BENAZIR INCOME SUPPORT PROGRAME CONTRIBUTORY PROVIDENT FUND

AND GRATUITY REGULATION, 2018.

Dated: ________________

No.__________________ In exercise of the powers conferred by Section 6 of the

Benazir Income Support Programme Act, 2010 (XVIII of 2010), the Board is pleased to make
the following Regulation, namely;

Chapter-1

(Preliminary)

1. Short title, application and commencement:-

(1) These Regulations may be called “ the Benazir Income Support Program
(Contributory Provident Fund and Gratuity) Regulation, 2018”.

(2) Except as otherwise provided by the Act, these shall apply to all persons in the
service of the Organization and all offices under its administrative control.

(3) These regulations shall come into force at once.

2. Definitions.---

(1) In these Regulations, unless there is anything repugnant to the subject or context:

(i) “Act” means the Benazir Income Support Programme Act,2010

(XVIII of 2010),

(ii) “Employee” means the regular employee of the BISP contributing to

the Contributory Provident Fund;

(iii) “Family” means the Member’s spouse, legitimate children, step

children, parents, sisters and brothers who reside with and are wholly
dependent on the member.

(iv) “Funds” means the Contributory Provident Funds of the BISP, ursuant
to the Trust deed.
 (v) “Member” means employee of the BISP who by this Regulation is
admitted to the membership of the Funds.

(viii) “Regulation of Funds’ means the special body of regulations

governing the constitution and administration of the Funds.
(ix) “Fund’s Rules” means the Fund’s rules for the time being in force.

(x) “Trust Deed” means the BISP Employees Contributory Provident

Fund Trust deed.

(xi) “Trustees” means the present trustees of the Funds or the subsequent
trustees as appointed in accordance with the provision of this
Regulation.

(2) Words and expressions used but not defined in These Regulations shall have the
same meaning as assigned to them in the Act or Rules or Regulations made there
under.

Chapter-2

FUND

3. Final Payment;

(1) Final payment of the accumulated Funds will be made to the employee at the
time of his retirement.

(2) The final payment of the Funds in respect of a member in case of his death
before retirement shall be paid to the nominee of the member, nominated as per

Annexure “A”.

(3) Where no such nomination has been made by the member, the amount of the
Funds shall be paid to his legal heirs according to the law of inheritance of his
respective religion.

4. Constitution of the Funds; The Funds shall consist of:

 a. contribution from employees and the BISP which are to be credited to the Funds in
accordance with this Regulation; and

b. the income of the Funds as mark up or profit on deposits or investments.

5. Management of Funds; The Funds and properties and investments belonging to the
Funds and forming part thereof shall be vested in and be managed by the Trustees who
shall administer the Funds in accordance with the terms of the Trust deed and the
provisions of this Regulation.

6. Nomination; (1) A member shall, at the time of joining the Funds, send to the Trustees a
nomination conferring on one or more persons the right to receive, in the event of his
death, the amount that may be to his credit in the Funds.

Provided that if at the time of undertaking the nomination, the subscriber has
a family, the nomination shall not be in favor of any person other than the member or
members of his family.

(2) If a member nominates more than one person or persons under sub-paragraph (1),
he shall specify in the nomination, the amount or share payable to each of such
nominees in such a manner as to cover the whole of the amount that may be to his
credit in the Funds at the time of his death.

(3) A member may at any time cancel a nomination by sending a notice in writing to
the Trustees. The member shall, along-with such notice, send a fresh nomination
made in accordance with the provisions of this Regulation.

(4) Immediately on the death of a nominee, in respect of whom no special provision

has been made in the nomination or on the occurrence of any event by reason of
which the nomination becomes invalid, the member shall send to the Trustees a
notice in writing canceling the nomination together with a fresh nomination
made in accordance with the provision of this Regulation.

(5) Every nomination made and every notice of the cancellation given by a member
shall, to the extent that is valid, take effect on the date on which it is received by
the Trustees.

7. Membership;
 (1) All employees shall be deemed to be the members of the Funds. However, an
employee appointed hereafter shall become a member after completion of
probation.

