NLC Personnel Manual Leave Rules

NLC PERSONNEL MANUAL
INDEX
VOLUME-II
SECTION- III - TERMS OF EMPLOYMENT / LOANS AND ADVANCES
Chapter
Subject Pages
No.
18 Leave Rules 18-1 to 18-49
19 Rules relating to Encashment of Leave 19-1 to 19-2
20 Rules relating to Travelling Allowance 20-1 to 20-26
21 Rules relating to L.T.C. and L.T.A. 21-1 to 21-22
22 Rules relating to Festival Advance 22-1 to 22-4
23 Rules relating to Conveyance Advance 23-1 to 23-27
24 Rules relating to House Building Advance 24-1 to 24-19
SECTION- IV - MOTIVATIONAL EFFORTS AND HRD PROGRAMMES
Chapter
Subject Pages
No.
25 Bonus including Production Incentives 25-1 to 25-6
26 Service Awards / Gifts 26-1 to 26-3
27 Incentives for acquiring Additional Qualification 27-1 to 27-10
28 Incentives for studying Hindi 28-1 to 28-8
29 Scholarship to Wards of Employees 29-1 to 29-3
30 Scholarship to Wards of SC/ST Employees 30-1 to 30-5
31 Suggestions Scheme 31-1 to 31-6
32 Sports Activities 32-1 to 32-5
33 Training and Development Activities 33-1 to 33-12

SECTION- III
TERMS OF EMPLOYMENT / LOANS AND ADVANCES
Chapter Subject Pages
No.
18 Leave Rules 18-1 to 18-49
19 Rules relating to Encashment of Leave 19-1 to 19-2
20 Rules relating to Travelling Allowance 20-1 to 20-26
21 Rules relating to L.T.C. and L.T.A. 21-1 to 21-22
22 Rules relating to Festival Advance 22-1 to 22-4
23 Rules relating to Conveyance Advance 23-1 to 23-27
24 Rules relating to House Building 24-1 to 24-19
Advance
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18. LEAVE RULES

18.1. REGULAR
18.1.1. EXTENT OF APPLICATION
These rules are applicable to those who are covered under regular establishment.
18.1.2. EMPLOYEES ON FOREIGN SERVICE
a) Company employees shall continue to be governed by the leave rules of
the Company while on foreign service within India. Similarly employees on
F.S.T. serving in the Corporation will be governed by the leave rules of their
parent organisation.
18.1.3. TRANSFER FROM POSTS GOVERNED BY OTHER LEAVE RULES:
a) Carry forward of the unavailed leave in the following cases is admissible.
i. To workers in non-factory units on their appointment/ promotion to a
post in Regular establishment; and
ii. To persons in Regular establishment on their appointment to a post
in Labour establishment.
iii. Subject to the condition that carry forward of unavailed leave shall
be limited to the maximum limit of accumulation of leave permissible
under rules applicable to the post to which the individual has been
appointed/promoted.
b) The leave carried forward shall be consumed before the leave earned for
service in the new post on Regular or Labour establishment, as the case
may be, is granted; and
c) Pay during the period of leave carried forward would be that admissible
had he taken the leave on the date of his appointment/promotion to the
Regular establishment or Labour establishment as the case may be.
GENERAL CONDITIONS:
18.1.4. RIGHT TO LEAVE
a) Leave cannot be claimed as a matter of right.
b) When the exigencies of work so require, leave of any kind may be refused
or revoked by the authority competent to grant it, but the kind of leave due
and applied for shall not be altered except at the written request of the
employee.
c) Intervals of duty between two spells of leave should not be short. In such
cases, if the leave sanctioning authority has reasons to believe that an
attempt is being made to take undue advantage of the leave rules or to
evade the spirit thereof the leave sanctioning authority may at his
discretion refuse the leave.
18.1.5. REGULATION OF CLAIM TO LEAVE
An employee’s claim is regulated by the rules in force at the time the leave is
applied for and granted.
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18.1.6. EFFECT OF TERMINATION OF SERVICE

Except as otherwise provided under these Rules, all kinds of leave except Earned
Leave at the credit of an employee shall lapse on the termination of his service in
the Corporation whatever may be the nature of such termination.
18.1.7. COMMUTATION OF ONE KIND OF LEAVE INTO ANOTHER
a) At the request of an employee the authority which granted him leave may
commute it retrospectively into leave of a different kind which was due as
admissible to him at the time the leave was granted, but the employee
cannot claim such commutation as a matter of right.
b) The commutation of one kind of leave into another shall be subject to
adjustment of leave salary on the basis of leave finally granted to the
employee that is to say, any amount paid to him in excess shall be
recovered or any arrears due to him shall be paid.
18.1.8. COMBINATION OF DIFFERENT KINDS OF LEAVE
a) Except as otherwise provided in these rules, any kind of leave under these
rules may be granted in combination with or in continuation of any other
kind of leave.
b) Casual leave shall not be combined with any other kind of leave admissible
under these rules.
c) Special casual leave can be combined with C.L. or regular leave but not
with both.
18.1.9. MAXIMUM AMOUNT OF CONTINUOUS LEAVE: No employee shall be granted
leave of any kind for a continuous period exceeding five years
18.1.10. APPLICATION FOR LEAVE: Any application for leave or for extension shall be
made in Form-I to the authority competent to grant leave.
18.1.11. LEAVE ACCOUNT: Leave Card system introduced with effect from 1.1.2000
(Circular No.1308/99, dt. 18.12.99).
18.1.12. VERIFICATION OF ENTITLEMENT FOR LEAVE
a) No leave shall be granted to an employee until its admissibility, is verified
with reference to the leave account.
b) The orders sanctioning earned leave/HPL to an employee shall indicate
the balance of such leave at credit. (Including Advance Credit)
18.1.13. LEAVE NOT TO BE GRANTED IN CERTAIN CIRCUMSTANCES
a) Leave shall not be granted to an employee whom a competent authority
has decided to dismiss or remove or compulsorily retire or suspend from
service.
b) Leave shall not be granted to an employee under suspension.
18.1.14. GRANT OF LEAVE ON MEDICAL CERTIFICATE
a) An application for leave on medical certificate made by an employee shall
be accompanied by a Medical Certificate in Form III given by a Medical
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Officer of the Corporation or a Registered Medical Practitioner practising

allopathic system of medicine defining as clearly as possible the nature
and probable duration of the illness.
b) A Medical Officer shall not recommend the grant of leave in any case in
which there appears to be no reasonable prospect of the employee
concerned resuming his duties and in such case, the opinion that the
employee is permanently unfit for service in the Company shall be
recorded in the Medical Certificate.
c) The authority competent to grant leave may at its discretion secure a
second medical opinion in the case of Medical Certificates obtained from a
regd. Medical Practitioner by requesting the CGS/M to have the applicant
medically examined at the earliest possible date. For this purpose, the
authority will also direct the employee to appear before the CGS/M or the
Medical Officer nominated by the CGS/M.
d) The grant of Medical Certificate under this Rule does not in itself confer
upon the employee concerned any right to leave; the Medical Certificate
shall be forwarded to the authority competent to grant leave and orders of
that authority shall be final.
18.1.15. LEAVE TO AN EMPLOYEE WHO IS UNLIKELY TO RETURN TO DUTY
a) When a Medical authority has reported that there is no reasonable
prospect that the employee will ever be fit to return to duty, leave shall
necessarily be refused to the employee.
b) The leave may be granted, if due, by the authority Competent to grant
leave, on the following conditions.
i) If the medical authority is unable to say with certainty that the
employee will never again be fit for service, leave not exceeding
twelve months in all may be granted and such leave shall not be
extended without further reference to a medical authority.
ii) If employee is declared by a medical authority to be completely and
permanently incapacitated for further service, leave or an extension
of leave may be granted to him after the report of the medical
authority has been received, provided the amount of leave as
debited to the leave account together with any period of duty beyond
the date of the report of the medical authority does not exceed six
months.
c) An employee who is declared by a medical authority to be completely and
permanently in-capacitated for further service shall:
i) if he is on duty, be invalidated from service from the date of relief of
his duties, which should be arranged without delay on receipt of the
report of the medical authority, if, however, he is granted leave under
sub-rule (a) above he shall be invalidated from service on the expiry
of such leave.
ii) if he is already on leave, be invalidated from service on the expiry of
that leave
iii) or extension of leave, if any, granted to him under sub-rule (a)
above.
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18.1.16. COMMENCEMENT AND TERMINATION OF LEAVE: Leave ordinarily begins on

the day on which the transfer of charge is effected and ends on the day preceding
that on which the charge is resumed.
18.1.17. TRANSFER TO FOREIGN SERVICE: If an employee is transferred to Foreign
Service while on leave, he ceases, from the date of such transfer, to be on leave
and to draw leave salary.
18.1.18. REGULATION OF JOINING TIME AND LEAVE: If an employee takes leave while
in transit from one post to another, the period, which has elapsed since he handed
over charge of his old post, must be included in his leave. On the expiry of the
leave, the employee may be allowed normal joining time.
18.1.19. ADJUSTMENT OF LEAVE WHEN JOINING TIME CURTAILED:
Should the employee join his new appointment before the expiry of leave plus the
joining time admissible, the period taken should be considered as leave not
enjoyed and a corresponding portion of the leave sanctioned should be cancelled
without any reference to the authority which granted the leave. If, in any case, the
employee desires not to avail of the full period of joining time admissible, the
unavailed days of joining time admissible shall be regulated with reference to
Joining Time Rules.
18.1.20. PREFIXING/SUFFIXING OF HOLIDAYS TO LEAVE TO BE AUTOMATIC
a) Prefixing and suffixing of holidays to all kinds of leave shall be allowed
automatically. (119/E&G/79, Dt.20-04-’79)
b) Employees on executive and supervisory duties who are eligible for paid
holidays can prefix and suffix the ‘paid holidays’ (and not administrative
holidays) to regular leave. (Proc. No. 132/E&G/75 Dt.21-07-’75)
18.1.21. RECALL TO DUTY BEFORE EXPIRY OF LEAVE
a) All orders recalling an employee to duty before the expiry of his leave shall
state whether the return to duty is optional or compulsory.
b) Where the return to duty is optional, the employee shall not be entitled to any
concession.
c) Where the return to duty is compulsory, the employee shall be entitled:
i) If the leave from which he is recalled is in India, to be treated as on duty
from the date on which he starts for the station to which he is ordered to
join and to draw:
v T.A. under rules made in this behalf for the journey, and
v Leave salary, until he joins his post, at the same rate at which he
would have drawn it but for recall to duty:
ii) If the leave from which he is recalled is out of India, to count the time
spent on the voyage to India as duty for purposes of calculating leave,
and to receive:
v leave salary, during the voyage to India and for the period from
the date of landing in India to the date of joining his post, at the
same rate at which he would have drawn it but for recall to duty;
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v a free passage to India;
v refund of his passage from India if he has not completed half the
period of his leave by the date of leaving for India on recall, or
three months, whichever is shorter;
v T.A. under the rules for the time being in force, for travel from the
place of landing in India to the place of duty.
18.1.22. RETURN FROM LEAVE
a) An employee on leave shall not return to duty before the expiry of the period
of leave granted to him unless he is permitted to do so by the authority, which
granted him, leave.
b) An employee who has taken leave on medical certificate may not return to
duty until he has produced a Medical Certificate of fitness in Form-IV from a
Company Medical Officer or a Regd. Medical Practitioner practising
allopathic system of medicine.
18.1.23. ABSENCE AFTER EXPIRY OF LEAVE
a) Unless the authority competent to grant leave extends the leave, an
employee who remains absent after the end of leave is entitled to no leave
salary for the period of such absence and that period shall be debited against
his leave account as though it were half pay leave, to the extent such leave is
due, the period in excess of such leave due being treated as extra-ordinary
leave.
b) Willful absence from duty after the expiry of leave renders an employee liable
to disciplinary action.
KINDS OF LEAVE DUE AND ADMISSIBLE
18.1.24. EARNED LEAVE
(Modified as per the Proc.No.CORP/P&A/1308/99, Dt.18.12.99)
a) The earned leave admissible to an employee is 1/22 for the first year of
service as regular employee and 1/11 for the subsequent years.
b) In respect of categories of Labour establishment brought on to Regular
Establishment the earned leave for the first year of service in the Regular
establishment will also be calculated at 1/11 (one eleventh) of the duty
period.
(Memo.No.23725/CI-1/81-3 Dt.11-03-’82)
(Memo.No.22634/P&A VII/82-210, Dt.18-04-’91)
c) An employee will cease to earn such leave when the earned leave at his
credit is 300 days. (CORP/P&A/WR/800/2001-2 Dated 16.07.2001)
d) The maximum earned leave that may be granted at a time shall be 120
days.
SIMPLIFICATION / STREAMLINING THE METHOD OF CREDITING
EARNED LEAVE / HPL / ML
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With a view to streamline and simplify the existing method of crediting Earned Leave
and Half-Pay Leave for Regular category of employees and Medical Leave for Labour
category, the following modifications are implemented with effect from 01-01-2000.
EARNED LEAVE - Regular category of Employees
1. Earned leave will be credited in advance at a uniform rate of 15 days for the period
January – June on the 1st of January and 15 days for the period July – December on
1st of July every year. There shall be no corresponding deduction in the EL to be
credited for Earned Leave / HPL / ML availed in the past half-year. However, amount
of credit will be reduced by 1/10th of extraordinary leave availed and / or period of
dies-non during the previous half-year, subject to a maximum of 15 days and to the
extent of such credit only.
2. While limiting the maximum of 300 days, where the balance at credit is 285-300 days,
further advance credit of 15 days on 1st January / 1st July will be kept separately and
employee can avail this 15 days EL during that half year ending 30th June / 31st
December. However, if the leave availed is less than 15 days, the remainder will be
credited to the leave account subject to the ceiling of 300 days at the close of that half-
year.
3. The credit for the half-year in which an employee is appointed will be made at the rate
of 2½ days for each calendar month of service which he / she is likely to render in the
calendar half-year in which he / she is appointed. In case of probationers, presently
entitled for 1 day EL for every 20 days will be entitled for 1¼ days for each calendar
month of services up to the period of probation.
4. The credit for the half year in which an employee is due to retire or resigns from the
service will be made at the rate of 2½ days per calendar month (the employee is going
to serve in that half-year) up to the date of retirement / resignation.
5. The credit for the half-year in which an employee is removed / dismissed from service
or dies in service, will be regulated at the rate of 2 ½ days per completed calendar
month upto the end of the calendar month (preceding the calendar month) in which he
/ she is removed / dismissed / dies.
6. If an employee, who retires / resigns / is removed / is dismissed / dies in the middle of a
calendar year, has taken any extraordinary leave during that half-year, the earned
leave credited should be reduced at the rate of 1/10th of such extraordinary leave and
the leave account regularised.
7. While giving credit, fraction of a day should be rounded off (r/o) to the nearest day,
e.g., 6¼ days to be r/o as 6 days and 7½ days to be r/o as 8 days. In calculating the EL
to be credited for the period up to 31-12-1999 also, fraction of a day is to be rounded
off to the nearest day.
(Procs. No. CORP / P&A / 1308 /99/Dated.18-12-1999).
(CORP/P&A/WR/800/2001-02, Dated:16.07.2001)
HALF PAY LEAVE - Regular category of employees
1. Half pay leave will be credited in advance at the rate of 10 days for the period January –
July on the 1st of January and 10 days for the period July – December on 1st of July
every year. This credit for the half-year in which an employee is appointed will be at the
rate of 5/3 days for each calendar month of service he / she is likely to render in the half-
year in which he is appointed.
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2. The half pay leave to be credited every half-year will be reduced at the rate of 1/18th of
the period of EOL / dies non / suspension treated as dies non, during the previous half-
year, subject to a maximum of ten days.
3. The credit for the half-year in which an employee is due to retire / resign will be made at
the rate of 5/3 days for each calendar month, the employee is going to serve in that half-
year up to the date of retirement / resignation.
4. The credit for the half-year in which an employee is removed / dismissed from service or
dies in service will be regulated at the rate of 5/3 days per completed calendar month up
to the end of the calendar month preceding the calendar month in which he / she is
removed / dismissed / dies.
5. While giving the credit of half pay leave, fraction of a day shall be rounded off to the
nearest day.
In switching over to new method, while calculating HPL for Regular employees for the
past period, proportionate crediting as detailed above for the period from the date of
normal crediting up to 31-12-99 shall be done and be credited before making advance
credit on 1-1-2000.
18.1.25. HALF PAY LEAVE
a) The half pay leave admissible to an employee in respect of each completed
year of service is 20 days.
b) The half pay leave may be granted to an employee on medical certificate or
on private affairs.
Ref: 1. Procs.No.P&A/11002/CI-1/Rules/93, Dt.31.07.93.
2. Procs.No.P&A/17645/CI-1/Rules/94, Dt.25.01.94.
4. Procs.No.P&A/2143/W&A-1/97, Dt.26.07.97.
18.1.26. ACCUMULATION OF MEDICAL LEAVE – LABOUR CATEGORY:
a) Accumulation of sick leave in respect of labour category was enhanced to 40
days from 20 days during September 1995.
b) It may also be treated as eighty days of Half-pay leave for the purpose of
adjustment in respect of labour establishment.
Ref: 1. Procs.No.P&A/11002/CI-1/Rules/93, Dt.31.07.93.
4. Procs.No.P&A/2143/W&A-1/97, Dt.26.07.97.
18.1.27. COMMUTED LEAVE
a) Commuted leave not exceeding half the amount of half pay leave due may be
granted on Medical Certificate only subject to the following conditions: -
i) When commuted leave is granted twice the amount of such leave shall
be debited against the half pay leave due.
ii) The total duration of earned leave and commuted leave taken in
conjunction shall not exceed 300 days.
iii) The authority competent to sanction leave should have reason to
believe that the employee will return to duty on its expiry.
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b) Commuted Leave shall however, be allowed without production of Medical

Certificate for a period not exceeding 3 days at a time. The number of such
spells of leave will not exceed three in a calendar year. If part of such leave
falls in the subsequent calendar year the leave shall be counted against the
three spells admissible for the calendar year in which the leave commences.
(Proc. No.385/E&G/68 dt.11-11-68)
18.1.28. LEAVE NOT DUE: Leave not due is admissible to employees who are suffering
from T.B., Leprosy, Cancer or mental illness. The grant of ‘Leave not due’ will be
subject to the following conditions:
a) The employee concerned should have put in a minimum of one year of
continuous service;
b) The post from which the employee proceeds on leave is likely to last till his
return to duty;
c) The employee should not be eligible for any other kind of leave with leave
salary;
d) The authority competent to grant leave is satisfied that there is reasonable
prospect of the employee returning to duty on its expiry;
e) The request for grant of such leave should be supported by a Medical
Certificate issued:
i) for treatment for cancer or for mental illness in an institution recognised
for treatment of such disease, by that institution or by a Civil Surgeon or
Staff Surgeon or a Specialist in such disease.
ii) for treatment for pulmonary T.B. in a recognised sanatorium by that
sanatorium;
iii) for T.B. of any other part of the body, by a qualified T.B. Specialist or a
Civil Surgeon or Staff Surgeon;
iv) for undergoing treatment for leprosy in a recognised leprosy institution
by that institution or by a Civil Surgeon or Staff Surgeon or a Specialist
in leprosy hospital recognised as such by the State Administrative
Medical Officer concerned.
v) The Medical Certificate produced in support of the leave asked for
should also contain a certificate that, the employee under treatment
has reasonable chances of recovery on the expiry of the period of leave
recommended;
v The CGS(M), NLC, shall countersign the Medical Certificate in all
cases.
v Leave not due shall be limited to a maximum of 360 days during
entire service
v Leave not due shall be debited against the half pay leave, the
employee may earn subsequently.
v The employee shall give an undertaking in writing that in the
event of his resigning or retiring voluntarily from service, he shall
refund the leave salary paid to him.
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a. Where an employee who has been granted ‘Leave not due’

resigns from service or on his request permitted to retire
voluntarily without returning to duty the ‘Leave not due’ shall
be cancelled, his resignation or retirement taking effect from
the date on which such leave had commenced and the leave
salary shall be recovered.
b. Where an employee who having availed himself of leave not
due returns to duty and resigns or retires from service before
he has earned such leave he shall be liable to refund leave
salary to the extent the leave has not been earned
subsequently.
c. No leave salary shall be recovered under clause (a) or
clause (b) above if the retirement is by reason of ill health,
incapacitating the employee for further service or in the
event of his death.
Chairman-cum-Managing Director will be the competent
authority to sanction “leave not due” wherever necessary.
(Pro. No. E&G/173/79, Dated: 12.06.1979)
18.1.29. EXTRAORDINARY LEAVE
18.1.29.1. Extraordinary leave may be granted to an employee:
a. When no other leave is admissible.
b. When other leave is admissible but the employee applies in
writing for the grant of extraordinary leave;
18.1.29.2. The duration of extra-ordinary leave on any one occasion shall not
exceed the following limits:
a. 90 days;
b. 180 days on Medical certificate in cases where the employee has
completed 3 years continuous service on the date of
commencement of this leave. The 90 days extra ordinary leave
under (a) above may be counted for computing the 3 years of
service.
c. Extraordinary leave may be allowed upto 18 months on Medical
Certificate for treatment of T.B., Leprosy, Cancer, Mental Illness
and Pleurisy of Tubercular Origin.
d. E.O.L. in exceptional cases:
1. In exceptional circumstances, at the discretion of the leave
Sanctioning Authority, employees who have completed ten
years of service in the corporation can be granted E.O.L.
beyond the normal admissible limits subject to the condition
that the total period of absence does not exceed five years.
2. In this connection an extract of Rule 14(b) and (c) of Revised
Leave Rules 1933 which are at present being followed by the
corporation is given below:
14 (b). Except in the case of an officer in permanent employment
and an officer in quasi – permanent employment, duration of
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extra-ordinary leave on any one occasion shall not exceed

the following limits:
i. Three months.
ii. Six months in cases where the government servant
had completed three years continuous service on the
date of expiry of leave of the kind due and admissible
under the rules (including three months extraordinary
leave under (i) above and his request for such leave is
supported by a Medical Certificate as required by the
rules;
iii. Eighteen months where the officer is undergoing
treatment for –
1. Pulmonary tuberculosis in a recognised
sanatorium, or
2. Tuberculosis of any other part of the body by a
qualified tuberculosis specialist or a civil
surgeon, or
3. Leprosy in a recognised leprosy institution or by
a civil surgeon or a specialist in leprosy
recognised as such by the State Administrative
Medical Officer concerned.
14(c) Where an employee fails to resume duty on the expiry of
the maximum period of extraordinary leave granted to him
or where such employee who is granted a lesser amount of
extraordinary leave than the maximum amount
admissible, remains absent from duty for any period which,
together with the extraordinary leave granted exceeds the
limit upto which he could have been granted such leave, he
shall be deemed to have resigned his appointment and
shall, accordingly, cease to be in employ.
The employees concerned should be informed of the
position whenever they applied for extraordinary leave
involving absence from duty for more than 3 months and
report the cases and obtain the prior orders of the D (P)
before the employees concerned are allowed to rejoin
duty.
(Memo No. 22029/PIII-5/61-3, Dt. 23.07.1962)
18.1.29.3. Two spells of extraordinary leave if intervened by any other kind of
Leave shall be deemed as one continuous spell of extraordinary leave.
18.1.30. LEAVE SALARY
18.1.30.1. An employee on earned leave or commuted leave is entitled to leave
salary equivalent to pay, which he would have drawn from time to time
had he been on duty.
18.1.30.2. Any employee on half pay leave or leave not due is entitled to leave
salary to half the amount specified in Rule 18.1.30.1 above.
18.1.30.3. An employee on extraordinary leave is not entitled to any leave salary.
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18.1.30.4. EOL/Leave without wages can be granted to the employees upto 5

days by the DGM or the Division Heads in the units and beyond that
limit, EOL has to be granted only by the Unit Heads. Detailed
statement of EOL granted to the employees every month shall be
submitted by the Division Heads to the Unit Heads on or before 5th of
subsequent month. The Unit Heads are requested to submit the
detailed statement for every month in the prescribed format to the
respective Functional Directors on or before 10th of the subsequent
month.
18.1.31. LEAVE TO TRAINEES
18.1.31.1. The eligibility of Trainees for different kinds of leave is as below:-
The leave entitlements during the training period of trainees recruited
from outside to post in the categories of Regular / Labour
establishment will be as below.
Regular Establishment
Sl.No. Training Period Entitlement for leave
i. One year Casual Leave : 12 Days
Medical Leave : 15 Days
E.O.L. : 10 Days
ii. Six months Casual Leave. : 6 Days
Medical Leave : 7 Days
E.O.L. : 5 Days
18.1.31.2. For other periods of training, the leave entitlement will be worked out
proportionately.
18.1.31.3. The leave not availed of out of the above entitlement will not be allowed
to be carried forward on appointment to regular post.
18.1.31.4. For Medical Leave, production of Medical Certificate will be regulated
as per rules. However, where the training period is one year Medical
Leave can be availed of without production of Medical Certificate for 3
spells of 3 days each. If the training period is six months, 2 spells can
be availed of.
The above entitlements of leave will take effect from 1.3.1990.
The trainees are not entitled to any other kind of leave.
( E & G 2 3 1 / 8 0 , D t . 0 2 - 0 6 - 1 9 8 0 a n d E & G / W. A g t . 1 9 / 7 8 ,
Dt.22-11-1978)
(Memo No. 22634/P&A/VII/82-168, Dt.21.03.1990)
18.1.31.5. The following instructions are issued in this regard: -
i) The trainees should not be granted leave more than the
maximum limit mentioned in 18.1.32.1 above (The same limit will
apply even in cases where the training period is extended due to
assessment in the evaluation test.)
ii) The cases of trainees who have availed Extraordinary leave more
than the permissible limit not be allowed to rejoin the training even
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though they may produce Medical Certificate and such cases

should be referred to P&A Department for approval of the
Chairman. They should be allowed to join the training only after
the Chairman’s approval.
(Memo No. 13067/RIV-4/80-4, Dt.04.06.1981)
18.1.32. CASH PAYMENT IN LIEU OF UNUTILISED EARNED LEAVE ON THE DATE OF
RETIREMENT
18.1.32.1. An employee retiring on superannuation may be paid Cash equivalent
of leave salary in respect of the period of earned leave at his credit at
the time of retirement on superannuation.
18.1.32.2 The payment of cash equivalent of leave salary shall be limited to a
maximum of 300 days of earned leave;
(Cir.No.CORP/P&A/WR/800/2001-2, dt. 16.7.2001)
18.1.32.3. The cash equivalent of leave salary will become payable on retirement
even without a formal application from the employee and will be paid in
one lump sum as a one time settlement. Cash payment will be equal to
leave salary as admissible for EL/Leave with Wages and D.A. at the
rates in force on the date of retirement.
18.1.33. CASH EQUIVALENT TO LEAVE SALARY IN CASE OF DEATH IN SERVICE
18.1.33.1. In case of an employee dies while in service the cash equivalent of
leave salary in respect of earned leave at his credit subject to maximum
of 300 days, shall be paid to his family.
18.1.33.2. Payment of encashment of EL on death/retirement on superannuation
will be regulated as below:
Pay + DA No. of days of
Cash Payment = Admissible on date EL at credit
Of retirement/Death X subject to a maximum of 300 Days.
30
Note: Pay includes Special Pay and Personal Pay and Dearness allowances. No other
allowance will be taken into account for the purpose.
SPECIAL KINDS OF LEAVE OTHER THAN STUDY LEAVE
18.1.34. MATERNITY LEAVE
18.1.34.1. A female employee may be granted maternity leave for a period of 90
days from the date of its commencement. (89/E&G/78, Dt.11.04.1978)
18.1.34.2. During such period the employee will be paid leave salary as for earned
leave.
18.1.34.3. Maternity Leave may also be granted in case of miscarriage including
abortion subject to the condition that,
a. Leave does not exceed 6 weeks and
b. the application for the leave is supported by a Medical Certificate
as admissible under the rules.
NOTE: Abortion induced under the Medical Termination of
Pregnancy Act 1971, should also be considered as a case of
18-13
abortion for grant of maternity leave under the rule. In support of

the leave, a Medical Certificate from a Registered Medical
Practitioner authorized under the Medical Termination of
Pregnancy Act has to be produced.
18.1.34.4. Maternity Leave may be combined with leave of any other kind except
casual leave.
18.1.34.5. Maternity Leave shall not be debited against leave accounts.
18.1.35. SPECIAL DISABILITY LEAVE
PAYMENT OF FULL WAGES / COMPENSATION DURING THE DISABLEMENT
PERIOD FOR THE ACCIDENT OCCURRED OUTSIDE WORK SPOT -
ADDITIONAL INSTRUCTIONS
Instances have come to the notice of this Department that the Unit Officers are
treating the accident occurred outside the work spot as an Industrial accident by
extending the theory of notional extension in a routine manner without adhering the
guidelines provided in the reference cited. Claims are also being received
belatedly with the recommendation of the Unit Head and without the documents
required for considering the accident within the ambit of relevant provisions relating
to the entitlement under notional extension. Belated submissions of claim are also
causing much hardship to the General Superintendent/Medical for issuing the
Medical Certificate.
Therefore, the Unit Heads are requested to take utmost care in the matter and
decision has to be taken on case-by-case basis subject to fulfilling the conditions
prescribed in this regard, scrupulously.
It is reiterated that all cases of outside accident, which are deemed to have
reasonable connection with employment, may be referred to this department with
the following documents for clearance.
1. Accident report.
2. Medical and Fitness certificate.
3. Police / Security report, if any.
4. A certificate to the effect that the employee/workmen met with the accident on
……….. was to attend duty in first / second / night / general shift and the
accident has occurred enroute to his works pot / residence at …….…..(time).
(Reference : (1) P&A Procs.No.5262/IR-2/94-1, dt.30.4.94.
(2) No.7336/IR-1/98/ Dt:05.01.1999)
18.1.35.1. An employee who is disabled by injury intentionally inflicted or caused in
or in consequence of the due performance of his official duties or in
consequence of his official position may be granted special disability
leave.
18.1.35.2. The period of leave granted shall be such as is certified by the Company
Medical Officer and shall in no case exceed 24 months.
18.1.35.3. Special disability leave may be combined with leave of any other kind
except casual leave.
18.1.35.4. Such leave may be granted more than once if the disability is aggravated
or reproduced in similar circumstances at a later date but not more than
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24 months of leave shall be granted in consequence of any one

disability.
18.1.35.5. Such leave shall not be debited against the leave account.
18.1.35.6. Leave salary during such leave shall be equal for the first 120 days to
leave salary admissible for earned leave and for the remaining period
to leave salary admissible for leave on half pay.
18.1.35.7. An employee may at his option be allowed leave salary as for earned
leave for the period in excess of the 120 days and in that event the
period of such leave shall be debited to his half pay leave account.
18.1.36. SPECIAL DISABILITY LEAVE FOR ACCIDENTAL INJURY
18.1.36.1. The provision of the above Rule 18.1.35 shall apply also to an employee
who is disabled by injury accidentally incurred in, or consequences of,
the due performance of his official duties or in consequence of his
official position or by illness incurred in the performance of any
particular duty which has the effect of increasing his liability to illness or
injury beyond the ordinary risk attaching to the post he holds.
18.1.36.2. The grant of such leave shall be subject to the following further
conditions:
a. The Disability if due to disease, must be certified by the Company
Medical Officer to be directly due to the performance of the
particular duty.
b. The period of absence recommended by the Company Medical
Officer may be covered in part by leave under this rule and in part
by any other kind of leave.
c. In case of temporary disablement suffered by employees
covered by Workmen’s Compensation Act, 1923, leave for
Temporary Disablement will be granted as per provisions of the
Act and instructions issued by NLC Ltd. thereupon from time to
time.
d. The claims for special disability leave shall be regulated as
stipulated in Procs.No.Corp/P&A/732/0320/2005 dated
06.04.2005
e. For theory of national extension and grant or special disability
leave, refer the chapter on Workmen's Compensation, in Vol.III.
18.1.37. CASUAL LEAVE
18.1.37.1. Casual Leave can be granted for twelve days in a calendar year.
18.1.37.2. A new entrant to service will be eligible for a day’s Casual Leave for every
month of service, he has put in and the same shall be reckoned from the
month succeeding the month of his reporting to duty.
18.1.37.3. Casual Leave not availed in a calendar year cannot be carried forward.
18.1.37.4. Holidays can be prefixed and/or suffixed to days of Casual Leave.
Holidays falling in between days of Casual Leave will not be treated as
Casual Leave.
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18.1.37.5. Casual Leave and holidays and/or restricted holidays availed of at a time
should not exceed 10 days.
18.1.37.6. An employee on Casual Leave is not treated as absent from duty.
18.1.38. QUARTANTINE LEAVE INSTRUCTIONS.
In view of orders of Government of Tamil Nadu deleting cholera, Small – Pox,
Plague, Diphtheria, Typhus fever and Cerebro–spinal meningitis from the list of
infectious diseases, “rabies” will be the infectious disease which entitles for grant of
Quarantine Leave on following the usual procedure.
(CORP/P&A/1913/4619/2002/Dt.07.01.2002)
18.1.39. HOLIDAYS
Holidays for offices will be allowed for sixteen days in a calendar year on days
notified by the Management. Employees on executive and supervisory duties in
divisions directly involved in O&M will however be eligible for Paid Holidays only.
18.1.40. RESTRICTED HOLIDAYS
18.1.40.1. Employees may be allowed to avail of Restricted Holidays for two days
in a calendar year on any two of the days notified for the purpose.
18.1.40.2. Restricted Holidays not availed of in a calendar year cannot be carried
forward.
18.1.40.3. Restricted Holidays can be combined with Casual Leave.
18.1.40.4. Restricted Holidays and off are not recognised holidays/notified
holidays and therefore should not be allowed to be prefixed or suffixed
to earned leave or any other regular leave.
(E&G/CI-2/2087/66-3, Dt.25-08-’66)
18.1.41. SPECIAL CASUAL LEAVE.
Special Casual Leave may be allowed for the purposes specified in the following
table.
TABLE
SPECIAL CASUAL LEAVE
Sl. Purpose for which the Maximum No. Conditions
No. leave is to be granted of Working
days
1 2 3 4
1 To male employees for undergoing 7 (Seven)
sterilization operation
2 To male employees for attending on their The Doctor who has performed the
wives after a non-puerperal Sterilization Operation operation should certify that the
7 (Seven) Operation was done
3 To male employees for attending on their wives
after a puerperal Sterilization operation
4 The female employees for non-puerperal 14 (Fourteen)
Sterilization Operation
5 To female employees for insertion of I.U.C.D. 1 (One) For the day of insertion
18-16
6 Vasectomy Operation for male employee for the Not exceeding Medical Certificate should be
second time because of failure of the seven working produced from the concerned medical
first operation days authority to the effect that (i) the first
operation was as failure(ii) the second
operation was actually performed
7 Non-puerperal Tubectomy Operation for the Not exceeding - do -
second time for female employees because of seven working
failure of first operation days
8 Post sterilization complication in cases of Number of days Medical certificate in support of the
vasectomy or Non-puerperal Tubectomy as may be leave should be produced from the
recommended by concerned medical authority
the CGS/M.
Special casual
leave will cover
the period for
which the person
is hospitalized
9 Recanalisation Operation in cases of male Actual period of (i) The Operation should have been
employees who are unmarried or have less than hospitalization performed in a Hospital/ Medical
two children or undergo the operation for up to 21 days College/ Institute where facilities for
substantial reasons (213/E&G/79, recanalisation are available as per
Dt: 21.07.1979) list complied by the Ministry of Health,
Government of India, as amended
from time to time
(ii) The request for grant of special
casual leave be supported by a
Medical Certificate from the doctor
who performed the operation to the
effect that hospitalization of the
employee for the period mentioned
therein was essential for operation
and post-operational recovery
10 For donation of Blood to Blood Bank
(Proc. No. 811/E&G/65 Dt: 17.12.63)
(Proc. No. 309/E&G/68 Dt: 06.06.68) (i) The special casual leave will be
given if the blood is donated at the
Blood Bank in the NLC General
Hospital or in JIPMER or Government
Hospital/ CMC Vellore or any other
referral Hospital in connection with a
1 (One) patient referred by the CGS/M on
production of a certificate
(ii) If the blood donation is made after
attending duty on a day, special
casual leave may be allowed for the
subsequent day, if it is a working day
11 Duties and Functions connected with Civil Defence No Limit
12 Participation in Athletic Contests, Inter-District, Upto 30 (thirty) Powers sub-deldgated to Unit Officers
Inter-State or National Sport and for treatment days in a to grant leave upto 15 (fifteen) days
of injuries, sustained during such participation. calendar year only.
(MD’s Proc. No. 1045 Dt: 20.09.58)
18-17
13 Participation in Negotiations / Discussions with

