Rules, 1981. The accounts will be continued through the agent. There are no orders debarring the agents from the payment of commission on such deposits made through them. The agent will also be entitled to the commission for accounts opened in her name or in the names of her husband or children. The SAS agents are also entitled to commission for such transactions.
- Time Limit for Transactions:- All the transactions must be handled promptly and completed expeditiously by the Mahila agents. The maximum time allowed shall be as follows:-
i) Deposit of money:- The money must be deposited in the post office to which the Mahila agent is attached within five to ten days from the date of its receipt from the investor. This is subject to further condition that the deposits must be made in the post office by the last day of the month, in any case.
ii) Delivery of Pass Book:- The pass book must be delivered to the investor within ten days from the date of its receipt from the post office.
iii) Commission claim:- With effect from 1.5.2000 the commission due to the agents will be paid by the Postmasters at source at the time depositing money at the post offices. The Mahila agent shall prepare a schedule of deposits (Form ASLAAS-6) (Annexure-7) in quadruplicate in serial order of account numbers and present at the post office along with money and other documents, if any. The agent will tender net amount of deposit by cash and gross amount of deposit by cheque and give a receipt in form AVG-1 for the commission paid in both the cases to be attached to the schedule. The schedule will be prepared separately for deposits by cash and cheque.
[MOF(DEA) letter No. 18-5/99-NS.II dated 28.3.2000 and D.G. Posts letter
No. 107-16/97-SB dated 17.4.2000]
iv) For financial year 2006-07 from 1st June, 2006 ASLAAS-6 schedule will be serially numbered by the agent under her signature. The numbering of ASLAAS-6 schedules will be X/Y/L. While X and Y will represent the month and serial number of the schedule, L would represent the last schedule submitted in a month. Once the letter L is used on a schedule, it would mean that the agent would submit no more schedules in a particular month. This procedure will enable the inspecting officer to find out if there is any discrepancy in the serial number or any missing serially numbered list, which will the officer, ASLAAS-6 schedules will be serially numbered from 1st April, 2007.
[D.G. Posts letter No. 111-14/2001-SB dated 25.5.2006]
Note:- Since no commission is payable on the refund of withdrawal and interest payable thereon and default fee paid on the defaulted installments, it is essential that the particulars of such amounts are clearly indicated in the remarks column of the schedule so as to avoid any over payment of commission to the agent. The post offices will verify the schedule in order to see that the particulars of such amounts are correctly shown in the remarks column of the schedule. The amounts of deposited towards such accounts will be deducted from the total amount of deposits in the schedule and the commission allowed on the net amount only.
[N.S.C. Nagpur letter No. 11866-87/AGY(3)-73 dated 10.5.1973 and D.G. Posts letter
No. 107-16/97-SB dated 17.4.2000]
- Authorities:- The various authorities under the scheme shall be as follows:-
- Appointing Authority:- The Director, Small Savings of State Government of the area concerned will be the Appointing Authority. District Collectors/ Deputy Commissioners of the Districts under the State Government will also be the Appointing Authorities.
Note:- From 21.11.2002 the MPKBY agents will be appointed by the respective State Governments. They will also renew the agency of existing agents as and when due. The Regional Director/Deputy Regional Director, National Savings Institute will neither appoint new agents nor renew the agency of the existing agents after this date.
- Issuing Authority:- As in (a) above.
- Deposit Receiving Authority:- The post office indicated in the Certificate of Authority.
- Checking Authority:- District Small Savings Officer of the area concerned.
- Supervisory Authority:- Director, Small Savings And District Small Savings Officer of the area concerned.
- Paying Authority:- Director, Small Savings and District Small Savings Officer of the area concerned.
- Loss of Certificate of Authority:- In the event of loss by the Mahila agent of the Certificate of Authority, the Mahila agent shall immediately inform the post office concerned, the District Small Savings Officer, the local Police and the “Appointing Authority” concerned of the loss. The loss must also be notified in at least one local newspaper at the cost of the Mahila agent. The Mahila agent shall also execute and indemnity bond (Annexure-8) immediately indemnifying the Government against the loss. The stamp duty on such bond shall be payable by the Mahila agent.
Note:- The form of Indemnity has been taken from the book of Executive Instructions issued by the Government of Haryana.
- Termination of Agency:- On termination of an agency, the Mahila agent shall forthwith deliver to the “Checking or Appointing Authority” all monies and papers including Certificate(s) of Authority, Cards/counterfoils of Cards, documents and Securities which may have come into the Mahila agent’s possession or custody under the agency.
- Terms and Conditions of Agency:_ (a) The Mahila agent is expected to take sustained interest in the agency work and to popularize the Recurring Deposits Accounts Scheme.
