Click above link to read my old blog which elaboratemy enlightened on the subject long ago and which was brought to knowledge of all key persons including ministers.
RE : EMBEZZLEMENT OF FUNDS IN THE EMPLOYEES PENSION CORPUS - THE
LIFE-TIME SAVINGS OF THE THE BANK EMPLOYEES ARE IN DANGER -
REQUEST TO ORDER FOR "CAG" AUDIT - "SOS"
Srinivasa Murti Devulapalli <devulapallimurti@gmail.com> 17 August 2018 at 20:15
To: justice.dipakmisra@indianjudiciary.gov.in
Cc: presidentofindia@rb.nic.in, vpindia@nic.in, Admin@narendramodi.in, pmindia@gov.in, office@arunjaitley.com, cagoffice@cag.gov.in, governor@rbi.org.in, supremecourt@nic.in, justice.ranjangogoi@indianjudiciary.gov.in, justice.madanbhimaraolokur@indianjudiciary.gov.in, justice.kurianjoseph@indianjudiciary.gov.in, justice.arjankumarsikri@indiajudiciary.gov.in, justice.sharadarvindbobde@indiajudiciary.gov.in, justice.nvramana@indiajudiciary.gov.in, justice.arunmishra@indianjudiciary.gov.in, justice.rfnariman@indianjudiciary.gov.in, justice.abhaymanoharsapre@indianjudiciary.gov.in, justice.rbanumathi@indianjudiciary.gov.in, justice.udayumeshlalit@indianjudiciary.gov.in, justice.amkhanwilkar@indianjudiciary.gov.in, justice.dychandrachud@indianjudiciary.gov.in, justice.ashokbhushan@indianjudiciary.gov.in, justice.lnageswararao@indianjudiciary.gov.in,
justice.sanjaykishankaul@indianjudiciary.gov.in, justice.mohanmshantanagoudar@indianjudiciary.gov.in, justice.sabdulnazeer@indianjudiciary.gov.in, justice.navinsinha@indianjudiciary.gov.in, justice.deepakgupta@indianjudiciary.gov.in, justice.indumalhotra@indianjudiciary.gov.in, justice.indirabanerjee@indianjudiciary.gov.in, justice.vineetsaran@indianjudiciary.gov.in, justice.kmjoseph@indianjudiciary.gov.in
HARD COPY BY SPEED POST CJ:SC: EN501194859IN/IVR6978501194859/17.08.2018
RP: EN501194862IN/IVR6978501194862/17.08.2018 TO: PM: EN5011948761IN/IVR6978501194876/17.08.2018
Hon'ble Mr. Justice Dipak Misra,
The Chief Justice of India,
Supreme Court ,
Tilak Marg, NEW DELHI 110 201
Your Lordship,
RE : EMBEZZLEMENT OF FUNDS IN THE EMPLOYEES PENSION CORPUS - THE LIFETIME SAVINGS OF THE THE BANK EMPLOYEES ARE IN DANGER - REQUEST TO
ORDER FOR "CAG" AUDIT - "SOS"
-------------
I solicit your kind gesture to extend your helping hand for the safety of the Bank Retirees Pension Trust Corpus made out of our contributions every month from our salaries during the long tenure of our service in the Banks.
PREAMBLE:
In furtherance of the settlement (signed under the ID Act) dated 29th. Oct.1993 between the Bank Managements represented by “IBA” and the Unions repre- senting the employees – “PENSION REGULATIONS OF 1995” were adopted by all the Banks . These regulations were formulated on similar lines to the one prevailing in the Reserve Bank of India. A specific mention was also made in these regulations itself.
Your Lordship ! thus, these regulations form part and parcel of the settlement signed under the Industrial Disputes Act – A Statutory Provision. The parties to the above settlement have no authority, whatsoever, to alter/modify the terms/provisions of the settlement already incorporated as above, subsequent-tly at a later date.
Contrary to the above, “IBA” went on issuing its administrative guidelines subsequently to its member banks over ruling the provisions of the settlement much detrimental to the interests of the pensioners, who are the ultimate bene- ficieries of the Pension Trust.
100% DA Neutralisation and Family Pension were long back resolved by RBI in 2008 and 2013 respectively. In fact, RBI revised the family pension from 15% to 30% of last drawn pay without any sealing. But the same is not made available to the retirees of the Banks. This discrimination is contrary to the provisions of the pension scheme adopted in the Banking Industry. A glaring discrimination indeed !
I wish to bring to the notice of Your Lordship, that ours is a fund based pension scheme with the employees contribution (towards PF) from out of their salaries every month is paid on superannuation.
And where as the matching contributions from the employers (as forfeited by the employees for pension corpus ), is credited towards the Pension Fund , which is supposed to be invested in the approved Government Securities to make it selfsufficient for smooth servicing of the scheme as envisaged by the settlement signed under the ID Act.
THEN -WHY NEED A CAG AUDIT ?
Pension trust corpus funds must be invested only in the "approved Government Securities" as per the terms of the Pension Regulations as approved by the Parliamentthe Highest Law making body of the country.
