Balaji.venkatesan
Payroll, Statutory Compliance & General
Arihant_ac
Legal Advisor
Rnmconsultants@gmail.com
Principal Consultant
V.S.JANARDHANAN
Personnel Manager
Ritedarong
Compliance Expertise In Labour Laws &
Kph
Labour Law
Kmlnayyar
Head Regional Hr
Vincentnp
Human Resource
+5 Others

Thread Started by #arpu82

Dear Frndz,
One of our old employees has mailed us a letter regarding the settlement of his PF.
His PF Cheque was deposited into his account by the PF Authority, but the cheque was bounced due to "INSUFFICIENT FUND".
Is it possible??? I mean hw can dis happen??? Being such a big authority, how can they have insufficient Fund???
Another employee's cheque was returned as it was not signed by the PF Officials.
Its realy unbelievable.:icon5::icon5::icon5:
8th October 2009 From India, Madras
How can the cheque bounce which was meant for depositing? Rathnam Manne. (Life’s Gud)
8th October 2009 From India, Bangalore
Its Impossible what you tell & no one can believe this type of things. This seems that this type of error has been created for malfunctiong, or it may be error of Bank. Please go to bank & verify it.
8th October 2009 From India, Surat
PF Authority has sent the cheque to the employee and when the employee deposited tht he was informed tht the chq is bounced due to insufficient fund. Even the bank whr the employee is having account has given a letter mentioning the same.
Even i dont believe the same. We have forwarded that letter to the PF Office enclosing all the related documents. Lets see wht the actual matter is.
9th October 2009 From India, Madras
Sorry arpu82 PF authority never sent cheque to employees, but the said cheque is directly send to your employes given bank & its address. So I think it must be error created by Bank Only.
9th October 2009 From India, Surat
PF Authourity can not do such type of mitakes,
in suffciant funds aloo impossible,
anybody withdraing the ammount many cross cheching is there,
Do one thing if it really happend you will go "civil suit" consumer court,and labour court.
9th October 2009 From India, Hyderabad
We have already sent that to PF office.... It must be an error may be from the banker's side. Waiting for the PF office to revert back. It will take some time to identify the main cause of such descrepancy.
9th October 2009 From India, Madras
The most important thing is that these days the Pf office takes bank account nos and also ECS forms have started from the Pf office, so that the amount is directly credited to the employees bank account.
Hence the PF office sending a cheque is something which we need to think about. Further even if the PF office has sent cheque, they will do it only becasue they have to pay the amount not becasue it has to bounce.
You have done the right thing as of know, but ask the employee to check with his Banker as well. In all probabilities it seems to be the Bankers error.
9th October 2009 From India, Mumbai
It is highly improbable. There could be some other reason for cheque bouncing like signature mismatch or other error committed by the bank. Regards, Kamal Nayyar
9th October 2009 From India, Thana
Ya i agree with Mr. Arihant, it is impossible pf never send a cheque directly they will credit the pf amount to the employee mentioned bank account but cheque bounce i cant believe your employee playing with you. Are you into hr department i think you are not, you said check bounce then check returned all things are cannot acceptable bcoz there is no chance to issue a check. you are new into statutory thats why you are telling like this.
9th October 2009 From India
This is not a error this is a big mistake and it is a legal issue. If pf check bounce it will create a big issue. how dare they did like this anyhow i cant believe this post.
9th October 2009 From India
Hey Frnz!!!!
Today only we came to know that its an error from both the PF and the Bank's Side.
PF Authority has deposited the cheque into the employee's account without signing it.
And the bank has mention the reason of rejection as "insufficient fund" instead of no signature.
Its realy shocking.... Is it a small error???
9th October 2009 From India, Madras
you should tell to pf official regarding this. ya i quite not possible clarify this bank also may be they are mistaken
9th October 2009 From India, Panipat
I am also facing the problem, the cheque was deposited directly by the PF office to my bank account and last month I got an sms from my bank mentioninig that the checque has been dishnoured because it exceeds arrangement. The bank people had ask me to redeposit the cheque and to my surprise today morning only i got to know that it has been dishnoured again. I am not sure whether I will ever get my PF amount or not.
Rgds,
anisha
9th October 2009 From United Kingdom
What ever may be the outcome advise the pf subscriber to file a case against the pf authorities under the negotioble instruments act for the cheque bounce and another case under the consumer protection act for deficiency of services.
10th October 2009 From India, Vellore
Friends,
I have also come accross such cases where the PF cheques bounce due to various reasons. Kindly do not get perturbed by such messages. It is not that PF department has insufficient funds or anything else.
Remember the PF authorities who sign the cheques sometimes more than 300 cheques a day and in such cases sometimes it is but natural that the signature differs. It is also true that the writing could vary.
What one has to do is to go to the concerned PF office and get another cheque for this amount. That is all.
Of course some may feel very bad at this and may prefer a complaint with the Consumer Courts against the PF department and get the work done.
take care,
regards
10th October 2009 From India, Bangalore
Never allow such damaging information to be spread about the PF organisation. It is the only social security scheme that takes care of millions of working class people.
12th October 2009
Dear Vincetnp
Yeah you are correct. but its not my organization/ my employees who suffered due to this, there are many.
Being a member of CiteHR, you must have seen so many queries/ quotes related to employees/ employers experiences and there are so many suggestions also by the other member. Dont you think this is also a matter to discuss with the members.
Its not the matter about the status of the Authority, its about the services/ benefits which they are providing.
14th October 2009 From India, Madras
Dear All
i have gone through all the comments. The employee who is saying that pf cheque is returned back due to funds etc is nothing but mistake of the employee either he has given wrong name or account number. Its impossible that pf deptt has no funds. secondly a cheque issued by the authority is gone through three or four processes. So siganatures of authority misses is also not true. 3rdly if a cheque returned back due to signatures of authority directly forward to accounts section. pls check
14th October 2009 From India, New Delhi
It is not spreading a wrong word about the authority but I personally have faced this problem. And I have found out that there is a problem from bank as well as PF dept.'s end.
15th October 2009 From United Kingdom
yes its true that cheques do get rejected. This has happened only yesterday with me and for the second time. I am still to ascertain the exact reason for it, however, it has left a bad taste. I mean its my money and how can the department be so much callous in issuing cheques like this. I was issued 2 cheques and 1 got cleared and the other got rejected( on cheque return advice the reason given is- Kindly contact drawer/drawee bank and please sent again.) . What does it mean?? Who is at fault? I mean they issue 2 cheques and 1 gets cleared while the other is returned. Ridiculous!!! I will try to talk to the epf office and see what have to do next else, I will see them in court.
6th January 2010 From India, Lucknow
Reply (Add What You Know) Start New Discussion

Cite.Co - is a repository of information created by your industry peers and experienced seniors. Register Here and help by adding your inputs to this topic/query page.
Prime Sponsor: TALENTEDGE - Certification Courses for career growth from top institutes like IIM / XLRI direct to device (online digital learning)





About Us Advertise Contact Us
Privacy Policy Disclaimer Terms Of Service



All rights reserved @ 2019 Cite.Co™