ACTIONS TO BE TAKEN BY VETERANS WHILE STILL IN
GOOD HEALTH
JUST DONOT POSTPONE THEM EVEN FOR A DAY
1. While
in service, we planned for all contingencies which might occur, whether in
official or personal matters. However, after retirement many of us do not
display the same meticulousness in our personal affairs. We feel that we still
have plenty of time to go and will place our affairs in order In due course of
time. When the unexpected happens, the NOK are left to clear an unimaginable
tangle of legal and financial issues. It is obviously our responsibility
towards our loved ones to organise our personal affairs, while we are still in
good health, so that our NOK can receive assets as smoothly as possible. Some
measures to ensure this are enumerated in succeeding paragraphs.
PART A - SERVICE /PENSION
ISSUES
NOTE : The Appces
mentioned in the following paragraphs can be viewed by opening this link on
your computer - http://1drv.ms/1hrfNPl
. In most cases ready made draft letters
in word formats can also be obtained / downloaded from the relevant URLs
mentioned there in.
2. Endorsement
Details of NOK and Family Pension in PPO. Presently, the name of NOK
and amount of enhanced family pension and family pension due are notified in
the PPOs of retirees to enable immediate payment by Pension Disbursing
Authorities (PDAs). Prior to t989, there was no procedure to mention the
details of NOK and amounts of family pension in the PPO. Please check your PPO
to ensure that it contains an endorsement of amount of Enhanced Family Pension,
Family Pension and the name of NOK. The complexity of getting the name of an
NOK included in a PPO after demise of the pensioner needs no elaboration.
Affected veterans are required to forward "Application for Endorsement of
Family Pension Entitlement in the PPO of living Armed Forces Pensioners"
in triplicate, duty attested by PDA, to Army HQ , AGs Branch, MP 5 (b) for
necessary action. They will, in turn, forward it to PCDA (P), Allahabad for
implementation, (Appendix
‘A’ refers).
Docu - http://1drv.ms/1fVLRho
Sample format http://1drv.ms/1fVLzXY
3. Endorsement
of Date of Birth of NOK in the PPO. After 6CPC, very senior citizens beyond
80 years of age are entitled to additional family pension. This would not be
admissible till the date of birth of the spouse is clearly established in the
PPO. Currently, depending on the year of
retirement, the year of birth of NOK may, at most, be mentioned. Endorsement of
date of birth of NOK can be done by filling the form issued for the purpose by
Army HQ and forwarding it with required proof to Army HQ , AGs Branch, MPS(b), (Appendix B refers}. Action to publish a
revised LPC - cum - Data Sheet will be taken by Army HQ and necessary amendment
will be issued by PCDA (P), Allahabad.
4. Correctness
of Wife's Name in PPO. The spelling of the wife's name in the PPO
should be checked for correctness. The same name can be written with different
spellings in English. For example, a name can be written as Samira" or "Sameera". However,
if there is a variation in spellings between the names as spelled in the PPO original
certificates of NOK and bank accounts, then these will cause numerous problems
when the time comes. It will be advisable to check the PPO and all supporting
documents and if required, amendment to PPO be carried out through Army HQ,
AG’s Branch, MP 5 (b).
6. Change
of Pension Disbursing Branch, Some senior veterans are drawing pension
from a bank located in a city other than their present place of
residence. This, was probably that the bank conveniently located when they
retired, but after subsequent
relocation, they have not changed the bank, since they are facing no problem
in drawing their pension
through online banking. Such
veterans would be well advised to transfer their accounts to a location close to their present place of residence. The
procedure to do so is very simple. It involves giving an application on the
specified form to
their present bankers
(PDA), who will be
responsible to carry out the remaining formalities. The form for change
of PDA can be downloaded at http://pcdapension.nic.in/forms/disburseform7.pdf
. Application for transfer of PDA can be
downloaded from this URL http://1drv.ms/1fVN5cD
.
