Now, it bas been decided that all Regional Offices/ KVS (HQ) shall make payments of Commutation money, Leave Encashment, Employees Welfare Scheme, DLIS, Provident Fund, Advance/ withdrawal from Provident Fund etc except Gratuity directly to the employee/retired employee/ nominee concerned without routing these transactions through the respective Vidyalaya/ RO Unit / Cash Section of KVS (HQ) w.ef 01.12.2021 on trial basis.
KendriyaVidyalaya Sangathan (HQ)
Shaneed Jeet Singh Marg,
New Delhi – 110016
The Deputy Commissioner/Director,
Kendriya Vidyalaya Sangathan,
All Regional Offices/ZIETs
Subject:- Rationalization of financial transactions —reg.
With reference to the subject cited above, it is stated that as per the existing procedure, the payment towards Gratuity, Commutation money, Leave Encashment, Employees Welfare Scheme, DLIS, Provident Fund, Advance/ withdrawal from Provident Fund etc. are being made to the concerned employee through the respective Vidyalayas/units. It was observed that there is a requirement to rationalise these financial transactions mainly due to the following reasons:-
(i) As per the existing procedure, aforesaid payments are done through concerned units, which some time causes delay in receipt of amount by the employees.
(ii) In the existing procedure, these transactions are recorded in the books of the concerned KVs/units as well as in the books of the Regional Offices. In the new procedure, since the payments would not be required to be entered in the books of accounts of K’Vs, it will decrease the work load significantly at Vidyalaya level. Further, Maintenance of cash book and subsidiary records would be easier because good number of transactions would not be required to be entered in Cash Book of KV.
(iii) Since the amount towards aforesaid payments would not be received by the Vidyalaya, possibilities of mis-classification of entries/ utilization of funds for other purpose would not be there.
(iv) Accumulation of liabilities can be avoided as the payment released even in the month of March would not form part of liabilities.
(v) The commutation of pension 1s effective from the date of receipt of the commutation money by the pensioner. The new procedure will reduce the grievances from the pensioner to this extent.
(vi) Utilization of funds/grants would be optimal as no funds would be available in transit (KV level) at the close of financial year.
(vii) in the existing procedure, the payment relating to GPF/CPF withdrawal is released through the concerned KV/unit which some time causes delay in receipt of amount by the employee concerned. Late receipts of amount cause loss of interest to the employees. In the new procedure, the payment would be made directly to the employee concerned. Hence, question of loss of interest would not be there.
In view of the above, the existing procedure relating to these financial transactions was reviewed and further discussed in detail during the Virtual DC conference on financial matters, held on 22.10.2021. Now, it bas been decided that all Regional Offices/ KVS (HQ) shall make the aforesaid payments except Gratuity directly to the employee/retired employee/ nominee concerned without routing these transactions through the respective Vidyalaya/ RO Unit / Cash Section of KVS (HQ) w.ef 01.12.2021 on trial basis.
In this regard detailed guidelines are given in Annexure-I. All the Deputy Commissioners are requested to go through the guidelines carefully and ensure the compliance without fail.
This issues with the approval of Commissioner, KVS.
Hindi version follows
Deputy Corinissioner (Fin)
Read Annexure -1