My Dear Friends,
Re: Mismanagement of Pension funds by the Banks – where is accountability?
https://drive.google.com/file/d/1g3T1GV1t10ViNrUOaGxcIQPdZUOmCWDx/view?usp=sharing
Referring to the above, Please refer to my following communication dated JANUARY 14, 2020 in this regard followed by the letter dated 29 08 2020 addressed to THE CHIEF EXECUTIVE, IBA BY ALL KERALA BANK RETIREES FOURM on the above subject.
This assumes lot of importance in the wake of ongoing BP negotiations:
The contents are self-explicit.
With greetings and Regards,
I remain – Yours,
“|| यतो धर्मस्ततो जयः ||” IS THE ULTIMATE......
I remain – Yours,
దేవులపల్లి శ్రీనివాస మూర్తి
DEVULAPALLI SRINIVASA MURTI
devulapallimurti@gmail.com Ramavarappadu (PO)
VIJAYAWADA 521108
AUGUST 31, 2020
9989318300
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QUOTE:
Srinivasa Murti Devulapalli <devulapallimurti@gmail.com>
RE: EMBEZZLEMENT OF FUNDS IN THE PENSION CORPUS OF BANK EMPLOYEES
1 message
Srinivasa Murti Devulapalli <devulapallimurti@gmail.com>
14 January 2020 at 16:37
TO: All my friends on mailing list.
VIJAYAWADA, AP, India
14 JAN 2020 —
My Dear Friends,
RE: EMBEZZLEMENT OF FUNDS IN THE PENSION CORPUS OF BANK EMPLOYEES
REFERRING TO THE ABOVE, YOU MIGHT BE QUITE AWARE THAT I FILED A SERIES OF COMPLAINTS / GRIEVANCES WITH THE HON’BLE SUPREME COURT OF INDIA ENUNCIATING THE ACTS OF MISDEEDS ON THE PART OF VARIOUS BANK MANAGEMENTS / TRUST BOARDS IN THE PENSION CORPUS FUNDS OF BANK EMPLOYEES / RETIREES.
YOUR KIND REFERENCE IS INVITED TO MY RECENT COMMUNICATION FOR MORE DETAILS IN THIS BEHALF:
https://drive.google.com/file/d/1xWCQCH1BIeSvKuSBeubMgrI2g5BxdrlV/view?usp=sharing
IT WAS INDEED A STRANGE COINCIDENCE THAT MY ABOVE COMPLAINTS REACHED THE SUPREME COURT REGISTRY AT A TIME WHEN OFFICERS DRAWN FROM THE CENTRAL BUREAU OF INVESTIGATION (CBI ) WERE OVER SEEING THE DAY-TO-DAY FUNCTIONING THE OFFICE OF THE REGISTRAR AT THE SUPREME COURT - OWING TO CERTAIN SERIOUS MALPRACTICES HAVING BEEN NOTICED IN THE REGISTRY'S DAY-TO-DAY FUNCTIONING AT THAT POINT OF TIME.
THANKS TO SRI RANJAN GOGAI, THE THEN CHIEF JUSTICE OF INDIA , FOR HIS LORDHIP’S BOLD STEP WHO CAUSED TO INDUCT THE OFFICIALS DRAWN FROM CBI FOR INVESTIGATION OF THE SUPREME COURT REGISTRY, ON DAY-TO-DAY BASIS TO ENSURE TRANSPARENCY IN THE ADMINISTRATION OF JUDICIARY.
https://drive.google.com/file/d/12cJ-gt1q_kOkGt94UxY5AR3iQqezwn7R/view?usp=sharing
(IN FACT, ONE OF MY ABOVE COMPLAINTS WERE ALSO RECEIVED BY THE HON’BLE SUPREME COURT REGISTRY AS FORWARDED BY THE OFFICE OF THE HON’BLE VICE PRESIDENT OF INDIA.)
THOUGH MY ABOVE GRIEVANCES WERE NOT ADMITTED FOR PIL ON TECHNICAL GROUNDS, THE MATTER REACHED THE NOTICE OF ALL THE AUTHORITIES CONCERNED AS TO THE STRONG PRIMA-FACIE EVIDENCES AS EVIDENTLY AVAILABLE IN MY ABOVE COMPLAINT/S.
