CONDITIONS FOR GRANT OF
INSTALLMENT FACILITY TO LIQUIDATE THE OUTSTANDING PF
This facility is available only for liquidation
of arrears under the Employees Provident Fund Act
including damages and interest.
- Maximum installments shall be 36 (monthly
installments). However, the number of
installments admissible in each case will be
decided on individual merits.
- Except in the case of sick units, the
defaulters shall be required to liquidate the
employees' share, before applying for
- The scheme shall operate from the subsequent
month of grant of the facility.
- A revolving bank guarantee equal to one
installment shall be furnished along with the
- The proposal shall be submitted to the
regional / sub-regional / sub-accounts office
controlling compliance of the establishment.
Depending on the delegated powers the case shall
be processed by the appropriate office.
- Where the case is to be decided by the Head
office, the proposal complete in all respect
shall be forwarded by the Regional Provident
Fund Commissioner-I alongwith his observations
and specific recommendations.
- RPFC-I shall recommend the installment only
where it exceeds the delegated powers or where
the period required stretches beyond the
- Only if the RPFC is satisfied about the
viability of the scheme, he shall send his
- The number of installments recommended shall
be reasonable and relatable to the quantum of
- The establishment shall be required to remit
the installment amount positively before 15th of
the subsequent month.
- The establishment shall ensure remittance of
the current dues alongwith the installment dues
before 15th of the month.
- There shall be an undertaking regarding
payment of damages and interest dues as and when
- The installment scheme shall be deemed to
have been cancelled in case of any default in
payment either of installment amount or current
- Consequent on the cancellation of the
installment facility, all coercive steps shall
be initiated against the establishment /
employer for realizing the outstanding dues
without further notice.
- Even where the default amount is within the
powers of the RPFCs a review shall be made by
the RPFC-I of the region periodically.
Further details, if any required, can be had from
the nearest office of the Employees Provident Fund