 to the additional ])ioluylbnts (compulsory deposit) amendment bill, 1977(to be/as introduced in lok sabha) 1 page 2, line 8,-tor "concrne d" ~ "concerned" 2 page 3, line 15,-:for "occrued" ~ "accrued" new delhi-, june 6 ,"-1977 jyaistha :6, 1899 (saka)  bill no 47  f itn nie additional emoluments -(compulsory deposit) amendment bill, 1977 a billfurther to amend the additional emoluments (compulsory deposit) act, 1974 be it enacted by parljament in the twenty-eighth year of the republic of india as follows:-1 (1) this act may be called the additional emoluments (com-short pulsory deposit) amendment act, 1977 title and commencement 5 (2) it shall be deemed to have come into force on the 6th day of may, 1977 s70f 1974 amendmentof ilection 6 2 in clause (b) of sub-section (1) of section 6 of the additional emoluments (compulsory deposit) act, 1974 (hereinafter referred to as the principal act), for the words "three years", the words "two years and 10 ten months" shall be substituted 3 in section 9 of the principal act,-amendment of ectlon 9 (0) in ~ub-section (1), for the words, brackets and figure "provisions of sub-section (2)", the words "other provisions of this section" shall be substituted; (b) to suh-section (3), the following provisos shall be added, namely:-"provided that repayment of the second annual instalment due on the 6th day of july, 1977, to the employees who subscribe to any provident fund shall not be made in cash but the amount ' payable towards the said instalment together with intc-est payable under this sub-section shall be' credited to the provident fund acconnt of the concrned empl~yee: provided further that the emp!oyer shall not be required to make any contribution under the employees' provjdent funds 10 and miscellaneous provisions act, 1952, or under any other law i q (if 1952 for the time being in force, in relation to the amounts so credited to the provident fund account of the concerned employee"; (c) in the fjrst proviso to sub-section (4), aiter the words "employees' provident funds", the words "and miscellaneous pro- 15 visions" shan be inserted 4 (1) the additional emoluments (compulsory deposit) amendment ordinance, 1977 is hereby repealed 7 of 1977 repeal and savin, (2) notwithstanding such repeal, anything done or any action taken under the principal act, as amended by the said ordinance, shall be 20 deemed to have been done or taken under the principal act as amended by this act  statement of objects and reasonsthe additional emoluments (compulsory deposit) act, 1974, read with the additional emoluments (cojllqu:sory deposit) amendment act, 1976, provided for the compulsory deposit of one-half of the additional dearness allowance for a period of three years from 6th july, 1974 2 with a view to ensuring that one-half, of the additional dearness allowance is not impounded any longer the additional emoluments (compulsory deposit) amendment ordinance, 1977, was promulgated by the vice-president acting as president on the 9th may, 1977 the ordinance provides for the discontinuance of the compulsory deposit of one· half {jf the additional dearness allowance with effect from the 6th may, 19'77 as any large addition to the stream of £{lending in the prescnt delicate state of economy may accentuate inflationary pressures, the ordi nance furthe'r provides that repayment of the second instalment of "he impounded additional dearness allowance together with accrued interest, due on 6th july, 1977, shall be made by crediting the amount due to the provident fund account of the employee if he has any such account the ordinance also makes it clear that in respect of such credit to the provident fund account, there will be no matching contribution from the employer under the employees' provident funds and miscellaneous provisions act, 1952 where, howevt!r, an employee does not subscribe to any i;)rovident fund, the repayment of the said instalment will be made in cash 3 the bill seeks to replace the said ordinance new di:lbi; h m patel the 24th may, 1977   cla1lle 2 of the blll provides that compulsory deposit of one-hrlf of the additional dearness allowance under the act will now be only for a period of two years and ten months from the appointed day instead of three years this reduction in the period of compulsory deposit will correspondingly reduce the quantum of total compulsory deposits, by approximately rs 84 crores since deposits under the act carry a rate of interest which is 21 per cent over and above the maximum bank deposit rate, the total interest liability 0" government will consequently be reduced by rs 31 crores, approximately 2 sub-clause (b) of clause 3 of the bill provides that repayments, along with accrued interest, due on 6th july, 1977, of the second annual instalment of the additional dearness allowance deposits, will be cr~dited to the provident fund account of the employee, if he lias any such account_ it is estimated that the total repayments due as above wlll be &rlproximately rs 326 crores (rs 220 crores toward principal and rs 106- crores towards accrued interest) a major portion of this amount will be credited to the provident fund accounts of the employees, though some amounts will also be paid lneash to employees who do not subscribe to sny provident fund 3 the biij" if eaacted, will not involve any other recurring or nonrecurring expenditure ar:r, 1974 (37 of 197«) - - - - - - - t (1) for the pu~ses of this act, the deductions specified in subsection (2) shall be made,-- - - - - - - (b) in the case of additional dearness allowance, for a period of three years from the appointed day - - - - - - - | duty       | of    ||------------|-------|| employer   |       || or         | other || person     |       || to         | make  || deduc-     |       || tiona      |       || of         |       || additional |       || wacea      |       || and        |       || additional |       || dearaeas   |       || allowance  |       || from       |       || 'emolu-    |       || ments     |       || repay-     |       || ment       |       || of         |       || deposits  |       |9 (1) subject to the provisions of sub-section (2) , every amount credited to the deposit accounts shall be repayable with interest due thereon,-- - - - - - - (3) the" aggregate amount credited" to the additional dearness allowance deposit account by or in relation to an employee for the period ending on the 30th day of june, 1976, shall, subject to the provisions of sub-section (5), be r~aid, in cash, to the employee in five equal annual instalments commencing from the expiry of a period of two years from the appointed day, together with interest due on the whole or, as the case may be, part of the amount of compulsory deposit which remains unpaid (4) the aggregate amount credited to the additional dearness allowance deposit account by or in relation to an employee for the period commencing on the 1st day of july, 1976, and ending on the 5th day of july, 1977, together with interest due on the whole, or, as the case may be, ,art of the amount compulsory deposit which remains unpaid, shall, subject to the provisions of sub-section (5), be repaid to the employee in five equal annual instalments commencing on the 6th day of july, 1978, and each such instalment shall be credited to the pr~ldent fund account of the employee: provided that the employer shall not be required to make any contributiorl under the employees' provident funds act, 1952, or under any other law for the time being in force, in relation to the amounts so credited to the provident fund account of the employee: '" - - - - - '" a bill further to amend the additional emoluments (compulsory deposit) act, 1974 (shri h m patel, minuter of finance and revenue and banking) 