7. Issue of
Duplicate PPO. In some cases, where senior veterans tried to change
their PDAs, they were told that the original PPOs were not traceable. In such
cases, action to issue duplicate PPOs can be taken in accordance with PCDA(P)
Circular No 137 dated 11.05/2009 . The
circular can be seen at http://pcdapension.nic.in/6cpc/Circular-137.pdf. CIRCULAR can be viewed or downloaded from
this URL --- http://1drv.ms/1fVNwUc
8. Nomination for
Payment of Life Time Arrears of Pension / Gratuity. With the long lead
time taken in processing dues of salary and pensions, there will be payments of
such arrears which come about after the
demise of the pensioner. These are treated differently from family pension and
are not automatically paid to the NOK. Their disposal is in accordance with
nomination filed by the pensioner. Para 114 of "Defence Payment lnstructions,2005" requires all pensioners to nominate a person
to receive, after death of the pensioner, all moneys payable to the pensioner,
or which may become payable in due course (e.g. arrears) . The nomination on
Form ‘A’ to Appendix 21 of PPl, 2005 is to be submitted in quadruplicate to the
Pension Disbursing Authority (PDA) and a
receipt obtained, (Appendix
‘C’ refers). Modification
to an earlier nomination can be carried out by submitting Form ‘B’ to Appendix
21 of PPl, 2005 (Appendix
‘D’ refers). This can ALSO be downloaded from this URL -- http://1drv.ms/1fVNP1e
9. Grant of
Family Pension for
Life to Handicapped Children. A son or a daughter of an officer suffering
from any disorder or disability of mind or physically crippled or disabled
which renders him or her, unable to earn a livelihood even after attaining the
age of 25 years is eligible for grant of family pension for life, after the
death of widow of the officer and where there are no other eligible children.
This provision has been extended to Handicapped children even after their
marriage. Auth :- http://pcdapension.nic.in/6cpc/Circular-505.pdf
. This can also be downloaded from
Signals Family website URL http://1drv.ms/1esoRkJ . Necessary action must be taken by veterans to
ensure that they complete the necessary documentation while in good health.
They need to take up a case with Army HQ, AG’s Branch MP 5 (b) , which, after verification, will
forward intimation to PCDA (P) to the effect that details of the handicapped
child have been taken on record. The acknowledgement should be preserved by
parent / guardian for production at the time of consideration of family pension
to handicapped child, when contingency arises. The documents to be forwarded to
Army HQ, AG’s Branch, MP 5 (b) are as under :-
(a) A certificate from
competent medical authority (a Medical Board comprising of Medical Superintendent
or a Principal or Head of Institution as Chairman) specifying the nature of physical or mental disability
and degree of disorder.
(b) A certificate from the
medical authorities to the effect that the handicapped child is not in position
to earn his livelihood.
(c) In case of mentally
retarded son or daughter, the family pension shall be payable to a person
nominated by the Armed
Forces personnel/pensioner and in case
no such nomination has been
furnished by the Armed Forces personnel/pensioner during his life time, the
person nominated by the spouse of the deceased personnel/pensioner. The requirement
of appointment of guardian by a Court of Law has been dispensed with, for
pension.
10. Updating
of Personal Occurrences . In case changes in
family status eg Marriage /remarriage / birth of child have taken place after
retirement, action must be taken to publish the personal occurrences through
Part II Order and have the changes incorporated in PPO, if required. Publication of Personal Occurrences would be
carried out through Army HQ, AGs Branch, MP 5(b). Changes in permanent address should also be
intimated, on occurrence to Army HQ MP(5),
PCDA (Pension), PCDAO (Archives), Army Officers Benevolent
Fund and AGIF directorates.
11. Preservation of
Documents. Army HQ, AG’s
Branch MP (5) and PCDA(O) destroy their
records after 15 years. It is therefore advisable to maintain your own set of
important documents, especially those pertaining to important Casualties and
pay fixation. The problem of payment of arrears in the "Rank Pay
Case" to senior veterans by PCDA(O), has highlighted this important
aspect.
12. Assured Decent
Last Rites Scheme (ADLR). The ADLR Scheme has been implemented by the
Indian Army since 2006. Under this scheme, all veterans / widows holding valid
canteen cards and registered with the ADLR Office of the Canteen on which they
are dependant, will be provided with assistance by the ADLR staff, in organising and assuring a decent funeral,
when requested. Expenditure of up to Rs
2,500 can be incurred by the ADLR staff.