MORE THAN MY ABOVE EFFORTS, THE COMMITTED LEGAL ACTION INITIATED BY OUR LEARNED SENIOR COMRADE - VIZ: SRI M S SIDHU OF OBC ARE INDEED COMMENDABLE. MY HEARTY GREETINGS AND REGARDS TO SRI SIDHU GARU FOR HIS ENDEVOURS IN THIS REGARD - A TORCH-BEARER.
IN THE ABOVE BACK DROP, IT 'S NOW RELIABLY LEARNT THAT INVESTIGATIONS BY CBI HAS ALREADY BEEN INITIATED IN ABOUT 8 TO 10 BANKS IN THIS REGARD.
LET US HOPE THAT ALL THE CULPRITS WOULD BE BROUGHT TO BOOK SOON.
IT’S A VERY GOOD DEVELOPMENT IN THE INTEREST OF THE FRATERNITY OF BANK RETIREES.
https://www.youtube.com/watch?v=6GFnTDb4Ew8&t=30s
https://www.youtube.com/watch?v=Cmdl9V7Yl98&t=21s
With Greetings on the eve of Makara Sankranthi and Pongal,
మీ ఇంటిల్లిపాదికీ సంక్రాంతి శుభాకాంక్షలతో ....
I remain – Yours,
“|| यतो धर्मस्ततो जयः ||” IS THE ULTIMATE......
I remain – Yours,
దేవులపల్లి శ్రీనివాస మూర్తి
DEVULAPALLI SRINIVASA MURTI
devulapallimurti@gmail.com Ramavarappadu (PO)
VIJAYAWADA 521108
JANUARY 14, 2020
0866-2953298 / 9989318300
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ALL KERALA BANK RETIREES FORUM (AKBRF)
TC 42/2009, Befi Centre, Mele Thampanoor, Thiruvananthapuram 695001 Camp: BEFI Office, C I T U Bhavan, Kollam 691013
email : akbrf@gmail.com
President Suresh N General Secretary Suresh M Treasurer John D
9447477984 9447768157 9447021159 Kollam
The Chief Executive, 29.08.2020 Indian Banks Association, World Trade Centre Complex , Mumbai 400005
Dear Sir,
Sub:- Revision of Pension and Family Pension in Banking Industry.
Our letter dated 18/11/2019
Our Organisation had occasion to write to you here before, urging, inter alia, updation of Pension, and enhancement of family pension of retired bank men, which remains static ever since introduction of pension scheme in Banking Industry 27 years back, except perhaps, for employees of RBI and NABARD. Four Bipartite Settlements on wage revision including service conditions passed by, and the 5th namely, 11th Bipartite Settlement is nearing finality for which MOU has been signed between Indian Banks Association and all organizations of employees and officers except one, on 22 July 2020. Worryingly, demands of ex-employees do not figure in any of the lines therein.
Our last representation on 18th November 2019 carried detailed statistics collected by us from member banks of IBA including State Bank of India and Reserve Bank of India for the years 2016-17 and 2017-18, relating to Pension Fund, such as number of pensioners including family pensioners, balance outstanding in pension corpus account, total pension disbursed, interest earned by the corpus fund, remittance to the pension fund including 10% of the Basic Pay of the remaining employees covered under pension regulation as also statutory provision by banks after actuarial calculation of the account after auditing of balance sheets, each year, as stipulated under pension regulation and the number of employees as well as officers to be retired in the next 5 years.
The speaking empirical data furnished to us by the member banks themselves and an objective analysis thereof signifies in unmistakable terms that the available pension corpus is sufficient and more for revision of pension and family pension, as evidenced from RBI and NABARD. Notably, the pension regulations implemented in commercial banks in 1993 was identical to that of RBI, introduced in 1990. True, retired employees are laymen, but nothing prevents the custodians of data from undertaking an assessment, as offered on 25.05.2015 in the Record Note.
It is history that IBA had agreed on 25.05.2015 to have an actuarial study conducted soon, so as to ascertain the status and adequacy of pension corpus for implementing the demands raised by pensioners as well as UFBU. This is put in black and white in the Record Note annexed to Tenth Bipartite Settlement. We hope and trust, you will keep up your promise without further loss of time, since most of prospective beneficiaries are in their late 70s and 80s, or more.