Management / Statutory Authorities / registered No Limit Gr./Dip. Engg./Trainees also are
Unions eligible(E&G/23-26/CI-1/78-1
Dt: 12.02.79)
14 Employees enrolled as Home Guards for 15 (Fifteen)
attending to approved functions days in a
calendar year
15 For attending Committee Meetings / Annual 5 (Five) days in Special Casual Leave allowed only
conferences etc. of the Institution of Engineers a year limited to if the member presents paper
and similar professional bodies of office bearers two occasions in
and members of Exe. Committees (277/E&G/70 a year
Dt: 15.07.70 &22560/CI-1/73-1 Dt: 20.12.73,
Memo E&G/14825/CI-1/81-1 Dt: 18.09.81
16 Disabled Ex. Service Personnel re-employed in the 15 (Fifteen) Grant of leave is subject to production
Company, who are required to appear before the working days of a call letter and certificate of
Medical Resurvey Board for reassessment of their or the actual attendance from the concerned
disability time spent Hospital authorities
(including transit
period both ways)
whichever is less
Note:
i) In all cases, the Medical Certificates issued by outside medical authorities will be
accepted only on countersignature by the Chief General Superintendent/Medical.
The Special Casual Leave may be combined with regular leave or casual leave but not
with both in one continuous spell.
FORM-I
LEAVE APPLICATION FORM
1. Name & CPF A/C No. :
2. Designation :
3. Office :
4. Nature of Leave :
5. Period of Leave From ………………….. To ……………:
6. Holidays/C.Off/Permission to be specified
7. Purpose of Leave :
8. Leave Address :
SIGNATURE OF THE APPLICANT
9. Whether any charge arrangement for holding current/full
charge has been made and if so, the name & designation
of the employee holding additional charge
10. Leave at credit : E.L......H.P.L........
SIGNATURE OF THE CONTROLLING

OFFICER
18-18
Pro. No. Dated

Sanctioned EL/HPL/ML From………..To…………No. of days.
Balance leave at credit:
SANCTIONING AUTHORITY
Leave Card
“Introduced from 1.1.2000” may be followed
FORM-II
NEYVELI LIGNITE CORPORATION LIMITED, NEYVELI.
OFFICE OF THE CHIEF GENERAL SUPERINTENDENT/MEDICAL, Medical Certificate for grant of
leave on Medical Grounds – Half Pay Leave or Commuted Leave on Full Pay.
1. Statement of case of Shri/Smt/Kum. :
2. Signature of the employee with date :
3. Designation :
4. Office / Unit in which working :
5. Sex :
6. Age :
7. Total Service :
8. Previous periods of leave or absence on :
9. Disease, treatment undergone/undergoing :
I, Dr……………………………………………./CMS/DCMS/SMO/AMO/JMO after careful personal
examination of the case hereby certify that Shri/Smt/Kum……………… ………………whose
signature is given above is suffering from……………….. and I consider that a period of absence from
duty with effect from ………………………….. to ………………………. is necessary for restoration of
his/her health.
Date: Signature of Authorised Medical Officer
Seal of the Hospital.
I do hereby certify that according to the best of my professional judgement, after careful examination
of the case, I consider that health of the employee mentioned above to be such as to render leave of
absence for a period from …………………… to ……………………….. is necessary for his/her
recovery.
General Hospital, Countersigned by the

Date: Chief of Medical Services.
(E&G/EII-2/Medical/27035/63-3, Dt.09-06-’66).
18-19
FORM-III
NEYVELI LIGNITE CORPORATION LIMITED
OFFICE OF THE RESIDENT MEDICAL OFFICER, GENERAL HOSPITAL, NEYVELI-3.
This is to certify that Shri/Smt/Kum ……………………………….has been declared fit for duty with
effect from……………………….
RESIDENT MEDICAL OFFICER/G.H.
FORM-IV
NEYVELI LIGNITE CORPORATION LIMITED, NEYVELI

MEDICAL CERTIFICATE FOR THE GRANT OF DISABILITY LEAVE
I ……………………………..(IN BLOCK CAPITALS) ……………………….. (DESIGNATION) after
careful personal examination of the case, hereby certify that Shri/Smt/Kum…………………………
(IN BLOCK CAPITALS) ………………………… (DESIGNATION) whose signature is given below is:
Disabled by injury caused by accident …………………………………….. *
in consequence of the due performance of his/her official duty
……………………………………………………….………………………. *
*
in consequence of his/her official position………………………………….
by illness incurred on the performance of particular duty which has the
effect of increasing his/her liability to illness…………....…………………. *
(*Mark X whichever is applicable)
the nature of injury/illness leading to the disability is:
*1. I consider that the period of absence from duty of Shri/Smt/Kum………………………… from
……………………….to…………………….. is absolutely necessary for restoration of health.
*2. I have examined Shri/Smt/Kum……………………………. and found fit for rejoining duty.
Specimen signature of the Employee Signature and designation with date.
(*Strike off whichever is not applicable)

(Memo. No. E&G/CII w. study/1080/68-1, Dt.31.08.68)
18-20
FORM V
MEDICAL CERTIFICATE FOR THE GRANT OF MATERNITY LEAVE
Name Designation:
Office/Unit in which Age / Years
Working
No. of children living:
Total service Years Months Male Age : 1.
2.
Signature of 3.
the employee
with date. Female Age : 1.
2.
3.
I …………………(Designation) ………………………… after careful personal examination of the

case hereby certify that Smt…………………………… whose signature is given above is in the
advanced stage of pregnancy and is expected to deliver a child during the 1st /2nd/3rd/4th week of
………………………20 , and I consider that a period of absence from duty of
Smt……………………………. for a period of 90 days with effect from …………….. is necessary on
account of her impending confinement and restoration of health.
Date: MEDICAL OFFICER

(Seal of the Hospital) in-charge of the case.
I do hereby certify that Dr.(Smt./Kumari)…………………(Designation)…………….. has examined

the above case and according to the best of my professional judgement,
I consider that the health of (Shrimathi) ………………to be such as to render leave of absence for a
period of 90 days necessary for her confinement and restoration of health.
Date: Counter Signature of the

General Hospital, Chief of Medical Services
Neyveli-3.
(Memo No. E&G/C-1/Rules/979/67-3 Dt.16-12-67).
18-21
18.1.42. STUDY LEAVE RULES

18.1.42.1. SHORT TITLE AND COMMENCEMENT
18.1.42.1.1 These Rules may be called the NLC Employees Study
Leave Rules.
18.1.42.1.2 They shall come into force on 22.10.1983.
18.1.42.2. OBJECT
18.1.42.2.1 These rules govern the procedure for grant of leave to
employees of the Corporation who desire to undergo in
or out of India, a special course consisting of higher
studies or specialized training in a professional or a
technical subject having a direct or close connection
with the sphere of their duties in this Corporation.
18.1.42.3. COURSES OF STUDY/TRAINING ETC.
18.1.42.3.1 The various courses of professional or technical
subject for which such leave will be sanctioned by the
Management will be decided from time to time with
reference to the need and availability of personnel in
that line and the course of specialized study/training
etc. Certified to be of a special advantage or interest to
the Corporation and related to the sphere of duties of
the employee.
“After careful examination of the matter with reference
to Para 3.1 of the above, it has been decided that
Corporation is not in favour of grant of study leave to
those employees who desire to take up further studies
on their own accord i.e. not sponsored by the
Corporation in the interest of Corporation. If, however
any employee still wants to take up further study,
his/her application can be forwarded to the Institutions
concerned, only after obtaining from him/her a
declaration in writing to the effect that he/she would
pursue the course at his/her own cost and by availing
leave to which he/she is eligible and that he/she will not
apply for study leave and benefits thereof. The
Corporation will have NO LIABILITY in this regard.
The study leave rules will apply only to cases where the
employees are sponsored by the Corporation in the
interests of the Organisation.
(Circular No. P&A/7802/CI-1/85 Dt.13.09.85)
18.1.42.3.2 The Management may however, at its discretion,
sanction leave to a Corporation employee for studies
or specialised training in a professional or technical
subject which may not be closely or directly connected
with his work but which are capable of widening his
mind in a manner likely to improve his abilities as a
Corporation employee and equip him better to
18-22
collaborate with those employed in other branches of

the Corporation or under any other Public Sector
Enterprises/ Government Departments.
18.1.42.4. CONDITIONS FOR GRANT OF LEAVE
Leave for undergoing a specialised course of training or study etc.
under these rules shall not be granted unless:
It is certified by the Unit head
a. that the employee who has applied for the course has a special
aptitude for the course.
b. that his specialization in a particular technical or professional
subject will be advantageous to the Corporation.
c. that sufficient number of qualified personnel in a particular
subject/discipline is not available in that category for promotion
and, therefore, the acquisition of the qualification by the
employee will be in the interest of the Corporation.
d. that he shall be spared for the period of study leave without
replacement and
e. that there is a national shortage of personnel in that discipline and
the acquisition of the qualification will be useful in the national
interest.
18.1.42.5. PRINCIPLES AND PROCEDURE TO BE FOLLOWED FOR
SANCTION OF LEAVE
(a) The applicant for study leave should have rendered a minimum
period of not less than five years of service in the Corporation and
leave granting authority is satisfied that there is every likelihood of
his / her continuing to serve the Corporation for not less than five
years after completion of study/training.
(b) Only employees who have good reports on performance and
conduct over a sufficiently long period will be considered eligible
for grant of such leave. This will generally be based on the
reports against the relevant subjects in the confidential reports
and where there are several applicants for a course, a special
selection board will be constituted to interview the candidates and
to recommend the best among them. Only fairly senior officials
who will be reaching their turn for promotion and in whose cases
the acquisition of specialised training or undergoing professional,
technical training will be advantageous to the Corporation, will be
granted such leave.
(c) Generally employees holding the post of Additional Engineer and
above in the technical categories and those having the same
status or in same scale or working in equivalent posts in the non-
technical categories will be considered for the grant of such
leave.
(d) The discretion to sanction leave for other categories including
labour categories will rest with the Chairman.
18-23
(e) Employees who have attained the age of 50 years and above will
not normally be granted leave under these Rules.
(f) Employees will be granted leave under these rules normally only
once during their entire service, but under special circumstances,
the Management may grant such leave more than once to
employees with reference to the exigencies of service and in
cases where the proposed course of specialised study or training
will be of advantage from the point of view of the Management.
(g) The maximum period of such leave that may be granted shall not
ordinarily exceed 12 months at any one time (save for special
reasons) and shall not exceed 24 months in all during the entire
service of the employee.
(h) Such leave for undergoing training out of India shall not be
granted unless evidence for the release of necessary foreign
exchange involved etc. is produced. The Management will not
also undertake to recommend applications for release of foreign
exchange etc.
18.1.42.6. AUTHORITY TO SANCTION LEAVE
Chairman, NLC Ltd. or such authority as may be nominated by him on
his behalf, is competent to sanction such leave.
18.1.42.7. TREATMENT OF STUDY LEAVE AND COMBINATION WITH OTHER
KINDS OF LEAVE
18.1.42.7.1 Study leave shall not be debited against the leave
account of the employee.
18.1.42.7.2 Study leave could be combined with other kinds of
leave but in no case shall the grant of this leave in
combination with leave, other than extraordinary leave,
involve a total absence of more than twenty-eight
months.
18.1.42.8. FINANCIAL ASSISTANCE
18.1.42.8.1 During study leave, the employee will be paid leave
salary equal to the pay that the employee would draw
while on duty immediately before proceeding on such
leave.
18.1.42.8.2 For the purpose of Rule 18.1.42.8.1 the basic pay at
the time of proceeding on leave, DA and VDA the
employee would have drawn from time to time had he
not proceeded on leave, will be taken into account.
18.1.42.8.3 If any stipend is payable by the Training Institution for
the full or part of the period of study, the amount shall
be deducted from the leave salary payable under
Article 8.1. provided however that the leave salary shall
not be reduced to an amount less than payable as
leave salary during half pay leave.
18-24
18.1.42.8.4 In exceptional cases where the course is considered to

be very useful to the Corporation, the course fee may
be borne by the Corporation at the discretion of the
Chairman.
18.1.42.8.5 No payment other than that as per Rule 8.1 & 8.4 will be
made to an employee for the study leave period or in
connection with the study.
18.1.42.9. SERVICE BOND
18.1.42.9.1 Bond amount for Rs.45,000/- upto two years of study
leave and Rs.75,000/- for more than two years of study
leave should be executed, for employees who have
served in NLC for less than 5 years and Bond amount
for Rs.15,000/- upto two years of study leave and
Rs.25,000/- for more than two years of study leave
should be executed, for employees who have served in
NLC for 5 years and above. The employees concerned
along with the surety should execute Service Bond on
Rs.40/- non-judicial stamp paper.
1) Application of employees to be forwarded by the
Corporation only after obtaining declaration from
him/her to the effect that he/she will not claim for
salary or any other benefits from the Corporation.
2) Recommendation of the Unit Head to the course
to be undertaken by the employee will be more
beneficial and more essential to the
Organization.
3) Applications received from the employees for
undergoing part-time Degree/Diploma for
P.G.Courses only shall be forwarded.
(Cir.No.20207/P&A X-2/88-1, dt.5.10.88)
FORM OF BOND TO BE EXECUTED BY CORPORATION EMPLOYEES (TEMPORARY)

PROCEEDING ON DEPUTATION TRAINING ABROAD.
KNOW ALL MEN BY THESE PRESENTS THAT I, Shri ..........., resident of # ,…. Type - ,
Block – , Neyveli - 607 801 in the District of Cuddalore at present employed as
………………………….. in the NEYVELI LIGNITE CORPORATION LIMITED, NEYVELI (hereinafter
call the ‘obligator’) and 1……………………………………………………………. sureties on behalf of
Shri………………………………………………. , the first named herein do hereby jointly and
severally bind ourselves and our respective heirs, executors and administrators to pay to the Neyveli
Lignite Corporation Limited, a Limited Company registered under the Companies Act, 1956 and
having its Registered Office at Chennai (herein after called ‘the Corporation’) which expression
where the context so admits shall include its successors and assigns on demand and without demur a
sum of Rs………………….. (Rupees……………………………………………………….. only)
Dated this ……. day of …………………..………… whereas the above bounden
Shri………………………………, is placed on deputation for training in India and Europe by the
Corporation for ……………..days interalia in his agreeing to execute a bond in the manner aforesaid.
18-25
NOW THE CONDITION OF THE ABOVE WRITTEN OBLIGATION IS THAT:

In the event of the above bounden obligor:-
a) failing to avail himself of the deputation where he is to receive the training or prosecute his
studies when the same has been arranged; or
b) not conforming to the instructions regarding training or studies conveyed to him by the
Corporation; or
c) failing to intimate the Corporation of the amount and other particulars in respect of any
honorarium or the monies earned or received by him during the period of his training or
studies; or
d) refusing to hand over and surrender to the Corporation the whole or part of such honorarium
or other monies received by him as aforesaid; if and when required to do so by the
Corporation; or
e) returning to Head Quarters without completing the course for which he has been selected;
or
f) getting an adverse reports regarding the progress of his training or studies or regarding his
conduct; or
g) on completion of his training or studies, failing to return to Head Quarters and immediately
rejoin duty in the Corporation; or
h) in the event of contracting an infectious disease requiring prolonged hospitalization,
forbidding the medical advisers / attendants from communicating the nature and condition
of disease to Authorised Medical Officers concerned or to the Corporation; or
i) failing to return to Head Quarters after the expiry of the period of deputation; or
j) failing to refund the Corporation any over payment made to him during the course of his
training, stay and any loan which may be granted to him by the corporation; or
k) contracting a marriage during the period of training or during the period of his stay abroad; or
l) taking up on his own initiative the question of extension / variation of his training with the
authorities responsible for his training during his stay for the training; or
m) making or causing to be made by representation to the authorities responsible for his
training regarding his pay, allowances, etc, or
n) failing to return to duty after the expiry of the termination of the period of deputation or, after
his return to duty failing to serve the Corporation or any other Public Sector Undertaking or
Government Department as may be required by the Corporation for a minimum period of
five years from the date of his return from the training, in the post originally held by him or in
any other post that may be offered to him.
He and the above bounden sureties
Shri ………………………………. and …………………………. Shall forthwith refund to the
Corporation on demand a sum of Rs…………….. (Rupees……………………………….. only) and
also interest thereon calculated at such rates as may then be determined by the Corporation from the
date of demand.
AND upon his making such refund payment the above written obligation shall be void and of no
effect. Otherwise it shall be and remain in full force and virtue.
Provided always and it is hereby agreed and declared that the decision of the Corporation as to
18-26
whether the said obligor has or has not performed and observed any of the obligations and conditions
herein before recited shall be final and binding on the parties hereto.
Provided further that the liability of the sureties hereunder shall not be impaired or discharged
by reason of time being granted or any forbearance, act or omission of the Corporation (whether with
or without the knowledge or consent of the sureties) in respect of or in relation to the several
obligations and conditions shall remain unaffected and shall continue to be binding sureties for
amounts due hereunder and provided further that this bond shall in all respects be governed by the
decision of the Chairman-cum-Managing Director of this Corporation shall be final, binding and
conclusive.
In the event of insolvency, lunacy or death of one or both of the sureties, the above bounden
obligor undertakes to intimate the Corporation of the event within fifteen days of its occurrence and
execute a fresh bond with fresh surety or sureties as may be necessary.
The Civil Courts having ordinary original jurisdiction over Neyveli shall alone have exclusive
jurisdiction in regard to all claims in respect of this bond of whatever nature.
In witness whereof the said obligor and the said sureties have put their respective hands the
day, month and the year herein above written.
Signed and delivered

the within named obligor (Signature of the Obligor)
in the presence of
1.
2.

by the in named surety (Signature with full address
of in the presence of first surety)
1.
2.
by the in named surety (Signature with full address
of in the presence of second surety)
1.
2.
18.1.42.9.2 If the employee is already under the obligation of a service bond, the
service bond for study leave will run after the expiry of the period of
service as per the earlier bond.
The bonds will not run concurrently
18.1.42.9.3 The amount of bond will be an amount equivalent to the estimated
expenditure on the financial assistance as per Rules-8 plus 10%
towards unforeseen expenses.
18-27
18.1.42.10 REGULATION OF PERIOD SPENT ON SUCH LEAVE FOR

INCREMENTS
The period of absence on training or study will be counted as service for
increment, promotion and seniority subject to the condition that the
employee rejoins duty on completion of the study leave. Increments
accruing during the study leave will be sanctioned after rejoining duty.
18.1.42.11 SERVICE REGULATIONS TO GOVERN DURING STUDY LEAVE
The employee during the course of study leave will continue to be
governed by the NLC Employees’ Conduct Rules, Standing Orders
etc. and he shall not make applications etc. for other employment or
resign from the service of the Corporation without its prior approval.
18.1.42.12 REPORT ON TRAINING
The employee shall submit such reports on training periodically and on
conclusion of training as may be specified in this behalf by the
Corporation.
ANNEXURE
BOND TO BE EXECUTED BY AN EMPLOYEE IN PERMANENT
EMPLOYMENT WHEN PROCEEDING ON STUDY LEAVE
Know all men by these presents that I S/o ………………………… permanently residing at
………………. (full address to be furnished) at present employed as ……………. in NLC hereby bind
myself, my heirs, executors and administrators to pay to the NLC hereinafter called the ‘Corporation’
on demand the sum of Rs……………(Rupees……………. Only) together with 12% interest thereon
from the date of demand.
WHEREAS I am granted study leave by the Corporation and whereas for the better protection of
the Corporation, I have agreed to execute this bond with such condition as hereunder written.
NOW THE CONDITION OF THE ABOVE WRITTEN OBLIGATION is that in the event of my
failing to resume duty or resigning or retiring from the service or otherwise quitting the services
without returning to duty after the expiry or termination of the period of study leave or at any time
within a period 3/5 years after return to duty, I shall forthwith pay to the Corporation or as may be
directed by the Corporation on demand the said sum of Rs…………. (Rupees
…………………………………… only) together with the normal interest thereon.
AND upon my making such payment the above written obligation shall be void and of no effect
otherwise it shall remain in full force and virtue.
The Civil Courts having ordinary original jurisdiction over Neyveli alone shall have exclusive
jurisdiction in regard to all claims in respect of this bond of whatever nature.
Signed and delivered by the said……………………on this day of …………20
SIGNATURE OF THE OBLIGER.
Witness:
Name
Occupation:
Address:
(Pro. No. P&A/200/83 Dt.02-11-’83)
18-28
18.2. LABOUR
18.2.1. CASUAL LEAVE
All workmen as defined in the Standing Orders who fall in the category of labour will
be eligible for casual leave with wages/pay up to 10 days in a calendar year subject
to the following conditions:-
(i) The workman/employee concerned should have put in on the first day of the
calendar year 240 days of continuous service i.e., service without any break,
exclusive of the period spent on weekly holidays and festival holidays,
earned leave, casual leave, quarantine leave, maternity leave and absence
due to employment injury, if any, to become eligible for casual leave with
wages/pay;
(ii) Casual leave with wages/pay shall not be combined with any leave other
than weekly holidays and festival holidays;
(iii) Except in cases of sickness not more than 3 days of casual leave with
Wages/pay shall be granted at a time provided the individual has
accumulated leave to the extent required;
(iv) Casual leave with Wages/pay shall not be carried forward to the next year;
(Procs.No 295/L1-1/E&G/65 dt28.04.65)
(v) Casual leave can be granted with Wages/pay in spells of even half a day.
(Procs. No 9284/L1-1/65 dated 18.08.65)
18.2.2. EARNED LEAVE
The earned leave admissible to the regular workmen borne on the Labour
Establishment will be regulated as given below with effect from 01-01-’90.
No. of completed years of service Entitlement of Earned
Excluding ‘casual’ service leave p.a.
Days
Upto 5 years 22
Above 5 years upto 10 years 24
Above 10 years & upto 15 years 26
Above 15 years & upto 20 years 28
Above 20 years 30
(Proc.No.11115/WR/89-51, Dated: 08-06-’90)
18.2.3. EARNED LEAVE ACCUMULATION:
Accumulation of Earned Leave was permitted up to 240 days till 5.7.2001.
(Pro.No.11115/WR/89-51, Dated: 08-06-’90).
Earned Leave accumulation was revised to 300 days, w.e.f. 6.7.2001. As per
Proc.No.CORP/P&A/WR/800/2001-2, dt.6.7.2001. (Annexure-0)
18.2.4. HOLIDAYS OCCURRING DURING OR AT EITHER END OF LEAVE.
The leave admissible shall be exclusive of all holidays whether occurring or at
either end of the period of leave.
18-29
18.2.5. APPLICATION FOR LEAVE:

Application for leave must be preferred:
a) Not less than 30 days before the date on which the worker wishes his leave to
begin if he is employed in public utility service as defined in clause (n) of
Section 2 of the Industrial Disputes Act 1947.
b) In other cases, not less than 15 days before the date on which the worker
wishes his leave to begin.
EXCEPTION:
If the worker wants to avail himself of leave with wages due to him to cover a period
of illness, he shall be granted such leave even if the application for leave is not
made within the time specified above.
NOTE: The provisions of Standing Order 30 which are more favourable will apply
(Memo No.32277/LI-2/62-6 DT: 21.3.63)
18.2.6. REFUSAL OF LEAVE:
An application for leave which does not contravene the provisions in regard to the
time limits prescribed shall not be refused.
18.2.7. RATE OF LEAVE WAGES:
A worker shall be paid on a rate equal to the daily average of his full time earnings
for the days on which he worked during the month immediately preceding his leave,
exclusive of any overtime and bonus, but inclusive of dearness allowance and cash
equivalent of the advantage accruing through the concessional sale to the worker
of food grains and other articles
18.2.8. PAYMENT IN ADVANCE:
A worker who has been allowed leave for not less than 4 days in the case of an adult
and 5 days in the case of a child shall before his leave begins be paid wages due for
the period of leave allowed.
The payment of leave wages in advance to workers employed need be made only
in cases where the worker applies for the leave a week in advance as required in
S.O The leave sanctioning authority should pass orders on the leave application at
least 4 days prior to the commencement of the leave. (32277/LI-3/62 Dt: 21.3.63)
18.2.9. PAYMENT IN THE CASE OF TERMINATION / RESIGNATION OF SERVICE.
(Adjustment of Earned Leave against notice period while submitting resignation is
permissible).
In case, when a workman resigns, on his specific request, EL at credit may be
adjusted against notice period required for resignation.
Pay in respect of leave not taken shall be payable.
a) in the case of termination of service before the expiry of the second working
day after termination;
b) in the case of voluntary resignation on or before the next pay day;
NOTE : The unavailed leave of a worker shall not be taken into consideration for
computing the period of any notice required to be given before the discharge or
dismissal.
18-30
18.2.10. PAYMENT OF LEAVE WAGES IF A WORKER DIES

Balance of pay due for the period of leave with wages not availed of shall be
payable to the nominee within one week of receipt of intimation of the death of
the worker.
18.2.11. GENERAL INSTRUCTIONS (APPLICABLE TO ALL)
18.2.11.1. WAGES FOR DAY OF DEATH
If any worker dies while he is on duty or leave with wages he should
be granted wages for the day of death.
(L.Dis.No.41829/LI-1/62 dated 01-02-1963)
Leave account may be given to workmen once in six months.
18.2.11.2. LEAVE FOR A PERIOD OF LESS THAN A DAY
Grant of leave with/without Wages for a period of less than a day
shall be regulated as follows:-
1) If a Worker employed in any factory applies for leave for part
of a day on the ground of illness he should be granted leave
with Wages for that part of the day.
2) (a) Where the absence of a Worker in a factory is for a
period of less than a day and the absence is for any
reason other than illness; and
(b) Where the absence of a Worker in any labour post in any
establishment, which is not a factory, is for a period of
less than a day, the absence for part of the day should
be treated as absence authorised or unauthorized
depending upon whether permission is applied for or
not. No Wages should be paid for such absence.
3) If a worker has worked for part of a day, he should be paid
proportionate wages for that part of the day. Deduction from
Wages for the hours of absence should be proportionate to
the number of hours for which the worker was absent from
work.
4) The days on which a Worker was granted leave with Wages
or was absent for a period of less than a day should not be
counted for purposes of probation, increment and earning
leave in any case.
(Memo. No.22675/LI-1/59-6 dated 22-08-59)
18.2.11.3. RECKONING OF DAYS OF ABSENCE WITHOUT PERMISSION
AS LEAVE:
The absence of a Workman without permission, which does not
result in termination of his employment under any of the following
clauses, will have to be treated as leave with or without wages with
reference to the circumstances of each case and such absence will
not result in any break in service.
1. Dismissal of Workman after taking disciplinary action for any
of the following misconducts:-
18-31
a) Continuous absence for more than 10 days without leave or

without satisfactory cause;
b) Habitual absence without leave or sufficient cause;
c) Absence from place of work during working hours without
permission;
2. Termination of lien for overstayal of leave;
3. By declaring the Workmen who have exceeded the limit of leave
without Wages admissible, as having resigned the post.
(Memo No. 122251/LI-1/62-1, dated 21-08-62).
However, such termination by way of removal from Service/
Dismissal shall be effected only by way of Disciplinary Action as
prescribed in Standing Order.
18.2.11.4. TRANSFER OF WORKMEN/EMPLOYEES FROM ONE
ESTABLISHEMENT TO ANOTHER
Where Workmen/employees are transferred from one establishment to
another in the Project, the leave with wages in respect of such
Workmen/employees be regulated, wherever necessary,
proportionately for the period of their service in the respective
establishments till the date of such transfer provided that they had put
in the requisite proportionate attendance prescribed under the rules
applicable to those establishments, during such period of service.
(Pro. No. 1829 dated 13-12-60).
18.2.11.5. COMBINATION OF “EARNED LEAVE with LEAVE WITHOUT
WAGES:”
A Workman can be granted earned leave with wages after he has
become eligible for and has earned the same, for being availed of in a
calendar year in combination with the E.O.L. already granted/availed
of by him till the end of the previous calendar year, provided that the
leave application made for availing of such earned leave with wages,
was after his becoming eligible for such leave with Wages and the
application is in accordance with the conditions stipulated.
(Memo. No.1170/LI/68-1 dated 17-04-68)
18.2.11.6. TREATING THE PERIOD OF ABSENCE FROM DUTY AS A RESULT
OF ACCIDENT ARISING OUT OF AND IN THE COURSE OF
EMPLOYMENT:
ACCIDENTS TO THE EMPLOYEES ON THE WAY TO DUTY SPOT
AND TO RESIDENCE REGULATION OF DISABLEMENT PERIOD.
Of late, a number of representations are received from the employees
for the sanction of special disability leave or payment of full wages and
compensation for the period of disablement due to accidents, under
the following circumstances.
i) while going to duty from residence
ii) while coming from duty after shift to home
18-32
iii) while traveling by commercial bus to duty and from duty to home
iv) while going to work or back to home from work, by jeeps,
scooters, bicycles and walking.
Though the theory of “Notional extension of the employer’s premises”
as contemplated in the workmen’s compensation Act is applied to
cases of the above nature, it is difficult to identify the genuiness of the
claim whether the accident for which the claim has been made, has
actually taken place while going to work and coming from work after
shift within the reasonable time. Therefore, such cases have been
examined with reference to the Judgment delivered by the court on
similar type of cases and it has been decided to extend the benefits
under the theory of notional extension of employer’s premises to the
employees.
In the light of the above the employees/workmen who met with an
accident while going to work and coming from work spot to home may
be allowed the benefit of full wages/compensation to those who are
strictly covered by the Workmen’s Compensation Act, as indicated in
P&A Department’s Procs.No.5218/IR-2/94-1, dt.29.4.94.
The following conditions will be followed for allowing above benefits
under the theory of Notional extension of employer’s premises.
i) the accident/occurrence should have taken place within Neyveli
area
ii) there should be proximate connection between the accident and
employment (i.e.) time and place
iii) he should have undergone medical treatment in the NLC General
Hospital and produce the Medical Certificate accordingly (as
applicable to special disability leave)
iv) there must be a formal accident report from the Unit/Office where
he is working as well report from security department.
v) The Unit Head / Offices should give a certificate to the effect that
Shri……….Designation ……………. has to attend/has attended
duty in ………shift and that he actually met with an accident while
going to duty from home/while going from duty to home at
… … … … . . o n … … … … … . a t … … … … .
AM / PM….. and that his claim is acceptable.
The Unit Heads are also informed that they should have strict vigil in
order to avoid malpractices and should not dispose of the cases in a
routine manner. Whenever the circumstances warrants, a detailed
enquiry may be conducted before sanctioning the
leave/compensation.
The Heads of Units are requested to sanction the full
pay/compensation subject to fulfillment of the above conditions.
The procedures for Sanction of full pay/Special Disability leave are as
Under:
18-33
1. An employee who desires to prefer any claim for grant of Special