In case veterans feel that this contingency might be required, then
registration should be carried out at the dependent URC.
PART-1 B – VETERAN’S PERSONAL ISSUES
13. Writing
The Will. It is said that when a
deceased leaves no Will, lawyers become his heirs. A frequent error is in
presuming that on the death of an individual, his property is automatically
inherited by the living spouse. Property
can only be inherited by Will or law of intestate, which means division of property according to
the religion based personal laws applicable to the deceased. We are all aware
of the importance of a Will, but keep leaving it for another day because of
some inhibitions. Some salient issues
pertaining to Wills are :-
a.
There is no particular form prescribed by law for a Will. It
can be hand written or typed with each page signed by the testator and the
attending witnesses. The only legal requirements are that the testator should
be of sound mind at the time of executing the Will and should have signed in
the presence of two attending witnesses , each of whom has also signed in the
presence of the testator and an endorsement to this effect is made. Since the
witness may be called upon, someday , to authenticate the Will, it would be
prudent to use friends neighbours who are younger in age and will be available
when required. Witnesses cannot be beneficiaries under the Will. In case there
is any possibility of the Will being contested, then it would also be advisable
to have the family doctor certify that the testator is of sound mind and
health. It may be noted that witnesses are only to certify the fact that the
Will was voluntarily signed by the Testator while of sound mind and health and
are not required to read the contents of the Will.
b.
Only wealth accumulated by the testator can be willed.
Ancestral property must be distributed as per the applicable personal laws. In case of
assets being bequeathed are considerable,
the Will should be drafted by a lawyer
and checked by an accountant. The Will should be reviewed periodically to cater or
changes in financial or family circumstances.
c.
The existence of any pin
holes in the Will is likely to give rise to an inference that some documents
were attached to the Will, which may cause difficulty at the time of proving
the legality of the Will and obtaining a probate in the court of law, if the
necessity arises. Thus, there should be no tags or attachments
d.
If some points are required to be settled, or corrected in
the original Will, a supplementary or document of 'Codicil" can be prepared. It would be
necessary to "attach" the Codicil along with the Will and give
necessary information / intimation to those holding copies of the Will.
e.
Both spouses should consider executing separate Wills to
cover contingencies such as either one predeceasing the other. The remaining
spouse should make a fresh Will on demise of one partner.
f.
Nominations made for various accounts should be consistent
with those mentioned in the Will.
g.
The Will must be kept securely and its location known to the
NOK. Copies may be given to the Executor, if deemed necessary.
h.
All Wills are revocable, however, in case a Will is revoked especially
so a registered Will, it should be clearly stated in the latest Will that,
"All previous Wills. whether registered or un-registered, whatsoever and
wherever , stand revoked and cancelled". This will avoid any
controversies.
i.
No stamp duty is required to be paid by heirs on registration
of property.
NOTE All aspects of writing a Will can be accessed on Signals family URL - http://1drv.ms/1fVOtvQ
14. Choice of The
Executor. Execution of any Will
rests with the Executor of the Will. Hence it is imperative that the executor
be an honest, trustworthy and reliable person. Obviously, he should be
implicitly trusted by the Testator. It is advisable to have a younger person in
good health as an Executor, to try and ensure that he/she does not pre-decease
the Testator of the Will. In case an Executor does predeceases the Testator,
then a fresh Will should be executed. Where the property has to be divided
amongst different heirs, or if a Will gives only life interest to any one
person and thereafter the ownership rights vest with someone else, appointment
of a reliable lawyer as an Executor may be considered. The Executor must know
the contents of the Will and be willing to execute the Will according to the
wishes of the Testator. Preferably, the Executor should be a resident of the
same town as the Testator, to enable him to execute the concerned Will, legally
and expeditiously.
