An Organisation for the welfare of postal employees

Friday, June 3, 2011

Payment of deposits/certificates belong to minors

SB ORDER NO. 8/2011

F.No.113-01/2011-SB

Government of India

Ministry of Communications & IT

Department of Posts

Dak Bhawan, Sansad Marg,

New Delhi- 110001

Dated:

25.05.2011

To

All Heads of Circles/ Regions

Addl. Director General, APS, New Delhi.

Subject:-Payment of deposits/certificates belong to minors- a clarification regarding.

Sir / Madam,

The undersigned is directed to say that this office is in receipt of complaints regarding insistence of issuing cheques of maturity/premature value of deposits/certificates in the name of minors instead of guardians by some post offices when at the time of payment, the minor not attained majority causing hardship to the depositors/certificate holders.

2. This issue has been examined in detail in this office and based on the provisions made in Section 10 of the Government Savings Bank Act 1873 and Section 5 of the Government Savings Certificate Act 1959, following clarification is being issued:

In case of accounts:- Payment of deposits to minor or guardian:-

(a)

In case of Minor Account opened by guardian on behalf of minor where at the time of payment minor not attained majority, all payments should be made to the guardian after taking prescribed certificate. In case, minor attained majority before date of payment, prescribed procedure for conversion of account from the name of guardian to the name of minor who attained majority should be followed and payment should not be made to the guardian.

(b)

In case of individual accounts opened by minors of the age of 10 years or above in Savings/RD/TD or MIS schemes, all payments should be made to the minor himself who made the deposits irrespective of minor attained majority or not.

In case of certificates : Payment of certificates to minor or guardian :-

(a)

In case of certificates purchased by guardian on behalf of minor, where at the time of payment, minor not attained majority, all payments should be made to the guardian after taking prescribed certificate. In case, minor attained majority before date of payment, prescribed procedure for conversion of certificate from the name of guardian to the name of minor who attained majority should be followed and payment should not be made to the guardian.

(b)

In case of certificates applied by minor and issued in the name of minor, all payments should be made to the minor himself who applied for issue of certificates irrespective of minor attained majority or not.

It is requested to bring this clarification to the notice all post offices for strict compliance.

This issues with the approval of DDG(FS).

Sd/-

(Kawal Jit Singh)

Assistant Director (SB)

Extension of PPF Scheme up to A Class Post Offices

SB ORDER NO. 7/2011

F.No.32-01/2011-SB

Government of India

Ministry of Communications & IT

Department of Posts

Dak Bhawan, Sansad Marg, New Delhi-110001

Dated: 25.05.2011

To

All Heads of Circles/Regions

Addl. Director General, APS, New Delhi.

Subject :- Extension of PPF Scheme up to Post Offices with sanctioned strength of 2+1 (‘A’ class post office) w.e.f 1.7.2011.

Sir / Madam,

The undersigned is directed to say that PPF Scheme was introduced by the Government through PPF Act 1968 and was initially made operational through designated bank branches. The Scheme was introduced up to Head Post Level w.e.f 1.1.1979 and further extended up to LSG Post Offices w.e.f 1.7.1988. A review has been undertaken in this office to expand its operations to other Post Offices and it has been decided to expand the operation of this scheme up to ‘A’ class post offices i.e where one SPM and 2 PAs are sanctioned.

1. The scheme will be made operational in such post offices w.e.f 1.7.2011. It is pertinent to mention that the scheme is a centralized one under which second set of data is to be maintained in SBSO at HPOs like savings account and all functions like Opening of account, registration of nomination, Interest Calculation, Sanction of Loan, Sanction of Withdrawal, Closure Sanction etc. are to be done at HPO level.

2. It is requested to circulate this letter to all Head Post Offices and ‘A’ Class post offices alongwith sufficient copies of all related forms/ledgers so that no one can find it difficult to make the scheme operational. It may also be ensured that working strength of such post offices may not become single handed at any point of time. Copy of PPF Rules framed by Min. of Finance under PPF Act 1968 and PPF operative rules given in POSB Manual Vol-I are enclosed for circulation to such post offices.

This issues with the approval of Secretary (Posts).

Sd/-

(Kawal Jit Singh)
Assistant Director (SB)

Thursday, June 2, 2011

Department of posts launches mobile money transfer service

The department of posts (DoP) has launched the mobile-based money transfer service in the country for quicker transfer of money from one city to another.

Launching the service, Union minister of state for communications, information technology and home Gurudas Kamat said the aim of launching this service was to help those who were unable to avail banking services. The service will be operated by DoP with technological support from BSNL.

To begin with, the service has been launched between Punjab and Bihar Postal Circles for transfer of money up to Rs. 50,000. The complete roll-out throughout the country would be completed in eight weeks.

The minister launched the service by remitting Rs.1,000 to Help Age India at Patna.

Kamat said the person intending to use the service would have to go to the post office which will provide them a unique PIN code after the transfer of money.

The sender would have to send the PIN to the recipient through a text message who would be home delivered the money after verification of the PIN on his mobile. The recipient could also go to the post office and collect the money, he said.

Kamat said India Post is the largest service network for transfer of money and annually about nine crore money orders are being sent on the postal network.

He said that to speed up the money transfer the DoP had introduced electronic money order and Internet money order and that the mobile money order was the third such service.

Secretary Posts Radhika Doraiswamy said that the DoP also proposes to interconnect all the 1,55,000 post offices in the country to subsequently introduce Core Postal Service.

She said the department would also introduce the Post office savings bank for which the mandatory clearances were being sought.

Referring to the high cost of sending money through money order, she said, "We need to reduce the commission charges. We should be able to do this soon".

The charges for mobile money transfer will be the same as it is on the traditional money order - 5% of the remitted amount, a departmental spokesperson said.

Director of BSNL RK Aggarwal said that the BSNL-PO joint venture will help the rural customers in availing of money transfer services. This will also revolutionise the financial inclusion programme of the government, he said.

He said in 1947 the tele-density in the country was 0.47% which increased to 4.75% in 1997 in 50 years. But after that within 14 years the tele-density has now reached 70%.

The total number of mobile connections is 850 million presently and 15 million new connections are being activated in the country every month, he said.