CHAPTER 290
LOCAL GOVERNMENT FINANCES ACT

[SUBSIDIARY LEGISLATION]

INDEX TO SUBSIDIARY LEGISLATION

   REGULATIONS

      The Local Authorities Provident Fund (Deposits and Withdrawals) Regulations

      The Local Government Financial (Block Grants) Regulations

   RULES

      The Local Government (Rating) Rules

REGULATIONS

THE LOCAL AUTHORITIES PROVIDENT FUND (DEPOSITS AND WITHDRAWALS) REGULATIONS

TABLE OF CONTENTS

   Regulation

Title

   1.   Citation.

   2.   Interpretation.

   3.   Depositors.

   4.   Bonus.

   5.   Rate of interest.

   6.   Opening of accounts.

   7.   Withdrawal and repayment of deposits.

   8.   Termination on dismissal for misconduct.

   9.   Borrowing.

   10.   Penalty.

   11.   Amounts outstanding.

   12.   Repeals.

SCHEDULES

THE LOCAL AUTHORITIES PROVIDENT FUND (DEPOSITS AND WITHDRAWALS) REGULATIONS

G.N. No. 318 of 1989

1.   Citation

   These Regulations may be cited as the Local Authorities Provident Fund (Deposits and Withdrawals) Regulations, and shall be deemed to have been made in compliance with the provisions of regulation 19(1) of the Local Authorities Provident Fund (Central Board of Management and General Provisions) Regulations *.

2.   Interpretation

   In these regulations unless the context otherwise requires–

   "the Act" means the Local Government Service Act *;

   "Board" means the Local Authorities Provident Fund Central Board of Management;

   "bonus" means a sum credited to an individual depositors' account and not contributed by the depositor or accrued by way of interest;

   "contributing authority" means a Local Government Authority, the Local Government Service Commission and the Local Government Loans Board which elects to contribute to the Fund;

   "depositor" means a person in receipt of a salary or wages from the funds or a contributing authority who is required or permitted to become a depositor in the Fund;

   "Minister" means the Minister responsible for local government.

3.   Depositors

   (1) Every depositor shall contribute ten per centum of his monthly salary to the Fund which shall be deducted from the employees salary by the contributing authority.

   (2) Contributing Authorities shall remit to the Board within thirty days after the end of each calendar month a sum equivalent to the total deposits which ought to be contributed by its employee in respect of that month together with a statement showing details of all individual deposits and the basis upon which they were calculated.

4.   Bonus

   (1) Within thirty days after the end of every month each contributing authority shall forward to the Board a sum to be known as bonus which shall be equal to the total amount paid in as deposits by each of its depositors during the previous month and a sum equal to the amounts so paid shall be forthwith placed by the Board to the credit of the individual depositors.

   (2) In the case of any account being closed in any month, bonus calculated on the same basis up to the end of the month previous to that shall be paid:

   Provided that the Board may by a resolution vary the amount of bonus payable by contributing authorities.

5.   Rate of interest

   (1) There shall be payable in respect of each depositor accumulated contributions and bonus an interest of ten per centum per year provided that the Board may by a resolution vary the interest rate payable.

   (2) Interest shall be credited to each depositors' account at 30th June in each year on balance brought forward at the beginning of each year.

   (3) For the purposes of calculating interest both deposits and bonuses shall be deemed to have been credited to a depositors' account on the last day of the month in respect of which they are paid.

6.   Opening of accounts

   (1) The Board shall on receipt of contributions cause to be kept a list of all depositors and shall open and maintain a separate account for each depositor which shall contain the following information and as more particularly shown in the First Schedule to these Regulations–

   (a)   full names of depositor;

   (b)   membership account number;

   (c)   title or post;

   (d)   salary check number;

   (e)   monthly salary; and

   (f)   date contributor started contributing to the Fund.

   (2) Within three months after the end of every financial year each contributing authority shall be informed of the amount standing to the credit of its employees in the Fund, and the contributing authority shall within one month notify its employees accordingly.

   (3) Any depositor shall on application being made by him be entitled to be informed of the amount standing to his credit in the Fund at the end of the month preceding that in which the application is made.

   (4) The Board shall be notified of any transfer of contributor from the contributing authority to another.

7.   Withdrawal and repayment of deposits

   (1) In this section the words "retirement", "termination", "dismissal" and "misconduct" shall have the meaning attached to them in the Local Government Service Staff Regulations, 1983.

   (2) The total amount standing to the credit of the depositor shall be paid to him or his heirs–

   (a)   on his retirement on reaching the prescribed retirement age;

   (b)   on his termination of service after not less than fifteen years of local government service;

   (c)   on termination of appointment on medical grounds, abolition of office or for any other cause other than dismissal for misconduct;

   (d)   on his death:

   Provided that the total amount standing to the credit of a female contributor shall be paid to her on termination of appointment for reason that she has married or is about to marry, notwithstanding that she is not eligible for payment under this section.

   (3) Any death, retirement or termination of appointment shall be notified by the contributing authority to the Board within fifteen days and the notification shall be in the form contained in the Second Schedule.

8.   Termination on dismissal for misconduct

   (1) On dismissal for misconduct or resignation without the permission of the authority before the completion of fifteen years of service a depositor shall be paid an amount equal to the total deposits made by him together with interest accrued thereon.

   (2) The contributing authority may on such dismissal or resignation recommend to the Board whether the whole or part of the amount credited to this account as bonus including interest shall be paid or withheld and the Board shall at its discretion pay or withhold such bonus and interest.

   (3) Any such dismissal or resignation and action taken thereon by the contributing authority shall be notified to the Board within one month.

9.   Borrowing

   Subject to such written directions and conditions as may be issued by the Board, a depositor who has been a contributor to the Fund may be allowed to borrow from the Fund an amount not exceeding fifty per centum of his own contributions.

10.   Penalty

   (1) Where a contributing Authority fails to remit depositors contributions and bonus within thirty days from the date they become due, the contributing authority shall become liable to the payment of a penalty being five per centum of the contributions which have been delayed.

   (2) In addition of a penalty, the Board may in cases where the contributing authority is in default report such an authority to the Minister who may direct the contributing authorities to fulfil their obligations to the Fund.

11.   Amounts outstanding

   (1) Where the amount outstanding to the credit of a depositor at the date of the closing of his account by reason of his death, resignation or dismissal, or for any other cause remain unclaimed for a period of three years from such date, the whole amount will be placed to the credit of the Fund.

   (2) Notwithstanding the provision of subregulation (1), the Minister may for good cause, on application by a depositor or his heir, order that a depositor be paid from the Fund an amount equal to that standing to his credit on closure of his account under that subregulation plus interest.

12.   Repeals

    The following regulations are hereby repealed:

   (a)   The Provident Fund (Local Authorities) Regulations *; and

   (b)   all other regulations made under the former Local Government Employees Provident Fund Ordinance * which are inconsistent with the provisions of these Regulations.

FIRST SCHEDULE
OPENING OF ACCOUNTS

Monthly Contributions

Cheque number

LAPF Number

Name of Depositor

Title Post

Monthly Salary

Deposits D/F

Bonus

Jul

Aug

Sep

Oct

Nov

Dec

Interest

Jan

Feb

March

Apr

May

June

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