(b) The Mahila agent shall ensure that the post office puts seal on the copy of the schedule and gets back the same from the post office.
- Functions of the Mahila Agent:- (i) Each Mahila agent shall maintain a personal and constant contact with the household in the area allotted to her.
(ii) The Mahila agent shall obtain from the post office a supply of application forms for opening of Recurring Deposit Accounts.
(iii) On receipt of the pass book from the post office, the Mahila agent shall hand over it to the investor securing his/her securing his/her acknowledgement (with his/her signature and date) on the card.
INSTRUCTIONS TO APPOINTING, ISSUING, PAYING AND SUPERVISORYAUTHORITIES
A. Appointing Authority
(i) No Central/State Government employees should be appointed as Mahila Agent.
(ii) Near relatives of Postal and NSI officials as per details given in para 5 of Part I are not to be appointed as Mahila agent.
(ii) It is necessary for the Appointing/Issuing Authority to make arrangement for keeping the Agency documents (Applications, Agreements, Depositor's Cards, Security Papers) in safe custody.
(iv) All applications against which appointments have been made should be serially numbered and date wise; there should be one file separately for each District Small Savings Officer's jurisdiction.
(v) The agreement executed by the Mahila agent should not be filed with the application for their appointment but should be kept separately in the same numerical sequence as the application in order to avoid the possibility of loss of both the documents simultaneously.
(vi) Cross reference giving the page number of the application and the relevant Agreement should be given on both these documents to facilitate the trace thereof.
(vii) The foils of the Certificate of Authority meant for the post office should be promptly intimated to the post office concerned also. The District Small Savings Officer concerned should also be informed about all appointments and terminations of Mahila agents by a letter.
B. Issuing and Paying Authorities
(i) The Depositor's Cards shall be issued by the Issuing Authority to the Mahila Agents up to the limit which will be decided by the Issuing Authority according to their need under intimation to the District Small Savings Officer concerned.
(ii) Proper account of the Depositor's Cards shall be maintained in the office of the Issuing Authority. For this purpose there shall be two Registers, viz. Stock Register of Cards as also personal ledger account of each agent.
(iii) Immediately on termination of an agency, all Depositor's Cards, counterfoil of cards, Certificate(s) of Authority and all connected papers, documents, etc. must be recovered from the Mahila agent concerned promptly through the District Small Savings Officer of the area.
(iv) According to the existing procedure, a Mahila agent is authorized to handle cash not exceeding Rs. 5,000 or Rs. 10,000 as the case may be, at any given time depending upon the amount of security she has deposited. The District Small Savings Officer should keep a check on the money transactions every month with reference to the amount and dates written by the agent on the counterfoil of cards to ensure that the limit has not exceeded.
C. Supervisory Authorities (Deputy R.D./D.S.S.O.)
(i) The District Small Savings Officer should inspect once in a quarter the Depositor's Cards in the possession of the Mahila agent in his/her area and put his/her signature with date, month, and year on the Cards in token of his/her having done so. If for special reasons, he/she fails to inspect the Cards in a quarter, he/she should communicate the reasons o his/her Director, Small Savings.
(ii) Any discrepancies or suspected misappropriations made by any Mahila agent should be promptly looked into by the District Small Savings Officer and explanation obtained and a report sent to the Director, Small Savings.
(iii) Where, prime facie, investigation shows that a misappropriation has been committed, the matter should reported to :-
(a) Director, Small Savings of the area.
(b) Appointing Authority
(c) Local Police
(d) Any subsequent action should be vigorously followed.
INSTRUCTIONS REGARDING PRIINTING, STOCKING AND
SUPPLY OF DEPOSITOR'S CARDS
The Mahila Agent will use a serially number card for acknowledging the receipt of the deposit. The procedure in regard to issue of cards by an official of the National Savings Institute to the Mahila agents/authorized workers will be as follows:-
- Issuing Authority :- The authority, under the revised procedure, competent to issue the cards to the agents will be :-
- Director, Small Savings at his headquarter town.
- District Small Savings Officer, working under the Director, Small Savings.
Note:- If there are more than one District Small Savings Officer in a District, the Director, Small Savings will nominate the Senior District Small Savings Officer as the Issuing Authority.
- Printing and supply of Cards:-
- The cards as in Annexure 5 will be got printed by the National Savings Institute and supplied to all Issuing Authorities under this scheme, viz, the Directors, Small Savings of the State.
- The Director, Small Savings also will cause a supply of cards in appropriate quantities to be made to each agent under the MPKBY through the Issuing Authority concerned. As the cards will now be used for new accounts, the supply to an Issuing Authority should cover the needs of the area for the next six months, that is to say, the number of new accounts expected to be opened in the area during the next six months.
