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EPF board to meet in April

March 29, 2005 16:06 IST
Source:PTI
The Employees Provident Fund board is likely to meet in the second week of April to discuss measures to fund the Rs 927 crore (Rs 9.27 billion) estimated shortfall due to 1.0 per cent hike in interest to 9.5 per cent for 2004-05.

The central board of trustees of EPFO would also suggest the interest to be paid to four crore beneficiaries for the next financial year in view of its sub-committee stating that only 8.0 per cent was "tangible".

"It will be held in April," Labour Minister and chairman of CBT K Chandrasekhar Rao said on Tuesday.

Sources in the CBT said the meeting, which was postponed at the last minute citing "technical" reasons on March 20, was more likely to be after April 8.

Asked what was the status of EPF rates for 2004-05 since the Finance Ministry had not ratified it, Rao said whatever has been announced by the Prime Minister would be implemented and there was no controversy in this regard.

"We will ask Prime Minister. Whatever he (Manmohan Singh) says, we will do accordingly," Rao said when asked how EPFO plans to cover the estimated gap of Rs 927 crore in interest earned by it and that offered to subscribers for this fiscal.

Finance Minister P Chidambaram had announced hike in EPF rates to 9.5 per cent from an "interim" 8.5 per cent on the same day when the Union Cabinet allowed higher FDI up to 74 per cent in telecom sector.

Asked about the notification of EPF rates for the last two financial years, a demand by several trade unions, he said it would be taken up with the finance ministry.
Source: PTI
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