INTRODUCTION:
In order to take care of post retirement needs and contingencies of death while in service of SJVNL a self contributory superannuation scheme has been introduced with effect from 1st January 2003.

SECTION-I

1. DEFINITIONS
In these rules, where the context so admits, the masculine shall include the feminine, the singular shall include the plural and the following words and expressions shall, unless repugnant to the context, have the following meanings.

1. The Company shall mean Satluj Jal Vidyut Nigam Ltd.

2. CORPORATION shall mean Life Insurance Corporation of India, established under section 3 of the Life Insurance Corporation Act 1956;

3. SCHEME shall mean Satluj Jal Vidyut Nigam Ltd Employee’s (Self contributory) Superannuation Scheme.

4. RULES shall mean the rules of the scheme as herein set out and any amendments made thereto from time to time;

5. EMPLOYEES shall mean person appointed to regular post in the Company and shall also include an Employee whose services are lended or seconded by the company to the Central Government or to State Government or other PSUs or any other agency.

6. MEMBER shall mean an Employee who has been admitted to the membership of the Scheme and shall include any such person only so long as he continues to be entitled to the benefits there under;

7. ENTRY DATE shall mean (a) in relation to the original Members the Effective Date and (b) in relation to new Members admitted to the Scheme after the Effective Date, the next Annual Renewal Date.

8. SERVICE shall mean in relation to a Member the period for which, for the purpose of the Scheme, he has been or deemed to be in continuous service with the company, and this will include, inter alia, periods of authorized leave. Such service relating to a Member will be the total of the period of future service with the Company reckoned from the date of his entry into the Scheme up to his Normal Retirement Date or the date of cessation of Service, as the case may be,

9. BENEFICIARY shall mean the wife and/or child or children and/or dependants of the member.

10. EFFECTIVE DATE in relation to the Scheme shall mean 1st, January 2003­

11. ANNUAL RENEWAL DATE in relation to the Scheme shall mean the 1st, January in each subsequent year.

12. NORMAL RETIREMENT DATE shall mean in respect of each Member the date on which the Member completes the age of 60 years.

2. ELIGIBILITY
The Employees aged not less than 18 years and not more than 59 years shall be eligible to be a member of the Scheme. For this scheme employees have to exercise their option within 20 days of the circulation failing to do so the membership can only be taken from next annual renewal date.

3. EVIDENCE OF AGE:
The Company shall furnish evidence of age satisfactory to the Corporation before employee is admitted to the Scheme. If the age of the Member is conclusively proved later to have been incorrectly stated in the evidence submitted, the Corporation shall make appropriate adjustment in the benefits having regard to its formal practice.

4. MEMBER NOT TO WITHDRAW:
NO Member shall withdraw from the Scheme while he is still an Employee of SJVNL.

5. ANNUAL CONTRIBUTION:
The member shall contribute to the pension fund. The minimum Contribution shall be Rs. 500/- per month. If a member is willing to contribute more, he may contribute any amount in multiples of Rs. 100/- which shall be fixed at the time of commencement of the scheme. The contribution can be changed at any future Annual Renewal Date.

BENEFITS
A member of the scheme will be eligible to draw the pension in the following events:-

• On Normal Retirement
• On Retirement before Normal Retirement Date.
• On Retirement after Normal Retirement Date.
• On Death.
• On Leaving Service.

The amount of pension will depend on the amount of contribution and period of contribution.

6. BENEFITS ON NORMAL RETIREMENT DATE :
Exercising option by the member

A written notice by the member of his having exercised any one of the options under this rule together with evidence of appointment of the beneficiary made by such member must be furnished to the Company and to the Corporation through the Company three months prior to the Normal retirement date. If a member has not exercised any one option among the options listed below, the pension shall be payable to the member as described under clause (i).

(i) Normal life pension with guaranteed payment for 15 years:
The member will get the pension during his lifetime. In the event of the member’s death within 15 years after retirement, the pension will continue to be paid to the beneficiary until the balance of the guaranteed pension of 15 years from the date of retirement is paid. Thereafter the pension will cease to be paid to the beneficiary.