15. Registration of
the Will. Registration of a will is not obligatory. However, where it is apprehended that the
genuineness of the Will is likely to be challenged, it may be advisable to
either consider notarization of the Will
before a notary public or registration before
the registrar. Registration offers
two distinct advantages - the procedure for probate is simplified and in case
the original will is lost / misplaced, the duplicate held with the registrar
can be obtained. At the time of Probate, both the witnesses are required to be
present, which is not the case when the Will is registered. It should be noted
that a registered Will takes precedence over an un-registered Will. Hence in
case of any revocation or alteration of an earlier Will, the latest Will must
be registered.
16. When the Will
Can Be Declared as Void
a) If it is established that the Will itself, or
some portion of it, has been written under duress.
b)
If there is over writing and there are tangles which are not
authenticated by the maker of the Will and the witnesses.
c) If
the Will is not duly signed by the witnesses.
d) If
the provisions made in the Will are impossible to comply with, or not legal, or
are derogatory to social harmony.
Go through various articles of WILL - http://1drv.ms/1fVOtvQ
NOMINATIONS.
17. A
nominee is a trustee and not the owner of assets. In other words, he is only
the caretaker of the assets and is legally bound to transfer it to the heirs,
in accordance with the wishes expressed by the testator in the Will.
Nominations must be regularly updated after any changes in family status e.g.
marriage, death etc. The following types of accounts / instruments must have
nominations :-
a. Bank
Accounts. (If not filled at the time of Account opening, Form DA 1 is
to be used for nomination, Form DA 2,
for cancellation of nomination and Form DA 3 for change in nomination. The
forms can be obtained from your Bank or downloaded from their sites .
b. Fixed
Deposits. (If not filled at the time of Account opening, same forms as
for Bank Accounts to be used for nominations).
c. Post
Office instruments like NSC, KVP,MIS, and Recurring Deposit etc. (Nomination or Cancellation / Changes to be filled on
Form SB 55. (Placed
at Appendix E). Download
available at http://www.indiapost.gov.in/pdfForms/SB55-AppinforNominationofPOSB.pdf
d. PPF
Account. (Nomination / Changes to be made on Form E. (Placed at Appendix F). Download available at http://www.indiapost.gov.in/pdfForms/PPFNomination.pdf
e. Bank
Lockers. (Nomination is by single hirer is to be made on Form SL 1, by
joint hirers on Form SL 1A, Cancellation
of . Nomination on Form SL-2, Change in nomination by single hirer on Form SL3
and by joint hirers on Form 3A. Forms can be downloaded from http://thebankingbible.com/wpontent/uproads/2012/08/NOMI
NATION-LOCKERS.pdf
f.
Demat Accounts. The Demat A/c
Custodian bank normally gets the nomination done while opening the account.
However. if this has not been done, or details cannot be located, then a fresh
nomination can be filed
by filling up the
documentation provided by the
Custodian.
18. A detailed note on understanding the importance of Nominations
is placed at Signals family BLOG and can be accessed and downloaded in word
format from URL -----
http://1drv.ms/1cVlmZg
ADHAAR CARD
19. The
Adhaar Card is increasingly being used to associate an individual's identity
with various financial issues. It is already being used to pay subsidy on
Cooking Gas in most parts of the country. Most veterans have taken necessary
action to register themselves for the card under the UID Scheme. Those who have
not done so, due to laziness, or other reasons, need to complete this formality
urgently. There is no knowing what this card may be required for when one is no
longer around.
Maintenance of Documents.
20.
The original
copies of following documents should be kept securely, (preferably in a joint locker with the spouse),
and photocopies kept accessible at home:-
a) Will.
b) Original and Corrigendum PPOs,
c) Insurance Policies (Life, Car, House, Medical etc.).
d) Financial Instruments. (FOs, NSC,
KVP etc.)
e) Share I Mutual Fund Certificates.
f) Registration papers of Home I Flat .
g) Vehicle Registrations.
h) AGIF Certificate of Extended Insurance.
i)
Loan documents of house I vehicle.
j)
Any commitment made towards organ donation.
NSP Weapons
21.
Some veterans would have acquired NSP Weapons, while in service, and obtained an Arms
License for it. The allotment under the provisions of SAO 4/S/2006 (or older SAOs) would have been made by the Standing Allotment Committee and approved by the MGO. After demise of the veteran, the weapon can either be sold or retained by the heirs, provided a valid Arms Licence can be obtained.
