Life Insurance Corporation of India Chairman (Revision of Certain Terms and Conditions of Service) Rules, 1998

Published vide Notification No. G.S.R. 124(E), dated 5th March, 1998

Act2759

Ministry of Finance

(Department of Economic Affairs)

(Insurance Division)

G.S.R. 124(E). - In exercise of the powers conferred by clause (a) of Sub-section (2) of Section 48 of the Life Insurance Corporation Act, 1956 (31 of 1956), the Central Government hereby makes the following Rules, regulating certain terms and conditions of service of the Chairman of Life Insurance Corporation of India, namely:- 1. Short title and commencement. - (a) These rules may be called the Life Insurance Corporation of India Chairman (Certain Terms and Conditions of Service) Rules, 1998. (b) Save as otherwise provided in these rules, they shall be deemed to have come into force with effect from the 1st day of January, 1996. 2. Definitions. - In these Rules unless the context otherwise requires:- (a) 'Act' means the Life Insurance Corporation Act, 1956 (31 of 1956).

(b) 'Chairman' means a person appointed as such by the Central Government under section 4 of the Act.

(d) '(Staff) Rules' means the Life Insurance Corporation of India (Staff) Regulations, 1960.

(e) Words and expressions used in these Rules but not defined herein shall carry the meaning respectively assigned to them in the Life Insurance Corporation Act, 1956 and Life Insurance corporation of India (Staff) Regulations, 1960.

3. Terms and Conditions of Service. - Notwithstanding anything contained in the Act, or in the (Staff) Regulations, 1960, the terms and conditions of service of the Chairman, relating to matters covered by these rules shall be regulated in accordance with the provisions hereinafter contained in these rules. [4. Scale of pay. - With effect from the 1st day of January, 2016 , the scale of pay of the Chairman of the Corporation shall be Level 17 in the Pay matrix [Rs. 2,25,000 per month (Fixed)]. Note 1. - The fixation of pay in the revised scale has been done on the basis of the Central Civil Services (Revised Pay) Rules, 2016.

Note 2. - The arrears on account of revised scale of pay shall be paid during the Financial Year 2016-2017.

Note 3. - The decision on the revised rates and the date effect of all allowances (other than Dearness Allowance) based on the recommendations of Seventh Central Pay Commission shall be notified subsequently and separately and until then, all such allowances shall continue to be reckoned and paid at the existing rates under the terms and conditions prevailing in the prerevised pay structure as if the existing pay structure has not been revised under the Central Civil Services (Revised Pay) Rules, 2016.

5. Dearness Allowance. - (1) Dearness Allowance payable to the Chairman shall be as follows, namely:- (a) From 1st January, 2016 to 30th June, 2016 – No Dearness Allowance

(b) From 1st July, 2016 onwards – As declared by the Central Government from time to time.]

OLD LAW 6

6. House Rent Allowance. - The Chairman shall be provided by the Corporation with rent-free unfurnished residential accommodation: Provided that the Chairman who has not boon provided with such accommodation, shall be paid with effect from the 1st August, 1997 house rent allowance at the rate 30 per cent in a city classified as 'A-I' by the Central Government. Note. - House Rent Allowance at the above rates may be granted for those who reside in contiguous agglomerations around cities/towns where Government Offices are located.

7. City Compensatory Allowance. - With effect from 1st August, 1997, the Chairman shall be entitled to City Compensatory Allowance of Rs. 300/- per month. 8. Other Terms and Conditions of Service. - The Chairman of the Corporation appointed by the Central Government in accordance with section 4 of the Act shall be governed by terms of any contract, agreement or letter of appointment or directions issued by the Central Government in respect of his other terms and conditions of service: Provided that whore such Chairman immediately preceding such appointment was an employee of the Corporation, then, he shall be deemed to be an employee of the Corporation in respect of other matters relating to the terms and conditions of his service and the same will be as regulated under the provisions of the (Staff) Rules as amended from time to time: Provided further that such Chairman's Provident Fund, Gratuity and Pension shall be governed by the following Rules notified by the Central Government under Section 48 of the Act and as amended from time to time, namely :- 1. Life Insurance Corporation of India Class I Officers (Revision of Terms and Conditions of Service) Rules, 1985;

2. Life Insurance Corporation of India (Payment of Gratuity to the Chairman and Managing Directors) Rules, 1997;

3. Life Insurance Corporation of India (Employees) Pension Rules, 1995.

The other matters not covered by these rules relating to the terms and conditions of service of the Chairman shall be regulated by the provisions of the (Staff) Rules. Interpretation. - Where any doubt or difficulty arises as to the interpretation of these rules it shall be referred to the Central Government for its decision. Explanatory Memorandum

The Central Government have accorded approval to revise the scales of Pay and certain terms and conditions of service of the Chairman of the Life Insurance Corporation of India, with effect from 1-1-1996.