Disability leave shall report as soon as possible and in any case
within 72 hours of the accident, to the Unit Head concerned , with
brief details ,as to when and how the accident took place, nature
of injuries/illness, immediate action taken, name of eye
witnesses etc. in the Proforma for intimating accidents.
2. All such reports as and when received should be forwarded by the
Unit Head together with copy of the accident report issued and
other supporting documents viz., Medical Certificate, Police
/Security report, if any and certificate of Unit Head with
comments, to the Standing Committee consisting of CGM/P&A,
Unit Head concerned, CLO and IR Department, Corporate Office.
3. The Standing Committee will examine the reports of every
accident /injury/illness/disease submitted by the concerned
employee received through the Unit Head and record their
recommendation as to the admissibility of the claim under
provisions regarding Special disability leave. The Committee
may obtain statements of witnesses, if need be and also the
opinion of the CGS / Medical before arriving at their
recommendation.
4. The proceedings of the above Standing Committee together with
its recommendations shall be placed before the Competent
Authority to approve or to refuse the Special Disability leave
and/or other benefits. The results of any decision refusing to
approve the Special disability leave and /or other benefits shall be
communicated to the employee, which shall be conclusive and
binding on the employee.
( Procs .No.Corp/P&A/732/0320/2005 dated 06.04.2005)
In the case of Workmen (as defined in the Workmen’s
Compensation Act, 1923) in the regular establishment who
receive compensation under the Workmen’s Compensation Act,
1923 for the injuries arising out of and in the course of
employment is treated as dies-non i.e.
a) the days of their absence will not be debited to their
leave account;
b) the days of absence will not be reckoned as working
days for purpose of ‘lay-off’ compensation and
‘Retrenchment’ compensation;
c) the days of absence will not be counted as duty for the
purpose of increment, probation and earning leave;
d) the absence will not amount to break in service;
e) the maximum period of absence will be the same as the
maximum period for which half-monthly payment is
payable under Section 4(1)(d) of the Workmen’s
Compensation Act, 1923 viz. 5 years. (Revised as full
wages vide Procs. No. 11115 / WR / 89 -18
dated 15-11-89).
18-34
If any Workman desires to treat the period of disability

as a result of an injury as leave to which he may be
eligible under the Factories Act or the Mines Act, he will
not be paid any compensation; and
i) in the case of regular employees of the
Corporation who fall under the definition of
“Workmen” under the Workmen’s
Compensation Act and who are Central or State
Government servants such absence be
governed by the provisions similar to those in
F.R.101 (b) read with S.Rs. 269-273: and
ii) in the case of Workmen who are not eligible for
c o m p e n s a t i o n u n d e r t h e Wo r k m e n ’s
Compensation Act, they be granted the leave to
which they may be eligible for the period of
absence due to injuries and such absence for
the period in excess of the leave be treated as
absence with permission but without wages /
such absence with permission but without
wages / will not be debited to their leave
account, and will not be reckoned, as working
days for purposes of ‘lay-off’ compensation and
‘retrenchment’ compensation and will not be
counted as duty for the purpose of increment,
probation and earning leave and will not amount
to break in service.
(Memo No. 25329/LI-2/62, dated 23-02-1961).
18.2.11.6.1 DISABLEMENT PERIOD DUE TO ACCIDENT –
SANCTION OF FULL PAY/ SPECIAL DISABILITY LEAVE
It has come to notice that a number of representations are
received from the employees requesting for sanction of full
wage / special disability leave who are disabled as a result of
accident arising out of and in the course of employment.
Taking into consideration of the amended provisions of
Workmen’s Compensation Act, removing the wage ceiling
for the coverage of the Act (i.e.) all persons including
executives working in the Factories, Mines, etc., without any
ceiling on salary are termed as “Workmen” and covered by
the Workmen’s Compensation Act, and in view of the orders
issued in P&A Department’s Procs.No.11115/ WR/89-18,
dt.15.11.1989 for the payment of full wages for the
disablement period due to accident, the following
instructions are issued for regulating the disablement
period.
1.(i) All employees/workmen including executives working in the
Factories, Mines, etc., who are covered by the provisions of
workmen’s compensation act and are disabled as a result of
accident which arise out of and in the course of employment
will be paid full wages / pay for the disablement period under
the provisions of Workmen’s Compensation Act, 1923 read
along with instructions contained in the proceedings cited.
18-35
1.(ii) All employees including executives who are not covered by

the provisions of Workmen’s Compensation Act (under
schedule-II) may be sanctioned special disability leave for
the disablement period caused due to accident while on duty
as per the rules in force by the Competent Authority only.
2. The cases as specified above i.e. Para (i) and (ii) may be
regulated based on the medical certificate issued by
General Superintendent/Medical in the form prescribed and
formal accident report from the Unit Heads concerned.
3. The Heads of Units are requested to sanction full pay /
wages specified in Para 1(i) above. For the sanction of
special disability leave the existing procedure will be
followed.
4. It is informed that the medical Board will review the cases
indicated in Para 1(i) above at an interval of six months so
that the Management will decide about continuance of the
payment or otherwise.
5. The Heads of Units are requested to regulate disablement
periods due to accident strictly with reference to the above
instructions and send a list of such cases at an interval of six
months to this Office and to General Superintendent/
Medical for review.
(Procs.No.5218/IR-2/94-1/Dt: 29.4.1994)
18.2.11.7. DEDUCTION FROM LEAVE WAGES PAID IN ADVANCE:
In the case of Workers governed by the Factories Act or the Mines Act,
who are granted leave with Wages for a period of not less than 4 days,
before the leave begins, house rent and charges for power and water
for the period for which leave wages have been claimed may be
recovered from such Wages proportionately. Deduction towards fine
and damage or loss of Corporation property in respect of which final
orders have been passed can also be made from the leave wages. In
respect of other items such as dues to Co-operative Stores etc., no
deduction need be made from the leave wages unless a demand for
payment of dues is actually pending collection.
(Memo No.10615/LI-1/62-1, dated 10-08-1962).
18.2.12. LEAVE WITHOUT WAGES
18.2.12.1. Admissibility;
(i) Leave without pay/wages may be granted to workmen/
employees as follows:-
(a) In special circumstances when no other leave is admissible
upto a maximum of 3 months at any time during any year of
service.
Provided however further extension may be granted when
the absence is to cover a period of disablement caused by
an accident, while on duty, on production of a certificate
from the Project Medical Officer to this effect at fixed
intervals as may be fixed.
18-36
Provided further, that leave without wages/pay may be

granted for a period of more than three months if such
leave is to cover a period of suspension, in disciplinary
cases of a workman/ Employee who is ultimately restored
to duty.
(Memo No.67431/LI-1/61-2, dated 14-08-1961).
(b) To a workman/employee who has put in a continuous
regular service of three years suffering from T.B./Leprosy/
Cancer/Mental illness/Renal failure. Subject to the
production of a certificate from the Medical Officer in
charge of the sanatorium specifying the period for Which
leave is recommended - Upto 18 months.
(c) To cover a period of illness supported by a certificate from
the Medical Officer (only to those who have put in three
years of continuous regular service) - Upto 6 months
(d) For the purpose of prosecuting studies certified to be in the
Interest of the Corporation (only to those who have put in
three years of continuous regular service). - 1 1/2 years
(ii) The grant of leave without pay/wages in all the foregoing cases
shall be subject to the following conditions:
a) that the post from which the workman/employee proceeds
on leave is likely to last till his return to duty;
b) that leave without pay/wages cannot be claimed as a
matter of right; and
c) that leave without pay/wages may be combined with any
other leave other than casual leave.
(Proceedings No.1582, dated 31-10-1960)
NOTE: The maximum limit of three months prescribed is exclusive of
Sundays and other holidays whether occurring during or at either end
of a period of leave without wages.
The period of one year of service for the grant of leave without wages
may also be reckoned on the same principles as are followed in the
matter of grant of leave with wages.
(Memo No.24421/LI-1/62-1 dated 28-06-62)
18.2.12.2. Procedure to be adopted in cases where the limit will be exceeded:
If a workman applies for leave without pay/wages for a period by which
the maximum limit prescribed would be exceeded, he should be
informed well in advance in writing specifically that he is not eligible for
any leave beyond the limit prescribed and that if he fails to report for
duty on the day following the day on which the maximum leave
admissible to him would be exhausted, it would be deemed that he has
resigned his job in the Corporation. If the workman fails to return to
duty on that date in spite of the notice sent to him, orders may be
passed that the workman has been deemed to have resigned his job in
the Corporation.
(D. Dis 16488/LI-1/68-1 dated 26-02-62)
18-37
18.2.12.3. Holidays occurring during or at either end of a period of leave without

wages
Weekly holidays occurring at either end of a leave without wages need
not be treated as leave without wages and the workers who are
monthly rated may be allowed wages for such weekly holidays. In
orders granting the leave without wages such weekly holidays need
not be mentioned.
Weekly or any holidays with pay occurring during a spell of leave
without wages should be treated as leave without wages only and the
workers will not be entitled to any wages for such weekly holidays.
18.2.12.4. MATERNITY LEAVE:
Maternity Leave to female employees borne in Labour category shall
be regulated as per the provisions of the Maternity Benefit Act, 1961.
18.2.12.5. QUARANTINE LEAVE
Quarantine leave, on half pay/wages shall be granted up to 14 days in a
year to any worker under the direct employment of the Corporation,
where the Project Medical Officer or the Project Health Officer certifies
that the worker or any inmate of his house is suffering from an
infectious disease called “Rabies”, without any condition that the leave
should be set off against the annual leave earned by the worker.
Quarantine leave may be granted only with reference to local cases.
Quarantine leave may be allowed to be combined with any leave other
than casual leave:
(MD’s Pro. No. 848 dated 16-06-60 & 24934/GI/62-1 dated 01-12-62)
Quarantine Leave will be granted only in respect of “rabies” as per
Government of Tamil Nadu Instructions. (Corp/P&A/ 1913/4619/2002,
Dt.7.1.2002)
18.2.12.6. SICK LEAVE
The accumulation of sick leave for regular workmen in Labour
Establishment is 40 days (Procs. No. Wage Agt./07/P&A/WR/92, dt.
2.9.95)
The regular workmen borne on the Labour Establishment be granted
sick leave with full pay for a maximum of 10 days in a calendar year.
For those, who are appointed in the middle of the year, sick leave will be
admissible at the rate of one day for every two months or part there of
comprised in the period from the date of appointment to the end of the
year.
The Sick Leave may be combined with any kind of leave other than
casual leave. Sick leave can be accumulated up to 40 days.
For absence exceeding three days, a certificate from the Medical
Officer of the Corporation or the AMA specifically nominated or a
Medical Officer not below the rank of a Civil Assistant Surgeon is
necessary
(Procs. No. 156/E&G/WR/70 dt. 07-04-70)
18-38
18.2.12.7. PAID HOLIDAYS

Paid holidays will be allowed for nine days in a calendar year on days
notified by the Management. (Pro. No.136/E&G/WR/70 dated 02-04 70).
18.2.13. COMPENSATORY OFF FOR WORK ON PAID HOLIDAYS.
18.2.13.1. Both monthly and daily rated workers in the establishments of the
Project who were required to work on Paid Holidays may be granted
extra wages for those Paid Holidays, where it is not possible to allow in
lieu of compensatory holidays. It is further clarified that in the case of
workers who are required and allowed to work on Paid Holidays and in
whose cases it is decided to grant compensatory holidays, they shall
be allowed to avail themselves of compensatory holidays of equal
number to the Paid Holidays so lost, within the month in which the
holidays were due to them or within two months immediately following
that month
(Memo No.21/LI-1/63-8 dated 03-07-63)
18.2.13.2. The Chairman directs that Junior Engineers employed in the
Production Unit/Central Maintenance Organization etc., (other than
those in the Administrative Offices) who are required to work on any of
the Paid Holidays may also be allowed either a compensatory holiday
or a day’s extra wage, at their option. The Heads of Unit / Estt. or other
competent authority will have the discretion to employ the Junior
Engineers on Paid Holidays. It should however be restricted to the
actual need of the work. For work on weekly days of rest, only
compensatory off should be allowed.
The orders will come into force from 01-12-1972. (Proc.
No.433/E&G/72, dated 05-12-72)
The employees below the rank of Junior Plant Managers employed in
the Production Unit, Central Maintenance Organisation etc., (other
than those in the Administrative Offices) who are required to work on
any of the Paid Holidays may be allowed either compensatory holiday
or extra wages at their option. They are also informed that employment
of persons on Paid Holidays should be restricted to the actual need of
the work.
These instructions will not apply to weekly days of rest, for which
existing procedure of allowing compensatory off will continue to be
followed.
(Proc No.521/E&G/69 dated 20/22 -12-69)
18.2.13.3. As in the case of daily-rated workers, the monthly rated workers in the
establishments covered by the Motor Transport Workers’ Act, e.g.
Commercial Bus Service, who are required to work on Paid Holidays,
may be granted extra wages for the holidays. This course should be
resorted to only in cases where it is not feasible to allow compensatory
holidays and will be regulated as per provisions of Motor Vehicles Act
and Rules. The monthly rated workers in the establishments of the
Project not covered by the Motor Transport Workers’ Act may also be
allowed extra wages if they are required to work on Paid Holidays and if
it is not possible to grant them compensatory holidays.
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18.2.13.4. The amount of additional wages/salary paid for work on Paid Holiday
would not be reckoned for recovery of subscription for PF. It will not
also be counted as wages for working out bonus and gratuity. (Memo
No.E&G/5814/CI-1/81-2, dated 24-06-81)
18.2.13.5. It is clarified that there is no question of payment of additional wages for
Paid Holidays falling during visits on duty to outside places. The TA
Rules will take care of such things.
(Memo No.E&G/11367/CI-1/76-1, dated 26-06-76)
18.2.13.6. The Chief Health Inspector, Health Inspectors, Health visitors and Asst.
Health Inspectors in the TA’s Division and other units who are required
to work on any of the Paid Holidays may also be allowed either a
compensatory holiday or a day’s extra wage at their option. The
TA/Unit Heads will have the discretion to employ them on Paid
Holidays. Engagement on Paid Holiday should be ensured that in non
essential and unproductive sections, persons are not engaged on Paid
Holidays. For work on weekly days of rest, only compensatory off
should be allowed.
(Proc. No. 38/E&G/73, dated 19-02-73) (Memo No. E&G/11464/CI-
2/72-3, dated 19-02-73)
18.2.13.7. In order to regulate the employment on Paid Holidays it has been
decided to restrict the employment on such days to the categories as
indicated below:
(i) Workers employed on continuous operation on all days;
(ii) Persons employed on running maintenance;
(iii) Persons required on emergent and such other essential items of
work, which cannot at all be postponed.
Persons other than those coming under the above categories
should not be normally employed for work on Paid Holidays.
In respect of persons whose normal weekly off falls on the Paid
Holidays they should avail themselves of the Paid Holidays and
they will be given compensatory weekly off. This may be the
general guideline in regulating employment on Paid Holidays.
(Memo No. 5994/IR-1/72, dated 02-02-73)
18.2.13.8. The following guidelines are issued in regard to grant of compensatory
holidays in lieu of attending duty on Second Saturdays and Sundays:-
(i) Employees in offices who are eligible to avail of Second
Saturdays and Sundays as holidays and who are required to
attend duty for the full prescribed hours of work on these days and
not for extra hours on working days will be given Compensatory
holidays in lieu. Similarly in cases where an employee is required
to work for half a day or less (i.e. from the time the office opens till
lunch time in the forenoon or after lunch time till the office closes
in the afternoon) two such half days will be taken as equivalent to
one full day for the purpose of grant of Compensatory holiday.
Where necessary, half-a-day’s Compensatory holiday may also
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be given.
(ii) Compensatory holidays should be availed of within two months
from close of the month of the accrual of such holidays. They
cannot be carried over beyond two months under any
circumstances.
(iii) Compensatory holidays that can be availed of at one stretch will
be restricted to three days. They can be combined with Casual
Leave subject to the condition that the period of absence covering
Casual Leave, Compensatory holidays restricted to 3 days and
holidays availed of altogether should not exceed ten days.
(iv) The same principles will be applicable to grant of Compensatory
holidays in lieu of duty on Administrative holidays.
(Memo No. E&G/10811/CI-1/73-2, dated 04-10-73)
18.2.13.9. It is ordered that the Higher Grade Employees on executive and
supervisory duties, who are eligible for Paid Holidays only may be
allowed with effect from 01-10-1975, compensatory off for working on
Paid Holidays subject to the following conditions:-
(i) The Compensatory off shall be utilised within TWO months of the
Paid Holiday on which the Higher Grade Employee (Executive)
has worked and
(ii) Compensatory off shall not be affixed to any other leave. (Memo
No. E&G/14392/CI-2/75-1, dated 09-10-75)
18.2.13.10. Higher Grade Employees entitled to “Paid Holidays”
only are also eligible for “Compensatory Off” in case a
Paid Holiday falls on a weekly off day and this should be availed of
within two months.
(E&G/20487/CI-1/75-1, dated 11-12-75)
18.2.14. LEAVE TO TRAINEES (With effect from 01-03-90)
(ALL TRAINEES IN LABOUR ESTABLISHMENT)
SL. NO. TRAINING PERIOD ENTITLEMENT FOR LEAVE
Casual Leave – 10 days
1 If one year Medical Leave – 10 days
Extra-Ordinary Leave – 10 days
Casual Leave – 5 days
2 If six months Medical Leave – 5 days
Extra-Ordinary Leave – 5 days
The leave not availed of, out of the above entitlements will not be allowed to be carried
forward, on regular appointment after completion of the training period.
The Trainees are not allowed to any other kind of leave
(Circular of P&A Dept., dated 21-03-90).
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18.2.15. MEDICAL LEAVE - Labour category of employees

18.2.15.1. Medical leave will be credited in advance at the rate of 5 days for the
period January – June on the 1st of January and 5 days for the period
July – December on 1st of July every year. This credit for the half-year
in which an employee is appointed will be at the rate of 5/6 days for
each calendar month of service he / she is likely to render in the half-
year in which he is appointed.
18.2.15.2. While limiting the maximum of 40 days, where the balance at credit is
35 - 40 days, further advance credit of 5 days on 1st January / 1st July
will be kept separately and employee can avail this 5 days ML during
that half year ending 30th June / 31st December. However, if the leave
availed is less than 5 days, the remainder will be credited to the leave
account subject to the ceiling of 40 days at the close of that half-year.
18.2.15.3. The medical leave to be credited every half-year will be reduced at the
rate of 1/36th of the period of dies non / suspension treated as dies non,
during the previous half-year, subject to a maximum of five days.
18.2.15.4. The credit for the half-year in which an employee is due to retire /
resigns will be afforded at the rate of 5/6 days for each completed
calendar month, the employee is going to serve in that half-year up to
the date of retirement / resignation.
18.2.15.5. The credit for the half-year in which an employee is removed /
dismissed from service or dies in service will be regulated at the rate of
5/6 days per completed calendar month up to the end of the calendar
month preceding the calendar month in which he / she is removed /
dismissed / dies.
18.2.15.6. While giving the credit of medical leave, fraction of a day shall be
rounded off to the nearest day.
In accordance with the above modifications, Unit Heads / Unit
Personnel Heads are requested to take necessary action for
calculating the Leave balance of employees as on 31-12-99 and for
crediting of EL/HPL /ML from 01-01-2000.
The leave rules stand modified to the above said extent and other leave
rules remain unaltered. The system of crediting EL to Labour category
of employees will be done as per the prevailing system until further
orders.
On streamlining the system of crediting EL/HPL/ML, the Unit
Personnel Heads are requested to close the leave balance of all
Employees as on 31-12-99 and follow the revised system with effect
from 1.1.2000.
18.2.16. CREDITING EARNED LEAVE / HPL / ML
It has come to the notice of the Management that apprehensions are being raised
that some employees will get lesser number of Earned Leave, subsequent to the
introduction of Revised Leave Rules. It is clarified that the intention of the
Management is only to simplify / streamline the procedures and not to make any
reduction in the number of Earned Leave. Loss of Earned Leave if any consequent
on the implementation of the Revised Leave Rules will be looked into and separate
order will follow.
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Meanwhile, in continuation of the Proceedings cited, the following clarifications are

issued.
18.2.17.
18.2.17.1. Earned Leave for Regular category
a. In case of probationers, present entitlement of 1 day EL for every
22 days during the first year of regular service is modified as 1¼
day per month and advance crediting shall be made accordingly.
b. With regard to the encashment of EL, it is clarified the EL credited
in advance should not be taken into account for encashment
during the half-year in which it was credited.
18.2.17.2. Medical Leave for Labour Category
While giving credit after making deduction if any, the fraction of a day
will be rounded of to the nearest half-day.
1. Procs.No. CORP / P&A / 1308 /99 dated 18-12-1999
2. Procs. No. CORP / P&A / 1308 / 2000/Dt. 01-01-2000.
18.2.18. CREDITING EARNED LEAVE / HPL / ML
It is observed that there are still certain apprehensions regarding the revised Leave
Rules. The following clarifications are given in this regard.
18.2.18.1. The leave rules were revised with the main intention of simplifying the
system of crediting and removing unwarranted complexities in the
maintenance of leave account and to ensure uniformity. The
simplification of the method of crediting EL / HPL / ML done vide Procs.
referred above, was done in line with Central Government Rules in this
regard and with the system adopted in other comparable PSEs.
Central Government and other PSEs, which were previously following
our old system, have switched over to the new system to ensure
uniformity and to meet the changing requirements.
18.2.18.2. As regards that net quantum of EL that will be credited annually to an
employee, there is neither reduction nor increase.
18.2.18.3. In the old system,
a) Every 11 days of working will earn 1 day E.L. The period of
EL/ML/HPL availed will not earn EL. That is the periods of
EL/ML/HPL will not be counted for crediting EL. If the employee
does not avail any EL or ML or HPL, he will earn 33 days EL in a
year. But, if he avails any EL/ML/HPL proportionate deduction
would be made.
For Example:
If A avails 11 days of EL/ML/HPL put together in a year, he will
loose 10/11 days of EL.
If B avails 15 days of EL/ML/HPL put together in a year he will
loose 1 4/11 days of EL
If C avails 33 days of EL/ML/HPL put together in a year he will
loose 3 days of EL
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If D avails 45 days of EL/ML/HPL put together in a year he will

earn 4 1/11 days of EL
b) The EL will be credited only when the employee rejoins duty after
availing any EL/ML/HPL. There was no uniformity i.e., uniform
date of crediting of EL/HPL/ML for all employees.
c) The date of crediting of HPL could be dependent on the date of
appointment and hence the dates can be first of any month for
any employee. If A is appointed in NLC on 1/11/1998, the date of
crediting HPL for him will be 1st November in the every
subsequent year.
d) Detailed analysis of Leave utilization Pattern of employees
indicates the following.
If entire service period of an employee is considered or the
averages of leaves availed by all the employees in a year
considered, on an average an employee avails 32 to 34 days of
EL/HPL/ML (put together) excluding the period of EL
encashment.
e) Hence, these 32 to 34 days will not earn EL and the net credit of EL in
the year will be 30 only.
f) If the credit reaches 300, there will not be further crediting of EL
and any further earning of EL will get lapsed. The employee is
forced to avail every one day after 11 days of working. If any
employee has the habit of not availing any EL/HPL/ML including
EL encashment, he will reach the ceiling of 300 days after 8 years
and there will not be any further crediting as the excess above
300 will lapse. Even if an employee does not avail any EL/HPL
and avails encashment every year, the ceiling will be reached in
13 years. But in practice it is observed that only 20 % goes for EL
encashment. Even if the employee has the habit of availing his
EL/HPL frequently he can avail leave at his credit only and the
averages of leave availed as specified above will hold good for
everyone.
18.2.18.4. In the new system
a. Uniform advance crediting of 15 days on 1st January and 1st July
will be made. There will not be any reduction in the quantum for
the periods of EL/HPL/ML availed. Only if the employees have
absented for certain periods or availed EOL, proportionate
reduction will be made. This was same in the old system also.
For example, if A avails 30 days of EL/ML/HPL in the past half
year, the amount of Advance Credit will be 15 days and there is no
change.
b. Dates of Crediting of EL and HPL/ML are 1st January and 1st July
for all.
c. In case of employees who have 285 –300 days of EL at credit, the
further advance credit of 15 days for the half year will be kept
separately and the employee can avail the leave within 6 months
i.e., before the next date of advance crediting. The balance will
18-44
be credited at the end of the half year only subject to maximum

ceiling of 300 days. Then again in the next half year, another 15
days of EL will be credited separately. Virtually the ceiling is
enhanced to 315 days from 300 days. Incidence of lapsing of EL
after 300 days is minimum in the new system.
For example: If B has 298 days of EL at credit before 1st January,
15 days of advance credit of EL will continue to be given and the
same will be kept separately. If at the end of the half year i.e.,
30th June he has availed only 12 days, the remaining 3 days will
be credited to his account subject to maximum ceiling of 300
days. In the next half year, another 15 days will be credited and
kept separately.
d. Concept of rounding off the fraction while crediting is found to be
advantageous to employees.
e. The simplification of leave rules was done with a view to
computerize the leave accounting and indicate the details
including leave balance in the pay slip itself. This will ensure
transparency and avoidance of ambiguity.
In view of the above, it is once again clarified that the Leave Rules were
revised with the interest of simplification and there is no loss of EL in the
credit.
Procs.No. CORP / P&A / 1308 /99 dated 18-12-1999
Procs.No. CORP / P&A / 1308 /2000 dated 01-01-2000.
Procs.No. CORP / P&A / 1308 /2000-1.Dt.13-07-2000.
18.2.18.5. ENCASHMENT OF EL AND ACCUMULATION OF EL
It has been decided to enhance the limit for encashment of EL and
Accumulation of EL for all the employees including Executives and
Junior Engineers of the Corporation as under with immediate effect.
ENCASHMENT OF EL
The quantum of encashment of Earned Leave at Credit is raised to
“50% of Earned Leave at Credit subject to a maximum of 30 days.”
ACCUMULATION OF EL
a. The present limit of accumulation of EL is raised to 300 days
with immediate effect.
b. Employees, on cessation of service, shall be eligible for
encashment of EL upto a maximum of 300 days.
(Procs. No: CORP/P&A/WR/800/2001-2/dt.16.07.2001)
18.2.19. JOINING TIME ON TRANSFER
18.2.19.1 The revised joining period permissible on transfer is as below:-