The procedure to be followed
is
as under :-
a)
Resale of
Weapon. Resale of NSP weapon will be governed
by Army Act 1959, Chapter
II, with prior sanction of the Standing Allotment Committee. NSP weapon purchased ex-Ordnance will be sold at reasonable rates to entitled persons
(i.e. Serving I retired Officer, JCO, and serving Civilian Gazetted Officer). If sanction to sell/transfer as mentioned above is not accorded by the Standing Allotment Committee, the weapon will be returned to COD Jabalpur by the allottee under
information to the Civil Licensing Authority.
Resale of
Weapon. Resale of NSP weapon will be governed
by Army Act 1959, Chapter
II, with prior sanction of the Standing Allotment Committee. NSP weapon purchased ex-Ordnance will be sold at reasonable rates to entitled persons
(i.e. Serving I retired Officer, JCO, and serving Civilian Gazetted Officer). If sanction to sell/transfer as mentioned above is not accorded by the Standing Allotment Committee, the weapon will be returned to COD Jabalpur by the allottee under
information to the Civil Licensing Authority.
b) Retention of Weapon by Legal Heirs. On
demise of an Individual the legal heirs of the deceased weapon holder may apply. to the Standing Allotment Committee for retention of the
weapon as family heirloom on sentimental reasons. If sanction for retention
is not granted the weapon will be returned to COD Jabalpur.
22. The utility of retaining an NSP weapon
should be reviewed by veterans
while still in good health, If it is not required for security, then it should be surrendered because
its disposal will probably end up as one of the major problems for the heirs, especially
if the weapon is ·of a prohibited bore.
23. A detailed
summary of the relevant rules on NSP· weapons,
including the procedure I provisions for transfer of NSP weapons on succession,
can be
read
at
the
website http://mha.nic.in/pdfs/AaAPolicylnd-080410.pdf
Registration of Car
24. It is always
advisable to have one's car registered locally. Many veterans have purchased
cars at distant stations, while in service. Transferring the car in the name of
NOK after succession will entail the additional step of first transferring the
registration of the car to the local RTO, before it can be transferred in the
name of the NOK. The first step will itself become complicated because the NOK
cannot sign for the deceased. It is therefore prudent to transfer registration
of cars to the station of retirement while still in good health.
Reverse Mortgage
25. Reverse mortgage as a
concept, is fairly new to India. It provides Senior Citizens who are asset rich but require cash, the opportunity to
enjoy the fruits of their hard work, invested in immovable assets, during their
on lifetime, All that you need to do is to pledge your house for a reverse
mortgage. The funds that you get will not only help you augment your retirement
nest egg, but will also equip you to deal with financial emergencies.
26. When one buys a house
through a loan / mortgage, the lending institution funds 80% of the house cost
and the borrower has to arrange for the balance 20%. As repayment of the loan through EMls is
carried out, the percentage of ownership of the buyer progressively increases
and that of the lending institution decreases. In a reverse mortgage, the exact
opposite happens. When one pledges a house, the lending institution, after
arriving at its value, keeps a margin and depending on its rates of interest on
the reverse mortgage, disburses the money according to the plan which is
selected. With every payment made, the lending institutions ownership of the
house increases. So, when one pledges his house for reverse mortgage, one
basically unlocks its value in the form of payments from the lending
institution in his life time.
27. After the lending
institution has taken over the possession of the house, the legal heirs are
given the first chance to settle the loan and resume ownership of the property.
However, if they are unable / unwilling to settle the loan, then the lending
institution will sell the property and recover the loan and interest amount.
The balance amount will be given to the legal heirs.
Organ Donation
28. With increasing
population and changing lifestyles, the number of persons with failed organs is
increasing. It is estimated that in India over two lakh people are diagnosed to
have end stage liver disease and can be saved only through a liver transplant.
Due to non-availability of organs, only about 2000 liver transplants (from
living related donors) are done. The numbers affected for other organs like
eyes are much greater.