(ii) Life pension with guaranteed payments for 10 years:
The member will get the pension during his lifetime. In the event of the member’s death within 10 years after retirement, the pension will continue to be paid to the beneficiary until the balance of the guaranteed pension of 10 years from the date of retirement is paid. Thereafter the pension will cease to be paid to the beneficiary.

(iii) Life pension with guaranteed payments for the 5 years:
The member will get the pension during his lifetime. In the event of the member’s death within 5 years after retirement, the pension will continue to be paid to the beneficiary until the balance of the guaranteed pension of 5 years from the date of retirement is paid. Thereafter the pension will cease to be paid to the beneficiary

(iv) Pension ceasing at death (without any guaranteed payments):
A member will get the pension up to his death only. Under this option there will be no guaranteed payments/return of capital, though the pension amount is higher as compared to the other options.

(v) Joint life and last survivor pension to member and his spouse (with out Return of Capital):
Under this option pension payable to the member and his/her spouse, to whom he is married, at the date of his retirement so long as both of them are alive and continued thereafter to the survivor of them until his or her death. The amount of pension will depend upon the ages of the member and his wife at the normal retirement date. Evidence of age of the member’s spouse, satisfactory to the Corporation must be furnished at the time of exercising of the option. There will be no return of capital.

(vi) Life pension ceasing at death (with return of members accumulation/cash option/purchase price applied for purchase of pension)
A pension payable throughout the whole duration of the member’s life time only i.e. the last installment shall be payable just prior to the date of death. On death of the member an amount equal to the member’s accumulation/cash option/purchase price applied for purchase of pension will be payable along-with any group pension terminal bonus that may be declared by the corporation.

7. BENEFIT ON RETIREMENT BEFORE NORMAL RETIREMENT DATE:
Upon the retirement of a Member anytime during service owing to ill-health or incapacitation or if he retires from service within a period of 10 years preceding his Normal Retirement Date, the pension as may be opted by him will become payable immediately. Alternatively, the Member may, opt a pension which will commence from the Normal Retirement Date.

8. BENEFITS ON RETIREMENT AFTER NORMAL RETIREMENT DATE:
In case the member continues in the service of the company beyond normal date of retirement, the member can opt to continue in the scheme up to the date of actual retirement.

1. In the event of the death of a Member while in the service of the Company, a pension will become payable to the Beneficiary appointed by the Member (i) either for the remaining period of his/her lifetime or (ii) for 5, 10 or 15 years and there after for the remaining period of his/her life time or (iii) for optional Life Pension ceasing at Death with return of Member’s accumulation cash option/purchase price appropriated for purchase of pension along with any Group pension Terminal Bonus or (iv) any other type of pension option introduced by the Corporation, as may be opted by the beneficiary. If the Member has not appointed a Beneficiary or if such Beneficiary has predeceased the Member and no fresh appointment of Beneficiary has been made, the pension will become payable to the member’s spouse. In the event the member has no spouse, the pension will be payable to surviving child/children in equal amount. Failing which to his parents, unmarried sisters and brothers in the order of preference.

2. The Company shall intimate to the Corporation in writing the pension opted by the Beneficiary within 90 days after the date of death of the Member. The pension will be payable monthly or otherwise as desired by the Beneficiary reckoning from the date of death.

10. BENEFITS ON LEAVING THE SERVICE:
In the event of the member leaving the services of the Company, pension becomes payable to him either immediately or commences from the Normal Retirement Date as may be opted by him. If a member who has opted for deferred pension dies before receiving the pension his beneficiary shall receive immediate pension.

11. COMMUTATION OF PENSION:
The benefits under the scheme shall be payable only in the form of pension. However, if the Member or the Beneficiary so desires, as the case may be, pension may be commuted as may be prescribed in the Income Tax Act 1961 & the Rules 1962 for the time being inforce.

1. In case where the member receives any gratuity the commuted value will be 1/3 of the pension which he is normally entitled to receive.

2. In other cases the commuted value will be half of the pension he is normally entitled to receive.

NOTES:

1. The commuted value shall be determined by the Corporation having regard to the age of the Member, the state of his health, the rate of interest and officially recognized Tables of Mortality.

2. Written notice by the Member of his having opted to commute part of the Pension must be furnished to the Corporation through the Company three months prior to the normal Retirement Date.