18-45
Distance between the Joining time admissible Joining time admissible

old Headquarters and Continuous travel by road
New Headquarters. for More than 200 Kms.
1000 Kms or less 10 days 12 days
More than 1000 Kms. 12 days 15 days
More than 2000 Kms. 15 days except in 15 days
cases of travel by
Air for which the Maximum
will be 12 days.
(i) The joining time now will be a lump sum No. of days (instead of 8
days plus actual journey time as hither to followed).
(ii) The joining time shall commence from the date of relinquishment
of charge of the old post if the charge is made over in the
Forenoon or the following date if the charge is made over in the
Afternoon.
(iii) Not more than one day’s joining time is allowed to join a new post
within the same station or which does not involve a change of
residence from one station to another.
(iv) The un-availed joining time may be credited to the earned leave
accounts of the respective employees.
(Chairman’s Procs.No.E&G/28/81, dt.13.2.1981
Procs.No.P&A/14758/CI-1/Rules/91/Dated:24/30.12.91)
18.2.20. Extra-Ordinary Leave to Specified Executives for employment abroad
18.2.20.1 The Executives of the Corporation belonging to various Engineering
Disciplines at E3 and E4 levels and Civil Engineers at all levels will be
permitted to apply and secure employment abroad either through the
Overseas Man Power Corporation Limited or other available sources.
However, the Management may reserve the right not to permit such of
those executives coming within the scope of the categories mentioned
above, who are considered essential to the Corporation.
18.2.20.2 The period of extra-ordinary leave shall not exceed 2 years; In
exceptional cases, the Chairman may grant extension up to one year,
provided application for extension is submitted to NLC at least six
months in advance of the date of expiry of EOL.
18.2.20.3 The period of absence during such employment abroad will be treated
as Extra-Ordinary leave without pay and allowances; but such period
will not be construed as break in service. It will not be counted for any
service benefit such as increment, pay, leave, promotions (including
time bound promotions), contribution to Provident Fund by the
Management, any scheme of productivity linked incentive or other
monetary benefit. In effect the period of absence will be treated as
‘dies-non’.
18.2.20.4 On return from abroad, such Executives shall not claim any preference
over others in the matter of promotion or higher pay by virtue of the
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experience gained in foreign employment nor shall they claim

exemption from working experience or other qualifications required
under the rules of the Corporation.
18.2.20.5 On return from abroad, the Executives will be posted to such units/
Branches/Undertakings of the Corporation situated anywhere in India
based on needs and exigencies and such executives cannot have a
claim to post in the area in which they have worked earlier.
18.2.20.6 The pay and allowances of such Executives returning after
Employment abroad will be determined with reference to the actual
period of duty.
18.2.20.7 For the purpose of considering promotions of the Executives who
return from abroad on completion of leave, the following conditions
should be fulfilled:
(a) Should have actually completed the qualifying period for
consideration of promotion from one grade to another:
(b) While reckoning the qualifying period of service, the period spent
on employment abroad on Extra-ordinary leave will be excluded.
(c) The seniority of the person who has gone on leave for
employment abroad will naturally be brought down to a lower
position in view of the possible promotion of juniors on completion
of qualifying period of service while the senior is away.
18.2.20.8 The Executive so granted EOL for employment abroad shall vacate his
quarters with in one month of proceeding on leave. He shall wait for his
turn of allotment on return from leave.
18.2.20.9 No representation, what so ever, will be entertained of persons who
return from leave and rejoin duty for reckoning the period of leave for
the purpose of promotion etc.
18.2.20.10 Executives who avail leave under this scheme and who do not rejoin
duty on the date of expiry of the leave granted to them, shall be deemed
to have voluntarily resigned their appointment in the corporation with
effect from his/her date of proceeding on leave.
18.2.20.11 This scheme is with the approval of the Board and will be in force until
further communication on the subject.
(Procs.No.P&A/1538/CI-2/ Rules/94, dt.18.02.1994).
18.2.20.12 The application for grant of Extra Ordinary Leave for taking up
employment abroad should be accompanied by copy of offer of
employment.
18.2.20.13 A declaration signed by the employee concerned mentioning all the
conditions mentioned in para-3 to 10 in Procs.No.P&A/1538/CI-
2/Rules/94, dt.18.2.94 should be obtained and enclosed to the
application.
18.2.20.14 The Unit Heads/Heads of Establishment should also see that all the
advances drawn by the employee concerned are cleared and the fact
entered in the Service Books and other connected records under
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intimation to Department/Branch concerned before the employee is

relieved.
18.2.20.15 While forwarding the proposals for sanction of Extra-Ordinary Leave
under the Scheme the Service Books of the respective employees may
also be forwarded to P&A Department Corporate Office for approval.
18.2.20.16 The employees may also be informed that the grant of EOL is subject to
Vigilance clearance.
(Procs.No. P&A/1538/CI-2/Rules/94-2, dt.7.3.1994)
18.2.20.17 Service Certificate may be issued only mentioning nature of duties
performed and period of service without mentioning the service,
efficiency and character in respect of E3 and E4 Officers alone who
intend seeking employment in foreign countries.
Such Certificate shall not be issued more than once in a year.
(Cir.No.P&A/3464/CI-2/Rules/94-1, dt.15.4.94)
18.2.20.18 The purpose of announcing this scheme was mainly for reducing
manpower. Application received from executives in essential
categories need to be carefully scrutinized by Unit Heads as it is
apprehended that exodus of executives may adversely affect the
normal functioning of the Units.
18.2.20.19 It has to be ensured that applications of those who routed the initial
application through proper channel, and where only substitute man
power is available for essential positions, only be considered
(Memo. No.3693/P&A V-2/95, dt.5.4.95)
18.2.20.20 The system of granting EOL for Executives for taking up employment
abroad was withdrawn with immediate effect
(Procs.No.9116/EE I-2/P&A Dept./97, dt.12.2.97.)
18.2.20.21 It has now been decided that cases of grant of EOL in respect of all
Categories of Executives and Technical Cadre Supervisors (JE Gr.II
and above) shall stand temporarily suspended.
18.2.20.22 However cases of workmen and non-executives (in non-technical
cadre) shall continue to be considered as per existing procedure until
further orders.
(Procs.No.P&A/CPM (R.P)/24/99,dt.8.1.99.)
18.2.20.23 In supersession of orders issued vide Procs.No.CPM(RP)/24/99,
dt.8.1.99, it has been decided to grant EOL for employment abroad up
to the level of E-4 grade until further orders subject to the earlier
conditions. Grant of EOL is subject to the recommendation of Unit Head
that they would manage the shortage caused with the available
manpower.
(Procs.No.Corp/P&A/0550/99, dt.18.1.2000.)
18.2.20.24 Depending upon availability of quarters employees who were granted
EOL will be considered for allotment of Type-II and Type-I quarters on
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payment of Commercial rent, electricity and water charges for the

period of EOL.
18.2.20.25 All the payments should be made in advance and the approximate
amount will be decided by Township Administration.
18.2.20.26 Allotment will be for specific period of EOL and the allotment order
stands withdrawn/cancelled automatically, on completion of the EOL
period and TA reserves the right to take possession without issue of
notice, etc.,
18.2.20.27 There is no scope to consider for retaining the present quarters other
than Type-I/II and they will have to vacate the same as per the existing
pattern.
(Procs.No.CORP/P&A/0550/2000, dt.24.7.2000.)
18.2.20.28 It has been decided that those employees who had already been
granted EOL for employment abroad shall not be granted EOL for
employment abroad for second or subsequent occasion.
(CORP/P&A/550/2000, dt.13.9.2000.)
18.2.20.29 It has been decided during Functional Directors Meeting that Operation
of the scheme for grant of EOL for Employment Abroad shall stand
withdrawn until further orders.
18.2.20.30 In continuation of Procs.No.CORP/P&A/0550/2000, dt.24.7.2000, it
has been decided to permit such cases of employees on EOL for
employment abroad who are in occupation of quarters other than Type-
II/Type-I to retain the same quarters on commercial rent basis including
Electricity and water charges during the entire period of EOL.
18.2.20.31 The suggestion of Vigilance Branch in respect of sanction of EOL for
employment abroad is reproduced as below for strict Compliance, with
a view to avoid misuse, the following points may be incorporated in the
EOL sanction order.
(a) Furnishing the copy of immigration check made in the passport
within one month from the date of landing abroad.
(b) Verification of the passport for the period of stay at the time of
joining duty by P&A Official.
The suggestions were accepted and incorporated.
(D/Per./40/2003, dt.7.7.2003)
18.2.20.32 No case for Extension of EOL beyond the period of 3 years shall be
processed/ recommended and shall not be considered.
18.2.20.33 Grant of EOL shall be considered on case-to-case basis and
Management reserves the right not to grant EOL to any of the
employees in the interest of the organization.
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18.2.20.34 All requests for EOL for employment abroad shall be in the application
format as at Annexure.
(CORP/P&A/0637/2003, dt.11.11.2003.)
18.2.20.35 For grant of EOL for employment abroad, clearance from T.A on
vacation/deposit of advance sent for retention for use of family during
the EOL period is a must. This is applicable in case of extension of EOL
already granted for taking up employment abroad.
(Lr.No.GM/TA/ES-I/EOL issue/2004, dt.31.3.2004.)
18.2.20.36 It has been decided to consider EOL for taking employment abroad
only to the Junior Engineers and executives belonging to Chemical
Discipline. As regards Non-executives existing system will continue.
(CORP/P&A/0637/2004, dt.25.10.2004.)
*****
19-1
19. RULES RELATING TO ENCASHMENT OF LEAVE
19.1. These may be called the “NLC encashment of E.L/Leave with Wages” Rules.
19.2. The scheme of encashment of leave under these rules shall come into force with effect from
01.01.74.
19.3. This shall be applicable to all regular employees/workmen (other than casuals) on monthly
scales of pay including teachers working in NLC Schools borne on Corporation Scales of pay.
19.4. The application for encashment of leave will be made in the form in Annexure.
19.5. EXTENT OF LEAVE ENCASHABLE:
19.5.1. The leave encashable is thirty days per year or 50% of the earned leave at credit, on
the first date of the month of encashment, whichever is less.
(Proc.No.CORP/P&A/WR/800/2001-2/Dt.16.7.2001)
19.5.2. Encashment of leave will be allowed to an employee/workman only once in a
calendar year.
19.5.3. Encashment of leave will be admissible only in whole number of days commencing
from the first day of the month in which payment for encashment is made.
19.5.4. Leave not encashed in a calendar year shall not be permitted to be carried over for
encashment in the next calendar year.
19.5.5. For the period of leave encashed, an amount equal to the total of the following
elements of emoluments admissible on the first date of the month in which the
payment for encashment of E.L is made will be paid:-
Basic pay including special pay and personal pay, if any, Dearness Allowance and
Non-Practicing Allowance.
For the purpose of calculation of the amount the number of days in a month will be
assumed as 30 days irrespective of the number of days in the particular calendar
month.
19.6. DEDUCTION:
No deduction other than Income Tax will be made from the amount payable to a serving
employee.
19.7. TREATMENT OF THE AMOUNT OF ENCASHMENT FOR OTHER PURPOSE:
The amount payable towards encashment of leave will NOT be reckoned as wages/salary for
purpose of overtime, provident fund, bonus, recovery of House rent, etc but will be reckoned
for Income tax.
19.8. TO WHOM INAPPLICABLE:
The rules will not apply to employees on deputation from Govt. Depts. or other Public Sector
Undertakings. Employees engaged on contract and retired and re-employed personnel will
not be covered by these rules. The teachers in the NLC schools drawing pay in state
Government scales of pay are not also covered by these rules.
19.9. COMPETENT AUTHORITY:
The sanctioning authorities for encashment of leave will be those competent to sanction
earned leave.
19-2
19.10. SUPPLEMENTARY INSTRUCTIONS:

19.10.1. In cases of grant of increment, fixation of pay, etc., retrospectively, the rate of leave
salary for periods of earned leave actually availed in the concerned period is revised
and the difference is paid. Similar procedure will be followed in respect of
encashment of leave also and the difference of emoluments drawn in and disbursed.
19.10.2. An employee who avails encashment of leave for a particular period may also avail
of leave during that period .
19.10.3. The period for which leave is encashed need not be linked to particular dates and
probation will not be extended on that score.
19.10.4. The benefits of encashment of earned leave under the rules regarding Encashment
of EL will be allowed to employees covered by the rules, even when they are on
foreign service or deputation to other organisation/Governments.
19.10.5. In the above case, the payment by the Corporation will be restricted to the pay
element of leave salary admissible under Rule 19.5(1) of the rule on encashment.
The Compensatory allowance payable for such period of encashment will have to be
borne by the Foreign employer .
References:
1. Pro. No. 241/E&G/74 Dt: 8.10.74
2. Pro. No. 275/E&G/74 Dt: 7.11.74
3. Pro/E&G/W.Agt.46/78 DT: 1.1.79
4. Memo 11886/CI-1/74-42 Dt: 29.5.75
5. E&G/W.Agt.69/78 Dt: 28.3.79
6. E&G/327/79 Dt: 19.12.79
7. E&G/W.Agt/115/78 Dt: 11.8.80
8. P&A/23216/CI-1/82-1 Dt: 1.2.83
9. 7/P&A/WR/84 Dt: 11.4.84
10. Proc.No. P&A/21264/CI-1/81 Dt: 22.1.82
11. Memo No. 1886/CI-1/74/60 Dt: 04.03.76
12. Memo No, E&G/11886/CI-1/74-12 Dt:12.12.74
13. Memo No.E&G/CI-1/74-26 Dt: 22.01.75
14. Memo.No.11886/CI-1/74-60 Dt:04.03.76
15. (Proc.No.145/E&G/76 Dt: 15.6.76) (E&G/4411/CI-1/76-3 Dt: 14.7.76)
16. Proc.No.CORP/P&A/WR/800/2001-2/Dt.16.7.2001
*****
20-1
20. RULES RELATING TO TRAVELLING ALLOWANCE

20.0 AUTHORITY FOR DEPUTATION:
The authority for Tour approvals is as follows:
Within Tamil Nadu including Pondichery GM & Above Grades
Rest of India (except New Delhi) FDS
New Delhi CMD
20.1. DAILY ALLOWANCE:
20.1.1. An employee who is on tour on official purpose shall be eligible for daily allowance.
20.1.2. Daily Allowance shall be calculated and regulated based on calendar days of 24
Hours reckoned from mid night to mid night.
20.1.3. Calculation of daily allowance on the basis of calendar days based on the actual
number of hours of absence from head quarters shall be regulated as follows:
a. Absence for 6 hours (or) Less - Nil
b. Absence exceeding 6 hours but less than 12 hrs. - 70%
c. Absence exceeding 12 Hours - Full
20.1.4. In addition to normal daily allowances, employees on official tours but who do not
stay in hotels/NLC Guest houses are also entitled for 50% extra of the admissible
Daily allowance for full/part day of the tour subject to declaration to that effect.
20.1.5. Payment of DA for local trips beyond 8 Kms will be regularized as 35% of the
revised DA, if the absence exceeding 6 hours but not exceeding 12 hours.
(Refer 20.10.5)
20.1.6. The admissibility of DA for a continuous halt upto 30 days or more owing to tour /
training / temporary transfer of employee outside their head quarters shall be as
follows:
a. First 30 days of stay- Full DA
b. Beyond 30 days of stay and up to 180 days of stay - Half DA
c. Beyond 180 days of Stay- Nil
20.1.7. The entitlement of DA is given below:
Executives Supervisors Non-Executives
Grade DA Admissible Grade DA Admissible Grade DA Admissible

M5 & Above Rs. 300/- S3 Rs. 150/- W8 & W7 Rs. 125/-
M4 & M3 Rs. 275/- S2 & S1 Rs. 140/- W6 & W5 Rs. 110/-
M2 TO E5 Rs. 225/- W4 & W3 Rs. 100/-
E4 TO E1 Rs. 175/- W2 to W0 Rs. 90/-
20-2
20.1.8. On days where an employee on tour is provided with free boarding and lodging he
will draw only one fourth DA for those days. If he is provided with only free boarding
he will draw ½ DA. If he is provided with free lodging, he will draw ¾ DA. It is the
responsibility of the officer to indicate in the TA Bill such facts to regulate the claim
correctly.
20.1.9. Daily allowance will be admissible even if the journey is performed by a

conveyance provided free of charge.
20.1.10. The Period of absence will be counted from the time of departure from
headquarters and ending with the arrival at Headquarters. In case the period of
absence from headquarters falls on 2 calendar days it is reckoned as
2 days and daily allowance is calculated for each day separately as above.
Similarly, daily allowance for days of departure from and arrival at headquarters will
be regulated. (Proc.No.90/75, dt.26.05.75)
20.1.11. The entire absence from headquarters will be reckoned in the following manner:-
a. Journeys by rail / by air with ref. to scheduled departure/arrival time of the train /
plane from at the railway station/airport. However, when the train is late for more
than 15 minutes actual arrival time will be taken into account.
b. Journeys by bus: with ref. to the actual departure/arrival time at the bus stand
(Memo.Dt.3.7.75)
20.1.12. In cases of enforced halts occurring en-route on journeys on

tour/transfer/temporary transfer and journeys in connection with training
necessitated by breakdown of communications due to blockade of roads on
account of acts of God, or awaiting for air lift may be regulated as follows:
The period of enforced halts will be treated as on duty. The period will be included in
the entire absence from headquarters for purposes of grant of daily allowance. The
DA admissible for enforced halt will be at the same rate as for journey. Stopping at
a place for rest or for catching the next available train on the following day or
resuming journey by road towards the destination in continuation of the previous
day’s journey will not be treated as enforced halts. The headquarters of an
employee shall be in such place as a competent authority may prescribe.
20.1.13. Daily Allowance is not admissible for holidays or Sundays unless the employee is
actually and not merely, constructively on duty in that station.
20.1.14. An employee who takes casual leave or restricted holiday while on tour is not
entitled to draw DA during such leave/holiday and the whole day of leave availed
will be excluded from calculating Daily Allowance on tour.
20.2. ELIGIBLE CLASS / MODE OF TRAVEL:
20.2.1. In cases where the employees undertake journeys in their own Car/Scooter/Motor
Cycle, for official tour, reimbursement will be made at the rate as indicated in the
table below. However Executives of the grade of M2 to E1, prior approval is
essential for undertaking journey for official purposes by Taxi/Own Car/Own
Vehicle.
20.2.2. The mode of Travel, the class of accommodation and the rates for road travel to
which an employee is entitled while traveling on tour are given below:
20-3
Grade Mode Of Travel

Air Rail By Steamer Bus Taxi/Own Car/
Ship Scooter
CMD
A/c First Deluxe/ Actual Taxi fare (or)
FDs & EDs Class Highest Class Rs.3/- per KM for
usage of own Vehicle
M-5 to M3 Admissible
M-2 Rs.3/- per km for

performing journey
by Taxi/Own vehicle.
M-1 Admissible with A/c 2 Tier First / "A" (Prior approval is
specific approval Sleeper/ Cabin (Lower essential)
E-6 to E-5 of Director First Class class if there
Non A/c. are 2 classes)
Acutal Rs.1.20 per km for

E-4 to E-3 Fare performing journey
by Taxi/Own vehicle.
E-2 to E-1 (Prior approval is
essential)
Not Admissible
A/c 2 Tier
S3 to S1 Sleeper/First II / ‘B’ Cabin
Class Non A/c Class
W8 to W1 A/c 2 Tier Not Admissible

Sleeper/First
Class Non A/c
W0 A/c Sleeper/ Bunk/ Lowest

II Class Non A/c Class
20.3. LODGING CHARGES FOR STAY AT HOTELS ON TOUR.

20.3.1. The lodging charges for stay at hotels will be regulated as detailed in the table
below:
20.3.2. In cases where employees stay at Hotels other than the eligible class of hotels, they
will be reimbursed as detailed in table for Principal / Other cities, subject to
production of original receipts, bills, vouchers.
20.3.3. Employees who do not stay in a Hotel / NLC Guest House shall be paid 50 % extra
DA.
20.3.4. All State Capitals except Pondicherry and Goa will be treated as Principal cities for
admitting claims of lodging charges.
20-4
RATES FOR STAY IN HOTELS

GRADE Ceiling and type of Hotel Rates admissible per day for stay at Hotels
accommodation other than the eligible class of accommodation
PRINCIPAL CITIES OTHER CITIES
CMD A/C Suite 5 Star Hotel Actual Actual
FDs & ED A/C Double Room 5 Star Hotel
M5 Rs.1200/- Rs.1000/-
M4 & M3 A/C Room in a 4 Star Hotel Rs.900/- Rs.600/-
M2 & M1 Rs.750/- Rs.500/-
E6 to E1 A/C Room in a 3 Star Hotel Rs.600/- Rs.400/-
S3 Rs.500/- Rs.300/-
S2 & S1 Not Eligible for Star Hotel Rs.500/- Rs.300/-
W8 to W5 Rs.200/- Rs.150/-
W4 to W0 Rs.120/- Rs.100/-
When an Executive stays in a lower star category hotel other than his eligible star class
(i.e., say an M1 Officer eligible for four-star hotel, if stays in a Three Star or lower Star
category hotel), he will be reimbursed with the actual rental expenditure incurred on lower
Star category for stay, subject to other Rules. However, if the Executive had stayed in other
than a Star classified Hotel, he will be eligible only for the rates admissible for stay at hotels
other than the eligible class of accommodation.
(O.O.No.CORP/P&A/1302/6/2005, Dated:04.04.2005)
20.3.5 Room rent actually paid for stay in Guest Houses of any organisation including
Government owned and NLC shall be reimbursed subject to restriction on rates
admissible per day for stay at Hotels other than the eligible class of accommodation
in principal cites and other Cities, as the case may be, as per the revised and
simplified TA/DA Rules in force from 23.12.99.
The above instruction shall be effective from 11.9.2007.
All Claims which have already been settled need not be re-opened and pending bills
for journeys performed on or after 11.9.2007 and future claims shall be regulated as
indicated above.
(Reference: Cir.No.CORP/P&A/RULES/1961/2007, Dt.20.09.2007.)
20.4. RATE OF REIMBURSEMENT FOR LOCAL JOURNEY DURING OFFICIAL TOURS.
20.4.1. Employees while on tour will be allowed reimbursement of Conveyance charges
incurred by the entitled mode of transport as detailed below.
GRADE RATE OF REIMBURSEMENT
M4 & ABOVE Actual – Hiring of Taxi on Daily basis is also permissible.
M3 & M2 Actual Taxi/Auto Fare restricted to Rs.400/- per day.
M1 & E6/E-5 Actual Taxi/Auto Fare subject to a maximum of Rs.200/- per day.
E4 to E1 Actual Taxi/Auto Fare subject to a maximum of Rs.150/- per day.
20-5
GRADE RATE OF REIMBURSEMENT

S3 to S1 Actual Taxi/Auto Fare subject to a maximum of Rs.100/- per day.
W8 to W0 Actual Bus Fare.
20.4.2. When Executives of the rank of M3 to E1 and supervisors of the rank of S3 to S1 on
official tour are compelled by circumstances to incur Taxi/Auto charges more than
the limits prescribed in the table above, such claims shall be allowed with the
specific approval of Functional Directors.
20.4.3. Taxi/Auto fare from bus stand/Railway station to temporary residence and vice
versa will be restricted to Rs.100/- and that from temporary residence to Air Port
and vice versa will reimbursed in full.
20.4.4. In all the TA bills in which taxi charges are claimed the concerned will have to
mention the places visited and the distances. Besides, he has to affix a certificate
as below on the TA bill.
“ Certified that the journeys for which taxi charges claimed were performed on
Corporation work incurring an expenditure of not less than the amount claimed.”
(Extract of Procs.No. P&A/114/83 dated 04-05-1983)
20.4.5. The heads of departments / branches are informed that with a view to curbing such
malpractices, the employees may be directed to note the number of the tickets, in
their TA claim when they travel by first class. The authorities who pass the bill, may
also ensure that such information is furnished by the employees in their TA bills,
before the claim is admitted.
(Cir. No. P&A/12883/CI-1/88 dated 26-09-1988)
(P&A/14331/CI-1/92-1 Dt: 28.12.92)
20.5. GRANT OF ADVANCES IN CONNECTION WITH TOURS.
20.5.1. An employee who is required to proceed on tour may be granted an advance to
cover his traveling expenses.
The application for Tour Advance is to be submitted by the employee to the
Accounts Centre concerned directly for payment.
(CORP/P&A/1931/2005, Dt.6.4.2005)
20.5.2. A second advance can’t be made to an employee for tour purpose unless the T.A.
bill is presented for adjustment of the first advance.
20.5.3. Procedure for processing TA Bills.
The TA bills duly submitted by the employee should be signed by the controlling
officer with reference to the tour approved by him.
The controlling officer should transmit the bill to the concerned Finance & Accounts
Branch.
The Finance & Accounts Branch after duly checking the accuracy of the claim
would record the pay order and send the same to the concerned cash counter for
making payment.
20-6
The above would not be applicable to Medical TA claims, Transfer TA Claims and
Retirement TA claims, since the particulars in respect of these claims are to be
checked with reference to the entries in the Service Book.
20.5.4. An advance of T.A. granted shall be adjusted immediately on the completion of tour
by presenting the T.A. Bill. If the T.A. is less than the amount of advance, the
balance will be remitted by the employee while presenting his T.A. Bill.
20.5.5. If the T.A. bills for adjustment of T.A. Advance paid on Transfer / Tour are not
presented within 3 months of the last date of the month in which the journey was
performed the amount is liable for recovery from the next pay of the employee.
20.5.6. It is clarified that employees proceeding on tour may be granted tour advance to
cover the following elements of expenses only besides to and fro charges:
i. Either the rent on hotel accommodation and food and incidentals or the DA and
ii. Taxi charges in the case of executives and bus fare in the case of non-
executives for local trips.
Subject to the employees concerned specifically request for such advance in
writing or submit the details of calculation in the form of requisition for advance
towards tour.
(No.P&A/17166/CI-1/88-1, dated 4.1.89)
20.6. TRANSFER TRAVELLING ALLOWANCE.
20.6.1. An employee on Transfer from one Station to another in the interest of the
organization shall in addition to Traveling allowance, Daily allowances for himself
and family in accordance with the existing TA rules, is also entitled for following
transfer incidentals.
a. Lump sum Transfer grants.
b. Packing allowance and Insurance charges at actual.
c. Conveyance of personal effects.
d. Settling Allowance of Rs.1000/- or one month basic pay whichever is less.
20.6.2. The Revised rate/limits of transfer incidentals to different category of
employees is as below.
Grade Lumpsum Packing Allowance Conveyance of
Transfer Grant Personal effects
M1 & above Rs.10,000/- Rs.3,500/- + Insurance Full wagon or Two containers in Railway
Charges at actual container service including transport of
conveyance.
E1 to E6 Rs.6,000/- Rs.2,500/- + Insurance Full wagon including transport of
Charges at actual conveyance.
S1 to S3 Rs.6,000/- Rs.1,200/- + Insurance Full wagon including transport of
Charges at actual conveyance
W7 & W8 Rs.6,000/- Rs.1,200/- + Insurance Full wagon including transport of
20-7
Grade Lumpsum Packing Allowance Conveyance of

Transfer Grant Personal effects
W5 & W6 Rs.3,000/- Rs.900/- + Insurance Full wagon including transport of
W3 & W4 Rs.3,000/- Rs.900/- + Insurance
Charges at actual 2500 kgs.
W0 to W2 Rs.3,000/- Rs.900/- + Insurance
Charges at actual 1250 kgs.
20.6.3. The grade wise entitlement for transport of conveyance, is given below:
GRADE RATE OF CONVEYANCE
E2 and Above One Motor Car or One Motor Cycle or One Scooter/One Moped.
E1 One Motor Cycle or One Scooter or One Moped.
S1 to S3 One Motor Cycle or One Scooter or One Moped.
W5 to W8 One Motor Cycle or One Scooter or One Moped.
20.6.4. Full Wagon means, the maximum carrying capacity of a four - wheeler limited to
a) 22.4 Tonnes in the case of Broad gauge.
b) 14.0 Tonnes in the case of Metre gauge.
20.6.5. Where the conveyance is sent under its own propulsion, the employees will not be
entitled to separate fare by rail/air or separate road mileage for himself.
Appropriate mileage allowance will be admissible for the members of his family, if
they travel otherwise than by the conveyance being transported under its own
propulsion.
20.6.6. An employee carrying goods by road can draw actual expenditure on
transportation of personal effects by road or the amount admissible on
transportation by Rail and an additional amount of not more than 25% thereof,
which ever is less. Receipts in support of claims have to be produced.
20.6.7. Traveling Allowance may be drawn by an employee when on transfer from one
Station to another in the interest of the Corporation.
20.6.8. A transfer at his own request will not be treated as a transfer in the interest of
Corporation.
20.6.9. An employee on transfer is entitled for T.A. for himself and for members of his family
accompanying him. A member of an employee’s family who follows him within 6
months from the date of his transfer or precedes him by not more than one month
shall be treated as accompanying him.
20.6.10. Family means an employee’s spouse residing with the employee and legitimate
children and stepchildren residing with and wholly dependent on the employee. It
includes in addition, parents, sisters and minor brothers residing with and wholly
dependent on the employee. (Proc.No.90/75, 26.05.75). Family will include
widowed sisters residing with and wholly dependent upon the employee (provided
their father is either not alive or is himself wholly dependent on the employee
concerned).
20-8
(Proc.No.299/E&G/78/Dt.13.11.78).
Not more than one wife is included in the term family. A relative will be considered
wholly dependent on the employee only if he resides with the employee and his
income from all sources including pension does not exceed Rs.250/- p.m.
20.6.11. For journeys by rail: Actual fare by rail not exceeding the fare of the entitled class.
One extra fare for each adult member of the family who accompanies him and for
whom full fare is actually paid. One half fare for each child for whom such fare is
actually paid.
20.6.12. For journeys by Air: Airfares actually paid for himself and members of his family.
20.6.13. For journeys by Road:
a) Between places connected by Rail: Road mileage limited to rail mileage by
the entitled class will only be admissible.
b) Between places not connected by rail: In the case of Grade–I/ Grade–II
Officers traveling by Taxi/Own Car mileage at prescribed rates for himself
and one mileage if 2 members of his family accompany him and two
mileages if more than two members of his family accompany him.
Employees will be entitled to draw road mileage as prescribed for journey
from Residence to Railway Station/Bus Stand at the old headquarters &
Railway Station /Bus Stand to his residence at the new Headquarters.
20.6.14. Transfer incidentals: (Transfer D.A.)
a) An employee shall in addition to the fare for himself and members of his
family for journeys by Rail, Air, Road as the case may be draw daily
allowance for himself and each member of his family for every completed day
occupied in the journey from residence reckoned from midnight to midnight.
b) Children below 12 years will be allowed daily allowance at half of the rates for
adult.
c) By Road: Between places connected by rail can draw actual expenses but
not exceeding the amount which would have been admissible had he taken
the maximum admissible quantity of personal effects by goods train.
20.6.15. Executives in the level of M1 and above who join in NLC on appointment from other
PSEs will be allowed reimbursement of Insurance premium incurred by them
towards transportation of their household articles to Neyveli. (Cir. No.
289/P&A/W&A/98 dated 11-03-1998)
20.7. TRAVELING ALLOWANCE TO TEACHERS
TA of the Teachers in Tamil Nadu Pay Scales may be regulated with references to their basic
pay drawn in Tamil Nadu Government Scales.
(Memo.No.7822/E&G/CI-1/74-12,Dt.03.07.75)
20.8. ADVANCES:
20.8.1. An Employee on transfer may be sanctioned.
20.8.2. One month’s basic pay which he is in receipt of immediately before transfer or one
month’s basic pay to which he will be entitled after transfer, whichever is less; and
20-9
20.8.3. The amount of traveling allowance to which he may be entitled in consequence of

his transfer.
20.8.4. No advance of pay or T.A. will be granted in respect of transfers mutually arranged
by employees among themselves and approved by the appropriate authorities.
20.8.5. The advance of pay may be allowed to be drawn even at the new stations soon after
the arrival of the employee there, if no advance is drawn at the old station.
20.8.6. No advance of pay shall be granted in respect of temporary transfer for a period not
exceeding 90 days.
20.9. RECOVERY OF ADVANCES
20.9.1. The amount of an advance of pay shall be recovered in not more than 3 equal
monthly installments commencing from the month in which the employee draws a
full month’s pay and /or leave salary or / and subsistence allowance.
20.9.2. The amount of advance of T.A. shall be adjusted in full from the T.A. Claim.
20.9.3. If the amount of the T.A. claim is less than the amount of advance of T.A. drawn, the
balance will be remitted by the employees in one lumpsum while presenting the
T.A. Bill.
20.10. MILEAGE ALLOWANCE (SEE PROC.NO.117 DT.9.12.85)
20.10.1. JOURNEY BY RAIL:
a) Employees of all grades will be entitled for reimbursement of reservation
charges levied by railways in respect of all classes, treating these charges as
part of the fare. The telegram expenses charged by railway in connection
with the reservation of accommodation in train for onward and return
journeys by the employees traveling on duty will also be reimbursed.
b) Cancellation and reservation charges are reimbursable to the employees
concerned if an official journey by train is cancelled in Company’s interest. In
similar circumstances the charges in respect of members of the family shall
also be reimbursed.
c) Employees may travel by passenger/Mail/Express Train at their discretion
and claim TA accordingly.
d) Special supplementary charges levied by the railways for those traveling by
super fast express train in reserved accommodation shall also be
reimbursed besides the reservation fee. In case, where the journey is
performed otherwise than by Rail and when T.A. is restricted to the amount
which would have been admissible had the journey been performed by rail
the amount to be reimbursed will not include special supplementary charges,
reservation fee, etc.,.
e) The employees entitled for I class can also travel by air-conditioned two-tier
sleeper coach and claim charges actually paid.
f) No refund of agency charges for booking tickets through a travel agent will be
admissible.
g) If available, return tickets at reduced rates should always be purchased when
an officer expects to perform the return journey by rail within the period for
which return ticket is available.
20-10
h) Employees entitled to travel by 2nd class are not permitted to travel by AC