29. Organ donation in
India is carried out under the provisions of "Transplantation of Human Organs Act,
1994”. Donation can be carried out
through two categories of donors - living organ donors and deceased organ
donors. Living organ donation carries
all the risks of a major surgery for the donor. The donation may be of a Kidney
or half a Liver. The law is stringent on transplantation of organs from living
persons. This act prohibits commercial dealing in human organs and thus limits
the scope of living organ donation to living relatives only.
30. Deceased organ donation
does not disfigure a body while providing more types of organs for donation.
The organ harvesting can be from a brain dead individual, ( where all functions
which are governed by the brain are lost, which includes respiration as well,
but at the same time, other organs like
liver, kidney and other viscera keep functioning), or a biologically dead
individual. In both categories, the
commitment to donate must be made during the life time of the deceased. In a
recent cadaver donation of a brain dead individual at PGI, Chandigarh, kidneys
were transplanted to two terminal patients, a liver to a third and eyes to a
fourth. What better way to perpetuate ones memory after death, than to give
life and vision to others.
NOTE -- GIFT LIFE TO SOME ONE
AND You still live after your death.
31. The commitment to
donate can be made at any major hospital located near one's permanent residence. Armed Forces Personnel can contact Army
Hospital (R&R), Delhi Cantt, or
Command / Base Hospitals: Do remember to
Inform your NOK and keep the relevant documents readily available to enable
fulfillment of your wish when the time arises. Following Pledge forms and
brochures may be referred to for pledging your GIFT OF LIFE :-
a)
ORGAN DONATION DESCRIPTION
- CLICK
b)
ORGAN RETRIEVAL BANKING ORG – AIIMS - CLICK
c)
ORGAN DONATION A GIFT OF LIFE
- CLICK
d)
ORGAN DONATION PLEDGE - MIL PERSONNEL - CLICK
Assets Register.
32. In our society, financial
and legal issues are generally handled by the male heads of the family and
ladies refuse to take interest in such issues- and remain oblivious of
documents / assets. With the existing nuclear families, when the unexpected
happens, children come, at most for a
week or two by which time only the religious functions are completed. Succession issues, including transfer of
accounts have to be dealt alone by the widow. Thus, the requirement to maintain
an Assets Register, wherein particulars,
locations and nominations of all
assets are recorded. Details of all loans and receivables should also be
recorded. This can be just a register (or even an Excel file in your laptop
duly backed up on a CD/Pendrive). However, to be useful, it has to be regularly
updated. A useful format is placed at Appendix ‘H’. This can be printed and placed in a separate file along with photo
copies of the important documents.
NOTE – A detailed note on
making your Assets Register together with the suggested format of your Register
and connected aspects can be accessed at URL --- http://1drv.ms/N0zAeP
Passwords and PINs.
33. Today, everything on the
computer has a password - email, bank accounts,
demat accounts and even the computer containing all vital records / correspondence.
All the passwords need to be recorded and updated on occurrence of any change. The
importance of safe custody of this record needs no elaboration. Debit and
Credit Cards have a PIN to execute a multitude of actions Including withdrawal
of cash. These too need to be recorded in the same manner as passwords.
Advice for Ladies.
34. All over the world, ladies, on
an average, live five years longer than their partners, meaning thereby that
most ladles will live their last years without the support of their spouse. Ladies must prepare for this eventuality. They
must become aware of all financial and legal issues of the family. They must
visit banks, municipal offices and other billing agencies like electricity and
water to familiarise themselves with procedures. Ideally, the
method to undertake these transactions from home, through the internet, should
be mastered.
Conclusion.
35. With increasing years, it is
desirable that veterans reduce their financial spread and resolve issues which
are likely 'to create problems for their heirs. To start with, unnecessary bank
accounts should be closed. All existing
accounts and bank lockers should be jointly operable with the Spouse.
36. In case you are still not
convinced about the need to prepare for the unforeseen, but inevitable
contingency, please read the experience of a young spouse, in her article
placed on the Internet to guide others at our Signals Family BLOG at URL
--- http://1drv.ms/OnCFa1
.
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NOTE --- DONOT LEAVE YOUR LOVED ONES
IN LURCH
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