EXTRACTS FROM THE GPF (CS) RULES, 1960
Rule-12: Advances from the fund
(1) The appropriate sanctioning authority may sanction the payment to any subscriber of an advance consisting of a sum of whole rupees and not exceeding in amount three months’ pay or half the amount standing to his credit in the Fund, whichever is less, for one or more of the following purposes.
(a) to pay expenses in connection with the illness, confinement or a disability, including where necessary, the traveling expenses of the subscriber and members of his family or any person actually dependent on him;
(b) to meet cost of higher education, including where necessary the traveling expenses of the subscriber and members of his family or any person actually dependent on him in the following cases, namely :-
(c) to pay obligatory expenses on a scale appropriate to the subscriber’s status which by customary usage the subscriber has to incur in connection with betrothal or marriages, funerals or other ceremonies;
(d) to meet the cost of legal proceedings instituted by or against the subscriber, any member of his family or any person actually dependent upon him, the advance in this case being available in addition to any advance admissible for the
(f) to purchase consumer durables such as TV, VCR/VCP, washing machines, cooking range, geysers and computers.
(2) An advance shall not, except for special reasons to be recorded in writing, be granted to any subscriber in excess of the limit laid down in sub-rule (1) or until repayment of the last installment of any previous advance.
(3) When an advance is sanctioned under sub-rule (2) before repayment of last installment of any previous advance is completed, the balance of any previous advance not recovered shall be added to the advance so sanctioned and the installments for recovery shall be fixed with reference to the consolidated amount.
Rule – 15: Withdrawals from the Fund
(1) Subject to the conditions specified therein, withdrawals may be sanctioned by the authorities competent to sanction an advance for special reasons under sub-rule (2) of Rule 12, at any time –
(A) after the completion of (fifteen) years of service (including broken periods of service, if any) of a subscriber or within then years before the date of his retirement on superannuation, whichever is earlier, from the amount standing to his credit in the Fund, for one or more of the following purposes, namely :-
(a) meeting the cost of higher education, including where necessary, the traveling expenses of the subscriber or any child of the subscriber in the following cases, namely :-
(i)for education outside India for academic, technical, professional or vocational course beyond the High School stage; and
(ii) for any medical, engineering or other technical or specialized course in India beyond the High School stage;
(b) meeting the expenditure in connection with the betrothal/marriage of the subscriber or his sons or his daughters, and any other female relation actually dependent on him;
(c) meeting the expenses in connection with the illness, including where necessary, the traveling expenses of the subscriber and members of his family or any person actually dependent on him ;
(d) meeting the cost of consumer durables such as TV, VCR/VCP, washing machines, cooking range, geysers and computers.
(B) during the service of a subscriber, from the amount standing to his credit in the Fund for one or more of the following purposes, namely :-
(a) building or acquiring a suitable house or ready-built flat for his residence including the cost of the site, or any payment towards allotment of a plot or flat by the Delhi Development Authority, State Housing Board or a House Building
(b) repaying an outstanding amount on account of loan expressly taken for building or acquiring a suitable house or ready-built flat for his residence;
(c) purchasing a house-site for building a house thereon for his residence or repaying any outstanding amount on account of loan expressly taken for this purpose;
(d) reconstructing or making additions or alterations to a house or a flat already owned or acquired by a subscriber;
(e) renovating, additions or alterations or upkeep of the ancestral house or a house built with the assistance or loan from Government;
(f) constructing a house on a site purchased under Clause (c);
(C) within twelve months before the date of subscriber’s retirement on superannuation from the amount standing to the credit in the Fund, without linking to any purpose.
Rule – 16: Conditions for withdrawal
(1) Any sum withdrawn by a subscriber at any one time for one or more of the purposes specified in Rule 15 from the amount standing to his credit in the Fund shall not ordinarily exceed one-half of such amount or six months’ pay, whichever is less. The sanctioning authority may, however, sanction the withdrawal of an amount in excess of this limit up to ¾ of the balance at his credit in the Fund having due regard to (i) the object for which the withdrawal is being made, (ii) the status the subscriber,
(2) A subscriber who has been permitted to withdraw money from the Fund under Rule 15 shall satisfy the sanctioning authority within a reasonable period as may be specified by the authority that the money has been utilized for the
CIRCULAR ON RULES AND PROCEDURES FOR PROCESSING OF ADVANCE/WITHDRAWAL/REFUND
Sub:- Rules and Procedures for Processing of Advance/Withdrawal/Refund-reg.
For some time, our Institute has been recommending undue requests of GPF/CPF subscribers for advances / withdrawals in violation of Govt. guidelines. This is attracting criticism of Audit and exposing BOT officials to disciplinary action. Depleted PF balances are also reducing protection of our employees after retirement.
In view of the above it is decided that the following rules and procedures will be strictly followed while processing cases of advance, withdrawal or refund w.e.f. the date of issue.
IV. Subsequent Advance/Withdrawal:
V. Time Gap:
VII. Processing Period
VIII. Exceptional Cases
(a) Advances in excess of the limit laid down in Rule12(1) or until repayment of the last installment of any previous advance, withdrawals in excess of the limit (up to 75% of the accumulations) in excess of the limit laid down in Rule 15 (1), and applications for subsequent advance and/or withdrawal within 6 months will not be considered/sanctioned, except for any special reasons, to be intimated by the applicant subscriber and to be approved by the Director, in writing.
This issues with the approval of the competent authority.