Chair Car at Corporation Expense.
i) Half-daily allowance may be deducted each time the journey is performed by
Rajdhani Express.
20.10.2. JOURNEYS BY ROAD: The rates of road Mileage for travel by road will be as per
Proc.No.117, dt.9.12.85. Some clarifications on the proceedings are given below
a. For short journeys, road mileage will be admissible from duty point at
Headquarters to Railway Station/Bus stand /Airport and also Road Mileage
from Railway Station/Bus stand /Airport to duty point at the outstation.
However, for local journeys performed at outstation, no mileage allowance
will be admissible.
b. For transfer journeys, road mileage is admissible both ways in addition to DA.
c. The Car/Motor Cycle should be registered in the name of employee for
claiming road mileage.
d. Only DA will be admissible if free conveyance is provided for local journeys.
e. The Transportation of personal effects by road between stations not
connected by rail will be regulated by the provisions contained in S.R.116 (a)
II (iii) read with Govt. of India Decision (3) there under.
20.10.3. JOURNEY BY BUS
a. Employees may travel by any type of bus including super deluxe, deluxe,
express etc., but excluding air-conditioned bus. Officers entitled to travel by
ACC first class by rail on tour may however travel by air-conditioned buses
where available on tour only.
(Memo No.11-E&G/7882/CI-1/74-31,dt.8.12.75)
b. Reservation charges actually incurred for travel by bus will be reimbursed to
employees of all grades.
(Memo. No. E&G/23680/CI-1/76-1,Dt.22/12/76)
c. In case where an employee has booked his seat by train/bus for an official
journey in advance but has to cancel the same later in exigencies of
Corporation work the cancellation charges may be reimbursed to him.
d. The travel between Neyveli and Chennai and back on point to point basis by
private Deluxe / Omni bus run by private operators at Neyveli can be
reimbursed when the employees of the Corporation proceed to Chennai on
duty, Medical reference and Training. TA Bills for such travels may be
admitted on production of vouchers indicating the date of travel and the
name of the Passenger. The claims towards travel will, however, be
restricted to the admissible railway fare or the actuals whichever is less.
(P&A/17850/CI-1/Rules/92-2 dated 17/09/1992)
20.10.4. JOURNEY BY AIR: Travel by air within India shall be performed by economy
(tourist class) where two classes of accommodation i.e. 1st Class and economy
tourist class are available on the airlines. Employees when traveling by air Ex.
India will be entitled to travel by economy (tourist) class only irrespective of their
grade.
20-11
20.10.5. LOCAL JOURNEY

a) Local Journey means journey beyond 8 Kms within the same and /or
contiguous municipalities in which the Headquarters of the employee is
located and also within urban agglomeration of the city concerned. The
travel between the residence and normal place of duty will not be treated as
local journey.
b) T.A. for local journeys is admissible for the distance from the normal place of
duty to the temporary place of duty if it exceeds 8 Kms. irrespective of
whether the journey is from the place of residence or duty.
c) For local journeys the percentage of daily allowance admissible will be
below:-
i. Absence not exceeding 6 hours – Nil
ii. Exceeding 6 hrs. but not exceeding 12 hrs. – 35%
iii. Absence exceeding 12 hours – 50%
(Proc. No. E&G /28/81/Dt.13.2.81 and CORP/P&A/W&A/1302-4/2000,
Dated 21-06-2000)
20.11. JOURNEY TO ATTEND DEPARTMENTAL EXAMINATION
20.11.1. An employee is entitled to draw TA as on tour for the journey to and from the place at
which he is appearing for an obligatory departmental examination. No D.A. is
payable for halts.
20.11.2. TA under this rule shall not be drawn more than twice for any particular
examination.
20.12. TRAVEL BY AIR FOR ATTENDING TRAINING / SEMINARS - INSTRUCTIONS
20.12.1. The Officer on training will travel by the eligible class.
20.12.2. The Chief Executive in-charge of Training and Development should issue orders of
deputation for various courses/programmes well in advance to enable the Officers
to book the train reservations in advance.
20.12.3. The Regional Manager/Chennai immediately on receipt of information from the
concerned Officers should ensure reservation of Train tickets to and fro for
destinations beyond Chennai.
20.13. JOURNEY FOR ATTENDING A COURT OF LAW:
20.13.1. Employees of the Corporation who are summoned to appear in the court of law to
give evidence regarding facts which came to their knowledge in the discharge of
official duties in the Corporation are entitled to receive batta from the courts in the
following types of cases:
a. Cases registered by the Police in connection with theft of Corporation
properties/materials.
b. Cases registered by the Police against the Corporation employees in road
accidents etc.
c. Cases registered by the Police with regard to criminal cases in which the
Corporation is a party.
20-12
20.13.2. In all these cases, the employee attending courts should claim the batta from the
courts concerned. They should remit the amount received as batta to the Unit
F&AB and then prefer a TA claim at Corporation rates. In the TA bill the employees
should attach the attendance certificate issued by the court and also give a
certificate in the following form:-
Certified that the sum of Rs. ………………………………………. received from the court as
batta has been remitted in Finance and Accounts Branch under remittance slip.
No…………………………………… Date ………………………..
20.13.3. In exceptional individual cases where it is certified in the TA claim by the employee
concerned that the batta was not paid to him by the court in spite of his specific
request for the same, the fact of non-payment of batta has also been recorded by
the court in the Attendance certificate produced by him, the claim for TA at
Corporation rates may be admitted under the specific orders of the controlling
authority.
20.14. JOURNEY ON RECALL TO DUTY FROM LEAVE
When an employee is compulsorily recalled to duty before the expiry of his leave and leave is
thereby curtailed by not less than one month, he is entitled to draw mileage allowance for the
journey from the place at which the order of recall reaches him, to the station to which he is
recalled. If the period by which the leave is curtailed is less than a month, mileage allowance
may be allowed at the discretion of the authority recalling the employee.
20.15. CONTROLLING OFFICERS
20.15.1. Controlling Officers for TA Bills are those who are delegated with powers in this
regard as per the schedule of Delegation of Powers.
20.15.2. No bill for TA other than for Local Traveling Allowance shall be paid unless it is
countersigned by the controlling officer of the concerned employee. This will not
however apply to cases where the officers have been authorised to countersign
their own TA Claims.
20.16. PROCEDURE FOR TA/DA CLAIMS:
20.16.1. The following procedure to be followed for submission of TA/DA claims. This
modification would not be applicable for medical TA claims, Transfer TA claims and
Retirement TA Claims, since the particulars in respect of these claims are to be
checked with reference to the entries in the Service Books.
a. The TA bills duly submitted by the employee should be signed by the
controlling officer with reference to the tour approved by him.
b. The controlling officer should transmit the bill to the concerned Finance and
Accounts Branch.
c. The F&AB after duly checking the accuracy of the claim would record the pay
order and send the same to the concerned cash counter for making payment.
(Procs.No.P&A/CPM/98/1431 dated 10/11/1998)
20.17. TIME LIMITS FOR PRESENTING TA CLAIMS:
20.17.1. TA claims will have to be presented by the employee concerned within 3 months
from the last date of the month in which the return journey was performed. Journey
is said to be complete when the return journey to head quarters is performed.
20-13
20.17.2. Delayed claims will be liable for a discount up to 25% as may be fixed by the
Controlling Officer. The right of an employee to TA including DA is forfeited or
deemed to have been relinquished if the claim is not preferred within one year from
the date on which it becomes due.
20.18. JOINING TIME
20.18.1. The joining time admissible on transfer, will be as follows:
Distance between the Joining time admissible Joining time admissible where
old headquarters and transfer necessarily involves
new headquarters continuous travel by road for
more than 200 KMS.
1000 KMS or less 10 days 12 days
More than 1000 KMS 12 days 15 days
More than 2000 KMS 15 days except in cases
of travel by air for which the
maximum will be 12 days 15 days
20.18.2. The joining time now will be a lump sum number of days (instead of 8 days plus
actual journey time as hither to followed).
20.18.3. The joining time shall commence from the date of relinquishment of charge of the
old post if the charge is made over in the Forenoon or the following date if the
charge is made over in the Afternoon.
20.18.4. Not more than one day’s joining time is allowed to join a new post within the same
station or which does not involve a change of residence from one station to another.
20.18.5. The un-availed joining time may be credited to the earned leave Accounts of the
respective employees. (Procs. No. P&A/14578/CI-1/Rules/91 dated
24/30/12/1991)
20.19. T.A. FOR JOINING NEW POSTS / INTERVIEWS
20.19.1. Appointees who are servants of a Government would be eligible to joining time, pay
for joining time, traveling allowance etc. according to the existing Government rules
applicable to them.
20.19.2. Appointees who are ‘REGULAR’ employees (and not purely temporary or
emergency employees) of a private firm of standing will be given traveling
allowance based on their pay in the firm or the pay offered by the Neyveli Lignite
Corporation Limited whichever is lower.
20.19.3. Joining time and pay for joining time will not ordinarily be allowed. In special cases,
e.g., where the Candidates last station is more than 480 Km. from Chennai or
Neyveli as the case may be, joining time and pay for joining time may be sanctioned
by the Managing Director with reference to the facts of the case on the basis of the
candidate’s pay in private employment or the pay offered by the corporation
whichever is lower.
20.19.4. Persons who are neither regular servants nor employees of private firms of
standing i.e. those who are not in employ and those who hold only purely temporary
or emergency appointments elsewhere will not be eligible to traveling allowance or
to joining time or pay for joining time.
20-14
20.19.5. The unemployed persons (other than those belonging to SC/ST) called for
interview for appointment to the posts in this Corporation be also paid TA as under:
20.19.6. E1 and above:
a) No TA for the journey upto 250 Kms. candidates themselves has to bear the
expenses.
b) For the remaining distance over and above the initial distance of 250 Kms. a
single II class Railway Fare or actual Bus Fare depending on the mode of
travel may be paid by the shortest route from the candidates, normal place of
residence or the place from which the journey is actually performed
whichever, is nearer to the place of interview and back to the same station.
20.20. GROUPS ‘C’ AND ‘D’ POSTS (upto W8/S3)
20.20.1. Instead of payment of TA, every effort should be made to arrange tests/interviews
for these posts in such a way that no candidate has to travel more than 250 Kms. to
reach the place of test/interview.
20.20.2. Senior Executives who are called for interview by PESB for Board Level posts in
other Public Sector Units are claiming TA / DA from NLC. As per the GOI / DPE
guidelines (DPE OM No.18/19/98-GL-016/DPE (GM) dated:11.03.1999) the
expenditure on account of TA/DA incurred by such Executives is to be re-imbursed
by the Concerned Public Enterprise for which the recruitment has been done on a
claim preferred by the candidate’s Organization. With a view to facilitate regulation
of claims for such interviews by our Senior Executives, the same shall be routed
through Corporate P&A for making payment by Accounts Centers concerned.
Further, after making the payments, the details shall be furnished by the concerned
Accounts Centres to Corporate P&A to facilitate NLC to claim the reimbursement
from concerned PSE. Where due to administrative difficulties it is not possible to
arrange test/interviews for groups (C) and (D) posts in such a way that the
candidates do not have to travel more than 250 Kms. to reach the place of
interviews/test, the candidates may be allowed TA on the same scale as admissible
to candidates for groups ‘A’ and ‘B’ posts referred to above.
20.20.3. The candidates claiming TA in terms of the above orders should be required to
produce a certificate of employment from a M.P. or M.L.A. or Gazetted Officer of the
place where the candidates normally reside.
20.20.4. These orders will also be applicable for adhoc appointments in this Corporation.
Scheduled Caste/Scheduled Tribe candidates when called for interview for
appointment to Class I & II posts (New Groups A&B) they should be given a single
second class railway fare towards Travelling Allowance from their normal places or
residence to the place of interview and back and when SC/ST candidates are called
for interview for appointment to other posts (i.e) Class III and Class IV posts (Now
groups C&D) they should be given single II class rail fare, chargeable by passenger
trains by the shortest routes from the Railway Station nearest to their normal place
of residence or from where they actually perform the journey whichever is nearer to
the place of interview and back provided the distance traveled by rail each way
exceeds fifty miles. However no extra charges if any incurred for reserving seat,
sleeping berth in the train will however be reimbursed to them. For road journeys
between stations not connected by rail they may be allowed actual bus-fare or road
mileage at the lowest rate whichever is less, provided the distance covered by road
is more than 32 Kms. each way.
20-15
20.21. ALLOWANCE FOR ATTENDING PESB INTERVIEWS

20.21.1. Outstation candidates called by the PESB for personal interviews for specific top
posts at the Board Level in Public Enterprises which carry a minimum scale of pay
of Rs.3000-3700 (revised) and above are reimbursed as indicated below. They are
not entitled either to any incidentals or any daily allowance and this reimbursement
is normally restricted to travel within the country.
a. Candidates from Government/Public Enterprises may be treated as on duty
on tour and could claim T.A. from their respective organisations. This could
be got reimbursed by the Public Enterprise for which the recruitment has
been done on a claim preferred by the candidate’s organisation.
b. Candidates from private sector could be reimbursed their actual air/rail fare
plus Rs.200/- for boarding, lodge and transport expenses, which they could
directly claim from the respective public enterprises on a certificate to be
given on the spot at the time of the interviews.
20.21.2. These orders take effect from the date of issue and past cases not be reopened.
20.22. RULES ON T.A. TO RETIRING EMPLOYEES
20.22.1. In these Rules, the following expression shall, unless excluded by or repugnant to
the context have the meanings here attached to them.
a. Definition: “Family”
i. Wife of an employee whether earning or not (not more than one wife will
be included in the term Family}.
ii. Husband of an employee whether earning or not;
iii. Sons or Step-sons under 21 Years of age, provided they are wholly
dependent on the employee;
iv. Unmarried daughters or step-daughters.
v. Married daughters, step-daughters, under 18 year of age and widowed
daughters, provided they are wholly dependent on the employee.
b. Definition: Dependent Relative
i. Mother or step-mother, if a widow;
ii. Un-married or widowed sisters or step-sisters, provided that the father
is not alive;
iii. Brothers or step-brothers under 21 years of age provided that the
father is not alive;
Subject to the condition that they reside with and / or wholly dependant
on the employee.
c. Wherever the term family occurs the same may be taken to include
Dependent Relatives also, unless there is anything specifically to the
contrary.
d. Words denoting the singular number shall include the plural and vice-versa.
20-16
20.22.2. To whom admissible: The concessions in these rules shall be admissible to the
employees of the company, on attaining the age of superannuation or on
invalidation from service provided they had put in a total continuous service of not
less than five years at the time of retirement /invalidation. Retired and re-employed
personnel will be eligible for the concession if they have put in not less than three
years of service in a regular post in the company and provided they had not availed
themselves of this benefit in the parent department. The employees should be
allowed retiring T.A. concessions in full not withstanding the fact that they had
availed the LTC to home town during one year preceding the date of retirement or
commencement of leave preparatory to retirement or during leave preparatory to
retirement on refused leave.
20.22.3. The RTA (Retirement Traveling Allowance) and other connected benefits as
applicable to employees who retire on attaining the age of superannuation will be
extended to the following personnel subject to the condition that the above benefits
should not be availed by the employee from the new employer as well as from NLC.
(Ref.No.CORP/P&A/W&A/1302/99 Dated 17.05.99)
a. Employees of the Corporation who have put in a minimum of 20 years of
service and who resigned their appointment voluntarily after attaining the
age of 50 years.
b. Employees who are retired prematurely by the company due to any reason
whatsoever.
c. Employees who joined at senior positions at lateral levels and resigned their
appointment after attaining the age of 50 years subject to the conditions that
they have put in a minimum service of 2 years in the corporation.
d. Directors on the Board appointed by the Government of India who voluntarily
leave the organization before the completion of the tenure with the
permission of the Government.
e. Persons seeking voluntary retirement under any such scheme, which may
be introduced.
20.22.4. The RTA benefits will also be extended to the following personnel. However,
entitlement to this benefit is subject to the retired employees, Widows or
Dependants vacating the quarters within the stipulated period of authorization by
Township Administration Department. (Ref.No.DGM/ RP/P&A/RTA/381/99 Dated
15.06.99)
a. Those who are terminated on medical grounds.
b. Family of employees who die in harness.
c. Family of employees who die after retirement but prior to vacation of quarters
during permissible period.
d. Those employees who opt for retirement under VR Scheme.
20.22.5. These rules, however, do not apply to those: -
a. Who are not in the whole time employee of the company;
b. Who are paid from contingencies;
20-17
c. Who are borne on work-charged establishment (whose pay/ wages is met

from the estimates of works and who are discharged from service on the
completion of works for which they are employed, such as the workers
employed in the Civil Branch).
d. Who are on contract unless the contract specifically provides for the
concession ;
e. Who are entitled to Railway privilege–retirement passes and P.T.Os as a
personal concession to them;
f. Who quit service by resignation or who may be dismissed or removed from
the service of the Company.
20.22.6. Admissibility of TA.
a. The TA referred to will be admissible in respect of the journey of the employee
and members of his family from the last station of his duty to his home town
and in respect of the transportation of his personal effects between the same
places. The precise entitlement under the concession will be as follows:
i. The retired employee may be allowed to settle only in declared Home
Town.
ii. The Employee has got the option to produce vouchers etc., for
transport of personal effects as per the eligibility under Transfer
Traveling Allowance to his declared and accepted Home Town.
iii. Besides this, they will also be entitled to claim
n Lump sum grant equivalent to one month last drawn Basic pay.
n Packing charges plus Insurance charges at actuals as applicable

in case of transfer.
n Conveyance of personal effects (without Transportation of

personal conveyance) as applicable in the case of transfer
subject to production of proof. (or)
iv. The Retiring employees may also claim two months last drawn basic
pay in-lieu of all the expenses such as lump sum grant, packing
allowance and transport of personal effects without any voucher in
support of the claim and option to settle down anywhere including
Home Town.
v. The employee can claim travel charges for self and Family by eligible
mode of transport as per the entitlement.
(Ref.Proc.No.P&A/7746/W&A-1/97 Dated 24.09.97)
20.22.7. For journeys by rail and /or Steamer.
a. Actual fares including the tax on fares, of the class of accommodation to
which the employee was entitled on the date when he was last on duty in
respect of self and members of his family. No allowance for incidental
expenses would be admissible.
b. Actual cost of transportation of personal effect on the scale admissible under
the TA Rules
20-18
20.22.8. For Journeys by Road.

a. One mileage allowance for the employee, a second mileage allowance if two
members of the family travel with him/ her and a third mileage allowance if
more than two members of his/her family travel with him/her at the rate
applicable to the employee on the date when he/she was last on duty.
20.22.9. For journeys partly by one mode of travel and partly by another.
a) Mileage allowance for carrying personal effects between Railway station/
Bus stand and place of residence at either end will be admissible at the
prescribed rates as for Transfer TA.
i. For journeys performed in the Officer’s own car or in a private car
between stations connected by Rail/Steamer; as admissible under
sub-para (b) limited to Railway / Steamer fares admissible under
Sub-para (a) (20.22.7)
ii. The employees shall be allowed reimbursement of the actual cost of
transporting his conveyance to selected place of residence limited to
that admissible upto home town as on transfer provided the possession
of the conveyance by the employee while in service at the place of his
last posting was considered to be in the interest of the Corporation.
iii. Besides, lump sum transfer grants and transfer incidentals will be
admissible as in the case of transfer.
20.22.10. Regulation of RTA if both husband and Wife are Employees of the Corporation
a The first person to retire (husband/wife) can claim the following:
i. Bus / Rail fair for self and eligible dependants
ii. Lump sum transfer grant and packing allowance
iii. Charges for transportation of personnel effects, as stipulated in the
Procs. NoP&A/7746/W&A-1/97, Dated 24.09.1997
b. The Second Person (Husband/wife) may claim the following:
i. Bus / Rail fare for self and remaining eligible dependants, if any,
ii. Lump sum transfer grant and packing allowance
iii. Charges for transportation of personnel effects, as stipulated
c. The rule is not applicable if both husband and wife retire within one year of his
/ her retirement. In such cases all benefits other than reimbursement of
transport of self and dependants may have to claimed by the person retiring
latter.
(Ref.P&A/13353/(CI-1)/93-2, Dated 30-10-93)
d. The grant of the T.A. will be further subject to the following conditions:
i. The concession may be availed of by an employee who is eligible for it,
at any time during his leave preparatory to retirement, or during refused
leave, or within one year of the date of his retirement.
ii. In the case of a person whose domicile is elsewhere than in India or
20-19
who intends to reside permanently outside India after retirement, the

concession will be admissible upto the Railway station nearest to the
port of his embarkation. In the case of such a person who travels by air,
the concession of T.A by Rail/Road under these orders shall be
admissible upto the airport of emplacement for himself and members of
his family, and upto the port of despatch for his personal effects.
iii. Where an employee is re-employed under the company while he is on
leave preparatory to retirement or within one year of the date of his
retirement, the concession admissible under these rules may be
allowed to be availed of by him within one year of the expiry of the
period of his re-employment.
iv. The T.A. claims admissible under these rules will be drawn on T.A bill
forms like Transfer Traveling Allowance claims. The claims of
employees who were their own controlling employees before
retirement, will however be countersigned by the next superior
administrative authority. The certificates required to be furnished by
the officers in respect of Transfer Traveling Allowance claims, will also
be required to be furnished in respect of claims for T.A under these
orders.
v. Before reimbursing the T.A. admissible under those orders, the
countersigning authorities should satisfy themselves, as far as
possible that the claimant and members of his family actually
performed the journeys to the home town or the other place to which he
might have proceeded to settle there, e.g. by requiring the production
of original railway vouchers relating to transportation of personal
effects, conveyance, etc.
vi. An advance of T.A. under the normal rules can be given in the cases
covered by the sub-rules (v) above by competent authority.
vii. The T.A. in respect of the members of the family of retiring employee
who do not actually accompany, shall be admissible provided such a
member follows him within six months or precedes him by not more
than one month. The period of six months, as the case may be counted
from the date the retiring employee himself actually moves. The claims
of T.A. in respect of the family members shall not be payable until the
head of the family himself actually moves.
viii. The time limits prescribed above i.e. one year posterior or one month
anterior to the date of the move of the retiring employee himself would
apply in the case of transport of his personal effects.
e. RTA is not payable if the claim is made more than one year after retirement,
irrespective of any reasons including permission (if any) granted by the
Management for the retention of Quarters on any ground whatsoever. This is
also applicable in respect of those engaged even after retirement, since such
redeployment is normally restricted for shorter duration only and in
exceptional cases, whose redeployment is offered beyond 1 year specific
approval in writing well in advance shall be obtained.
(CORP/P&A/W&A/1302-6/2004, Dt.09.12.2004)
20-20
20.23. RULES ON T.A. TO THE FAMILY OF AN EMPLOYEE WHO DIES WHILE IN SERVICE.
20.23.1. These rules may be called the “T.A. Rules to the families of employees dying in
harness”.
20.23.2. The expressions appearing in these rules shall have the same meaning as defined
in the rules on T.A. to retiring employees.
20.23.3. To whom admissible:
a. The concessions in these rules shall be admissible to the members of the
family of the regular employees of the company dying in harness.
b. When both husband and wife are employees of the Company, the
concession under these Rules shall be admissible for the family when the
first partner dies only if the second partner resigns her/his post in the
company at the time.
c. Retired and re-employed personnel are also eligible for this concession only
if they are on superannuation contract, at the time of their death.
d. This concession shall be admissible to the families of the companies on
Foreign Service terms provided they are otherwise eligible for such
concession in their parent department at the time of death but for their
deputation.
20.23.4. These rules, however, do not apply to employees:
a. Who are not in whole-time employee of the company;
b. Who are paid from contingencies;
c. Who are borne on work charged establishment (whose pay/ wages is met
from the estimates of works and who are discharged from service on the
completion of works for which they are employed, such as the workers
employed in the Civil Branch);
d. Who are on leave preparatory to retirement.
20.23.5. In the event of demise of an employee while away from Neyveli, the expenditure of
the transportation of the body of the deceased employee will be reimbursed as
under:
a. The reimbursement is restricted in the event of demise of the employee only.
b. A reimbursement charge is restricted to Rs.5/- per Km. (to and fro) by
shortest route from the place of occurrence to Neyveli or the actual claim
whichever is less.
c. If the claim is made for transportation of the body to the native place of the
employee from the place of occurrence, reimbursement will be restricted as if
the transport is made to Neyveli or the actual claim whichever is less.
d. Proper receipts in original along with copies of death certificate issued by the
Competent Authority at the place of occurrence.
e. All claims should be routed through W&A / Corporate office and on approval,
Unit F&AB will make the payment
(Ref.No.CORP/P&A/99/1990-01, Dated 01-02-2001)
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20.23.6. Admissibility of T.A.

a) The journey should be completed within one year after the death of the
employee of the company, it has been decided that the family of an employee
who dies while in service of the corporation should be allowed T.A. for journey
to the place where the family wishes to settle down permanently even if it is
not the Home Town declared by the employee.
b) Before allowing reimbursement of traveling expenses admissible, the
controlling authorities will have to satisfy themselves in each case after
suitable checks that the family has actually transported the personal effects
to the selected place of residence in accordance with scale and instructions
laid down from time to time.
c) The orders will be applicable in cases of death of employees on or after the
date of these orders.
d) The amount of travel expenses payable to the members of the family shall
be:
i. for journey by rail and /or steamer:-
Actual fare (without the incidentals) of the class of accommodation to
which the deceased employee of the company was himself entitled, for
each members of family.
Actual cost of transportation of personal effects on the scale as
admissible under the T A Rules.
ii. for journeys by Road:-
Actual bus fare alone will be admissible.
Actual cost of transportation of personal effects on the scale as
admissible under the T.A Rules.
iii. Besides, lump sum transfer grants and transfer incidentals will be
admissible as in the case of transfer.
e. If at the time of the death of an employee of the company a member of his
family happens to be at a station other than the employee’s last headquarters
or being there proceeds to a station other than the normal place of residence,
such steamer, road mileage for the actual distance of the road journey and
cost of transport of personnel effects from the place where he was at the time
of the employee’s death to the place to which he actually travelled, provided
that the total expenses claimed shall not exceed the total mileage allowance
and cost of transportation of personal effects upto the prescribed limit that
would have been admissible had such member travelled from the
headquarters of an employee to the normal place of residence.
f. Mileage allowance and allowance for carrying personal effects between
Railway station/Bus stand and place of residence at either end will be
admissible at the prescribed rate.
20.23.7. An advance to meet the travelling expenses may be sanctioned subject to the
following terms and conditions:
a. An advance may be sanctioned by the authority who would have been
competent to counter sign the TA claim if the employee was alive.
20-22
b. The amount of advance shall be limited to 3/4th of the probable amount of

travelling expenses that shall be admissible.
c. The advance shall be admissible to only one member of the family of the
deceased employee of the company on behalf of all. It would be the widow /
widower or any other member of the family (within the definition of the term
‘family’) who is a major and of sound mind. The decision of the sanctioning
authority as to whom the advance may be given shall be final.
d. After the advance is sanctioned by the competent authority it shall be drawn
by the Head of the Office and paid to the member of the family authorised in
this behalf;
i. Only one advance shall be admissible irrespective of the fact that the
members of the deceased employee’s family travel in separate
batches from the same or different stations.
ii. The account of the advance drawn should be rendered within one
month of the completion of the journey if the family travels in one batch.
In case the family travels in more than one batch the account may be
rendered within one month after the completion of the journey by the
last batch. In any case the journey must be completed before the
stipulated period of six months and the account of the advance
rendered within one month of expiry of the stipulated period, at the
latest. The advance should, however, be refunded forthwith if the
journey is not completed within the stipulated period.
iii. A surety of a regular employee of the company of status comparable to
or higher than that of the deceased employee of the company shall be
obtained in the prescribed form (copy enclosed) before the advance is
sanctioned. The person receiving the advance shall also give an
undertaking in the prescribed format (specimen form enclosed) in
writing to the effect that he/she shall abide by the provisions contained
in sub rule (ii) above. This is necessary in order to enable the
sanctioning authority to effect recovery of over payments resulting from
non-performance of the journey within the stipulated period or
non-submission of the adjustment bill within the prescribed period.
iv. The advance shall be interest free and shall be treated as an “advance
recoverable.” The adjustment of the advance shall be watched through
the suspense, head “ Advance to employees” by the Accounts Officer
concerned.
20.23.8. These orders shall take effect from 1st November 1964.
20.24. Reimbursement of Ambulance / Taxi charges for Transportation of Dead bodies
As per Corp.P&A Circular P&A/99/040-1, Dated:1.2.2000, reimbursement of Ambulance /
Taxi Fare for transportation of dead bodies, is allowed at the following rates: Rs.5/- per KM
from place of occurrence of death to Neyveli (By shortest route) (or) Actual claim whichever is
less.
However, proof of transport / death certificate are required to be produced.
[20.23.7 (d) iii]
20-23
SURETY BOND [20.23.7(d)(iii)]

KNOW ALL MEN BY THESE PRESENTS THAT we (1) ………………………. (herein after
called the ‘obligor’) and (2)………………………… and (3) ………………………….. (herein after
called the sureties) are held and fully and firmly bound into the NLC Ltd. herein after called the
‘Company’ for the sum of Rs. …………………… (Rupees ……………………….only) for which
payment to be well and truly made, we jointly and severally bind ourselves, our respective heirs,
executors, administrators, legal representatives and assigns.
WHEREAS the company has paid to the obligor a sum of Rs.……...........……………
(Rupees………………………………………only) (receipt of which the obligor hereby acknowledges)
towards the traveling expenses of the family of the late……………………… (hereinafter referred to
as the ‘family’) for their journey from …………….. to ……………… and for the transport of the
personal effects of the late …………….. from ………….. to …………………… in consideration of his
executing this bond with two sureties.
NOW THE CONDITION OF THE ABOVE WRITTEN BOND is such that if it transpires that the
said sum of Rs. ……………… has not been paid by the OBLIGOR to the family of the deceased
and/or there is any claim hereafter from the family of the deceased for expenses for their journey and
for the transport of the personal effects of the deceased or for their any other journey then and in either
of the said events this bond shall remain in full force and virtue otherwise the same shall be void and of
no effect.
PROVIDED FURTHER AND IT IS HEREBY AGREED:
(a) Any forbearance, extension of time, or indulgence on the part of the company or any officer
or the company to the obligor whether with or without the knowledge or consent of the
sureties, shall not in any way release the said sureties, their heirs, executors,
administrators, legal representatives and assigns from their liability under the above written
bond.
Signed and delivered by the above

Named obligor in the presence of Signature of the obligor.
1.
2.
Named surety (1) in the presence of Signature of the Surety(1).
1.
2.
Named surety (2) in the presence of Signature of the Surety(2).
1.
2.
20-24
Accepted for and on behalf of the company

in the presence of (signature of the authority
accept the bond).
1.
2.
Name and Address of the Witnesses.
1.
2.
1. WRITTEN UNDERTAKING
KNOW ALL MEN BY THESE PRESENTS THAT (1)*…………………………. (hereinafter called
the ‘obligor’ and (2)=……………………… (hereinafter called the surety) are held and fully and firmly
bound unto the NLC LTD. (hereinafter called the company) for the sum of
…………………………………………. to the payment of which amount well and truly to be made, we
jointly and severally bind ourselves, our respective heirs, executors, administrators, legal
representatives and assigns.
WHEREAS the company has paid to the obligor a sum of Rs.%(Receipt of which the obligor
hereby acknowledges) on account of advance of traveling expenses to the family of the late.
(hereinafter referred to as the ‘family’) for their journey to Ł and for the transport of the personal effects
of the late @ ………………………… to Ł……………………
NOW THE CONDITION OF THE ABOVE WRITTEN BOND is such that if the said obligor shall
account to the satisfaction of the company, within one month of the completion of the journey to
…………………………………………… by the family if the family travels in one batch, or when the
family travels in more than one batch, within one month of the completion of the journey by the last
batch, or within one month of the expiry of the period of six months after the date of receipt of this
advance, whichever is earlier, for the proper expenditure of the aforesaid advance, then the above
written bond shall be void and of no effect, otherwise the bond shall remaining full force and virtue and
it is hereby declared that:
(a) Any forbearance, extension of time, or indulgence on the part of the company or any officer
of the company to the obligor whether with or without the knowledge or consent of the
surety, shall not in any way release the said surety, his heirs, executors, administrators,
legal representatives and assigns from his or their liability under the above written bond;
Named obligor in the presence of Signature of the obligor.
1.
2.
20-25

Named surety in the presence of Signature of the Surety
1.
2.
Accepted for and on behalf of the
company in the presence of
1.
2.
* Herein insert the name of the individual to whom the advance is paid.
= Herein insert the name of the surety.
% Here specify the amount of advance paid.
@ Insert the name of the deceased employee of the Company.
Ł Insert the normal place of residence of the employee journey to which is admissible under
the rules.
Chairman has ordered that Controlling Officer for T.A. would regulate the claims in accordance
with the spirit of the Rules; matters of the kind mentioned in the U.O. could be left to their
discretion. Once the bill is passed by the Controlling Officer the claim will have to be admitted.
20.25 Barsingsar Project - Transfer of Personnel - Provision of Certain allowance
Barsingsar Lignite mine and Thermal Power Project is under execution. Recently certain
employees have been transferred to Barsingsar Project for co-ordinating the work at different
levels.
Keeping the requirement, the nature of project site condition, likely social and family
disturbances, the employees on transfer likely to face ,it has been decided to extend the
following benefits.
1. Sanction of project allowance at 15% of the Basic pay of the employee, subject to a
maximum of Rs.3000/- per month. The allowance is payable till the commencement of
commercial operation of the Power Project. Further enhanced to 20% of the Basic pay
of the employee, subject to a maximum of Rs.4000/- per month.
2. Sanction of lump sum transfer grant of two months Basic Pay in addition to normal
transfer TA benefits as paid to employees on transfer outside Neyveli.
3. Payment of QPPR as applicable to indirect employees till such time a scheme is
formulated upon commissioning of the project.
REFERENCES:
1. Proc. No116./E&G/65/Dt.26.2.65
2. U.O.No.3666/E&G/CI-1/78-2/Dt.25.4.78
3. Memo.No.E&G/3849/CI-1/79-1.Dt.23.2.79
4. Proc.No. E&G/98/81/Dt.22.6.81.
5. Memo. No. 12546/CI-2/81-2/Dt.05.10.81
6. Memo. No. 24696/CI-2/81-2/Dt.30.12.81
7. Memo. No. 24696/CI-1/81-1/Dt.21.05.82
20-26
8. Memo. No. WR/23748/83-43/Dt.30.04.84