12. MEMBER TO HAVE NO LEGAL RIGHT:
A member or his Beneficiary shall have no interest in the Master Policy taken out in respect of the members or any investment otherwise made by the Company in accordance with the Rules of Scheme but shall be entitled to receive a pension in accordance with the Rules. PROVIDED ALWAYS that the Company shall administer the Scheme for the benefit of the Member and their Beneficiaries in accordance with the provisions of these Rules.

13. RESTRAINT ON ANTICIPATION OR ENCUMBRANCE:
The benefits assured under the Scheme are strictly personal and cannot be assigned/ charged in any way.

14. JURISDICTION:
The Master Policy to be effected under the Scheme shall be an Indian contract, subject to the laws of India including the Indian Insurance Act, 1938, as amended, the Life Insurance Corporation Act, 1956, the Income Tax Act, 1961 and to any legislation subsequently introduced. All benefits under the Scheme shall be payable only in India. Should anything contained in these

Rules, or in any amendment made thereof be repugnant to any provisions of the Income Tax Act, 1961, or the Income Tax Rules 1962, it shall be in-effective to the extent of such repugnance. The Company if so directed by the Commissioner of Income Tax shall remove any such repugnance.

15. MASTER POLICY:
The Corporation will issue a single Master Policy to the Company to provide for the benefit of the Members under the Scheme.

16. DEDUCTION OF SUMS DUE TO INCOME-TAX AUTHORITIES:
Income Tax in any case where the Company or the Corporation is liable to account to the Income-tax authorities for income tax on any payment due under the Scheme, the Company or the Corporation shall deduct a sum equal to the tax from such payment and they shall not be liable to the Members for the sum so deducted.

17. APPOINTMENT OF BENEFICIARY:

1. Every Member shall nominate one or more as beneficiary or beneficiaries out of spouse, child/children or dependants under the scheme to receive the benefits hereunder in the event of the death of the member. If a member dies while in service or before he has commenced to draw the pension or after he has commenced to draw the pension or after he has commenced to draw the pension but before he has received all the guaranteed instalments under the pension opted by him, the Company shall hold the benefits in respect of the member UPON TRUST for payment to the beneficiary or beneficiaries as shall have been nominated by the member.

2. Every appointment to be made under this Rule shall be in writing signed by the member and attested by two witnesses and shall be in the prescribed format and shall remain in the full force and effect until the death of the beneficiary or until the same shall be revoked in writing by the member by whom the same was made and a fresh appointment is made in the manner aforesaid.

3. A member may from time to time or at any time without the consent of the beneficiary, if any, revoke or change the beneficiary by filling a written notice of the change with the Company in the prescribed form satisfactory to the Company whereupon an acknowledgment of the change and the registration of the new beneficiary will be given to the member by the Company. The new appointment shall take effect on the date the notice was signed whether or not the member is living on the date of acknowledgement of the change without prejudice to the Corporation or the Company on account of any payment made before the acknowledgement of the change.

4. If a beneficiary shall at the time of his appointment be a minor or otherwise under disability to give a legal receipt or discharge to the Company the member must at the time of such appointment as aforesaid appoint a person of full age who is capable of giving a legal receipt or discharge to the Company and to whom the benefits are to be paid for and on behalf of such beneficiary so long as such minority or disability continues.

5. If more than one beneficiary is appointed and in such appointment, the member has failed to specify their respective interests, the beneficiaries so named shall share if any designated beneficiary predeceases the member the interest of such beneficiary shall terminate and his share shall be payable equally to such of the remaining beneficiaries to the surviving members unless the member has made written request otherwise to the Company in the prescribed form.

18. Pension fund will be managed by LIC.

19. INTERPRETATION OF RULES:
Any question/doubt arising on any point of interpretation of these Rules or any point relating to cessation of membership, the decision of the Company shall be final. If the decision has any bearing on the provisions of Part “B” of the Fourth Schedule to the Income-Tax Act, 1961 or the Income-Tax Rules, 1962 it shall be forthwith reported to the Commissioner of Income-Tax. The company will comply with any direction of Commissioner of Income-tax to the effect.