Contrary to the above statutory position, our Pension corpus funds have been diverted by the Trust Boards of the Banks, to "Private Investments" much detrimental to the interests of the innocent retirees like us. It's nothing but AN ACT OF "BREACH OF TRUST" ON THE PART OF THE TRUST BOARDS OF THE BANKS.
We have been deprived of our legitimate financial relieves as envisaged in the Pension
Regulations- by the Bank Managements represented by the IBA (Indian Banks
Association) and also by the Bank Unions represented by the United Forum of Bank Unions (UFBU) as well - ultimately forcing us to knock the doors of justice to mitigate our hardships.
To add salt to the injury, our hard earned pension corpus which have been contributed from out of our monthly salaries for over several years, has been subjected to gross mismanagement by the so called "Trustees" to which we have no access (no representation from the retirees) despite being the sole beneficiaries of the Pension Trust- VIZ:
AREAS OF MISAPPROPRIATION:
- By not remitting the managements contribution towards the pension corpus promptlyas envisaged in the regulations.
- By Diverting the Pension Corpus funds to Private investments - Loss of interest for the belated period is not compensated.
- Misappropriation of the Corpus Funds to cover up the Banks' losses (Windowdressing)
In short, the above tantamount to "Embezzlement of Funds " - A criminal Offence. If the same were to be indulged by any erring employee in a stray incidence, He/She would have been dismissed from the service mercilessly as per the service conditions.
This is besides prosecuting him/her under the IPC for "CRIMINAL BREACH OF TRUST" - EVEN FOR A PALTRY AMOUNT OF INVOLVEMENT FOR THAT MATTER.
On the same logic, all the members of the Pension Trust Board/s are also punishable without any exception.
Notwithstanding the above, The following latest episode alone, by itself, substantiates my above statements beyond any doubt and stand as an effective testimony with an ocular proof:
In his recent circular No.28/34/2017/34 dated 24th. September, 2017, the General Secretary of All India Bank Employees Association himself, had cautioned all their nation-wide constituents in all the banks highlighting the following episode-viz: (Points in brief)
-The Pension Fund of a Bank was invested in a private company in the form of Non-Convertible Secured Debenture - (NCD).
- The same private company was also given huge loans ( around Rs.14,000/-Crores) by that Bank and other banks. In other words, the company which was favoured with such a huge loan was also favoured with the above investment (NCD) from the Employees Pension Fund.
- This account has become NPA and is one among the 12 major accounts before theNational Company Law Tribunal. Obviously, the investment in the Debenture Bond also became a dead investment and NPA.
Consequently, Bank Pension Fund, being a creditor/investor in the NCD bonds has also been advised by the authorities to file its claim with the company which is about to be/already declared insolvent.
Under the circumstances, NEITHER the banks would realise their dues NOR the Pension Fund would get back their investment in the NCD bonds - leave alone the returns part of it."
-All India Bank Retirees Federation (AIBRF) in its charter of demands (Ref:2017/67 dtd. 15 06 2017 reiterated its stance for "CAG" Audit of the Pension Trust Corpus in all the banks (enclosed Annexure- A )
https://drive.google.com/file/d/1U7m-Eh2HZLPdW01r235tYCr9ewek2AUo/view?usp=sharing
-Recent episode of Punjab National Bank where huge funds from the Pension Corpus diverted for wiping of the losses in the bank's balance sheet (Window dressing) vide letter dated 14th. Sept. 2017 addressed to the RBI Governor (copy enclosed- Annexure:- B )
https://drive.google.com/file/d/17eHiWVLD7kfFz5CrcDJsw-mvzWvCQJTH/view?usp=sharing
- One more recent episode of Oriental Bank of Commerce - as already reported by one of our co-retirees vide his letter dtd. 23.12.16, 14.6.17 and 28.08.2017 addressed to the RBI Governor with ocular evidences ( Annexure:C .)
https://drive.google.com/file/d/1Y6-yh2h2mB-kJR3EarzeiKbWa0Qt4FEB/view
- And Finally, the above referred to circular (internal communication) ref.No.28/34/2017/34 dated 24 09 2017 reportedly addressed to its nation-wide constituents in various banks, by the General Secretary of All India Bank Employees Association (AIBEA) made a specific reference to an incident to prove my above apprehensions beyond any doubt.
No meaningful response have been forthcoming from the authorities concerned to my various letters supported by documentary evidences from time to time.
Yours Lordship ! Can their long silence be construed as their "Tacit Consent" of my above apprehensions ?