9. Procs. No. 117/P&A/85/Dt.09.12.85
10. U.O.No.P&A/2383/CI-1/86-2/Dt.03.03.86
11. No. 20388/CI-1/85-6/Dt.06.03.86
12. P&A/16048/C1-1/89, Dt.21-12-89
13. P&A/9465/C1-1/90, Dt.03-09-90
14. U.O.13353/C1-1/93-2, Dt.13-10-93
15. Procs.No.7746/W&A-1/97, dt.24-09-1997
16. DGM/RP/P&A/RTA/381/99, Dt.15-06-99
17. O.O.CORP/P&A/W&A/1302-3/2000, Dt.01-02-2000
18. O.O.CORP/P&A/W&A/1302-4/2000, Dt.21-06-2000
19. CORP/P&A/99/90/01, Dt.01-02-2001
20. O.O.CORP/P&A/W&A/1302-5/2000, Dt.25-7-2002
21 CGM/P&A's Cir.No. CORP/P&A/WR/811/2005 Dt.21-01-2005
22 CGM/P&A's No. CORP/P&A/WR/811/2006 Dt.15-03-2006
*****
21-1
21. RULES RELATING TO L.T.C. AND L.T.A

PREAMBLE
N.L.C Management has extended an exclusive concession / benefit for its employees and their
family members called Leave Travel Concession with an objective to enable employees to visit
various parts of our country, to understand and appreciate cultures and lifestyles of people across the
length and breadth of the country and to promote tourism.
The Leave Travel Concession scheme essentially envisages reimbursement of expenses for
travel from one place to another. Other expenses like stay, food, local travel, transit transfers from
Airport / Railway Station etc., and other incidental expenses are excluded from the ambit of this
concessional scheme.
The salient features of the scheme are as under:
LTC AVAILMENT ON SUBMISSION OF PROOF OF JOURNEY:
21.1. DEFINITIONS:
21.1.1. ‘Employee’ means all Regular employees of the Company including Board Level
Executives who have completed one year of continuous service in the Company on
the date of commencement of outward journey. Deputationists will have the option
to avail LTC under these rules as admissible to employees of corresponding status
in the Company if they exercise the option to avail LTC as per Company’s rule in lieu
of the scheme in parent Organisation.
21.1.1.1. Employees whose spouses are employed in Government/
PSUs/Quasi Government bodies, and are entitled to similar facility of
LTC / Leave Fare Assistance / LTC on certification / LTC encashment
etc., can avail LTC facility from one source only.
21.1.1.2. “Family’’ means spouse of an employee, legitimate children, step
children, legally adopted child/children, in case of an employee who
has no child. Mother or step mother if a widow, unmarried or widowed
sisters or step sisters, brother or step brothers under 21 years of age
provided that the father is not alive, and all the above reside with
and/are wholly dependant on the employee subject to the following:
21.1.1.2.1. Unmarried Sons and stepsons under 28 years of age.
21.1.1.2.2. Married daughter/step daughter under 21 years of age
and widowed daughter.
21.1.1.2.3. Unmarried Sons under 28 years of age and unmarried
daughters who are working as Apprentices / Trainees
in N.L.C and whose income does not exceed Rs.500/-
p.m.
21.1.1.2.4. Sons and daughters of the employees who may be
studying at places other than Headquarters of the
employee may avail LTC from the places where they
may be studying or join their parents on LTC from a
station enroute as may be convenient to them. This
will be subject to the condition that reimbursement of
actual expenses on LTC should not exceed the normal
21-2
entitlement of the employee in respect of those

children as admissible from Headquarters. Other
conditions of admissibility and entitlement will be as
per the rules.
21.1.1.2.5. Where the spouse of an employee is also employed in
the company, the concession will be admissible to the
family on the pay scale/Grade admissible to the
husband/wife and not for both.
21.1.1.2.6. Any change in the particulars of the family of an
employee such as the marriage of the employee or his
daughter, addition to the family by way of birth of a
son/daughter, death of a son/daughter or a son having
completed the age of 28 years, employment etc. have
to be communicated by the employee then and there
with relevant records. All entries of age in the Medical
Identity Book or Service Records will be based on the
production of birth certificate obtained from Civil
Authorities / Hospital Authorities or Certificate
testifying the date of birth issued by the Educational
Institutions or any acceptable authoritative proof.
21.1.1.2.7. Leave Travel Concession will be admissible to the
members of employee’s family with reference to the
facts existing at the time of the outward and return
journeys independently. The following types of cases
are given by way of illustrations:-
I. Entitled to reimbursement in respect of the
outward journey only:
(i) A dependant son/daughter getting
employment or getting married after going
to hometown or remaining there for
pursuing studies.
(ii) The family having performed the journey to
hometown provided the company
employee forgoes in writing the concession
in respect of the return journey if performed
by the family members at a subsequent
date.
II. Entitled to reimbursement in respect of the return
journey only:
(i) A newly married wife coming from
hometown to head-quarters station or wife
who has been living alone at home town
and did not avail herself of the LTC in
respect of the outward journey.
(ii) A dependant son/daughter returning with
parents or coming alone from hometown
21-3
where he/she has been prosecuting

studies or living with grand parent etc.,
(iii) A child who was previously below
five/twelve years of age but has completed
five/twelve years of age at the time of return
journey.
21.1.1.3. ‘Headquarters’ means the normal place of duty of the employee at the
time of outward journey.
21.1.1.4. ‘Home Town’ means the permanent Home Town or village as entered in
the Service Book/ Comprehensive Service Card or other appropriate
official record of the employee concerned.
21.1.2.0. NATURE AND EXTENT OF CONCESSION:
21.1.2.1 LTC TYPE I (HOME TOWN):
21.1.2.1.1. Admissible to employee and family once in a block of
two consecutive calendar years from Headquarters to
the declared Home Town. (Example: 2002-03, 2004-
05 and so on).
21.1.2.1.2. Journey shall be made by the shortest route only.
21.1.2.2. LTC Type-II (ALL INDIA):
21.1.2.2.1. Admissible to employee and family once in a block of
four years in lieu of entitlement of one LTC Type-I
(example Type-II 2002-05 in lieu of Type-I 2002-03 or
2004-05).
21.1.2.2.2. Performance of journey to the farthest point viz.,
declared destination need not be by the shortest route.
However company’s liability will be restricted to
maximum of entitled class by train / by Air, as the case
may be, by shortest route or actual whichever is less.
21.1.2.3. An employee can avail either two LTC Type-I (Home Town) in a 4 year block of
2002-05, 2006-2009. (OR)
One LTC Type-I (Home Town) and one LTC Type-II (All India) in a 4 year block.
21.1.2.4. In the event of the return journey falling in the succeeding calendar year, the
concession should be counted against the year in which the outward journey
commenced.
21.1.2.5. Availability of Concession in Subsequent Year and Lapse of concession:
21.1.2.5.1. The employees and their families who are unable to avail
themselves of the concession in a block of two years/four years
may be permitted to avail the concession before the end of first year
of the next block period.
(i.e.) The LTC Type-I relating to the block year 2002-03 can be
availed in the year 2004.
21-4
21.1.2.5.2. An employee may avail LTC during leave of any duration and of any
kind, including Casual Leave. The employees can be permitted to
avail LTC during holidays and weekly off days also with prior
permission of the competent authority to leave Head quarters.
21.1.3.0 ENTITLEMENT / MODE OF TRAVEL:
Grade Mode of Travel
Air Rail Steamer Ship Bus
CMD / FDs /
ED /M-5 & M-4 Admissible AC First Class Deluxe/Highest class
M-3
M2 to E3 First/ “A” cabin (lower Actual fare
Not Admissible AC 2 Tier Sleeper/ class if there are 2 classes)
First class Non AC
E2 & E1 / Second/”B” cabin class
S3 to S1 / W8 to W1
21.1.3.1. TRAVEL BY RAIL:
The employee or his family can travel in a railway class higher or lower
than to which he is entitled. The company’s liability shall be restricted to
the entitled Railway fare or actual whichever is less.
21.1.4.0 TRAVEL BY ROAD:
21.1.4.1. Travel by State owned Transport Corporation Buses only is

permissible.
21.1.4.2. For travel by car registered in the name of the employee claiming
concession, the claim will be restricted to Rs.3.00 per Km. irrespective
of number of tickets.
21.1.5.0 TRAVEL BY STEAMER/SHIP:
21.1.5.1. Fare for actual performance by ship/steamer owned by Shipping

Corporation of India/State Government Shipping Corporation by
entitled class will be reimbursed.
21.1.6.0 TRAVEL BY AIR:
21.1.6.1. Travel by air is admissible for M4 and above senior grades of

employees in economy class by Domestic Airlines.
21.1.6.2. If an employee travels by Air for which he is not eligible, reimbursement

will be restricted to his eligible class of accommodation in Railway,
provided the travel is actually performed by Domestic Airlines.
In case of travel by Air by these ineligible employees for places

connected by Steamer/ship, the fare will be restricted as in 5.1 above.
21.1.6.3. Airfare will not be considered for Notional purpose.

21-5
21.1.7.0 ANIMAL TRANSPORT AND NON-CONVENTIONAL MODE OF TRANSPORT:

Fare claiming for travel by animals like Horse / Camel / Pony / Yak / Mule and non-
conventional modes like rope way and dolly etc., are not admissible.
21.1.7.1. If the places are connected by rail, the reimbursement will be entitled
railway fare/ bus fare at actual by state transport corporation/at the rate
of Rs.3/- per km. irrespective of number of persons traveled by any
other mode. If the places are connected by rail, travel can be by any
other mode, but reimbursement will be restricted to the entitled railway
fare.
21.1.8.0 LTC may be availed by an employee and members of family in one or more groups
irrespective of the constitution of each group.
21.1.9.0 LAPSE OF CONCESSION WHERE LEAVE IS REFUSED:
If the leave applied for by an employee is refused in writing by the authority
competent to sanction the same in the exigencies of service and if it is also certified
by the competent authority that leave cannot be granted at any time during
calendar year, the concession may be granted in respect of the family of the
employee during that year. In that case, the concession will be deemed to have
lapsed for that occasion so far as the employee is concerned.
21.1.10.0 The criteria for determining eligibility/entitled class etc., will be with reference to the
date of commencement of outward journey.
21.1.11.0 PROOF OF JOURNEY & RELATED CONDITIONS:
Air : Used ticket jackets / counterfoils of boarding cards to be produced.
Train : Train Number & Name of train, Ticket/PNR Numbers, Seat/Berth numbers
to be mentioned in the final bill.
Own car : Either of the following : Petrol/diesel receipts/Toll/Bridge tax receipts/
Vehicle repair bills bearing vehicle number/date of journey.
Car should be owned by the employee
Prior permission required from the Unit Head concerned.
Bus : Journey tickets/receipts.
Details (common
to all journeys) : Place of commencement of journey. Place(s) of visit with
dates. Self Declaration of non-availment of benefit from
other organisation.
21.1.12.0 RADIAL JOURNEY:
If any place is made a temporary headquarters and radial journeys made there from
while performing LTC Type-II, then such journey is inadmissible for the purpose of
concession. But if one particular place is touched twice over in making the journey
to the farthest point, then this could be probably made allowed as this becomes
inevitable.
21.1.13.0 ADVANCE:
An advance limited to 80% of the amount admissible for a journey under these rules
may be given to regular employees based on specific request along with details of
21-6
travel prior to sixty days of commencement of outward journey.

21.1.14.0. GENERAL :
21.1.14.1. In respect of all matters which are not specifically covered in the above
rules, shall be referred to P&A Department / Corporate Office for a
decision.
21.1.14.2. Management reserves its right to modify / amend / cancel any of the
above rule, from time to time.
21.1.14.3. Employee shall not at any point of time claim the concession as a
matter of right.
21.1.14.4. Fraudulent claims will entail appropriate actions including disciplinary
actions.
LEAVE TRAVEL ASSISTANCE SCHEME (in lieu of LTC)
21.2.1.0. SHORT TITLE AND COMMENCEMENT:
The Scheme shall be known as Leave Travel Assistance (LTA) Scheme. This
Scheme will be applicable to all employees eligible for LTC and all conditions other
than those specified below will be as per LTC scheme.
21.2.2.0. ADMISSIBILITY:
The concession will be of two types as below and will be admissible to all the regular
employees of the Corporation and their family members as per the stipulated
conditions:
TYPE NATURE OF CONCESSION PERIODICITY BLOCK YEARS
TYPE I Reimbursement on the basis of journey Once in a Block of 2 years 2002-2003
performance confirmation by the employee in lieu of LTC Type-I. (Ist Block) 2004-
concerned in lieu of the Travel to Home 2005 (2nd
Town & back. Block)and so on.
TYPE II Reimbursement on the basis of journey Once in a Block of 4 yrs. 2002-2005; 2006
performance Confirmation by the to be availed in lieu -2009 and so on.
employee concerned in lieu of the of LTC Type II.
Travel All India.
21.2.2.1. The monetary assistance of the Corporation will be restricted to the
employee, his/her spouse and dependant children subject to a
maximum of four full tickets once in a block of two / four years.
21.2.3.0. EXTENT OF CONCESSION:
21.2.3.1. LTA TYPE-I (in lieu of LTC Type-I) (Home Town):
Reimbursement of 80% of the First class Rail fare for 1250 Kms each
way subject to maximum of four full tickets (Self, Spouse and Children).
21.2.3.2. LTA TYPE-II (in lieu of LTC Type-II) (All India):
Reimbursement of 90% of First class Rail fare for 1500 Kms each way
subject to maximum of four full tickets (Self, Spouse and Children).
21-7
21.2.3.3. If the employee wishes to avail LTA for his/her family alone
relinquishing claims for himself/herself for such LTA then the maximum
numbers of tickets that can be allowed will get reduced by one number
(maximum of three full tickets for that block year).
21.2.3.4. In the case of widow/widower, the maximum number of tickets that can
be allowed will also be reduced by one number i.e. employee plus
dependent children subject to a maximum of three tickets per block
year.
21.2.4.0. DEFINITION OF FAMILY:
21.2.4.1. “FAMILY” for the purpose of LTA includes
i) Wife/Husband of an employee;
ii) Son/Step-son under 28 years of age provided they are wholly
dependent on the employee and income if any is less than
Rs.500/- p.m.
iii) Dependent unmarried daughters/step daughters.
iv) Married daughters, stepdaughters under 21 years of age and
widowed daughters, provided they are wholly dependent on the
employee.
21.2.4.2 The option of the employee to avail of the Leave Travel Assistance will
be total and not partial, i.e. the option should cover the employee and
his entire family in one stretch.
21.2.5.0. GENERAL:
21.2.5.1. LTA will be in the form of reimbursement on completion of journey
performed by the individual.
21.2.5.2. For availing this reimbursement the employee will avail minimum of
three days of leave including weekly off and holidays, on each
occasion. However minimum of one day leave is essential.
Compensatory Off should not be taken into account for the period of
absence.
21.2.5.3. In case both husband and wife are employed in NLC, both are required
to avail leave.
21.2.5.4. Employees may avail the existing LTC (Type-I/Home town) and Type-II
(anywhere in India) instead of obtaining reimbursement under the
scheme.
21.2.5.5. There shall be a gap of minimum two years between one LTA and the
other LTA relating to different blocks of four years and within a four year
block.
21.2.5.5.1. The gap of two years for availing one LTA and another
need not be insisted upon in respect of employees
about to retire and those served orders of acceptance
of VR and who do not have a service of two years left
subject to satisfying other governing conditions of the
rules relating to Leave Travel Assistance.
21-8
21.2.5.5.2. This concession shall be made applicable to the

employees who are to be relieved under Voluntary
Retirement Scheme, only after receipt of
communication regarding acceptance of V.R from
P&A/Corporate Office.
21.2.5.6. The sanctioning authority for the purpose of LTA is the Unit Head
concerned or the authority sub-delegated by him.
21.2.5.7. Employees whose resignation have been accepted and yet to be
relieved are not eligible for LTA.
21.2.5.8. Management at any time shall modify/cancel any/all the provisions of
the scheme.
PROCEDURE UNDER LEAVE TRAVEL CONCESSION RULES
21.3.1.0 Every employee should give a declaration of the number of members of his family
(as defined under NLC LTC Rules) and their sex and age. If the declaration is found
to be false in any respect at any time, the employee concerned will be liable for
suitable action including disciplinary action.
21.3.2.0 In order to avoid duplicate availing of LTC in the same block year, the newly wedded
employees who avail LTC for self and spouse should furnish the following
certificate while applying for LTC and submitting the TA bill for LTC.
"My spouse is not daughter/son of the NLC employee. My spouse has not availed
LTC as dependant daughter/son of her/his father who is an NLC employee before
marriage for the same block year for which the claim is preferred by me".
21.3.3.0 Journey by Rail means any journey by Ordinary Express/ Mail/Superfast includes
Rajdhani/Shatabdi and similar trains. For calculation of entitled Railway fare on
notional basis, fares charged in Rajdhani/Shatabdi/Jan Shatabthi trains will not be
considered.
21.3.4.0 Block Years will be reckoned as under:
For the purpose of travel to Home Town LTC Type-I block of 2 calendar years 2002-
2003, 2004-2005 and so on. For the purpose of travel to any place in India, block of
4 calendar years 2002-2005, 2006-2009 and so on.
21.3.4.1 If the LTC of Type-I relating to 2002-2003 is availed in 2004 on being
permitted under LTC rules, LTC Type-II (relating to block period 2002-
2005 or Type-I relating to block period 2004-2005) can be availed of in
the year 2004 or in 2005. However, the concession for extended period
should be availed first and then the concession for the current block
year should be availed.
21.3.4.2 In case where an employee and his family could not avail themselves of
the concession in a block year they may avail the concession before
end of the next calendar year. In case they fail to avail themselves of
the concession before that date, their entitlement to the concession for
that block will be treated as lapsed.
21.3.5.0 In a case where an employee and his family could not avail themselves of the
concession of Type-II in 2002-05 they can avail of the concession before 31-12-
21-9
2006 the first year of the next block provided the LTC Type-I for the hometown for
the block year 2004-2005 has not been utilised.
21.3.6.0 JOURNEYS BY THE EMPLOYEES AND THEIR FAMILIES SEPARATELY:
21.3.6.1 The families need not necessarily accompany the employees but may
precede or follow them during the same calendar year. For purposes
of deciding the number of occasion, the qualifying journeys made by an
employee and his family will be treated as one.
21.3.6.2 An employee and his family members may travel either independently
or together as may be convenient to them. The claim for
reimbursement in respect of the journey of the one need not depend on
the journey performed by the other. The family members will therefore
be entitled to the concession irrespective of the fact that the employee
may or may not proceed on regular leave but the return journey must
be completed within six months from the date of commencement of the
outward journey and the concession will be counted. The members of
the family of an employee, other than those one group, when they
travel in different groups, at different times, reimbursement will be
admissible only in respect of such group as the employee may choose.
21.3.6.3 The application for extension of the period should be made sufficiently
in advance. The condition of six months for completion of the return
journey by the members of an employee’s family may be relaxed in
special cases at the discretion of the Management.
21.3.6.4 They should visit one and the same place which should be specifically
declared in advance and the route taken should also be the same.
21.3.6.5 Besides, every group of the family of an employee should perform
journey either to Home Town or to any place in India. (Type-I or Type-II).
They cannot avail of LTC to two different stations, viz. one group of the
family to Home Town (Type-I) and the other groups of the family to any
place in India (Type-II).
21.3.6.6 Vacations permitted to be availed of by NLC teachers may also be
treated as leave for LTC.
21.3.7.0 RESERVATION AND OTHER CHARGES:
21.3.7.1 For actual journeys performed by rail, reservation charges, sleeper
accommodation charges, surcharge, super fast charges as reflected in
the railway ticket/railway receipt are also eligible for reimbursement.
21.3.7.2 Actual performance by Train including express / superfast / Rajdhani /
Shatabdi / Jan Shatabdi etc., by the entitled class will be reimbursed.
21.3.7.3 For LTC Type-I (Home Town) Railway fare will be limited to the fare by
the shortest route.
21.3.7.4 Air tickets, in respect of employees who are eligible for air travel will be
purchased centrally by Regional Manager/Chennai. Under no
circumstances purchase of Air ticket by the employee is permissible.
21.3.7.5 ENTITLED RAILWAY FARE FOR NOTIONAL CALCULATION:
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21.3.7.6 The Railway fare as indicated in the Railway Time Table for the
distance travelled by Mail/Express Trains shall only be admissible.
Reservation charges, supplementary charges, superfast charges,
safety surcharge are not admissible.
21.3.7.7 Children aged between 5 and 12 will be entitled for half ticket fare. In
case of no half ticket fare, the claim shall be restricted to half of the adult
fare.
21.3.7.8 Children in the age group of 5 and 12 years as on the date of
performance for outward journey will be entitled for half of the entitled
fare.
21.3.8.0 ADVANCE:
21.3.8.1 The advance may be drawn both for the outward and the return journey.
21.3.8.2 The advance shall be paid before sixty days of commencement of the
onward journey.
21.3.8.3 The employee availing advance has to produce train tickets to the Unit
P&A Department within 15 days of drawing of advance failing which
entire advance will be recovered from his salary.
21.3.8.4 The advance will be sanctioned by the Head of Units or office to whom
authority may have been delegated for sanction of advance of
travelling allowance. Employees who are their own controlling
authority may sanction the advance for themselves.
21.3.8.5 The claims in adjustment of the advance drawn should be preferred
within one month of the completion of the return journey. Otherwise the
entire amount of advance will be recovered from the next salary/wages
payable on expiry of the one month’s time limit and from the
salary/wages for the subsequent months to the extent necessary.
The final bill claim of employees, drawing advance / not drawing
advance, after completion of return journey will be regulated as
indicated below:
a) Within 1 month - 100% final bill amount admissible.
b) After 1 month and
upto 3 months - 25% penalty to be imposed.
c) After 3 months - Final bill claim eligibility will lapse.
21.3.8.6 The employees availing LTC advances must submit the adjustment
bills immediately on completion of the journey and remit the balance
due, if any, in cash and produce the cash receipt along with the
adjustment bills, in the absence of which the amount due should be
recovered from their pay bills, and then only the final adjustment bills
should be passed by the executive officers and sent to Accounts
indicating the recovery particulars so as to enable the Account centres
to clear the entire amount of advance at a time.
21.3.8.7 In cases where LTC advance has been drawn for journey by an
21-11
employee and his family members or for one group of family members
and has been refunded/recovered due to non-performance of journey,
another advance within that block year cannot be given for LTC journey
of the employee and his family members or for the particular group of
family members. The benefit of LTC advance once availed for a block
of 2 years/4 years cannot be had again within that block.
21.3.8.8 Penal interest at the rate of 11.5% p.a. will be levied for employees who
do not utilise the advance for purchase of tickets from the date of
drawal up to the date of recovery/remittance.
21.3.8.9 The tickets should be produced by the employees/workmen within
fifteen days of drawal of advance.
21.3.9.0 LTC TYPE-I:
21.3.9.1 Employee shall obtain prior permission for performing LTC
Type-I by indicating his proposed period of Leave, Block year to which
he avails LTC in the prescribed form of application.
21.3.9.2 In case of availing concession by own car prior approval from Unit
Head concerned has to be obtained.
21.3.9.3 Employee shall declare any place as Home Town within three months
from the date of joining the Company duly supported by documents
such as ownership of immovable property, permanent residence of
near relatives (parents, brothers, sons and married daughters in case
of no sons etc.), place of normal residence but for his absence from
such a station for service in the Company. The declaration will be
subject to acceptance of the Unit Head concerned after scrutiny of
relevant documents.
21.3.9.4 In cases where husband and wife are employed in the company, the
Home Town of either one of them should be declared as Home Town for
both.
21.3.9.5 Change of Home Town shall be made only once in the entire service of
an employee, subject to fulfillment of the conditions stipulated in para
21.3.9.3 above.
21.3.9.6 In case of the declared Home Town being 1500 km away from Head
quarters, approval for the first occassion should be obtained from
Director (Personnel). Subsequent claims shall be made in accordance
with the approval so obtained (on the first occassion from
Director(Personnel).
21.3.10.0 LTC TYPE-II:
An employee can travel to anywhere in India. The distance to the declared
destination by shortest route only will be reckoned for reimbursement. But
reimbursement shall be restricted to entitled class by rail or by Air, as the case may
be, by shortest route or actual expenditure whichever is less. Proof of Journey has
to be produced.
21.3.10.1 Any employee/workman who is eligible for LTC Type-II as per rules and
wishes to travel to any place in India, should submit request for
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sanction of leave and an application along with Itinerary of his journey

in the prescribed proforma in Annexure-I and II to Sanctioning authority
(Leave granting authority).
21.3.10.2 This should be submitted one month before the actual commencement
of the Journey.
21.3.10.3 In case of availing concession by own car, prior approval from Unit
Head concerned has to be obtained.
21.3.10.4 The Unit Personnel Heads will scrutinize the journey programme with
reference to the eligibility of the concession in all aspects and forward
the same to Manager/Corporate Office for itinerary approval. On
approval, the employee shall be informed in writing.
“Company's liability is restricted to maximum of entitled class by
shortest route to the farthest point or actual, whichever is less. Hence,
itinerary to be approved by Manager/Corporate Office will refer only to
the shortest route to the farthest point declared, for purpose of claim,
advance or bill settlement. The employee may travel by any route to
reach the approved farthest point, subject to modification of leave, if
any, being approved by Unit Head”.
21.3.10.5 Wherever any point is not connected by Rail (e.g Dehradun to
Mussoorie) which is included in journey itinerary, he will make his own
arrangements and can claim for reimbursement of the State owned
Transport Corporation fare.
21.3.10.6 The employee will lose his / her LTC claim for that Block period if he/she
does not perform the journey after purchase of tickets.
21.3.11.0 While performing Type-II (All India) following shall be adhered to.
(i) Should necessarily visit the declared places.
(ii) Submitted itinerary should not be changed after commencement of journey.
(iii) Local trips made at outstations will not qualify for reimbursement.
(iv) Trips from Air port/Railway Station/Bus Stand/Port to any place within the
visited place is to be treated as local trips.
(v) Package Tours/conducted tours by any agency shall not qualify for
reimbursement.
21.3.11.1 Availing of Apex / Check Air Facility
The Apex / Check Air Fare facility is being offered by Airlines . If there is
the will to save the hard earned public money, the Apex / Check Air Fare
facility is an excellent opportunity.
Little advance planning on the part of Executives availing LTC will
facilitate booking Apex / Check Air tickets which will save considerable
amount for NLC.
To reap the advantage of this facility, the executives are advised to plan
their tour programme in advance atleast before a month so that
approval could be obtained in time for booking Air tickets under this
facility.
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The executives availing this facility may please note that tickets
purchased under this scheme have to be necessarily used for travel on
scheduled date of travel only. Cancellation of tickets / change in date of
journey is not permissible at all under this scheme and it will cause /
forfeiture of the entire amount.
PROCEDURES UNDER LEAVE TRAVEL ASSISTANCE SCHEME
21.4.1.0. PROCEDURES TO BE FOLLOWED:
An Employee desirous of availing Leave Travel Assistance shall submit his
application as per Part-I in duplicate to the Leave sanctioning authority. After
performing the journey he shall submit application in Part-II in duplicate. The Head
of Unit / Unit Personnel Head are required to verify the entries with reference to
entries in Service Book etc.
21.4.1.1. The employee availing himself of the said Leave Travel Assistance
under this scheme will certify that his/her spouse has not claimed or will
not claim any LTC/any assistance from her/his organisation (if it
happens to be a Government Organisation or Public Undertaking)
during the particular block year.
21.4.1.2. For entitlement of the number of tickets, Service Book of the employee
and the Medical Identity Book have to be referred and the entries in
these two documents have to be reconciled.
21.4.1.3. No claim submitted by an employee under this scheme shall be
returned to the employee under any circumstances.
21.4.1.4. LTA bills received upto Tuesday in the Accounts centres will be paid on
Friday. Payments are to be made through Account Payee cheques
only.
21.4.1.5. The employee will furnish a declaration that he has spent an amount,
which is not less than the amount due to him under the said scheme.
21.4.1.6. If the LTA is not availed in a block of four years, that LTA can be availed
during the first year of the next block period.
21.4.2.0. Rates in vogue (with effect from 01.04.2002)
The rates of LTA payable are indicated below.
LTA TYPE - I
No. of Tickets 80% of First Class Fare (in Rs.)
1 1787.20
1½ 2680.80
2 3574.40
2½ 4468.00
3 5361.60
3½ 6255.20
4 7148.80
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LTA TYPE-II
No. of Tickets 90% of First Class Fare (in Rs.)
1 2246.40
1½ 3369.60
2 4492.80
2½ 5616.00
3 6739.20
3½ 7862.40
4 8985.60
NOTE : Half Tickets for children 5 years and above but below 12 years.
21.4.2.1.
The rates may be revised in the event of changes in Railway fare
announced by Ministry of Railways. The Management reserves the
right to revise the rates in such events.
DECLARATION OF HOMETOWN AND DEPENDANTS
I …………….…………………………………………….…. (Name), CPF No. …………………
……………………………………………………………… (Designation) hereby declare that my Home
Town is …………………………………………… the address of which is furnished below:
Taluk:
District:
State:
Nearest Railway Station :
Details of Dependants
Sl. Name Relationship Date of Birth Age
No.
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
Signature:
Name:
Designation:
Witness:
(1)
(2)
Accepted
Unit Personnel Head / Unit Head

21-15
APPLICATION FOR CHANGE OF HOMETOWN
UNIT: Division :
1. Name & CPF No. :

2. Designation :
3. Place already declared as Hometown :
4. Place now to be declared as Hometown :
5. Reasons for the change of Hometown :
6. Address of the Hometown (Mention Taluk,
District & State) :
7. Nearest Railway Station to the Hometown :
DECLARATION
I hereby declare that
i) The place now declared requires my physical presence at intervals for discharging
various domestic / social obligation.
ii) I own a residential property there.
iii) I am a member of a family owning a residential property there
iv) My nearest relations i.e., Parents / Brothers / Sisters / Sons / Daughters are more or less
permanent in that place and the addresses and details of occupation are as
under.............................................. .....................................................................
v) Prior to joining Corporation, I had been living there for some time
vi) Declared hometown of the employed spouse is...................................…...…….
.........………….………………………........………………………... (strike out whichever is
not applicable)
The particulars furnished above are true to the best of my knowledge and in case of false
information I am aware that I will be liable for any action including disciplinary action.
Signature of the Employee.
In view of the reasons stated / proof shown by individual the request for change of hometown to
........................................................................................……………… is accepted.
Unit Personnel Head Unit Head

(IN TRIPLICATE)
21-16
APPLICATION FOR PERFORMANCE OF L.T.C. AND ADVANCE PAYMENT
1. Name : C.P.F.No ………….…….

2. Designation :
3. Unit/Division :
4. Scale of Pay : Rs. Basic Pay: ……..…
5. Amount of advance required :
6. LTC Type : Type-I /Type-II
7. Block year :
8. No. of Members availing LTC :
-------------------------------------------------------------------------------------------------------------------------------
Sl.No. Name Age Relationship Onward Return
-------------------------------------------------------------------------------------------------------------------------------
.........................................................................................................................................................
.........................................................................................................................................................
.........................................................................................................................................................
.........................................................................................................................................................
9. For LTC Type-I :
(i) Mode of journey and class of accommadation :
(ii) Distance between the Home Town and the
nearest Railway Station / Bus Stand :
(iii) Probable date of commencement of journey :
(iv) Whether calculation sheet for advance enclosed: Yes / No
For LTC Type-II
(i) Farthest Place of visit :
(ii) Whether itinerary of Travel enclosed : Yes / No
(iii) Whether performance of journey
to the farthest point is proposed by the
shortest route : Yes / No.
10. Period of Leave : From To:
CERTIFICATE
1. I certify that my father is not alive and that my mother, sister (s) (Unmarried / Widowed),
brother (s) (below 21 years) is / are wholly dependant on me.
2. I certify that my wife / husband who is an employee of NLC will not avail this benefit
separately.
21-17
3. I am aware that I should produce the tickets purchased for scrutiny of Unit P&A
Department within 15 days of drawal of advance.
4. I shall produce all documents required and adjust the advance within one month from the
date of completion of return journey or else I agree for recovery of the entire advance from
next month salary/wage.
5. I agree to remit the balance amount of Advance, immediately on completion of return
journey.
6. I am fully aware that in case of any misuse or information furnished above is found to be
false, Disciplinary action will be initiated against me as per rules.
Signature of the Employee.

Certificate to be filled in by Leave Sanctioning Authority.
Certified that:
1. The Service Book of Shri……………………… CPF No.……………has been verified and the
employee is eligible for LTC Type- for the Block year as per LTC Rules.
2. Sanctioned leave for………………………… days from ………..to ……….............
3. Home Town of the individual is …………………………………… w. r. t. records.
4. The dependants referred to in Sl.No. 8 has been checked and found correct.
5. The advance sought may be sanctioned.
6. The employee is permitted to avail LTC Type- for the Block year _________
Signature of Unit P&A Head Signature of Unit Head
Certificate by Manager/Corporate Office (For LTC Type-II only)
Certified that the itinerary submitted has been checked with reference to LTC Rules and
detailed remarks recorded in page_____________
Manager/Corporate Office.
Bill No…………………………………………. Dated…………………….