- After the supply as aforesaid is made, the Appointing Authority shall cause a supply of cards not exceeding 15% of the total supply made to the Issuing Authority in a Deputy Regional Director's area to be made to the Deputy Regional Director concerned to meet emergent demands from the Issuing Authority(ies) in his area.
- The Appointing Authority shall at all times keep in his own stock 20% of the total number of cards supplied to all the District Small Savings Officers and Deputy Directors, Small Savings in his area in order to meet demands for new cards.
- The Director, National Savings Institute will at all times keep with him a stock not exceeding 25% of the total supply to be made to all Appointing Authorities.
- Each District Small Savings Officer shall be required to submit that Appointing Authority a quarterly statement in Annexure-9 indicating the number of cards in stock, cards issued to the Mahila agents and the number of cards likely to be required in the next three months. If on examination of the quarterly statement the Appointing Authority finds that the pace of the progress in the opening of new accounts is faster in any particular area, he will take immediate action to supply adequate stocks to that Issuing Authority (District Small Savings Officer).
- At the time of calculating his total demand for cards, the Regional Director, National Savings, will take into consideration the number of cards required by Mahila agent appointed by officials nominated by the State Government as Appointing Authority under Mahila Pradhan Kshetriya Bachat Yojana.
- In respect of agents, appointed by an Appointing Authority other than the Regional Director, National Savings, the supply of cards will also be made by the District Small Savings Officer.
- Maintenance of account and cards:-
- The cards will be serially numbered and it is necessary to keep an account of every card received and issued by all Authorities concerned.
- For maintaining such an account, the Appointing Authority shall open a register in his Office in the form prescribed in Annexure-10.
- The Director, Small Savings shall also open a ledger as in Annexure-11 showing the distribution of each cards to District Small Savings Officer.
- Each District Small Savings Officer shall maintain a ledger showing the distribution of cards to Mahila agents, as in Annexure-12. One page shall be used for each agent.
- Procedure to be followed by the Issuing Authority:-
- At the time of issue of these cards to the agents, the District Small Savings Officer should impress the card and its counterfoil with his office stamp at the top and give a running serial number to the card and its counterfoil.
- The initial supply of cards to the agents will be made according to the demand of the agents, for new accounts to be opened.
- While issuing the cards the Issuing Authority (DSSO) should advise the agents that the counterfoil should be returned immediately after opening new accounts. This should be examined carefully by the DSSO while forwarding the claim of the agent to the Director.
- The Issuing Authority (DSSO) shall be responsible for safe custody of the blank account cards received from the agents after serially arranging them and making appropriate entries thereof in the stock register of the personal ledger account of the Mahila agent.
- On the basis of the information provided in the counterfoils the Issuing Authority (DSSO) shall issue a letter to the depositor in the form given in Annexure-13. This letter will be printed and adequate copies thereof supplied to the Issuing Authority. The Issuing Authority will post or otherwise deliver the letter to the depositor concerned. The letter must issue in each case of new account. The District Small Savings Officer should record on the counterfoil, over his signature and date, the following remarks "Letter Issued". The counterfoil should be kept serially arranged by the DSSO concerned in his office.
- Payment of Commission:- The Mahila agents will be paid commission at the source by the Postmasters at the time of depositing money in post office w.e.f. 1.5.2000.
- General :- (1) In all other matters other than specifically mentioned in this memorandum, the procedure already laid down for the MPKBY shall apply.
(2) According to the existing procedure, a Mahila agent is authorized to handle cash not exceeding Rs. 5,000 to Rs. 10,000 as the case may be, at any given time depending upon the amount of security deposited. The DSSO should keep a check on the money transactions every month with reference to the amounts and dated written by the agent on the counterfoils of cards to ensure that the limit has not been exceeded.
(3) The Director, Small Savings should, during his tours, inspect the stock book and the ledger and accounts of foils maintained by the Issuing Authority (DSSO) and sign the stock book and ledger in token of having done so.
[NSC Nagpur letters No. 27975-28025/AGY(74)-II dated 16.8.1976 and
No. 11950-80/AGY(7)74-II dated 23.10.1977 as amended].
1. Mahila Pradhan Kshetriya Bachat Yojana- Changes in procedure
(1) Detailed procedure for the operation of the Mahila Pradhan Kshetriya Bachat Yojana has been laid down in the booklet "Mahila Pradhan Kshetriya Bachat Yojana" and changes thereto, whenever made, are also advised to you from time to time.