In every Bank's Board, Nominees from the Government and RBI play very important roles. In fact, they head the "Audit Committees" constituted bythe respective Bank's boards. In fact, it's the most important assignment given to these nominee directors. Can any body believe that they are not aware of these happenings? What is their accountability? ... For that matter even the statutory auditors appointed every year by the RBI
My followup letter dated 2nd December, 2017 addressed to the RBI Governor throws sufficient light as to the gravity of the "mismanagement in the Employees Pension Corpus Funds (copy enclosed as : Annexure-D)
https://drive.google.com/file/d/13MXfcZ-CUdYfOvYBIPW34vIkAtxfZL7b/view
Besides, I have been bringing these facts to the notice of the concerned authorities in the Government from time to time - the latest one being , that of my letter dated8th December, 2017 as detailed out in the attached file annexed to this mail. (copy enclosed as : Annexure-E)
https://drive.google.com/file/d/1tYT3IBsNh_dgvHmq3g2RcjicoERgGHpH/view
Your Lordship ! Our Basic pension has been static ever since we retired from the service - say around 20 years ago. The plight of our family pensioners is still worse. We have not been protected against the mounting inflation till date -- ever since the day we retired from the service 20 years ago.
But, the salaries of the serving employees have been revised five times during these 20 years !
Further, our pension corpus is a "sinking fund" as it covers only the employees who are going to retire upto 31 03 2010 alone. (The rest of all, who joined the service subsequently- w.e.f 01 04 2010, are covered under the National Pension Scheme (NPS) introduced in the Banking Sector. )
As such, our pension corpus will last for another 30-40 years only. As of now, the aggregate balance in the pension corpus would be nearing Rs.2.00 lakh crores! which constitutes the forfeiture portion of the employees' contribution while in service (in lieu of PF as explained above)
There is no clear and specific guidelines from the R.B.I./Finance Ministry about Management and utilisation of this fund . Therefore, the Bank authorities are taking unilateral decision of using this fund and in many cases this fund is invested in speculative and un remunerative investments by the Banks authorities resulting considerable shrinkage of this fund.
As the beneficiaries of the Pension Trust, we have been deprived of our legitimate compensation against the mounting inflation. As a consequence, the remaining huge surplus would be left with the banks themselves without any proper utilization as envisaged under the Pension Regulations in force.
Ultimately, the huge left-over surplus belonging to us, would remain with the Banks/Govt. for ever. By that time, many of the retirees would have left for their "Heavenly Abode" without enjoying their hard-earned life-time savings.
Thus, It looks to me as though "THE GOVERNMENT WANTS TO FILL ITS COFFERS WITH OUR COFFINS !"
In the wake of the gravity of seriousness, Only a thorough investigation on the above lines by an accredited Constitutional Authority like "CAG" alone will be able to bring out the truth to the surface with full facts and figures to render justice to the Job.
Your Lordship ! It's nothing but "stabbing us from behind the back" for the simple reason that we, the retirees are not represented on the Pension Trust Boards.
During our crusade for justice many of our colleagues have already attained their "Heavenly Abode" and we still remain waiting for our turn to meet them with "one foot in the grave".
Your Lordship ! If this way, the banks resort to cheat their own retired employees, then what would be the fate of the Banking Public in general ? It's indeed a "litmus test" to the Government to prove its credibility to infuse confidence in the minds of the vast banking public.
Your Lordship ! This appeal of mine also assumes lot of importance in the current scenario when the Government contemplates to bring about major reforms in the Banking Industry .
MY PRAYER:
Having exhausted all my concerted/strenuous efforts, As a last resort, I am now approaching Your Lordships, with an earnest request to take my above submissions on record (sumoto) EXCLUSIVELY FOR A LIMITED PURPOSE -
Ie. only to cause "CAG AUDIT" of the Employees Pension Corpus in all the Banks - only in the sole interest of justice and fair play. "SOS" !
Regards & I remain,
Your faithfully,
Sd./(D S Murti)
August 17, 2018 Vijayawada 521108 Encls: as above.
Copy to:-
His Excellency President of India, Rashtrapathi Bhaven, New Delhi 110 011
His Excellency, Vice President of India, 6, Maulana Azad Road,New Delhi - 110 011
Sri Narendra modi, Hon’ble Prime Minister of India, 7 Race Course Road, New Delhi
&@ PMO, South Block, Raisina Hill, NEW DELHI 110 011
The Hon’ble Finance Minister, DFS, MOF, New Delhi 110 011
The Comptroller & Adtr. Genl. of India, Pocket-9, Deen Dayal Upadhyaya Marg, New Delhi 110 124
__________________________________________________________________________________________ __________________________________________________________________________________________ ________________
D S Murti; (Manager-Retd. Syndicate Bank); #3-23, GF:1 “Ragamalika Residency” , Plot#37 Sri Rama co.op Housing
Society Layout, Near Chinmaya Dhyana Mandiram, Ramavarappadu (PO) VIJAYAWADA-521108 (Andhra Pradesh) 0866-2843298; 9989318300 devulapallimurti@gmail.com
Fraud and Manipulation Is Deep Rooted Culture in All Banks
From salaries revision in BPS 10every employees contributed more than one lac to the corpus and looted when do work in banks Justice to our pensioners be given with costs
ReplyDeleteI have commented many many times about the same fraud committed with bankers Our old age pensioners are dying without financial or medical facilities form this fund
ReplyDeleteI have commented many many times about the same fraud committed with bankers Our old age pensioners are dying without financial or medical facilities form this fund
ReplyDelete