Receipt of Salary by Cash on optional basis

No. 2-1/2007-08/PA (Tech-I) D-813-897

GOVERNMENT OF INDIA

MINISTRY OF COMMUNICATION & IT

DEPARTMENT OF POSTS

PA WING: TECH-I BRANCH

DAK BHAVAN: SANSAD MARG

NEW DELHI-110001

Dated:11-12-2014

OFFICE MEMORANDUM

In continuation of this Directorate O.M. of even No. D-482-558 dated 11.07.2007 wherein clarificatory Orders for disbursement of salary to the staff through POSB Accounts were issued and further O.M. of even No.D-255-326 dated 14.05.2009 wherein decision of Director General (Posts) for disbursement of Pay and Allowances to all employees of Department of Posts through cheque and/or through direct credit to the Salary/Savings Accounts of the employees concerned was conveyed for implementation in letter and spirit.

2. Further, another O.M. of even No. D-473-524 dated 03.10.2012 was issued, wherein decision of DG (Posts) was conveyed that payments of Salary and other personal payments including Retirement/Terminal benefits to all employees of Department of Posts mandatorily be made through Bank including POSB electronically by issuing payment advices with immediate effect. However, in special and exceptional cases, payment of Pay and Allowances including other personal payments to the employees can be made through cheque only with the prior approval of Head of Office/Divisional Head/Head of Postal Accounts office.

3. The case has been carefully re-examined in the light of provisions contained in Ministry of Finance, Gazette Notification dated 30.03.2012 and Department of Expenditure, Controller General of Accounts OM. F. No. 1(1 )/20ll/TA/292 &303 dated 31.03.2012 & 11.04.2012 and it has been decided by DG (Posts), that hence forth, all Government Servants of Department of Posts are permitted to receive their Salary by direct credit to their Bank Accounts or in Cash or by Cheque, at their ‘option’ and payments other than Salary like HBA above Rs. 25000/- and all payments towards settlement of Retirement/Terminal benefits such as Gratuity, Commuted value of Pension, Encashment of Leave Salary, CGEGIS, withdrawal from General Provident fund, etc. by issue of payment advices, including electronically signed payment advices, Cheque / POSB Account or Bank Account.

4. All concerned are requested to issue suitable instructions to all Drawing and Disbursing Authorities working under their administrative jurisdiction for strict compliance.

5. The receipt of this OM may kindly be acknowledged to Sh. Naresh Kumar, Asstt. Chief Accounts Officer (PEA), Room No. 412, Dak Bhavan, New Delhi – 110001