HBA Recovery of Interest Instructions Issued

TAMIL NADU GENERATION AND DISTRIBUTION CORPORATION LIMITED

Secretariat Branch,

 144, Anna Salai,

    Chennai – 2.

Memo. No.11615/A7/A71/2016-2,  dated  04.04.2016.

     Sub : Loans and Advances – House Building Advance –         Recovery of interest – Instructions – Issued –  Reiterated.

       Ref   : i) (Per) B.P.Ms.(FB) No.61 (SB) dated 15.07.1986.

              ii) Bd’s Memo.No.23582/E-2/86-7 (SB) dated 23.08.1986.

             iii) Bd’s Memo (Per)No.27547/A7/A72/2003-1, dated 28.11.2003.

               iv) Bd’s Memo (Per) No.118590/A7/A72/2003-1, dated 23.2.2004.

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          As per Rule 8 of Tamil Nadu Electricity Board House Building Advance Rules, the advance granted to a Board employee, together with interest thereon, shall be repaid in full by monthly instalments within a period not exceeding twenty years. If a Board employee dies before repayment of the advance in full, the entire outstanding amount of the advance together with the interest thereon shall become payable to Tamil Nadu Electricity Board forthwith. Failure on the part of successors of the deceased Board employee to repay the advance, for any reason what so ever, will entitle to the Board to enforce the mortgage and take such other action to effect recovery of the outstanding amount.       

2. In the reference first cited, the scheme namely, Special Family Benefit Fund Scheme, to waive the outstanding advance and interest towards House Building Advance, in the event of death of an employee before repayment was introduced in the Board. The said scheme was introduced with effect from 01.04.1986 to ensure the family of the loanee to receive the Death Cum Retirement Gratuity and other benefits without adjustment towards outstanding House Building Advance.

3. Instances, has been brought to the notice that sanction towards House Building Advance is being accorded by the sanctioning authorities for recovery of advance and interest together. The said act is not in order. The sanctioning authorities are instructed to adhere with the instructions issued in the reference second cited for recovery of advance and interest thereon separately, while according sanction to the officials who are having more than twenty years of service, in accordance with the instructions issued in the reference third cited.

4. For according sanction in respect of officials who are having less than twenty years of service, the sanctioning authorities are requested to adhere with the instructions issued in the reference fourth cited, and to ensure the recovery of advance and interest separately, during the service period itself of the said officials. Further, the sanctioning authorities are also instructed to ensure that no outstanding dues towards the interest on House Building Advance in respect of the aforesaid categories of officials, are not made adjusted in the Death Cum Retirement Gratuity payable to them.   

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 5. The above instructions should be scrupulously followed. Receipt of this memo should be acknowledged.

 R. BALAJI,

SECRETARY.

To

All Chief Engineers.

Chief Financial Controllers/TANGEDCO/TANTRANSCO.

All Superintending Engineers.

Chief Internal Audit Officer/Audit Branch.

All Deputy Secretary/Secretariat Branch.

Copy to:-

Chairman cum Managing Directors Table.

All Branches.

All Officers/Sections in Secretariat Branch.

Assistant Personal Officer/Tamil Development.

for publication in Tangedco Bulletin (2 Copies). 

Inspection Team/TANGEDCO/TANTRANSCO,

Secretariat Branch/Chennai. 

//TRUE COPY//FORWARDED//BY ORDER//

SECTION OFFICER.