UNIVERSITIES PROVIDENT FUND | ||||
| 89. | In this Part of this Act - | Interpretation of this Part of this Act. | ||
| “age of retirement” in relation to a contributor - | ||||
| (a) | who is the holder of a post of teacher in a Higher Educational Institution, means sixty-five years; and | |||
| (b) | who is the holder of any other post in a Higher Educational Institution or a member of the staff of the Commission, means the age at which he ceases to be in the employment of such Higher Educational Institution or the Commission, as the case may be; | |||
| “contributor” means any member of the staff of the Commission or of a Higher Educational Institution or of an Institute who is a contributor to the provident fund; | [S 89, 7 of 1985] | |||
| “earnings” means earnings as defined in the Employees’ Provident Fund Act, No. 15 of 1958; | ||||
| (a) | the Commission means the Fund of the Commission established under section 10 of this Act; and | |||
| (b) | a Higher Educational Institution means the University Fund established under section 99 of this Act; | |||
| “provident fund” means the provident fund established by the Commission under this Part of this Act; | ||||
| “salary” means the emoluments of the substantive post or appointment held by any contributor and includes any such allowances as may by Ordinance be declared to constitute part of his salary; and | ||||
| “teacher” shall be deemed to include Librarian, Deputy Librarian, Senior Assistant Librarian and Assistant Librarian. | [S 89, 7 of 1985] | |||
| 90. | The Commission shall establish a fund which shall be called and known as the Universities Provident Fund. | Establishment of the Universities Provident Fund. | ||
| 91. | Ordinances may be made by the Commission for the regulation, administration and management of the provident fund and for all matters incidental to or connected with such fund, for which no express provision is made in this Act, and such Ordinances shall conform to the requirements of the Employees’ Provident Fund Act, No. 15 of 1958. | Regulation of the provident fund. | ||
| 92. | (1) | Every member of the staff of the Commission or a Higher Educational Institution, except in such cases as may be prescribed by Ordinance, shall, from the date of his employment on such staff, contribute to the provident fund by means of equal monthly deductions from his salary, an amount equal to ten per centum of his earnings; and the Commission or the Higher Educational Institution shall, in addition, out of its Fund, at the same time contribute to the provident fund in respect of every contributor, a sum equal to fifteen per centum of the earnings of that contributor, or such other sum as the Minister may, in consultation with the Minister in charge of the subject of Finance, determine. | Contributions to the Provident Fund. | |
| (2) | The Secretary of the Commission shall open and keep a general account for the provident fund and a separate account in respect of each contributor to that provident fund. All contributions made by a contributor to the provident fund and all contributions made by the Commission or the Higher Educational Institution to the provident fund in respect of that contributor shall be placed to the credit of a separate account of that contributor in the provident fund. | |||
| (3) | The amount lying to the credit of the account of a contributor shall, subject to the provisions of any Ordinance made in that behalf, accumulate at compound interest at a rate to be fixed by the Minister in consultation with the Minister in charge of the subject of Finance until the day on which that contributor ceases to be in the employment of the Commission or the Higher Educational Institution and the account of that contributor shall be closed on that date. | |||
| 93. | (1) | When the account of any contributor is closed as provided in section 92(3), the Secretary of the Commission shall, subject to the provisions of section 94, pay to that contributor the full amount lying to the credit of his account in the provident fund, together with the accumulated interest thereon. | Payment out of the provident fund. | |
| (2) | Where a contributor, before he has completed his age of retirement, ceases to be employed by the Commission or a Higher Educational Institution either on account of ill health or incapacity or on account of the abolition of the post in which he is employed, or voluntarily leaves the service of such Commission or Higher Educational Institution, the Secretary of the Commission shall, subject to the provisions of section 94, pay to that contributor the full amount lying to the credit of his account in the provident fund together with the accumulated interest thereon at the date on which he ceased to be so employed, or on the date on which he voluntarily left the service of such Commission or Higher Educational Institution, as the case may be. | |||
| (2A) | (a) | A Contributor may nominate a person (hereinafter in this section referred to as “a nominee”) to whom the moneys lying to the credit of the contributor’s account in the provident fund shall be paid upon the death of such contributor. | [Inserted a new subsection as S 93(2A), 1 of 1995] | |