The 2.4lakhs crores rupees of outstanding Pension Fund Balance as on 31/03/2018 will remain idle in the event of non revision of pension, as the industry is not having more covered employees to retire under this pension scheme.
This is evident from the figures afforded to us by the banks under the specific head, 'Future Retirement'.
In this connection we may be permitted to point out the following also.
Section 7 (a) has not been implement by the following banks among 13 public sector banks, who have provided all the details during the 2 years, 2016-17 and 2017-18. They have not remitted any amount to the pension fund especially, 10% of the Basic pay of salary in respect of employees who have opted pension. No Provision for the purpose is seen made in the Balance sheet.
1. Andra Bank
2. Bank of India
3. Corporation Bank
4. Uco Bank
5. Union Bank of India
6. Central Bank of India
2. The audit report in respect of U CO Bank Employees Pension Account for the years 2016-17 and 2017-18 reveals that the Employees Provident balance in respect of Pension Optees and such amount in respect of new optees during second option during 2010 are kept under Sundry Debtors Account and not even the interest transferred to Pension account, so far.
We quote from the relevant paragraph of the Audit report for the year 2017-18, as under :-
Quote
“(04) (b) In terms of the present scheme of providing Retirement benefits the “UCO Bank employees Provident Fund” was required – to transfer the accumulated balance relatable to the Bank’s contribution and interest accrued thereon (up to the date of transfer) in respect of employees option for the Pension Regulations (at the first instance on introduction of Pension
Regulation & thereafter again on being given a second opportunity to opt for the pension Regulations) – to the UCO Bank (Employees) Pension Fund.
The amount pending transfer from UCO Bank Employees Provident Fund in favour of the UCO Bank (Employees) Pension Fund as on 31.03.2018 appears under Sundry Debtors. Pending recovery of such dues – interest @ 8.75% (For April 2017 to March 2018) has been calculated on the outstanding amount & credited as income in Revenue A/c”
Unquote.
The Relevant para of the Audit report for the year 2016-17:
Quote
“……...The amount pending transfer from UCO Bank Employees Provident Fund in favour of the UCO Bank (Employees) Pension Fund as on 31.03.2017 appears under Sundry Debtors. Pending recovery of such dues – interest @9.00% (for April 16 to Sept 16) & 8.75% (for Oct 16 to March 17) has been calculated on the outstanding account and credited as income in Revenue A/c."
Unquote.
This is an alarming situation. We are not in a position to verify the situation of other banks.
We request IBA to arrange to investigate the Pension Fund of member banks, immediately.
3. In one of our earlier letters, we have pointed out that more than 1,01,000 employees and officers from Public Sector Banks opted the Voluntary Retirement Scheme (VRS) during 2001.
One of the prime attractions to the scheme was that they would get pension from the very next month that is from 01/04/2001, without considering Superannuation age of 60.
Liability of pension to such retirees up to the superannuation age, should have met by respective banks as part of the VRS scheme. But it was met from out of the pension fund itself.
The pension fund was drained in two ways.
a. Pension paid up to the age of Superannuation.
b. 10% of Basic Pay as Per Pension Regulation 7 (a) up to the age of Superannuation of the VRS optees.
As a matter of fact, this burden should have been shouldered by the respective bank itself as this was an incentive for getting more workers to accept the offer of the Bank /Government.
That erosion of fund in this regard should have been made good to the pension fund.
Further, we most humbly submit that pension revision is part and parcel of any wage revision. It is indispensable. Our understanding is that such a clause is not specifically entered in Central/ State Civil Pension Rules too. Moreover, there is no restrictive clause in our Pension regulation to that effect.
Nowhere is it on record that this pension regulation is for all times to come without any revision, till the end of the world.
Although there are many shortcomings noticed in handling Pension Fund by the member banks from the very inception of the pension scheme, as explained elsewhere, the present Pension Fund is very, very robust and comfortable, and as such, we, the senior citizens of our country make this fervent appeal to you to look in to the matter and arrange to revise Pension and Family pension of bank employees, along with 11th Bipartite Settlement, and oblige.
Yours faithfully,
M.Suresh
General Secretary.
9447768157
UNQUOTE:
https://drive.google.com/file/d/1g3T1GV1t10ViNrUOaGxcIQPdZUOmCWDx/view?usp=sharing