(2) In order to remove certain shortcomings in the scheme, it has been decided to make the following changes in the scheme:-
(i) Besides individual woman, women's organizations only shall be appointed as agents under the scheme. The reference to other institutions/organizations made in the booklet will be deleted.
Accordingly, institutions and organizations other than those of women will not be eligible to be appointed as agents under MPKBY. Sugarcane Unions in U.P. are at present working as agents under the scheme with the approval of the Ministry of Finance. It has been decided by the Ministry of Finance that Sugar Cane Union and similar institutions should no longer be appointed as agents under MPKBY. Such institutions may not, therefore, be appointed or reappointed as agents under the scheme. The existing agencies of such institutions may be reviewed and terminated as early as possible after giving them due notice in terms of the agency agreement. Whenever possible, steps may be taken to replace these institutions with Mahila Agents or individual or institutional agents under SAS.
(ii) Unauthorized persons like make relatives, etc. of a Mahila agent should not be permitted to transact business on behalf of a Mahila Agent. The scheme does not envisage such agency by proxy, Only a limited facility of the use of messengers by Mahila agents has been provided in D.G. Posts Circular No. 607/73-SB dated the 30th April, 1974. This permits the nomination of messengers only for depositing monies collected by agents with the posts offices. The messengers will have to be accredited for this purpose. No other person can act as messenger.
It has been decided that in the event of sickness, absence away from headquarters or in other circumstances when Mahila Agent can not perform her functions under the Scheme a messenger may be permitted to be nominated by the agent in the same manner as is done by the SAS Agent, and the ARD of the area on the recommendation of the DSO concerned, may accredite the messenger.
(iii) The restrictions of appointment of close relative of NSO and Postal officials under SAS Scheme should be made applicable to MPKBY also with immediate effect. Accordingly:-
(a) Near relative of a non-Gazetted Postal official working in a Division should not be appointed as agent in any area in the same Division.
(b) Near relative of a non-gazetted Postal Official who is dependent on such official should not be appointed as agent in any area in the same State.
(c) Near relative of a gazetted Postal official should not be appointed as agent any where in India.
(d) Near relative of a non-gazetted NSO officials, should not be appointed as agent any where in the same State.
(e) Near relative of a gazetted NSO official should not be appointed as agent any where in India.
Near relatives of other Central/ State Government officials (excluding Postal and NSO officials) may, however, be appointed as agents provided clearance is given by the Head of Office/Department of the concerned officials.
A person will be regarded as near relative of an official if the official is the person's husband, legitimate child or step child, father/step father, mother/step mother, brother/step brother, sister/step sister, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law or daughter-in-law.
To enable the appointing authorities to scrutinize the eligibility of applicants for MPKBY agency, the following paragraphs may be inserted in the form of applications for such agents:-
Para 2(A):-I am not employed under the Central/State Government.
Para 2(B):- I declare that none of my relatives (i.e. my husband, legitimate child or step child, my husband’s father, mother, sister or brother etc. as defined above is employed under the Central/State Government. OR
I give below the particulars of my near relatives (my husband, legitimate child or step child, my husband’s father, mother, sister or brother etc. as defined above is employed under the Central/State Government.
Name of close relative Relationship Particulars of office where employed
I attach “No objection certificate(s) from head(s) of office/department where the above mentioned person(s) is/are employed to the effect that there is no objection to my taking up agency under the above said agency system.
(3) The above information will enable the Appointing Authority to screen the applications and reject ineligible candidates for appointment as agent.
(4) Please circulate these instructions among the field officials of your region and also take steps urgently to give effect to the changes mentioned above. Your attention is drawn particularly to para 2(iii) above, prohibiting appointment of near relatives of NSO and Postal officials as agent under MPKBY in view of the changes now made. Action should be taken forthwith to terminate the agencies of all such near relatives working as agents by giving them three month’s notice. In other words, such agencies should be terminated latest by 31st March,1982. Further, in the event of prohibited category agencies coming up for renewal in the meantime no renewal of such agencies should be made.
[N.S.C. Nagpur Letter No. 42327-78/MSG(3)/81 dated 5.12.1981 and MOF(DEA) letter No. F.1/5/83-NS dated 16.2.1985]
2. Clarification regarding MPKBY Agents:-(1) Kindly refer to our letter No. 42327-78/MSG(3)/81 dated 5.12.1981 (Item 1 above).
(2) In para 2(iii) (a) it has been mentioned that near relatives of non-gazetted Postal officials should not be appointed as agent in any area in the same division.
(3) An agent carries on her activities only in a postal division or in an independent gazetted post office. A person should, therefore, not be appointed as agent if her near relative is working as a non-gazetted official in the same postal division or independent gazette post office. There is no objection to such an appointment if the near relative of the applicant is a non-gazetted official in the P&T Department in any other wing of the P&T Department, such as Telephones, telegraphs, RMS, Circle Office etc. or in a postal division/independent gazette post office other than the one in which the applicant intends to work as an agent.