(2) Every employee permitted to be the member of the Funds shall sign an agreement
to this effect, called the Trust Deed.

(3) A member shall not cancel his membership during his service in the BISP.

(4) A member, ceasing for any reason to be in the service of the BISP, shall cease to
be member and final payment of his dues shall be disbursed to him at the time of
his departure.

8. Contribution;

(1) 10% of the basic pay of the member shall be deducted every month as his own
contribution to the Funds.

(2) The BISP shall also contribute equal amount to the Funds as employer’s
contribution every month. The amount so contributed to the Funds by the
members and the BISP every month shall be transferred to the C.P. Fund
accounts.

9. Accounts:-

(1) The Funds accounts shall be maintained by the BISP under the supervision of
Director Finance.

(2) Necessary books of accounts shall be maintained for the contributions received,
investments made and other expenditures incurred on behalf of the Funds by the
BISP through Director Finance under the supervisory control of the Board of
Trustees.

(3) As soon as may be after the close of each financial year, the C.P. Fund section
shall prepare the final Financial statements of the Funds i.e. Balance Sheet and
Income and Expenditure Accounts for intimation to the Trustees.

(4) The amount subscribed by each member as well as contribution by the BISP
shall be credited to the account of the respective member.
10. Investment of surplus Funds;

(1) A portion of the Funds may be retained in the Funds accounts for the purpose of
advances requested by the employees or payment of the retiring employee.

(2) The remaining Funds may be invested in a profitable venture on the

recommendations of the Board of trustees.

11. Books of Accounts and Internal and External Audit;

(1) The books of accounts shall be maintained separately. The Accountant and
Internal Auditors shall be remunerated by the BISP.

(2) The BISP shall appoint a firm of Chartered Accountants to get the Funds audited.
Remuneration of the Auditors and supervisory officers shall be paid by the BISP.

12. Profit:--

(1) The BISP shall work out the amount available as accumulation on the last day of
the financial year attributable amongst the members arising out of the net income
received and accrued on the securities, on the withdrawals by the members and
donations or grants if any, given to the Funds as well as profit of the invested
Funds.
(2) The income shall be credited to the member’s account on June 30 th of each year.
A statement of accounts shall be provided to each member in the month of
August every year indicating there in the updated position of his account.

13. Payment of accumulated balance.---

(1) If a member is terminated from service or he leaves the service with his own
discretion, with less than one year continuous service, he shall be refunded his
own contribution without profit.

(2) In all other cases, a member, when he leaves service, shall be paid the
accumulated balance to the credit in his account, in accordance with the
following method:-

Status Payment to be made

 More than one but less than Member’s own contribution
two years continuous service plus 25% of the BISP’s
contribution along with
profit thereon.

More than two but less than Member’s own contribution

three years continuous service plus 50% of the BISP’s
contribution along with profit
thereon.

Three years or more Member’s and BISP’s

continuous service contribution along with
profit thereon.

In case of death during service Member’s and BISP’s

or superannuation contribution along with profit
thereon.

(3) When a member leaves the service of the BISP, the amount due to him in the
accumulated balance of his C.P. Fund account become payable to him.

(4) Where a member has no family and has made no nomination, the payment shall
be made on production of succession certificate from a Court of law by the legal
heirs of the employee, if any.

(5) The BISP shall not be entitled to withhold any sum from the Funds, due to a
member. In case of any recovery of loss, if any, from him, the sum may be
recovered from him as arrears of land revenue but not from the accumulated
C.P. Fund in his account.

