Recovery out of Death Benefits..!!
Kumar V
(Querist) 05 March 2010
This query is : Resolved
Can a department(PUNJAB GOVT.) at the time of making payments(like gratuity/Ex-Gracia/PF/Leave Encashment and other payments) to the family of deceased can recover any outstanding payment pending against the deceased employee.... the dept. has marked a recovery mentioning that "some wrong increments were imposed in the salary of deceased in the year 1990, henceforth all increments imposed after 1990 were miscalculated" and so the recovery of same is pending(approx. Rs 1 Lac).....one installment(Rs3000/-) against the recovery was deducted in last salary drawn by the deceased employee... Kindly guide.
R.R. KRISHNAA
(Expert) 05 March 2010
Certainly it can be recovered. Wrongly credited amounts or payments can be recovered at any stage.
B K Raghavendra Rao
(Expert) 05 March 2010
Recovery cannot be made from the PF Account. The government cannot recover wrong debits from the arrears of a deceased employee that too after a lapse of twenty years. First it has to be established that excess payment has been made after sanctioning an increment wrongly. It cannot be one sided, the employee should have been issued a show cause notice for recovery and then if his answer is not satisfactory, it could have recovered the amount. But, now it is time barred. Employee is no more. Therefore, legal heirs can fight the case successfully.
Kumar V
(Querist) 05 March 2010
Raghav Ji ...thnx for ur revert...as per the dept., they confirmed pertaining to that recovery to the deceased 2 months prior to his demise... and first installment around (Rs3000/-) was also deducted from his last salary drawn from the dept...
Kindly suggest
