New plan for senior citizens to use unclaimed funds

The Finance Act became a law on May 14 after it received the assent of President Pranab Mukherjee.

By: Express News Service | Amitabh Sinha & Geeta Guptanew Delhi | Published:May 22, 2015 3:53 am
NDA government, senior citizens welfare scheme, senior citizens, unclaimed deposits Finance Act, Money Bill, Pranab Mukherjee, Senior Citizens Welfare Fund, indian express The sources said senior citizens (above 60 years) would be able to benefit from the welfare scheme whose launch may coincide with the government completing a year in office on May 26.

The NDA government is set to announce a new welfare scheme for senior citizens utilising the funds unlocked by amending laws relating to unclaimed deposits in the Finance Act, 2015.

According to government sources, this is one of the several laws proposed to be amended in the Finance Act by classifying it as a Money Bill. “The total amount that would be available through this appropriation is in the range of Rs 5,000 crore. A new healthcare scheme is in the works now,” a source said.

The Finance Act became a law on May 14 after it received the assent of President Pranab Mukherjee.

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The sources said senior citizens (above 60 years) would be able to benefit from the welfare scheme whose launch may coincide with the government completing a year in office on May 26.

“Nearly 25-30 crore senior citizens will benefit from the new scheme,” the source said.

In the Finance Bill, 2015, the finance ministry had proposed setting up a “Senior Citizens Welfare Fund” to which will be credited funds which remain unclaimed for seven years from the date of its declaration as an inoperative account.

These could be the unclaimed funds in small savings or public provident fund accounts and any other schemes notified by the government.

The government plans to set up an inter-ministerial committee for administration of the Senior Citizens Welfare Fund. Any person who makes a claim on the deposit will have to apply to the respective institution with which the amount due was originally deposited, i.e. the post office or the bank or institution with which the PPF account was opened.

The Finance Bill, 2015, further stated that if no claim is made within 25 years of the deposit being transferred to the Senior Citizens Welfare Fund, then it shall be transferred to the government, unless a court orders otherwise.

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  1. R
    Rita Dey
    Mar 3, 2017 at 11:04 am
    My mother, Seema Ghosh is 93 years old. She is the daughter of Late Sarada Ukil, famous painter. Is it possible for her to get any benefit from the senior citizen scheme? lt;br/gt;Even though I try to take care, I am also 65 years old and depend a lot on my son. However, I would like to seek help for my mother so that she lives a more dignified life for the remaining years of her life.lt;br/gt;lt;br/gt;Yours sincerely
    Reply
  2. K
    Kallol Kumar Chakrabarti
    May 22, 2015 at 1:58 pm
    Most of the urban senior citizens are to depend on the MIS, but the government has slashed the interest rate, not keeping in mind their substantial income has lessened with the high price of commodities. Some urban citizens even are to feed their adult children, as the government fails to provide jobs, despite manpower shortage in every government organization. Not giving gimmick, the government should ensure the right to live of the people in this country, by taking pragmatic steps, not ushering into daydreaming.
    Reply