RBI/2006-2007/431
DGBA.CDD.H-17465/15.15.001/2006-07 June
8, 2007 The General Manager
Government
Accounts Department, Head Office
State
Bank of India / State Bank of Indore / State Bank of Patiala
State
Bank of Bikaner & Jaipur / State Bank of Saurashtra
State
Bank of Travancore / State Bank of Hyderabad / State Bank of Mysore
Allahabad
Bank / Bank of Baroda / Bank of India / Bank of Maharashtra/
Canara
Bank / Central Bank of India / Corporation Bank / Dena Bank / Indian Bank/
Indian
Overseas Bank / Punjab National Bank / Syndicate Bank /UCO Bank /
Union
Bank of India / United Bank of India / ICICI Bank Ltd / Vijaya Bank Dear
Sir, Senior
Citizens Savings Scheme, 2004-
Opening
of multiple account in a calendar month in the same deposit office As
you are aware, in terms of sub rule (2) of Rule 3 of Senior Citizens Savings Scheme,
2004 a depositor may operate more than one account under the rules subject to
the condition that the deposits in all accounts taken together shall not exceed
the maximum limit specified under Rule 4. However, as per the proviso to the said
Rule more than one account cannot be opened in the same deposit office during
a calendar month. In this connection, you may note that Government of India vide
their Notification GSR----(E) dated May 24, 2007 (Annex - I)
have since amended the Scheme and omitted the said proviso to the sub- rule (2)
of Rule 3. 2.
Further, Government of India vide their letter No.F.15/ 3/ 2006/ NS-II dated May
16, 2007 have also decided to allow, under Rule 14 of the Scheme, regularization
of multiple accounts opened by depositors in the same account office, in the same
calendar month due to ignorance, by merging all the accounts into the first account,
subject to the condition, that deposits under the merged accounts (or discontinued
accounts) shall not earn any interest for the intervening period, i.e., for the
period from the opening of first account to the date of opening of second / subsequent
irregular account which stands merged into the first account. Please note that
the merger as well as consolidated amount of deposit in the account shall also
be subject to other terms and conditions of the scheme. 3.
The contents of this circular may be brought to the notice of designated branches
of your bank for information and guidance. 4.
Please acknowledge receipt. Yours
faithfully, (Imtiyaz
Ahmad)
Assistant General Manager
Annex
- I [TO
BE PUBLISHED IN THE GAZETTE OF INDIA: EXRTRAORDINARY, PART II –Sec.3(i)] MINISTRY
OF FINANCE (Department
of Economic Affairs) NOTIFICATION New
Delhi, the 24th May 2007 GSR----(E):-
In exercise of the powers conferred by section 15 of the Government Saving Banks
Act, 1873 (5 of 1873), the Central Government hereby makes the following rules
to amend the Senior Citizens Savings Scheme Rules, 2004, namely:- 1.
(1) These rules may be called the Senior Citizens Savings Scheme (Amendment)
Rules, 2007. (2) They shall come
into force on the date of their publication in the Official Gazette. 2.
In the Senior Citizens Savings Scheme Rules, 2004,
the proviso to the sub rule (2) of rule 3 shall be omitted.[
F. No. 2-8/ 2004-NS-II] (P.
C. SINGH)
Under Secretary to Government of India |