(4) All pending and future applications as well as any pending cases may be decided on the above basis.
- 3. Appointment of Agents under the Standardised Agency System and Mahila Pradhan Kshetriya Bachat Yojna :-
(1) I am directed to invite your attention to this Ministry’s letter No. F.1/4/81-NS dated 26.11.1981 regarding restriction on appointment of Government servants and their near relatives as agents under the Standardized Agency System for canvassing deposits under the Small Savings Schemes and to state that her matter has been further considered in this Ministry. The Small Savings Schemes are operated mostly through the post offices though their promotion and development is the responsibility of the National Savings Organization. It is felt that the appointment of the near relatives of employees of the Department of Posts and National Savings Organization as small savings agent is not desirable considering that the agents get commission on the investment made through them. It has, therefore, been decided that hereafter near relatives of employees of the Department of Posts and the National Savings Organization will into be eligible for appointment as agents or for renewal of their existing agency under the Standardized Agency Scheme. Mahila Pradhan Kshetriya Bachat Yojana and the Public Provident Fund Agency Scheme.
(2) The cases of existing agents, who are near relatives of employees of the Department of Posts and the National Savings Organization may also be reviewed and the agency terminated, wherever feasible, after giving due notice as provided in the agency agreement.
(3) The term near relatives includes wife/husband, legitimate child or step child, father/step father, mother/step mother, brother/step brother, sister/step sister, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law or daughter-in-law.
(4) It has been decided that in the matter of appointment of agents, preference should be given to the unemployed, particularly to the educated unemployed. Suitable instructions may kindly be issued to all the Appointing Authorities.
[MOF (DEA) letters no. F.1/5/83-NS dated 3.1.1984 and 16.2.1985]
- 4. Appointment of Agents under the Standardized Agency System (SAS) and Mahila Pradhan Kshetriya Bachat Yojana (MPKBY):-
(1) I am directed to invite your attention to this Ministry’s letter No. F.1/5/83-NS dated 3.1.1984 (Item3) conveying the decision that near relatives of employees of the P&T Department and National Savings Organization will not be eligible for appointment as agents for the renewal of their existing agencies under the Standardized Agency System (SAS). Mahila Pradhan Bachat Yojana (MPKBY) and the Public Provident Fund Agency Scheme. It was also desired therein that the cases of existing agents who were near relatives of employees of P&T Department may also be reviewed and the agencies terminated wherever feasible after giving due notice as provided in the Agency Agreement.
(2) Since then, the P&T Department has been bifurcated into two Departments from 31.12.1984, namely, the Department of Posts and the Department of Telecommunications. The Small Savings Schemes will hereafter be operated through the Department of Posts. The Department of Telecommunications will not be involved with the operation of the small savings schemes. In the circumstances the ban will not be applicable to near relatives of employees of the Department of Telecommunications.
[MOF(DEA) letter No. F.1/5/83 dated 16.2.1985]
- 5. Payment of commission claims of deceased agents under MPKBY:-(1) The question of making provisions for nomination facility to the agents under the Mahila Pradhan Kshetriya Bachat Yojana in respect of claims relating to payment of commission to them on the amounts got deposited by them under the Recurring Deposit Scheme has been under consideration of this office in consultation with the Union Ministry of Finance, DEA. The nomination facility has already been provided to the agents under the SAS vide the Government of India, Ministry of Finance(DEA) letter No. F.1/13/81-NS dated 2.6.1983 addressed to the Finance Secretaries of all State/UT Governments and endorsed to the Regional Directors, national Savings. It has been decided to extend the same facility to the agents under the MPKBY.
(2) For this purpose, the following clause may be added in the Agreement Form executed by the Agents under the MPKBY.
“In the event of death of the Agent, the amount due and payable to her as commission in terms of this Agreement, shall be payable to her nominee(s) specified by her in Schedule ‘A’ hereunder written.
Signature of Appointing Authority Signature of agent…………..
………………………………… Name in block letters……….
Name& Designation Stamp
(3) The Schedule A will be in the form given below and shall be kept by the Appointing Authority attached to the Agreement Form.
I…………………………… the agent under this agreement hereby nominate the person(s) mentioned below, who shall, on my death, become entitled to any amount due and payable to me by way of commission in terms of this Agreement to the exclusion of all other persons.
Name of the nominee(s)
Date of Birth of nominee, if minor
**As the nominee(s) at Serial No.(s) above, is/are minor, I appoint the following persons(s) to receive the aforesaid amount in the event of my death during the minority of the nominee(s).
