CPAO Latest Order 2024 : How to Handle Pension Dues When Pensioners Die Before Receiving Payments

CPAO has issued an OM dated 12.7.2024, in which it is clarified How to Handle Pension Dues When Pensioners Die Before Receiving Payments

How to Handle Pension Dues in 2 different Scenarios

Processing of pension cases on death of pensioner after retirement before getting pension following cases may arise

• Case-1 : Pensioner expires prior to filling pension papers
• Case-2 : Pensioner files papers but expires before getting pension

GOVERNMENT OF INDIA
MINISTRY OF FINANCE
DEPARTMENT OF EXPENDITURE
CENTRAL PENSION ACCOUNTING OFFICE
TRIKOOT-II, BHIKAJ! CAMA PLACE,
NEW DELHI-110066

CPAO/IT&Tech/Corres. with Sections/96/2024-25/10370/42

12.07.2024

Office Memorandum

Subject:- Settlement of pension dues where pensioner expires after retirement, but before getting pension.

This office has been receiving grievances regarding return of pension cases at various levels (Banks, PAOs and CPAO) where pensioner died after retirement without filling pension papers or in some cases after the submission of documents by the pensioner but before getting pension. In this regard, attention is invited to Government of India’s Decision (2) (2) (iii) of Rule 57 of CCS (Pension) Rules, 2021 and Para 7.5.6 and 7.18 (b) of Civil Accounts Manual (CAM) of O/o CGA.

In terms of above mentioned Rules for processing of pension cases on death of pensioner after retirement before getting pension following cases may arise-

Case-1 : Pensioner expires prior to filling pension papers

In order to avoid hardship to family of a retired Government Servant, who dies without submitting pension papers, the PAO shall authorise the pension (in respect of deceased Government Servant) and family pension to the spouse/eligible family member. Only one PPO shall be issued by PAO authorising pension and family pension in Part-II of the PPO. Part-III of the PPO, which is applicable on death of Government Servant while in service, would not be relevant in such cases.

The payment of arrears of pension for the period from the date following the date of retirement upto the date of death shall be made by PAO to family pensioner, thereafter, PPO will be sent to Pension Disbursing Authority (PDA) through CPAO for payment of family pension.

Case-2 : Pensioner files papers but expires before getting pension –

Case 2.1 :- PPO generated but pending at PAO level: Where pensioner has died before PPO forwarded to CPAO and family pension is sanctioned simultaneously. In that case, PAO, after paying arrears of pension to co-authorised family pensioner will forward the pension case to CPAO. In that scenario, CPAO will not return the pension case to PAO and forward it to bank for payment of pension to family pensioner. The bank post KYC of family pensioner and after obtaining required relevant documents can start disbursement of family pension.

Case 2.2 :- Pension case processed at PAO level and forwarded it to CPAO: Where pensioner has died after submission of PPO to CPAO and family pensioner is co-authorised for pension. If such a case is under process in CPAO (not yet forwarded to bank), CPAO will not return the pension case to PAO but will forward the pension case to CPPC for payment of pension. The bank post KYC of the family pensioner and after obtaining required relevant documents can disburse arrears of pension to the authorised family pensioner and can start family pension from the date of death of retired Government Servant.

Note- The pension cases of above types will be processed in the category of pension of retired Government Servant.

All the Pr. CCAs/CCAS/CAS/‘AGs are requested to direct PAOs under their control to follow above
instructions strictly. All the CPPCs and pension processing sections of CPAO are also directed to comply above stated instructions invariably.

This issues with the approval of the Additional Controller General of Accounts (A&FR).

(Ajay Chaudhary)
Sr. Accounts Officer (IT & Tech)

To,

1. All Pr. CCAs/CCAs/CAs/AGs
2. Heads of CPPCs of All Authorized Banks (as per list)
3. A-I, A-IT, A-III, AIS.

Copy to:

1. PS to CC (P)
2. PA to CA
3. Sr. TD, NIC (CPAO)

View /Download the CPAO Latest Order 2024 pdf