| (b) | A nomination made under paragraph (a) shall have effect notwithstanding anything to the contrary in the last will of the nominator. | |||
| (c) | A nomination made under paragraph (a) shall be deemed to be revoked, by the death of the nominee in the life time of the nominator or by written notice of revocation signed by the nominator in the presence of a witness, who shall attest the signature of the nominator or by any subsequent nomination made by the nominator. | |||
| (d) | No moneys lying to the credit of the account of a contributor in the provident fund shall be paid to any nominee of such contributor, unless the nominee satisfies the Secretary of the Commission as to his identity. | |||
| (e) | The handing over of any moneys lying to the credit of the account of a contributor in the provident fund to the nominee of such contributor upon the death of such contributor, shall be a complete discharge of the obligations of the Commission in respect of such moneys. | |||
| (3) | Where a contributor, before he has completed his age of retirement, is dismissed or compulsorily retired from the service of the Commission or a Higher Educational Institution, the Secretary of the Commission shall, subject to the provisions of section 94, pay to the contributor the full amount lying to the credit of his account in the provident fund, together with the accumulated interest thereon, up to the date of his dismissal or compulsory retirement, as the case may be. | |||
| (4) | Where a contributor dies while in the service of the Commission or a Higher Educational Institution, the Secretary of the Commission shall, subject to the provisions of section 94, pay the full amount lying to the credit of his account in the provident fund, together with the accumulated interest thereon, to the nominee or nominees nominated under subsection (2A) or in the absence of a valid nomination, to the person or persons lawfully entitled to such amount. | [S 93(4), 1 of 1995] | ||
| 94. | Notwithstanding anything in the preceding provisions of this Part and without prejudice to any other right or remedy - | Deductions prior to payment from the provident fund. [S 94, 7 of 1985] | ||
| (a) | the quantum of any loss or damage sustained by the Commission or a Higher Educational Institution, by reason of the dishonesty or negligence of a contributor at any time during the period of his employment by such Commission or Higher Educational Institution; | |||
| (b) | payments due on any loan taken by the contributor from the Commission or a Higher Educational Institution or the Government, as the case may be; and | |||
| (c) | the dues under any bond, agreement or other instrument executed by the contributor under the provisions of which he agrees that such dues shall be a charge on the amount lying to his credit in the provident fund, | |||
| shall be a first charge upon the amount lying to the credit of the account of that contributor in the provident fund, and such quantum, payments and dues may be deducted at the time when any payment is made in accordance with the provisions of section 93. | ||||
| 95. | Notwithstanding anything in the preceding provisions of this Part and without prejudice to any other right or remedy, where the full amount lying to the credit of a contributor in the provident fund is not paid to him within a period of three months from the date on which his account was closed, the amount lying to his credit shall accumulate compound interest at such rate as determined for the purpose of section 92(3) up to the last day of the month preceding that in which the full amount lying to the credit of his account is paid: | Unpaid provident fund to accumulate compound interest in certain cases. | ||
| Provided that such interest shall not be paid in cases where the delay in the payment of such amount to such contributor was due to any fault of the contributor. | ||||
| 96. | Notwithstanding anything in any written law other than this Act, the moneys lying to the credit of a contributor in the provident fund shall not at any time be attached, sequestered or seized in execution of the decree or process of any court. | Certain assets of contributor exempt from seizure in execution. | ||
| 97. | The Minister may, in consultation with the Minister in charge of the subject of Finance, establish a pension scheme and a widows’ and orphans’ pension fund as an alternative, or in addition, to the provident fund established by the Commission under this Part. Ordinances may be made by the Commission for the regulation, administration and management of such pension scheme and such widows’ and orphans’ pension fund. | Establishment of pension scheme and widows’ and orphans’ pension fund. | ||
| 97A. | The provisions of the Employees’ Trust Fund Act, No. 46 of 1980, shall not apply to the Commission or to any Higher Educational Institution. | Exemption from application of Employees’ Trust Fund Act. [Inserted a new section as S 97A, 7 of 1985] | ||
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Universities Act Universities Act, No. 16 of 1978
Universities Act Universities Act, No. 16 of 1978
Wednesday, 24 April 2024