Name of Nominee(s)
Name and address of person appointed
**(NOTE-Delete if not applicable.)
Date………… (Name of Agent in full) C.A. No. and Address
- Signature with date…………….
Name in full…………………… Signature of Appointing
- Signature with date………………
Name in full…………………….. (Name and designation Stamp)
(4) In respect of any agent under MPKBY whose death takes place after executing the nomination, the amount of commission due and payable to deceased agent shall be paid to the nominee(s) on claim being preferred by the latter along with the death certificate in respect of the agent. In other cases, however, the Probate of Will or letters of Administration or Succession Certificate will be necessary to be produced by the claimant to the estate of the deceased agent.
(5) These instructions may be brought to the notice of all Agents under the MPKBY immediately by the respective Appointing Authorities. The latter are also requested to comply with the requests of the Agents for the addition of the Nomination clause in the current Agreements. The clause may be inserted in the Agreements to be executed hereafter as an integral part of the Agreement.
[N.S.C. Nagpur letter No. Dev.1/22-4/86 dated 14.11.1986]
- 6. Simplification of MPKBY Agency-removal of restriction of Area of operation:-(1) Please refer to our Circular no. 29224-43/AGY (7) 74—Pt. dated 28.7.1975 (copy enclosed) vide which area restriction in respect of MPKBY Agency was removed n certain Metropolitan cities.
(2) We have been receiving requests from several MPKBY Agents and also from some State Governments for removing restriction or Area of Operation in respect of MPKBY Agents functioning in different parts of the country. This has again come up during the discussion held in the Western Zonal Workshop held at Gandhinagar during 6-8th August, 1987. In view of the persistent demand and also to facilitate the MPKBY Agents to operate more freely it was decided that he restriction in Area of Operation in all the places also should be removed forthwith. Accordingly, the Appointing Authorities are requested to take suitable action in modifying the Certificate of Authority in respect of all the MPKBY Agents immediately to enable them to collect savings of the public without any difficulty. These instructions may be brought to the notice of all the MPKBY Agents.
[NSC Nagpur Letter No. 2443/493/Agency/23-1/87 dated 31.8.1987 circulated under D.G. Posts letter No. 62-9/87-SB (i) dated 21.9.1987]
Copy of letter No. 29224-43/AGY (7)-Pt. dated 28.7.1975 from N.S.C. Nagpur regarding simplification of MPKBY Agency.
(1) It was often represented by the MPKBY agents that the present limitation of Rs. 1,000 households as the area of operation for each agent restricts their scope of work and chance to earn more commission besides prohibiting them from canvassing in the areas where they may have influence or contacts.
(2) The Ministry of Finance, who were approached to relax the present limitation have now decided to liberalize the limitation of the area of operation in respect of certain metropolitan cities. Now the MPKBY agents are permitted to canvass anywhere within the Municipal limits of the city where and authorized worker is functioning.
(3) This liberalization will be applicable, at present, to metropolitan cities of Delhi, Bombay, Calcutta, Madras, Kanpur, Bangalore, Hyderabad and Ahmedabad on an experimental basis. The liberalization in the area of operation may be extended to other places also depending upon the actual experience gained in the working of MPKBY under these orders.
- 7. Deduction for expenses on commission payable to agents appointed under the Standardised Agency System for Government Securities and the agents of Unit Trust of India:-
(1) The agents of Standardised Agency System and Unit Trust of India have drawn the attention of the Board to the fact that where no detailed accounts are maintained and the gross commission received by them does not exceed Rs. 60,000/- during the year, the benefit of an ad-hoc deduction for expenses at the rate of 50% of the gross receipt of commission is available to the authorized agents of Unit Trust of India and the agents of the following securities:-
(i) National Savings Certificates II Issue (ii) National Savings Certificates VI Issue (iii) National Savings Certificates VII Issue (iv) Social Security Certificates (v) Post Office Time Deposits.
(2) In view of the discontinuance of some of the above certificates and the notification of new schemes, as listed in paragraph 3 below, may be allowed the benefit of the same ad-hoc deduction.
(3) The Board has considered these representations and has decided that the benefit of an ad-hoc deduction at the rate of 50% of the gross receipt of commission, when it does not exceed Rs. 60,000/- during the year, be given to the authorized agents of Unit Trust of India and the agent of the following securities:-
(i) National Savings Certificates (VIII Issue)
(ii) Post Office Time Deposits Accounts
(iii) Post Office Recurring Deposit Accounts.
(iv) National Savings Scheme Accounts
(v) Post Office Monthly Income Scheme Accounts
(vi)Kisan Vikas Patras
(vii) Public Provident Fund Accounts.
