BENEVOLENT FUND SCHEME

1.         TITLE :

            The Scheme shall be called “Benevolent Fund Scheme 1992.

2.         OBECTIVE :

To render financial assistance to the family members of the deceased employees.

3.         SCOPE :

The scheme shall cover all regular employees on the rolls of the Company excluding trainees and also those engaged on casual / daily rated basis.

4.         SALIENT FEATURES :

i.          Each employee contributes a sum of Rs. 50/-whenever the death of any serving employee occurs.

ii.         The Company, by ay of ex-gratia, contributes a sum equivalent to 75% of total collection from employees.

iii.        The contribution of Rs. 50/- per employee joining this scheme would be collected only in the event of death of an employee.

iv.        An employee, after becoming a member of the scheme by giving his option is not permitted to revoke the option till his service in the Company.

5.         PROCEDURE :

a)         Those who are desirous of becoming a member of the Scheme should apply in the prescribed forms (Annexure – I) in duplicate.

b)         The form duly completed and countersigned by the Head of the Department should be forwarded, one copy to the personnel Department and another to Finance & Accounts Department .

c)         The Personnel Department will maintain a Register containing the full particulars of all the members enrolled from time to time in the enclosed Proforma (Annexure – II).

d)         A person, after becoming a member of the Scheme and having given his option for the recovery of the amount as stipulated, cannot revoke his/her option unless he ceases to be on the rolls of the Company.

e)         All employees applying for membership shall give a declaration about nominees against the column indicated in the application form.

In case any member fails to declare his nominee, the nomination as indicated under the Provident Fund Rules of EPF Trust will be taken as nominee for the Benevolent Fund Scheme.

f)          On the death of a member, his /her nominee shall submit the claim for disbursement of the benefit, duly supported by proof of death (death certificate) and attested by two other members of the scheme through Head of the Department who shall forward the application to the Personnel Department with his recommendations.

g)         The Personnel Department  will after satisfying details of nominations shall intimate to the Accounts Department for further action :

                        i)          Name of deceased employee :

                        ii)         Name & Address of the nominee :

            h)         Accounts Department will thereafter arrange for:

i)          Recovery of Rs. 50/- from each member of the scheme from the salary due if the intimation is received before 20^th of the month. In case the intimation received after 20^th of the month, recovery shall be affected from the salary of the members from the following  month.  In case if no salary is there for a particular employee in the month the amount will be recovered from any other amounts payable to him/her whenever they become due.

ii)         Contribution of a sum equivalent to the total collections from the employee.

iii)                Payment of both the above amounts to the nominee concerned under intimation to Personnel Department. It should be ensured that after making final payment to the beneficiaries there is no balance at the account code provided by Finance to the extent it pertains to the death  in question.

7.         Any clarifications regarding the features and in the procedure of the scheme or any ambiguity in the interpretation of any of the clauses of the scheme if arise in future shall be determined by the CMD of the Company.

_ ) 0 o 0 ( _

Annexure – I

Sr. Manager (P&A)

Sponge Iron India Limited

Sub:     Exercising option to become a member of the Benevolent Fund Scheme.

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            I __________________________________________ S/o / D/o / W/o/ Shri /Smt._____________________________________Emp. No. _______________ hereby communicate my willingness voluntarily to become a member of the SIIL Employees Benevolent Fund Scheme w.e.f.____________.

2.         I understand that once I am admitted as member of the SIIL Employees’ Benevolent Fund Scheme: exercise of my option is irrevocable and that I cannot withdraw my membership and I agree to abide by the same.

3.         I also authorise SIIL to deduct Rs. 30/- (Rupees Thirty only) of any other sum that may be decided by the management of SIIL in consultation of Employees’ Union /Officers Association in case of death of each member of the said Scheme, from my salary or any other amounts payable to me , immediately after the date of such death.

4.         I nominate the following persons to receive the amounts payable by the SIIL Employees Benevolent Fund Scheme in case of my death during my service in SIIL :

Name of the Person                            Age                 Relationship                %  of Share

1.

2.        

3.

4.

Place :                                                                                      Signature of  :_______________

Date :                                                                                       Employee

                                                                                                Designation :________________

                                                                                                Emp. No. :__________________

Witnesses:

Signature ____________

Designation _____________

Emp. No.______________

Signature ____________

Designation _____________

Emp. No.______________

ANNEXURE – II

PROFORMA

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