14. Permission of Loan;

(1) Subject to this Regulation, withdrawals by the members from the accumulated
balance may be allowed by the Trustees in the following circumstances,
namely:

i. illness of a member or his family; or

 ii. to pay the overseas passage by reason of health or education of the
member or his family; or

iii. to pay expenses in connection with the performance of Hajj by the

member; or

iv. to meet the expenditure on building or purchasing a house or a site for

house; or

v. to pay expenses in connection with marriage, funerals or ceremonies,

which, by the religion of the member, it is incumbent upon him to
perform and in connection with which it is obligatory that expenditure
should be incurred; or

vi. to meet the expenditure on repairs, renovation or extension of residential

house belonging to the member; or.

vii. in a case of member who has attained the age of 50 years on the date
on which the withdrawal is permitted:

a) to meet the expenditure on the purchase of a house or construction of

a house on land owned by him or a member of his family anywhere in
Pakistan; or

b) to repay a loan taken from a financial institution,

provided that the member shall, within a period of two weeks

from the date of withdrawal produce satisfactory evidence before the
Trustees to show that the advance has been utilized for the purpose for
which it was drawn, failing which the entire amount of withdrawal
together with interest accrued thereon shall forth with become
repayable to the Funds in lump sum.

(2) No second withdrawal from the C.P. Fund shall be permitted unless the sum of
first withdrawal has been fully repaid.

(3) When a member opts not to receive any profit on his accumulated balance, no
profit shall be charged on the amount withdrawn by him from the Funds

(4) The BISP shall deduct such installments payable under sub-paragraph (2) from
the member’s salary and pay them to the Trustees commencing from the second
 monthly payment made after the withdrawal or, in the case of a member on leave
without pay, from the second monthly payment after his return to duty.

15. Forfeiture of C.P. Fund Account;

(1) If any amount in the Funds standing to the credit of a member is withheld or
forfeited as is not paid to him under this Regulation shall be credited to the
forfeiture account.

(2) The BISP shall have the first charge on the forfeited amount which shall not
exceed the amount standing to the credit in the BISP’s contribution account. No
recovery of loss shall be made from the portion of Funds in a member’s account
accumulated by him and mark up accrued thereon, for payment of any sums due
to the BISP or for satisfaction of claims against the member in respect of all
losses, damages, expenses etc which the BISP may have sustained due to his
negligence or fraud. The Trustees shall pay upon demand so assessed by the
BISP out of the forfeited amount.

(3) The balance left over in the forfeited account, if any, after payment made to the
BISP against losses suffered due to the negligence or fraud of the member, shall
be utilized primarily to meet any loss from investment of the Funds or
realization of the assets or for the benefit of the member or dependence of the
deceased members or any other purpose connected with the Funds as decided by
the Trustees.

16. Interpretation.--

The Fund shall be governed by these Regulations or other rules or regulations, for
the time being in force and not inconsistent with these Regulations. Such Rules
and Regulations shall be interpreted by the Trustees whose interpretation shall be
final and binding upon the parties thereto and all members.

17. Arbitration;

Any dispute or difference which may arise between any member, or his
representative, executer, administrator, nominees and the Trustees, shall be
referred to the Managing Director or his nominee, and his decision in this respect
shall be final.

18. Winding up the Funds;

 The Trustees may, at any time with the consent of the BISP Board or on dissolution of
the BISP, wind up the Fund. The Trustees shall pay out to each member the balance
standing to this credit after realizing the assets of the Fund any paying off the
expenditure incurred for winding up and finalizing the Fund’s Accounts.

--------sd------------
Director (F&A)
Benazir Income Support Programm

No…………………………………. Dated………………………..

Copy to the:

1. All Members of the Board.

2. Printing Corporation of Pakistan for publication in the official gazette.
3. All Officers of the BISP.

Director (F&A)

Annexure “A”

BENAZIR INCOME SUPPORT PROGRAM (BISP)

Nomination Form

For

Contributory Provident Fund

I, ______________________(name), ________________ (designation), hereby
nominate the person(s) mentioned below who are member(s) of my family to receive the
amount of Contributed Provident Fund available at my credit in the CPF account.

S.No. Name(s) of the CNIC No. Age Relation %age share

nominee

Date:- ________/ 20-----------.

Signature:-______________
Designation:- ____________
1. Witness:- __________________ CNIC No:-
_____________
Name:- _________________
CNIC No:- _________________
Signature:_____________________

2. Witness:- __________________
Signature:- ___________________
Name:-___________________
CNIC No:- ___________________
Signature:________________________