(viii) Senior Citizens Savings Scheme Accounts.
[Central Board of Direct Taxes Circular no. 168/6-IT (A1) dated 27.2.1991 and 15.5.1991 circulated under MOF (DEA) letter No. F.3/53/89-NSII dated 28.6.1991 and D.G. Posts letter No. 61-40/91-SB dated 28.9.1991]
(4) If the commission earned during the year exceed Rs. 60,000, no ad-hoc deduction will be allowed and admissibility of expenditure will be considered by the Assessing Officer as per provision of the Income Tax Act. Wherever complete and reliable accounts of expenditure are maintained, actual expenditure incurred can be allowed by the Assessing Officer.
[CBDT Circular No. 677 dated 28.1.1994]
- 8. Appointment of near relatives of EDBPM as agent under the SAS/MPKBY Agency System-Clarification regarding:-(1) Some Postal Circles had sought clarification about the eligibility of near relatives of EDBPM for appointment as agents under SAS/MPKBY Agency System. The matter has been examined in consultation with the Ministry of Finance (DEA) and it has been clarified by the Ministry that there is no bar in appointing relatives of EDBPM as agents under SAS. In so far as MPKBY is concerned, there is no specific provision for appointing EDBPMs as MPKBY agents since this scheme is specifically for women. As such their relatives cannot be appointed as MPKBY agents.
(2) It is requested that this clarification may be brought to the notice of all concerned in your jurisdiction for information and guidance.
[D.G. Posts letter No. 107-4/2001-SB dated 10.1.2002]
- 9. Renewal of Agency:-The agency granted will be valid for a period of three years. The agent will get it renewed by submitting an application in form at Annexure-14, 45 days in advance of the expiry of the current agency along with agreement. The form at Annexure 14 has been obtained from the regional Directors, National Savings Institute, Delhi who has devised it for the facility of the agents.
9A.Acting of SAS/MPKBY/PPF agents as an agent or messenger for withdrawal of money:- These agents cannot act as an agent or messenger of the depositor for the purpose of withdrawal of money from his/her account in various savings schemes.
[D.G. Posts letter No. 110-13/2004-SB dated 1.6.2007
- Appointment of near relatives of EDBPM as agent under the SAS/MPKBY Agency System-Clarification regarding:-(1) Some Postal Circles had sought clarification about the eligibility of near relatives of EDBPM for appointment as agents under SAS/MPKBY Agency System. The matter has been reconsidered in the Ministry of Finance (DEA) and it has been decided not to appoint near relatives of EDBPMS as agents in view of the fact that EDBPMs are not eligible for appointment as agents under MPKBY scheme.
(2) It is requested that this clarification may be brought to the notice of all concerned in your jurisdiction for information and guidance.
[D.G. Posts letter No. 107-4/2001-SB dated 10.1.2002]
11. Change of MPKBY Agent:-(1) Where the account has been initially opened through an agent, the depositor may seek change of agent in the following cases:-
1. In the case of death of the agent through whom the account was opened.
2. In case of termination of the agency/non-extension of the agency of the agent through whom the account was opened.
3. Change of residence of the depositor either at the same station or by transfer from one station to another.
4. A depositor who opened the account directly but now wants to avail the services of the agent.
(2) In the above cases, request for change of agent will be sent by the depositor to the concerned regional Director, NSO (where the account was opened) and after the Regional Director has given his approval to change the agent, the depositor can utilize the services of that agent. In such cases, new agent can claim commission for subsequent deposits.
(3) the above procedure has been prescribed for change of agents in PPF accounts by MOF(DEA) in their letters No. F1/3/89-NSII dated 31.7.1989 and 16.10.1989 and will also be applicable to such cases in R.D. accounts.
12. Stopping of appointment and renewal of agency under SAS and MPKBY agency system by Regional Directors, N.S.O. with immediate effect:- The Ministry of Finance, (DEA) New Delhi, have directed us vide letter No. F.2/1/2001-NS-I dated 15.11.2002, to stop appointment of agency and renewal of agency under SAS and MPKBY Agency System with immediate effect. They have also mentioned that the existing agency force under SAS and MPKBY should approach the concerned agency as well as renewal of old agency, as per the prescribed rules. Henceforth, you are directed not to issue any fresh agency or renew old agency as stated above.
However, regarding PPF agency system, the present system of appointment and renewal will continue with NSO till further orders.
[NSC Nagpur letter No. 12684-712/tech./Agency/21-2/2002 dated 21.11.2002 addressed to all Regional Directors and Deputy Regional Directors, National Savings Organisation (Institute)]
PROCEDURE IN POST OFFICES
[Issued vide D.G. P&T letter No. 37-1/72-SB dated 10.3.1972 and further amended from time to time]
The Government of India, Ministry of Finance (DEA) have introduced a scheme “Mahila Pradhan Kshetriya Bachat Yojna” under which the Mahila agents will collect the monthly deposits in recurring Deposit accounts from the depositors and remit them to the post office. The salient features of the scheme may be seen in Part-I of this Chapter. The following procedure will be followed by the post offices.
- Certificate of Authority:-The Mahila Agent will be given a Certificate of Authority (in form ASLAAS-4) by the Appointing Authority attaching her to one post office only. On receipt of the Certificate of Authority which contains specimen signature of the agent, from the Appointing Authority, it will be maintained by the Postmaster in a serially numbered guard file. The post office will verify the identity of the agent by comparison of her specimen signature in the Certificate of Authority on record in the post office with the signature given on the schedule of deposits (ASLAAS-6) by the agent.
- Deposit of money:- The money collected by the agent will be deposited in the post office within five to ten days from the date of receipt from the depositor subject to the condition that the deposits must be deposited in the post office by the last day of the month in any case. The amount of deposits and pass books will be accompanied with the schedule (in form (ASLAAS-6) in quadruplicate. It should be seen that the schedule is prepared in the serial order of the account numbers. The post office shall return one copy (fourth) of schedule after putting its date stamp and filling the portion relating to certificate of post office to the Mahila agent and retain other copies. In the list of transactions only a lump entry will be made and the second copy of the schedule received will be attached to the LOT in support of the lump entry. The third copy of the schedule will be kept in the post office as office copy. The first copy of the schedule will be sent to the S.B.C.O. along with receipt ACG-17 for commission paid to the agent. Only one entry of the lump sum will be made in the long Book and RD Journal with suitable remarks. A single pay-in-slip will be prepared by the agent for the consolidated amount for all the accounts listed in a particular schedule. For entries of deposits in the H.O. ledger and the pass books and their checking by the Supervisor the normal procedure will be followed.
[D.G. Posts letter No. 107-16/97-SB dated 17.4.2000]
- Numbering of Schedules:- For financial year 2006-07 from 1st June, 2006, ASLAAS-6 schedule will be serially numbered by the agent under her signature. The numbering of ASLAAS-6 schedules will be X/Y/L. While X and Y will represent the month and serial number of the schedule, L would represent the last schedule submitted in a month. Once the letter L is used on a schedule, it would mean that he agent would submit no more schedules in a particular month. This procedure will enable the inspecting officer to find out if there is any discrepancy in the serial number or any missing serially numbered list, which will the officer, and investigations can be made. From financial year 2007-08 onwards the ASLAAS-6 schedules will be serially numbered from 1st April, 2007.
[D.G. Posts letter No. 111-14/2001-SB dated 25.5.2006]
- Deposit of money through messenger:- A proposal for affording a facility to the Mahila agents appointed under the Mahila Pradhan Kshetriya bachat yojna to send the deposits to the post office through messengers on their behalf has been under consideration of the Government for some time past. In order to generate more enthusiasm among Mahila agents for securing sizeable number of deposits through such messengers, it has been decided in consultation with the Ministry of Finance (DEA) that transactions through accredited messengers of the Mahila agents appointed under the scheme should henceforth be entertained in the post offices.
[D.G. P&T letter no. 61-7/73-SB dated 30.4.1974]
- Issue of pass books for new accounts:- In the case of new accounts the pass books will be prepared by the post office other than E.D. sub post office and delivered to the Mahila Agent after taking her receipt on the office copy of the concerned schedule. The E.D. sub office which is not authorized to issue pass books will issue Preliminary Receipt (SB-26) for each account. On receipt of the pass book from the head office, it will be delivered to the Mahila agent after taking her receipt on the back of the preliminary receipt. The Mahila agent will deliver the pass book within ten days from the date of receipt from the post office to the depositor.
- Supply of forms:- The Mahila Agent shall obtain necessary forms for opening of RD accounts for the scheme will be supplied to her by the regional Director/ Deputy Regional Director, Small Savings, of the area concerned.
- Payment of commission:-The commission will be paid to the MPKBY Agents by the post offices w.e.f. 1.5.2000 at source at the time of depositing money in the RD accounts. The commission will be paid at the rateof 4% of the deposits w.e.f. 1.1.2000.
- Termination of agency:-When an agency is terminated or an agent dies, the appointing authority will send intimationto the post office to which the agent is attached. On receipt of this information necessary remark will be made in the Certificate of Authority kept in the guard file under the dated signature of the Postmaster.