Passed for Rs. ………......… (…………………………………………………………………)
towards performance of LTC Type- _______ for the Block Year _______________.
Unit P&A Head.

Pay Rs. ………………(………………………………………….……………………
……………………………………………………………………………………………………….)
Unit Finance Head.

ITINERARY FOR PERFORMANCE OF LTC TYPE-II (ALL INDIA) FOR THE BLOCK YEAR :
Name of the Employee: C.P.F. No.: Designation: Division/Unit:
Farthest Place of visit: No of Tickets Full: Half:

FROM ( DEPARTURE) TO (ARRIVAL) MODE OF TRAIN/
JOURNEY (AIR/ FLIGHT
Sl. PLACE/ PLACE/ TRAIN/ BUS/SHIP/ NUMBER/ DISTANCE FARE PER
DATE TIME DATE TIME OWNCAR) REGN No. (IN K.M.) TICKET
No. STATION STATION
( as applicable)
TOTAL
TOTAL x NUMBEROF TICKETS GRAND TOTAL
Amount of advance required ( max 80% of Grand Total)
Date SIGNATURE OF THE EMPLOYEE

21-18
21-19
SCRUTINY OF ITINERARY FOR PERFORMANCE OF LTC TYPE-II
1. Entitlement of Travel for

performance of LTC
2. The Travel proposed by the employee a) By the shortest route
from Head Quarters to reach the b) By longer Route
farthest point is
a) As the employee has preferred to travel by longer route, the distance to the declared
destination by shortest route being __________________km by ____________class by
Train amounting to Rs__________ (or ) actuals whichever is less shall be reckoned for
reimbursement/payment of advance.
b) As the employee has preferred to travel by the shortest route and entitled class mode or
travel as per LTC Rules, the itinerary is approved with the following modifications/without
modifications /remarks:
i)
ii)
iii)
ADDITIONAL CHIEF MANAGER/
CORPORATE OFFICE
CALCULATION SHEET FOR CLAIM OF ADVANCE

FOR PERFORMANCE OF LTC TYPE-I
1. Name :
2. CPF No. :
3. Designation :
4. Unit :
5. No. of Tickets : Full : Half :
6. Calculation of Travel Expenses
---------------------------------------------------------------------------------------------------------------------------------
Sl. No From To Distance Mode of Amount Claimed
in (Km) Travel (Per ticket)
---------------------------------------------------------------------------------------------------------------------------------
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
...........................................................................................................................................................
21-20
Fare for ……….…… Full Ticket x @ Rs. per ticket=

……….…… Half Ticket x @ Rs. per ticket =
TOTAL =
80 % of total amount =
I hereby undertake to produce the original tickets 15 days after payment of advance.
Signature of the employee
PART- I
(To be produced in duplicate along with Leave letter).
APPLICATION FOR L.T.A./TYPE-I/TYPE-II
(Strikeout the type not applied for).
1. Name : C.P.F. No……….………

2. Designation :
3. Division/Unit :
4. Block Period to which LTA is
applied for :
5. No. of Tickets for which LTA
to be availed of :
6. Proposed leave of absence : From …………………… To ………………
Date : Signature of the employee

Specific recommendation of the
Officer empowered to grant leave:
Date : Leave sanctioning authority
For use in Personnel Department

1. Whether the employee has completed
more than one year of regular service : YES/NO
2. Entitled class of journey : FIRST / SECOND CLASS / AIR
3. Period of LTA availed on the last occasion
21-21
Type of Concession Block Year From To

LTA / LTC / Type -I .................... ....................... ....................
LTA / LTC / Type -II .................... ....................... ....................
The above said particulars have been verified with Service Register of the employee.
The employee is permitted to avail LTA Type-I/II as applied for.
Unit Head.
PART-II (CLAIM FOR LTA)
(To be produced in duplicate )
Name : CPF No……….……...
Designation :
Unit / Division :
1. Details of family members for whom LTA is claimed
____________________________________________________________________________
Sl. Name Age Full / Half Relationship Rail fare
No. Ticket
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
____________________________________________________________________________
Certified that
1. Myself and members of my family have not availed of LTA from any other source for the
block year for which LTA is now claimed.
2. My spouse is employed in NLC/in ………………………………………………… (specify
the organisation), and is not availing LTC facility from her/his employer separately for the
same block year/my spouse is not employed in NLC or elsewhere.
3. The particulars furnished above are correct and if the same are found to be incorrect at a
later date I am liable to be proceeded against under the rules of the Corporation.
DECLARATION UNDER LEAVE TRAVEL ASSISTANCE SCHEME.

Certified that I have undertaken journey under Leave Travel Assistance Scheme/Type-I/ Type-II
during the period from ………………. to ……………………… and I have spent Rs………………
which is not less than the amount claimed by me under LTA.
Date: Signature of the Employee.

21-22
For use in Personnel Department.

Verified and found that
i) the family members given are correct as verified from the declaration attached to the
Service Book/ Medical Identity book and they are entitled for LTA as claimed for.
ii) The necessary entries have been made in the Service Book/CSC.
Passed for Rs. (Rupees …………………………………………………only)

Bill No. …………………….. ………….. Dt……………………
Date :
Unit Personnel Head
For use in Finance Department.
Pay for Rs……….…… (Rupees………………………………………………..

……………………………………………………..only)
Date: Accounts Manager / DCM/Finance
(REFERENCES :
1) O.O.No. CORP/P&A/1904/12003-2, Dt.12.11.2003
2) Cir.No. CORP/P&A/LTC/LTA/2005, Dt.17.05.2005
3) No.CORP/P&A/Rules/1913/2005, Dt.23.01.2006
4) No.CORP/P&A/Rules/1904/2007, Dt.10.05.2007)
*****
22-1
22. RULES RELATING TO FESTIVAL ADVANCE
22.1.1. All Regular Employees are eligible for Festival Advance

22.1.2. Payment of Festival Advance - Enhancement of amount - From the existing
amount of Rs.4,000/-
22.1.2.1. NLC Management is pleased to announce the enhancement of
payment of Festival Advance as mentioned below.
Employees who are drawing a basic pay of not less than Rs.10, 000/-
and with a “take home pay” of not less than Rs.5, 000/- on an average in
preceding three months are eligible for a festival advance of
Rs.15, 000/- and all others will be eligible for an advance of Rs.10, 000/-
subject to the repaying capacity of the employees and recoverability,
which shall be ensured by the Unit P&A concerned.
22.1.2.2. The other conditions prescribed already for payment of festival
advance will remain unaltered.
(Reference: No: CORP/P&A/WR/811/2007, Dated: 21.09.2007.)
22.2. The Trainees who are on the regular scale of pay and the Trainees who draw lumpsum salary
during training period like Diploma Engineer (Trainees), Artisan (Trainees), Typist (Trainees)
etc., will also be eligible for festival advance, equivalent to one month lump sum salary or
Rs.4,000/- whichever is less, subject to production of surety bond and other requisites in this
regard.
22.3. The advance is not admissible to casual / temporary workers.
22.4. The grant of festival advance to the employees borne on Labour Establishment as well as
Regular Establishment governed by the provisions of the Payment of Wages Act will be
subject to the following conditions.
22.4.1. The amount of festival advance should be restricted in such a way that the total
amount of advance or advances including the one granted towards the purchase of
Cycle, does not, at any time, exceed 2 months' pay / wages of the employee
concerned.
22.4.2. The total deductions made from the pay / wages towards the advances of all kinds
should not exceed one-third of the pay / wages of the employee during any wage
period.
22.4.3. The undermentioned Festival shall be the occasion on which the advance
mentioned is admissible.
l Pongal
l Republic Day
l Telugu New Year's Day
l Tamil New Year's Day
l Ramzan
l Independence Day
22-2
l Onam
l Gandhiji's Birth Day
l Bakrid
l Deepavali
l Christmas
22.4. The advance shall be admissible only on one occasion in a calendar year. Even in
case a Festival falls twice in a calendar year, the advance will be admissible only on
one occasion.
22.5. The second festival advance shall not be sanctioned till the earlier advance
sanctioned has been recovered in full.
22.6. The advance shall be recovered in not more than 10 instalments.The first
installment will commence from pay bill of the month following that in which the
advance is drawn.
22.7. The advance may be granted to temporary employees also. Before the advance is
sanctioned, the employees who have put in less than 3 years of continuous service
should produce surety bonds in the prescribed form annexed from employees who
have put in one year or more of continuous service of equal or higher status. The
number of employees to whom an employee with more than one year of continuous
service may stand as surety is limited to three. When the surety bonds executed by
the employees for the sanction of festival advance remain in full force, they are not
eligible to execute fresh bonds.
22.8. The advance shall be drawn and disbursed before the festival in connection with
which the advance is sanctioned.
22.9. Dates for submission of Application for drawal of advance and payment through pay
bill will be communicated every year.
22.10. An employee debarred from drawal of any advance like conveyance advance, plot
advance, House Building Advance shall be sanctioned Festival Advance after 2
years from the date of issue of the order.
22.11. However, in case of violation of the conditions of any advance for the second
occasion, the employee shall be debarred from the eligibility to draw festival
advance for the entire remaining years of service apart from levy of penal interest
and initiation of disciplinary action.
ANNEXURE
SURETY BOND
KNOW ALL MEN BY THESE PRESENTS THAT I,
Son of…………………………. Resident of………………………………… in the District of

…………………......…..at present employed as a permanent….............…………… (designation) in
the……………………………. (hereinafter called the Surety) am held and firmly bound upto the
Neyveli Lignite Corporation Limited (hereinafter called “The Corporation” which expression shall
include its successors and assigns) in the sum of Rs. ……………….. (Rupees ………………… only)
22-3
with interest as hereinafter specified and all costs between attorney and client and all charges and
expenses that shall or may have been incurred by or occasioned to the Corporation to be paid the
Corporation FOR WHICH PAYMENT to be all and truly made I hereby bind myself, my heirs,
executors, administrators and representatives and family by these presents. As witness my hand
this the .........……………. Day of ….......………………… Two Thousand and
…………............................................
WHEREAS the Corporation has agreed to grant Shri ..................................Son of

.....................................a resident of ………………… in the District of ……………………………at
present employed as temporary ……………………………in the …………………………. (hereinafter
called “The Borrower”) at the borrower's own request an advance of Rs. …………… (Rupees
……………………. Only) for the ………………………... (name of the festival)
AND WHEREAS THE BORROWER has undertaken to repay the said amount in 10 equal
monthly instalments with interest as calculated at the rate and in the manner prescribed under para
25 of the Central Government Compilation of the General Financial Rules thereon or on so much
thereon or on so much thereof as shall for the time being remain due and unpaid calculated at fixed
Government rates in force for Government loans from the day of the advance.
AND WHEREAS in consideration of the Corporation having agreed to grant the aforesaid
advance to the borrower the Surety has agreed to execute the above bond with such condition as
hereunder is written.
NOW THE CONDITION of the above written bond is that if the said Borrower shall, while
employed in the said duly and regularly pay or cause to be paid to the Corporation the amount of
aforesaid advance owing to the Corporation by instalments with interest as calculated in the
aforesaid manner, thereon or on so much thereof as shall for the time being remain due and unpaid
calculated at fixed Government rates in force for Government loans from the day of the advance until
the said sum of Rs………. (Rupees ………………… only) with interest as calculated in the aforesaid
manner shall be duly paid, then this bond shall be void otherwise the same shall be and remain in full
force and virtue.
BUT SO NEVERTHELESS that if the Borrower shall die or become insolvent or at any time cease
to be in the service of the Corporation the whole or so much of the said principal sum of Rs…………
(Rupees ……………….only) there of as shall then remain unpaid and the interest due on the said
principal sum calculated in the aforesaid manner from the day of advance shall immediately become
due and payable to the Corporation and be recoverable from the Surety in one installment by virtue of
this Bond.
This obligation undertaken by the Surety shall not be discharged or in any way affected by an
extension of time or any other indulgence granted by the Corporation to the said Borrower whether
with or without the knowledge or consent of the Surety.
The Corporation has agreed to bear the stamp duty, if any, for this document.
(Signature of Surety)
Designation
Office to which attached:
Signed and delivered by the said

22-4
At Neyveli this ………….. day of …….. 20….. IN THE PRESENCE OF
1.
2.
(Signature, Address and occupation of the witnesses.)
ACCEPTED
(for and on behalf of the Neyveli Lignite Corporation Limited, Neyveli.)
REFERENCES
1 Pro. No. 35, Dated: 09-06-1964
2 Pro. No. 90/E&G/71, Dated: 19-03-1971
3 Pro. No. 34/P&A/86, Dated: 15-01-1986
4 U.O. No. P&A/730/CI-2/86-1, Dated: 04-03-1986
5 Pro. No. P&A/730/CI-2/86-2, Dated: 10-11-1986
6 No. 11115/WR/89-10, Dated: 19-10-1989
7 Pro. No. 34/WR/90, Dated: 04-04-1990
8 Pro. No. W.Agt./02/P&A/WR/92, Dated: 21-07-1995
9 Procs.No. W.Agt.01/P&A/WR/97, Dated : 11-07-2001
10 No. CORP/P&A/1900/2003, Dated : 24-11-2003
*****
23-1
23. RULES RELATING TO CONVEYANCE ADVANCE
23.1. SCHEME FOR THE SANCTION OF ADVANCE FOR THE PURCHASE OF BICYCLES
23.1.1. ELIGIBILITY
23.1.1.1. Non-Executives /workmen in the Corporation who have put in 3 years
of service are eligible for the advance
23.1.2. AMOUNT OF ADVANCE
100% of the invoiced
price as purchased from Recoverable in
BYCYCLE New the dealer 20 monthly
or installments
Rs.2000/- whichever is less
23.1.3. CONDITIONS OF THE ADVANCE
(i) The advance given is for the purchase of a New Bicycle and not for an old
one. If the actual cost of the cycle purchased is less than Rs.2000/- the
balance amount should be refunded immediately.
(ii) The cycle should be purchased within one month of the drawal of the
advance. The cash receipt for the purchase should be produced to the
advance sanctioning authority within 15 days of the purchase. The bicycle
purchased should be produced for check by the authority concerned with
reference to make, number of bicycle etc.
(iii) The bicycle purchased with the advance granted by the Corporation will be
considered to be the property of the Corporation until the advance together
with the interest accrued thereon has been fully repaid. It should be
produced for inspection at any time, if required by the Advance
Sanctioning authority.
(iv) The cycle should NOT be sold or otherwise disposed of by the employee
until the advance and the interest thereon is completely repaid/paid.
23.1.4. RECOVERY OF ADVANCE
The amount of advance shall be recovered in 20 (twenty) equal monthly
instalments. The recovery will commence with the first disbursement of
pay/salary/leave salary/subsistence allowance, as the case may be, after the
advance is drawn. The number of instalments may, however be reduced, if the
employee concerned desires to have the recovery of a higher amount effected
each month.
23.1.5. RECOVERY OF INTEREST
The advance shall bear the interest at the rate of 6%. The interest shall be
recovered in 3 continuous monthly instalments commencing from the month
following that, in which the recovery of the Principal is completed, the amount of
each of the first and second instalments being equal to the amount of the monthly
instalment of advance and the balance being recovered in the third instalment.
23-2
23.1.6. SECOND ADVANCE

A second or subsequent advance for the purpose can be sanctioned after a period
of five years counted from the date of purchase of a conveyance from out of an
earlier advance drawn.
In cases, however, where a bicycle has become unserviceable due to wear and
tear or due to an accident and the bicycle requires replacement and where it is
certified that in the interest of work a conveyance is essential, a second advance
may be considered for sanction by the Head of the Unit/Office provided that the
employee had not drawn a second or subsequent advance during the last 3 years
reckoned from the date of the application.
23.1.7. FAILURE TO CARRY OUT THE CONDITIONS OF THE ADVANCE
In case of failure to carry out any of the conditions of the advance the following
penal action will be taken:
a) the advance and interest thereon shall be recovered from the employee in
one lump sum.
b) the employee shall be debarred for a period of 10 years from applying for
sanction of advances in future for the purchase of conveyance in the
Corporation. An entry to the effect shall be made in the Service
book/Service roll of the employee/workman.
c) the above penalty will be without prejudice to any action that may be
instituted under law by the Corporation against the defaulters.
23.1.8. GENERAL
23.1.8.1.
(a) To avoid piece meal requests from the employees for sanction of advance
for purchase of bicycle, it is ordered with immediate effect that the
application for the advance shall be received for each quarter upto the 15th
of the first month of that quarter, i.e 15th January, 15th April, 15th July and
15th October of each year. If 15th of a quarter happens to be a holiday,
applications received after 15th of the quarter shall be kept and added on
to be dealt with only during the subsequent quarter.
(b) All applications received on 15th of a quarter should be disposed of i.e
orders sanctioning the advance issued after following all the prescribed
procedure before 15th of second month of that quarter, i.e 15th February,
15th May, 14th August and 15th November.
23.1.8.2.
(i) The authority competent to sanction the advance or any officer nominated
by him should insist on the production of cash voucher, inspect the new
cycle, purchased and note the name make and number of the cycle and
certify that the purchase has been made within the time allowed and record
a certificate of verification.
(ii) The sanctioning authority or any other officer nominated for the purpose
may insist on the production and inspection of the Bicycle at any time or as
frequently as possible till such time the advance and interest is repaid.
23-3
23.1.8.3. With a view to regulate sanction of cycle advance with reference to the funds
available, the following priority should be followed:-
23.1.8.3.1. The advance shall be granted to those who apply for the same for the
first time and the gradation of priority among those who apply for the
first time will be as follows:
a) Those with longer service (total service) among the applicants
will get the first priority arranged with reference to the period of
service.
b) Among those having equal or nearer overall service, the nature of
work done i.e whether engaged on a shift and may have to attend
at odd hours when transport may not be available may be the
criteria to determine eligibility.
23.1.8.3.2. Employees who had violated the conditions relating to sanction of
advance when drawing the first or subsequent cycle advance should
be given a lower priority despite the position stated above.
23.1.9.
(i) The delay in purchase of vehicle up to a period of 15 days in excess of one
month normally allowed, may be condoned, if the employee/workmen has
applied for extension of time before the end of one month normally allowed
with valid reasons and has actually produced the bill of purchase and cycle
for inspection within the extended period allowed
(ii) In case where the bill and cycle were not produced within the extended
time advance paid with interest should be recovered in lump sum in the
following months. Further advance for cycle should be given only after a
period of 10 years.
(iii) In the orders sanctioning the advance for purchase of conveyance
(including scooter or car advance) a specific clause that the
employee/workman is liable for disciplinary action besides debarring from
drawal of further advances may be included.
23.1.10. The advance to the staff working in various Units should be sanctioned by the Unit
Officers who are delegated with powers of sanction of advances for the purchase of
conveyances.
23.2. SCHEME FOR THE GRANT OF ADVANCE FOR THE PURCHASE OF MOTOR CYCLE/
SCOOTER
23.2.1. ELIGIBILITY FOR THE ADVANCE
The following categories of employees are eligible for the advance on completion of
3 years service in the Corporation and also approved probationers, subject to
fulfilling the other conditions.
ALL TYPES OF TWO WHEELERS
i) Executives
ii) Employees on the scales of pay of W5 and above.
iii) Employees on the scales of pay of W4 and above would be granted advance for
purchase of Moped only
23-4
23.2.2. VEHICLES FOR WHICH ADVANCE CAN BE GIVEN

The advance will be given for the purchase of all power driven two wheelers such as
Moped, Scooters, Motorcycles etc. Second hand vehicles may also be purchased
subject to the condition that the vehicle is not more than 10 years old.
23.2.3. AMOUNT OF ADVANCE
Type of vehicle Amount of Advance
a) For purchase of a new Motor Rs.40,000/- or 90% of the invoiced
cycle/Scooter price, whichever is less
b) For purchase of second hand Rs.20,000/- or 90% of the sale value
Motor Cycle/Scooter whichever is less
c) For purchase of new Moped Rs.20,000/- or 90% of the invoiced
price whichever is less
d) For purchase of a second hand Moped Rs.10,000/- or 90% of the sale value
whichever is less
23.2.4. DOCUMENTS TO BE PRODUCED
An employee drawing an advance has to submit the following documents:
(a) Along with his application for the advance:
i) Employees who have completed five years of service agreement in
the Form-1 on stamp paper for Rs.20/-
ii) Employees who have not completed five years of service but are
approved probationers. Agreement and surety document in Form-2
on stamp paper for Rs.80/-
The document has to be executed with two sureties, the sureties
being employees of the Corporation of equal or higher status than
the employee to whom the advance is sanctioned. The sureties
should have completed five years of service. No employee can
stand surety for more than one person at a time till the period of
binding is over or the amount of advance is refunded in full together
with the interest.
(b) Within a month from the date of purchase of the vehicle:
i) Cash receipt signed by the seller of the vehicle together with the
certificate of the employee in the form below:
" I certify that sum of Rs………… towards price of the above mentioned
vehicle has been paid by me to Shri……………… who has sold the above
on……………….. (date) and that I have acquired outright ownership of the
vehicle with effect from this date."
DESCRIPTION OF THE VEHICLE
Name of the Scooter/Motor Cycle :
Registration No. :
Engine No :
Chassis No :
Horse power :
Year of Manufacture :
Employee's Signature
23-5
ii) Mortgage bond in Form-3 hypothecating the vehicle to the Corporation

iii) R.C for the vehicle with the employee's name entered in it as owner of the vehicle.
iv) Insurance policy has to be obtained by the employee comprehensively insuring the
vehicle against loss by fire, theft or accident and the same should be renewed from time
to time until the advance and interest thereon is fully recovered.
v) The difference in amount if any between the outstanding balance against loan with
interest and the claim settled by the Insurance agency has to be borne by the employee
himself in case of damage, loss or theft to the vehicle to which conveyance advance
has been sanctioned.
The Insurance policy should contain a specific mention about the corporation’s interest
in the Vehicle. The RC and the insurance policy will be returned after perusal. The
insurance policy should be renewed from time to time for an amount not less than the
outstanding amount of advance together with the interest thereon and should be
submitted to the advance sanctioning authority after each renewal until the advance is
fully recovered.
23.2.5. DRAWAL OF ADVANCE
(i) The advance can be drawn by the employee only after ensuring that the delivery of the
vehicle will be made within a month.
(ii) Before drawal of advance for the purchase of a second hand vehicle the employee
should ascertain and certify that the vehicle could be insured for comprehensive risk.
23.2.6. TIME LIMIT FOR PURCHASE OF VEHICLE
The vehicle should be purchased within one month from the date on which the advance is
drawn, failing which the full amount of advance drawn together with interest for one month will
have to be refunded.
In case of inability to purchase the vehicle within a month he should apply for permission to
retain the advance for a specific further period failing which penal interest at the rate of 2.5%
per annum above the normal rate of interest will be recovered for the period of such retention
of the advance.
23.2.7. The advance shall be recovered in not more than 40 equal instalments in case of
second hand scooter/motor cycle/moped and 50 instalments in case of new
scooters/motor cycle/moped commencing with the first disbursement of
pay/salary/Leave salary / subsistence allowance as the case may be after the
advance is drawn. The employee may at his option repay more than one
instalment in a month. The authority sanctioning the advance may permit recovery
to be made in smaller number of instalments, if the employee so desires.
23.2.8. RECOVERY OF INTEREST
23.2.8.1. Interest on the advance shall be collected at the following rates per
annum:
Scooter/ Motor cycle : 8%
Moped : 7%
23.2.8.2. Recovery of interest shall commence from the month following that in
which the payment of advance has been completed. The amount of
interest shall be recovered in instalments each such instalments not
being appreciably greater than the amount of each instalment of
advance.
23-6
23.2.9. EMPLOYEE ON LEAVE

An employee who is on leave or who is to proceed on leave will not draw the
advance earlier than a week before the expiry of the leave. In case the
employee is on any leave and does not draw the pay and allowances he should
make his own arrangements to remit the instalments of the advance/interest
due.
23.2.10. VEHICLE SHOULD NOT BE SOLD (OR) TRANSFERRED
The employee should not sell, transfer or otherwise part possession of the
vehicle until the advance is repaid in full together with the interest. The
employee should also ensure that the vehicle is always kept in a good and road
worthy condition.
23.2.11. FAILURE TO CARRY OUT THE TERMS OF ADVANCE
If any of the conditions of sanction of the advance is violated the outstanding
amount of the advance together with the interest accrued and penal interest if
any will be liable to be refunded immediately. The employee is also liable for
disciplinary action and such action as may be instituted by the company under
law against defaulters.
23.2.12. PERIODICITY OF THE ADVANCE
(i) Second or subsequent advance can be sanctioned only after a
minimum period of five years from the date of purchase of a
conveyance utilising an advance drawn from the corporation, even it be
a cycle advance.
(ii) In respect of persons who are eligible for conveyance advance for both
Motorcycle/ scooter and bicycle a second or subsequent advance for
purchase of any conveyance can be sanctioned only after three years if
the preceding advance was for purchase of a bicycle and after five
years if the preceding advance was for purchase of a Scooter/Motor
cycle.
(iii) No further advance shall be granted in case of default and necessary
action will be taken. Necessary entries shall be made in the service
records.
23.2.13. The cost of the following items purchased along with the Scooter/Motor
Cycle/Moped will also be allowed and adjusted against the advance sanctioned
by the Corporation.
1) Front Number Plate 11) Bag hook
2) Ignition Switch and Box 12) Licence holder
3) Cross/H-type bar 13) Side foot-rest
4) Mirror 14) Wheel disc
5) Side handle 15) Foot-rest
6) Saree guard 16) Helmet
7) Side box 17) Stand
8) Side Carrier 18) Seat ; and
23-7
9) Luggage Carrier 19) Pillion Seat

10) Petrol Tank Lock
23.2.13.1. Different bills (not more than two bills) issued by the dealer in respect of
the above items may be accepted for the purpose.
23.2.13.2. Insurance Premium and Registration fees may also be met from out of
the advance for the first time only.
23.3. SCHEME FOR THE GRANT OF ADVANCE FOR THE PURCHASE OF
MOTOR CAR.
23.3.1. ELIGIBILITY FOR THE ADVANCE:
a) Executives (E2 Grade and above) who have completed at least 3 years of
service in the corporation are eligible for the advance.
b) In case of Executives joining N.L.C. from Government/Other Public Sector
Undertakings with the consent of the previous employer, their services put
in by them in the Government/ Public Sector Undertakings prior to joining
N.L.C. shall be counted in deserving cases for deciding the eligibility.
23.3.2. VEHICLE FOR WHICH ADVANCE CAN BE GIVEN:
New or Old Motor car may be purchased from the advance:
23.3.3. AMOUNT OF ADVANCE:
SL. TYPE OF AMOUNT OF ADVANCE NO OF
NO VEHICLE INSTALMENTS
1 Motor car – Rs.2,50,000/- or Recoverable in
New 90% of the invoiced price 100 monthly instalments
which ever is less
2 Motor car -
Second hand 90% of the sale value or Recoverable in
Rs.1,25,000/- whichever 100 monthly instalments
is less
23.3.4. DOCUMENTS TO BE PRODUCED:
An employee drawing an advance has to submit the following documents:-
(a) Along with the application for the advance in Form (C2):
(i) Employees who have completed five years of service: Agreement in
Form-1 on non-judicial stamp paper of Rs.20/- or
(ii) Employees who have not completed five years of service but are
approved probationers :
Agreement and surety document in Form-2 on non-judicial stamp
paper of Rs.80/-
The document has to be executed with two sureties, the sureties
being employees of the Corporation of equal or higher status than
the employee to whom the advance is sanctioned. The sureties
should have completed five years of service. No employee can
stand surety for more than one person at a time till the period of
23-8
binding is over, or the amount of advance is refunded in full, together

with the interest.
(iii) A letter from the seller that the vehicle will be ready for delivery within
a month's time (For New Vehicle).
(iv) Copy of the latest Pay slip.
(v) Self Declaration (for Old vehicle).
(vi) Consent Letter from the seller (for Old vehicle).
(b) After purchase of the vehicle:
A) Immediately after purchasing of the vehicle (in case of old/new car).
I. Mortgage bond in Form–3, Hypothecating vehicle to the corporation.
II. R.C Book for the Vehicle with the Executive’s name entered in as owner of
the vehicle.
III. Insurance policy has to be obtained by the employee comprehensively
insuring the vehicle against full loss by fire, theft, or accident and the same
should be renewed from time to time until the advance and the interest
thereon is fully recovered. The difference in amount, if any, between the
outstanding balance against loan with interest and the claim settled by the
insurance agency has to be borne by the employee himself in case of
damage/loss/theft to which conveyance advance is sanctioned. The
policy should contain a specific mention about the Corporation’s interest in
the vehicle (Hypothecation clause in favour of N.L.C. Limited to be made).
IV. Stamp receipt in case of Old Vehicle and in case of new vehicle, the receipt
from the dealer. Due care may be taken to certify that both the invoice /
Quotation and the receipt are from the same dealer. However before
purchase of the vehicle the Executives may be permitted to obtain New
Quotation from another dealer from whom the vehicle is intended to be
purchased with the approval of the sanctioning authority.
V. All the documents in original along with a photocopy shall be submitted to
the sanctioning authority. The Originals shall be returned after perusal.
(B) Every year until the advance and interest are recovered in full.
The insurance policy should be renewed from the due date for an amount not less
than the outstanding amount of advance together with the interest thereon and
should be submitted to the advance sanctioning authority after each renewal along
with the R.C. Book until the advance is fully recovered.
A register in this regard shall be maintained by the unit personnel department and
ensure prompt follow up action. In case the Executive does not renew the
insurance on the due date penal interest at the rate of 2.5 % outstanding balance
amount of conveyance advance shall be imposed for the period of lapse. In case of
non-production of R.C. Book in time the balance advance and interest along with
penal interest @17.5 % shall be levied on the Executive.
23.3.5. DRAWAL OF ADVANCE:
(i) The advance can be drawn by an executive only after ensuring that the
delivery of the vehicle will be made within a month.
23-9
(ii) Before drawal of advance for the purchase of a second hand vehicle, the
executive should ascertain and certify that the vehicle could be insured for
comprehensive risk.
(iii) In case the amount of advance sanctioned is not drawn by the executive
within a period of 3 months from the date of sanction or close of the
financial year, which ever is earlier, the amount so sanctioned would
automatically lapse at the end of such period.
23.3.6. TIME LIMIT FOR PURCHASE OF VEHICLE:
NEW VEHICLE
drawn, failing which the full amount of advance drawn together with interest up to repayment
will have to be refunded.
OLD VEHICLE
drawn, failing which the full amount of advance drawn together with interest up to repayment
will have to be refunded.
In case of inability to purchase the vehicle within the stipulated period, the executive should
apply for permission to retain the advance for a specific further period failing which penal
interest at the rate of 17 .5% per annum above the normal rate of interest will be recovered for
the period of such retention of the advance.
23.3.7. The advance shall be recovered in not more than 100 equal installments
commencing with the first disbursement of pay/salary/leave salary as the case may
be after the advance is drawn. The employee may at his option repay more than
one installment in a month. The authority sanctioning the advance may permit
recovery to be made in smaller number of installments, if the employee so desires.
23.3.8. RECOVERY OF INTEREST:
Recovery of interest @ 9% shall commence from the month following that in which
the repayment of advance has been completed. The amount of interest will be
recovered in installments each such installment not being appreciably greater than
the amount of each installment of advance. Interest/penal interest will be charged
from the Executives who availed car advance for purchase of new car for retention
the purchase / pending of documents as follows:
Period of delay from the date of Rate of Interest Total
Drawal of advance to the date of
purchase Normal Interest Penal Interest
Up to six months 9% _ 9%
More than 6 months
Upto 9 months 9% 6.5 % 15 .5 %
More than 9 months
Upto 12 months 9% 13% 22%
Beyond 12 months 9% 17.5 % 26 .5%
23-10
23.3.9. EMPLOYEE ON LEAVE:

An employee who is on leave or who is to proceed on leave will not draw the
advance earlier than a week before the expiry of the leave. In case the employee is
on any leave and does not draw the pay and allowances he should make his own
arrangements to remit the instalments of the advance/interest due.
23.3.10. VEHICLE SHOULD NOT BE SOLD (OR) TRANSFERRED:
The employee should not sell, transfer or otherwise part possession of the vehicle
until the advance is repaid in full together with the interest. The employee should
also ensure that the vehicle is always kept in a good and road worthy condition.
23.3.11. FAILURE TO CARRY OUT THE TERMS OF ADVANCE:
If any of the conditions of sanction of the advance is violated the outstanding
amount of the advance together with the interest accrued and penal interest if any
will be liable to be refunded immediately. The employee is also liable for
disciplinary action and such action as may be instituted by the company under law
against defaulters.
23.3.12. PERIODICITY OF ADVANCE.
Second or subsequent advance can be sanctioned only after a minimum period of
five years from the date of purchase of a conveyance utilizing an advance drawn
from the corporation. Subject to the condition that the earlier conveyance advance
along with interest has been paid in full. Repayment of advance or interest shall be
permitted with the approval of the sanctioning authority. However, sanction of
second or subsequent advance shall be permitted only after 5 years from the date
of drawal of earlier advance.
23.3.13. RELEASE OF MORTGAGED DOCUMENTS:
The mortgage bond may be cancelled and released to the concerned executive
after ascertaining from the concerned Account Centre that the conveyance
advance along with interest has been paid / recovered in full.
23.3.14. Various forms pertaining to these rules are appended including specimen
mortgage/surety forms.
23.3.15. The advance to the staff working in various Units should be sanctioned by the Unit
Officers who are delegated with powers of sanction of advances for the purchase of
conveyances.
23.3.16. The Heads of Departments/Units have to watch the purchase of the vehicle and the
production of documents by the employees concerned within the prescribed
period.
23.3.17. PRODUCTION OF DOCUMENTS
The production of the Registration Certificate of the vehicle with the employee's
name duly entered in it as owner, should be insisted upon. The Registration
certificate may be returned after perusal. If the registration certificate is not ready, a
copy of the application sent to the Regional Transport Office for the registration or
change in registration should be required to be produced and the Registration
Certificate obtained within one month for perusal.
23-11
23.3.18. MISUSE OF ADVANCE

Misuse of the advance amount and failure to carry out the terms and conditions of
the sanction order may entail disciplinary action being taken against the employees
concerned. Action may also have to be taken against the employees concerned
who fail to watch the compliance of the conditions in time.
23.3.19. In order to simplify the procedure and arrange for the speedy sanction of car
advance the under mentioned procedure will be followed by the Heads of
Units/Establishment.
23.3.19.1. As soon as an application is received from the employees for sanction
of car advance, the Heads of Units/Establishment concerned will
scrutinise the application, Agreement and Surety Bond (wherever
necessary) and certify whether the possession of a Car by the
applicant will add to his efficiency and be in the interest of the
Corporation. The proposals after scrutiny will be sent with
recommendation of Head of Units/Establishment to the Finance and
Accounts Branch for scrutinising the surety and agreement forms as to
their completeness and acceptance by the competent authority.
Discrepancies if any pointed out by Finance and Accounts Branch
should be rectified and the file sent back again to Finance and
Accounts Branch for perusal. After getting the clearance from Finance
and Accounts Branch, the orders for sanctioning the Car advance be
issued.
23.3.19.2. If the employee sells the Motor car, transfers or otherwise parts
possession of the Motor car before the entire amount of advance with
interest is repaid, disciplinary action and action for recovery of entire
amount of advance along with normal and penal interests to be taken.
No further advance of any kind shall be paid.
23.4. GENERAL INSTRUCTIONS FOR SANCTION OF CONVEYANCE ADVANCE
23.4.1. Levy of penal interest for misuse of advance sanctioned / non-compliance of the
Orders:
In the following circumstances also levy of penal interest will be attracted:
1) In the case of employees, who change their choice and preference after
drawal of the money, penal interest shall be recovered from the date of
drawal of the advance and until the vehicle is taken possession of.
2) If any of the employee remits a portion of the advance to the dealer and
retains the balance penal interest from the date of drawal and upto the date
of remittance back of the amount retained shall be recovered.
3) Remitting back the advance once drawn for the reason of non-availability
of the particular make/colour, also will attract levy of penal interest for the
period of retention of the advance from the date of drawal.
23.4.2. Delayed renewal of Insurance Policy- Instructions issued:
In dealing with cases of delay in renewal of insurance policy in respect of motor
cycle/scooter/motor car purchased from out of conveyance advance sanctioned by
the Corporation an additional interest at 2.5 % p.a. over and above the prescribed
rate of interest should be charged in cases of those who have not renewed the
23-12
policy on the due date for the uncovered period. A certificate to the effect that the
vehicle purchased from out of the advance has not suffered any damage due to
accident during the uncovered period and that the vehicle is maintained in good
repair, should also be obtained and filed.
23.4.3. Verification of Insurance Policy and R.C book:
In the cases of Motor cycles/scooter/mopeds/motor cars bought out of the
conveyance advance availed from the Corporation, Unit heads should verify both
comprehensive Insurance Policy and R.C. book every year until the advance
together with interest thereon are fully recovered, in view of the fact that the
insurance companies do not insist on production of R.C book at the time of renewal
of insurance, which will lead to a single vehicle being insured by two or more
individuals.
23.4.4. On misusing of Advance Drawn:
It is seen that few employees who draw advances for purchase of Plot, House
Building, Conveyance, etc. are not using the advances drawn for the purpose it was
drawn or only a part of the advance drawn is being actually used and the balance
amount is not being remitted back within the stipulated time. Such act/omission
would constitute a major misconduct and is punishable as per the rules applicable
to NLC. Therefore, the following actions may be taken in those cases where
employees are found misusing corporation funds.
I) The employees should immediately be placed under suspension pending
enquiry.
II) Charge memo should be issued and severe punishment is to be imposed.
III) The employee may be instructed to remit in one lump sum the entire amount
due to NLC along with a penal interest of 17.5% in addition to the normal
interest payable by him.
IV) In case the employees fails to comply with the orders, the amount may be
recovered from the wages of the employees or by selling/disposing the
property pledged with the Management if any at the discretion of the
Management.. The employees may be debarred from drawing any advance
in future including advances like festival advance etc.
v) An employee debarred from drawal of Conveyance Advance shall be
sanctioned next conveyance advance after 10 years from the date of sanction
of conveyance advance leading to debar (i.e. twice the eligibility period).
vi) The penal interest levied / punishment imposed shall remain unaltered.
vii) In case of violation of the conditions of conveyance advance for the second
occasion, the employee shall be debarred from drawal of conveyance
advance for the entire remaining service apart from levy of penal interest and
initiation of disciplinary action.
23.4.5. The following: Commercial Vehicles/Sports Utility Vehicles will not be reckoned for
grant of vehicle advance i.e. Purchase of TATA Sumo, Toyato Qualis, Mahindra
Scorpion, Maruthi Versa etc., will not be considered. However, grant of advance
will be restricted to personal car models like OMINI.
(Corp.Circular No.CORP/P&A/WR/212/2004-16 Dt.20-11-2004)
23-13
23.4.6. The Competent Authority for sanction of conveyance advance for purchase of
Old/New Car will be the Unit Head as indicated in Procs. No.CORP/
P&A/1900/2000 Dt.4.4.2000.
Please refer
CHAPTER 24(C) - GROUP INSURANCE
for car advance.
REFERENCES:
(1) Memo No.26180/EI-1/65-1 Dated 16-2-66
(2) Memo No 17217/CI-2/72-1 Dated 1-11-72
(3) Memo No 562/E&G/CI-2/68-23 Dated 4-12-68
(4) Memo No E&G/9157/CI-2/73-4 Dated 1-11-73
(5) Memo No E&G/10417/CI-2/73-5 Dated 18-12-73
(6) Memo No 19417/CI-2/73-15 Dated 18-7-74
(7) Pro. . E&G/W Agt. 32/78 Dated 30-11-78
(8) Proc. No. P&A/01744/CI-2/Rules/96 Dt; 07-03-96
(9) Circular No. P&A/DGM(RP)/1612/99/351 dated 8-4-99
(10) Procs. No.CORP/P&A/1900/2000 Dt.4.4.2000.
(11) Proc. No. CORP/P&A/812/WR/2000-2 Dt: 23.10.2000
(12) CLO’s Circular Dt: 03.10.2001
(13) CORP/P&A/WR/825/2003-16 Dt: 30.05.2002
(14) Corp. Circular No. CORP/P&A/1900/2002 dated : 27.12.2002
(15) Corp. Circular No. CORP/P&A/1900/2003 dated : 24.11.2003
(16) Corp. Circular No. CORP/P&A/1903/0481/2004 dated : 27.01.2004
(17) Corp.Circular No.CORP/P&A/WR/212/2004-16 Dt.20-11-2004

23-14
ANNEXURE
APPLICATION FORM FOR CONVEYANCE ADVANCE FOR
PURCHASE OF MOTOR VEHICLE
1. Name :
2. CPF No. :
3. Designation :
4 Unit / Division in which working :
5 Scale of pay :
6 Amount of advance required for purchase :
7 Details of vehicle to be purchased
a. Type of Vehicle proposed to be purchased New
(please tick in the appropriate box) Old
Moped
Scooter/Motor Cycle
Car
b. Invoice/Anticipated price : Rs.
c. In case of old vehicle
i) Validity of F.C. : upto …………………….
ii) Validity of Insurance : upto …………………….
iii) Tax paid : upto …………………….
iv) Regn. No. and Date of Initial
Registration : Date :
v) Age of the vehicle on the date of
application : Years Months
vi) Name of the seller and address :
Certified that the information given above is complete and true to the best of my knowledge. I have
not taken delivery of the vehicle. I am conversant with the conditions / rules and regulations for
payment of conveyance advance and I agreed to abide by the same.
Date : Signature of the employee
Enclosures:
1) Agreement in non-judicial stamp paper (Annexure-I)
2) Copy of the pay slip
3) Photo copy of the R.C. Book (all pages) (old vehicle)
4) Photo copy of the Insurance policy
5) Consent letter from the seller of the vehicle containing the vehicle Registration.
No. & amount of sale (old vehicle)
23-15
6) Quotation from the dealer (in case of New vehicle)

7) Self Declaration in case of Old Vehicle
For use in Personnel Department
1. Date of joining in the Corporation :
2. Date of Birth :
3. Date of Superannuation :
4. Details of conveyance advance availed earlier
a. Date of sanction of conveyance advance
prior to the present application :
b. Whether any recovery (principle /
interest) is pending from the employee : Yes / No
5. Is the vehicle less than 10 years old : Yes / No
6 Amount of advance eligible :
7 Recommendation / Remarks :
8. Recovery details
a. Principal @ Rs. …………… per month in ……....……. installments
b. Interest @ Rs. …………… per month in …………… installments
9. Fund position
Fund available - Less
Amount of advance to be sanctioned
(including this application) -
-----------------------------
Balance available
-----------------------------
The particulars pertaining to the above employee has been verified with reference to the Service
Book / Service Card of the employee and found correct and it is certified that no amount towards
Conveyance advance or interest thereon is pending from the employee. In case of second advance
the earlier sanction of conveyance advance was made prior to 5 years from the date of present
application.
Unit Head / Unit Personnel Head
(Not below E-6 Grade)
For use in Finance Branch
Concurred in for Rs………………………………………..................................................................…
(Rupees………………………… ……….………………………………….............………………...only ).
Accounts Manager / DFC /......
Rs……………….(Rupees…………………………………….…….………………...............……only) is
sanctioned to Shri …………………………………………......…. CPF No ……….................…….……
(Designation) …………………… vide Procs. No………………................……………..............……….
dt………………….. .
Unit Head / Unit Personnel Head
23-16
FORM-1
For employees who have completed 5 years of regular service
(To be made in Non-Judicial Stamp Paper for Rs.20/-)
AGREEMENT
AN AGREEMENT made on the …………………..day of ……………………………between
Shri/Smt……………..............................................…………………………..
S/o / W/o …………………………………. ……………………………………………. (herein after called
the Borrower which expression shall include his legal representatives, assignees, executors, heirs,
administrators) of the one part and the Neyveli Lignite Corporation (hereinafter called the Corporation
which expression shall include its successors and assigns) of the other part WHEREAS the Borrower
has applied to the Corporation for a loan of Rs.…….....…for the purchase of ……....................……
……………………………… and the corporation has agreed to lend the said amount to the Borrower
on the terms and conditions hereinafter contained NOW IT IS HEREBY AGREED between the
parties here to that in consideration of the sum of Rs…………………. paid by the Corporation to the
Borrower (the receipt of which the Borrower hereby acknowledge) the Borrower hereby agrees with
the Corporation (i) to pay the Corporation the said amount with interest calculated at the rates
prescribed by the Corporation by monthly deductions from his salary as provided for by the
Corporation in this regard and hereby authorises the Corporation to make such deductions; (2) within
one month from the date of these presents to expend the full amount of the said loan in the purchase
of a ……………. Or if the actual price paid is less than the loan to repay the difference to the
Corporation forthwith and (3) to execute a document hypothecating the said ……………………..to
the Corporation as Security for the amount lent to the Borrower as aforesaid and interest in the form
as provided by the Corporation in this regard and IT IS HEREBY LASTLY AGREED AND DECLARED
that if the………………………………… ……… ………………………. has not been purchased and
hypothecated as aforesaid within one month from the date of those presents or if the Borrower within
that period becomes insolvent or quits the services of Corporation or dies the whole amount of the
loan and interest accrued thereon shall immediately become due and payable. In witness whereof
the said Shri / Smt …………………………………... has hereunto set his hand on the day and year
…………………………........................................……………first above written
Shri………………..............................................................................………………
(Name and Designation) for and on behalf of the Corporation has hereunto set his hand on
Signed by the said in the presence of
SIGNATURE OF WITNESS: SIGNATURE AND DESIGNATION
OF THE BORROWER
SIGNED BY (Name and Designation)
for and on behalf of the Corporation in the presence of.
(Signature of Witnesses) SIGNATURE AND DESIGNATION
OF THE OFFICER
23-17
FORM-2
For employees who have not completed five years but are approved probationers.
(To be made in Non-Judicial Stamp paper for Rs.80/-)
FORM OF AGREEMENT AND SURETY TO BE EXECUTED FOR THE PURCHASE OF A
MOTOR CAR / MOTOR CYCLE / SCOOTER.
An Agreement made on the ………….....................................………………….day
of……………..…………………………………………………………………….…………… between
Shri / Smt ……………….……………...……................................................… S/o / W/o
… … … … … . . . … … … … … … … … … … … … … … … . , e m p l o y e d a s
……………………………………………. in the Neyveli Lignite Corporation Limited, Neyveli
(hereinafter called the borrower) and (1) ……………………....................
S/o / W/o …….........................................………………………. employed as
…………………………………….. in the Neyveli Lignite Corporation Limited and
(2)…………....................................................…………………………………..
S/o / W/o ……………………….…………………………………………employed as
………………………….…………………. in the Neyveli Lignite Corporation Limited (herein after
called the sureties of the borrower) on the one part which will include all their heirs, assignees and
executors and the Neyveli Lignite Corporation Limited, Neyveli (hereinafter called the Company) on
the other part.
WHEREAS the Borrower had applied and had been granted an advance of Rs……….………. (here
in after referred to as the said amount) for the purchase of a Motor Car / Motor Cycle / Scooter in
accordance with the Rules of the Company presently in force or to be subsequently amended and
WHEREAS the said amount of Rs……..……….. had been received by the Borrower from the
Company on …………………...., the Borrower and his sureties hereby jointly and severally agree to
conform and abide by the following terms and conditions:-
1. That the repayment of the above said amount will be made by monthly installments of
Rs………..…deducted by the Company out of the monthly pay and other remuneration of the
Borrower and the Company will be entitled to deduct the same out of his pay and other
remuneration.
2. That the said amount of Rs.………….. ….shall carry interest at the rates as may be fixed by the
Company from time to time and the interest also will be deducted from his salary in such number
of installments as may be decided by the Company.
3. That within a month of the advance of the said amount or within such extension of time that may
be allowed by the Company the borrower shall purchase a
Motor Car / Motor Cycle / Scooter utilizing the said amount and if the said amount is in excess of
the cost of the vehicle actually paid refund forthwith the balance.
4. That immediately after the purchase of the vehicle the borrower shall get insured against full
loss by fire, theft or accident with a (Recognized Insurance Company) with an endorsement in
the policy of the Corporation's interest in the vehicle insured.
5. That the Borrower shall also execute a hypothecation deed with respect to the vehicle
purchased in the form prescribed by the Company.
6. That the Borrower will immediately on purchase of the vehicle arrange to get the registration of
the vehicle as per the Registration Certificate transferred in his name.
7. That the Borrower will within one month of the date of purchase of the vehicle or within such
23-18
extended time that may be allowed by the Company submit to the prescribed authority of the
Company the cash receipt for the payment of cost of the vehicle, issued by the seller, the
Registration Certificate Book, Insurance Policy, Hypothecation deed and such other
documents, certificates and records that may be required by the Company in connection with
the purchase of the vehicle.
8. That if the Borrower shall die or become insolvent or at any time leave the services of the
Company or his services are terminated for any reasons whatsoever before complete
repayment and realization of the whole amount advanced and interest due thereon, the
Company will be entitled to realize the amount due from the Borrower and his sureties jointly
and severally, in one installment by virtue of this agreement.
9. That the Borrower undertakes to confirm strictly to the terms and conditions of this agreement
and further agree that in case of violation of any of the terms aforesaid or in case of any
documents, receipts or records produced by him being found not acceptable by the company,
the Company will be entitled to realize the entire amount together with interest due from the
Borrower and his sureties jointly and severally
And upon the above borrower Shri………………………………………………… and / or
Shri ……………...………………………………… and/or Shri ………………………………… the
sureties aforesaid making such refund, the above written obligation shall be void and of no
effect, otherwise it shall be and remain in full force and virtue.
PROVIDED ALWAYS THAT the liability of the sureties hereunder shall not be impaired or
discharged by reasons of time being granted to the borrower or by any forbearance extended to
the borrower or any other act or omission of the Company or any person authorised by it
(whether with or without the consent or knowledge of the sureties) nor shall it be necessary for
the Company to take action against the said borrower before taking action against the sureties
Shri………………………and Shri …………….……………for amount due hereunder.
Signed and delivered by the above borrower in the presence of ………………on
this…………………………….…… day of the ……………………..… (month) of year aforesaid
at ………………………..……………..
Witnesses:
1
(Signature)
Address :
2
(Signature)
Address: (Signature)
Full Address:
Signed and delivered by the Surety above named Shri. / Smt…….…….………......... in the
presence of………………… on this……… day of the …………... (month) of the year aforesaid
at ………………………
Witnesses:
1
(Signature)
Address :
23-19
2
(Signature)
Address : (Signature)
Full Address:
Signed and delivered by the surety above named Shri ………………..…….. in the presence of
………………………on this …………………day of the month of…………………………. of the
year aforesaid at ……………………………..
Witnesses:
1
(Signature)
Address :
2
(Signature)
Address : (Signature)
Full Address:
ACCEPTED
For and on behalf of the Neyveli Lignite Corporation Limited.
SELF DECLARATION
From
To
Sir,
I am willing to purchase a Old Motor Car bearing Registration Number..................from
Shri/M/s ................................................................................................ I hereby declare that
Shri./M/s has no official dealings with N.L.C. In case it is found that the individual/Company
has official dealings with N.L.C. I assure that I will abide by any action taken against me.
Thanking you,
Yours faithfully,
( )
23-20
LETTER FROM SELLER

From
NAME
ADDRESS
To
Sir,
I am willing to sell my....................................................................car with Registration
Number...................... and date of registration ............................ to Shri................................
...................…….... for the price of Rs. (Rupees.......................................................................).
This offer is valid for 1 month from the date of issue of this letter. I have no official dealings with
M/s N.L.C .LIMITED.
DESCRIPTION OF VEHICLE
1. MAKERS NAME :
2. ENGINE NUMBER :
3. CHASIS NUMBER :
4. YEAR OF MANUFACTURING :
5. NO. OF CYLINDERS :
6. REGISTRATION NUMBER :
DATE:
PLACE: SIGNATURE OF OWNER.
23-21
FORM-3
MORTGAGE BOND FOR CONVEYANCE ADVANCE
THIS INDENTURE made this………………….............................................day
of.......................betweenShri. / Smt. ………..…………………………………… ……….
S/o / W/o ………………………………………………………………. (hereinafter called ' THE
BORROWER which expression shall include his heirs, administrators, executors, legal
representatives of the one part) and the Neyveli Lignite Corporation (hereinafter called the
Corporation which expression shall include their successors and assignees) of the other part.
WHEREAS the Borrower has applied for and has been granted an advance of
Rs………………. for the purchase of a vehicle WHEREAS one of the conditions upon which said
advance has been granted to the Borrower, that the Borrower will hypothecate the said vehicle to
the Corporation as Security for the amount lent to the Borrower and WHEREAS the Borrower has
purchased with or partly with the amount so advanced as aforesaid the vehicle particulars whereof
are set out in the schedule hereunder written.
NOW THIS INDENTURE WITNESSETH that in pursuance of the said agreement and for the
consideration aforesaid the Borrower doth hereby covenant to pay to the Corporation the sum of
Rs………………… aforesaid or the balance thereof remaining unpaid at the date of these presents
by equal payment of Rs.……………………. each on the first day of every month and will pay
interest on the sum for the time being remaining due and owing calculated at the rates in force in the
Corporation and the Borrower doth agree that such payments may be recovered by monthly
deductions from his salary in the manner provided by the Corporation and in further pursuance of
the said agreement the Borrower doth hereby assign and transfer unto the Corporation the Vehicle
particulars where of are set out in the schedule hereunto written by way of security for the said
advance and interest thereon as required by the Rules of the Corporation.
And the Borrower doth hereby agree and declare that he has paid in full the purchase price of
the said Motor Vehicle and that the same is his absolute property and that he has not pledged and
so long as any money remain in payable to the Corporation in respect of the said advance will not
sell, pledge or part with the property in or possession of the said Motor vehicle provided always
and it is hereby agreed and declared that if any of the said installments of principal or interest shall
not be paid or recovered in manner aforesaid within ten days after the same are due or if the
Borrower shall die or at any time cease to be in Corporation service or if the Borrower shall sell or
pledge or part with the property in or possession of the said Motor Vehicle or become insolvent or
make any composition or arrangement with his creditors or if any person shall take proceedings in
execution of any decree or judgment against the Borrower the whole of the said principal sum
which shall then be remaining due and unpaid together with interest thereon calculated as
aforesaid shall forthwith become payable AND IT IS HERE BY AGREED and declared that the
Corporation may on the happening of any of the events herein before mentioned seize and take
possession of the said Motor Vehicle and either remain in possession thereof without removing the
same or else may remove and sell the said Motor Vehicle either by public auction or private
contracts and may out of the sale money retain the balance of the said advance then remaining
unpaid and any interest due thereon calculated as aforesaid and all costs charges, expenses and
payments properly incurred or made in maintaining defending or realizing his rights hereunder and
shall pay over the surplus, if any to the borrower, his executors, administrators or personal
representatives PROVIDED FURTHER that the aforesaid power of taking possession or selling of
the said Motor Vehicle shall not prejudice the right of the Corporation, to sue the Borrower or his
personal representatives for the said balance remaining due and interest or in the case of the Motor
Vehicle being sold the amount by which the net sale proceeds fall short of the amount owing AND
the borrower hereby further agrees that so long as any moneys are remaining due and owing to the
Corporation the Borrower will insure and keep insured the said Motor Vehicle against loss or
23-22
damage by fire, theft or accident with an Insurance company to be approved by the Director / Finance,
N.L.C Limited, Neyveli and will produce evidence to the satisfaction of the Director / Finance N.L.C
Limited, Neyveli and the Motor Insurance Company with whom the said Motor Vehicle is insured have
received notice that the Corporation is interested in the policy AND the Borrower hereby further
agrees that he will not permit or suffer the said vehicle to be destroyed or injured or to be deteriorate in
a greater degree than it would deteriorate by reasonable wear and tear thereof and further that in the
event of any damage or accident happening to the said Motor Vehicle the Borrower will forthwith have
the same repaired and made good.
THE SCHEDULE
Description of the Vehicle :
Registration No. :
Maker's name :
No. of Cylinders :
Engine Number :
Chassis No. :
Cost Price :
In witness whereof the said ……………………....………………………….. (Borrower's Name)
has hereunto set his hand on the day and year first above written
Shri ……………….………………(Designation) ……………………………………… for and on behalf
of the Corporation has hereunto set his hand on ………………..………………
……………………………………………………………….………….. .
SIGNED BY THE SAID
In the presence of : Signature of Borrower
Witness : Designation :
Name :
Designation : for and on behalf of the Corporation
CPF No. :
Unit : Signature of the Officer
Designation :
23-23

OFFICE OF THE ……………………..
No... . .. . . . . . . . . . . . Dt...................
Sub: ADVANCE - Purchase of a Second hand Car to
Shri.
(C.P.F.No. ) Extension of time.
Ref :
***
Shri........................................................................................................is informed that the
extension of time sought for purchasing the Second hand Motor Car is granted for only one-month
upto . . . . . . . . . ..
2.He is requested to produce the documents on or before . . . . . . . . . . . . If he fails to purchase and
produce the documents, he should remit back the entire conveyance advance sanctioned in the
Procs. Cited, together with penal interest.
UNIT PERSONNEL HEAD/UNIT HEAD.

To
Shri. . . . . . . .
Through
NOTE;
Please see the letter received from Shri..........................................................................
on page- above.
2. The Executive was granted car advance of Rs. . . . . . ...... . . . .on. . . . . . . . . ..... . for purchase of a
Second hand car and drew the advance on . . . . . . . . . . . . . .. The Executive has now requested for
extension of time upto . .. . . . . . . . . . . . . . . .for purchase of the car.
3. According to rules the second hand car is to be purchased and the documents produced within
a month from the date of drawal of advance. One-month period will expire on . . . . . . . . . . . . . .. . .
Therefore we may grant extension of time for one-month upto . . . . . . . . ..
4. The draft U.O above may be approved.
UNIT PERSONNEL HEAD/UNIT HEAD

23-24
PROPOSAL FORM CHECK LIST FOR CAR ADVANCE

P&A DEPARTMENT/………………
No. Dated:
1. Name of the Applicant : CPF No……………
2. Designation :
3. Salary / Basic Pay :
4. Date of Joining in N.L.C. :
5. Date of Superannuation :
6. Amount of advance applied for : Rs.
7. Amount of advance eligible : Rs.
8. No. of installments :
9. Amount of each installments of recovery : Rs.
10. Whether to purchase a new car or old car :
11 If old car, whether letter from the seller is
produced : Yes / No
12. a. Car Registration No. :
b. FC is valid up to :
c. Insurance valid up to :
d. Tax paid up to :
e. Invoice price of the vehicle :
13 Whether Unit Head recommended for
sanction of advance : Yes / No
14 Has he / she drawn advance previously : Yes / No
15 Has he / she produced the prescribed
agreement : Yes / No
16. Budget provision for conveyance advance :
17. Amount of advance to be sanctioned :
18. Number of installments :
19. Whether the proposal may be approved : Yes / No
An advance of Rs……………...........……. (Rupees…………………………………..
…………………………………………………………… only) may be sanctioned to
Shri. ………………………………………………………… for the purchase of a car recoverable in
installments as in Row Sl.No18 above (The advance and interest will be recovered in full before
retirement).
Accounts center may see for concurrence.
No/........................................
23-25
CAR ADVANCE - INTEREST CALCULATION - CHECK LIST
I (a) Name of the Applicant :

(b) Date of Joining in N.L.C. :
(c) Total years of completed Services in N.L.C. :
(d) Balance service :
D. O . RETIREMENT:
D. O. APPLICATION : _________
TOTAL MONTHS : _________
(e) Price of the Car :
(f) 90% of Invoice price __________________ X90 /100 =
Restricted to Rs.___________________ as per rule.
II RECOVERY OF ADVANCE:
. . . . . . . . . . . . . . . . . . . . . installments . . . . . . . . . . . . . . . . . installments
Rs. . . . . . . . . . . . . . . . each per month and Rs. . . . . . . . . . . . . . . in the last installment.
RECOVERY OF INTEREST:
a. Upto Rs.2.5 Lakhs 9 % vide Procs.No.CORP/P&A/812/WR/2000-2 Dt.23.10.2000.
Recovery of interest:
--------------------- x ---------------- x -----------------
2 100 12.
=
= Rs.
= R. Off. Rs.
.....................installments .............................. installments of Rs ......................each p.m. and
Rs......................... in the last installment.

OFFICE OF THE …………………………
Procs.No. Dated: _______
Sub: Sanction of Advance for the purchase of Motor car/ Motor cycle / Scooter /
Moped to
Shri/ Ms. …………………………………….., CPF No. …………..……..
Ref :
Sanction is hereby accorded to the grant of conveyance advance of
Rs…………………… (Rupees………………………………………………………………..) as per rules
of the purchase of Motor Vehicle to Shri./ Smt. / Kumari.......................................
………………………………......................................…………………..….………,CPF.No.
Designation……………………………,Department / Unit …………………………………… for the
purchase of motor vehicle for his/her use.
23-26
2. The above advance will be recovered in ……………….…………… monthly installments of Rs.

………………… each and last installment of Rs.……………….
The recovery of the Advance will commence from the month in which the advance is drawn.
3. The advance shall bear interest at the rate prevalent at the time of drawal of advance as per
rules i.e. at…………… %. The recovery of interest @ Rs. …………….. per month shall
commence from the month following the month of recovery of the last installment of the principle
amount of Advance. Interest recoverable on the entire amount of advance granted will be at the
rates prescribed by the Management from time to time.
4. Before drawing the conveyance advance, the employee shall ensure for the delivery of vehicle
within one month from the date of drawal of advance. In the event of delay, within a month of
drawal of advance, he / she shall apply for extension for specific period with a letter from
dealer/supplier indicating the likely period of supply. Otherwise penal interest of 17-½% per
annum over and above the normal rate of interest for the advance will be charged for the
advance retention period.
5. The sanction is subject to the execution / production of the following documents to the
sanctioning authority within 30 days from the date of drawal of advance.
(a) Mortgage Bond
(b) Stamped Cash Receipt from the vendor for the amount paid for the vehicle.
(c) Registration Book in evidence of the actual transfer of the vehicle in the name of the
employee.
(d) Comprehensive Insurance policy for a value not less than the amount of advance
together with Hypothecation clause in favour of Neyveli Lignite Corporation Ltd.
6. The sanction of this advance is further subject to the following conditions:-
(a) The employee shall keep the vehicle in good running conditions and in case of loss
of/damage to the motor vehicle, the management should be kept informed.
(b) The employee will be responsible for keeping the vehicle purchased from the
conveyance advance granted by the company, comprehensively insured till the advance
together with due interest is fully recovered from him. The Insurance Policy first as well
as on each renewal will be submitted to Unit Personnel Head for verification and return.
(c) The employee should not sell, transfer otherwise part possession of the Vehicle without
the prior permission of Management until the advance has been repaid in full with
interest.
(d) In case the individual does not draw pay and allowance if he is on EL / EOL / HPL / Study
Leave, he shall make his own arrangements to remit the conveyance advance
sanctioned.
7. Non-compliance of the conditions mentioned above within the stipulated periods will
necessitate, recovery of the entire amount of advance together with penal interest as may be
prescribed by the Management and the employee is liable for disciplinary action besides
debarring from further drawal of conveyance advance.
8. In case the amount of advance sanctioned is not drawn by the employee within a period of 3
months from the date of sanction or close of financial year, whichever is earlier, the amount so
sanctioned would automatically lapse at the end of such period.
9. This has approval of the competent authority.
------------------------
UNIT HEAD
23-27
To
Shri / Ms. ………………………………………………………….……..
Through …………………………………………….……...........….…..
Copy to Accounts Centre/……….…………….........................……...
with a request to intimate the date of drawal of Advance.
Copy to Establishment Section - for making necessary entries in the Service Register
OFFICE OF THE …………………………..
NOTE:
Sub: CONVEYANCE ADVANCE Scrutiny of documents furnished.
Shri/Smt…………………………………………………………………… (CPF.No. ) now has

produced the following documents in connection with the car advance of Rs................. sanctioned to
him vide this Dept, Proc.No........................................Dt.............
1. R.C. Book (Car Regn. No.)
The vehicle has been registered/transferred in his name with effect from...................
Life/Annual Tax has been paid upto.........................................for Rs..............................

Dt. ............................. F.C. valid upto.............................
2 Stamped Cash receipt/Invoice for Rs ............................... Dt .......................... issued from the

seller of the vehicle vide Page...........C.F.
3 Comprehensive Insurance Policy No..............................Dt...................of M/s............... Valid

for the period from................ to................... for an assured amount of Rs.................. with
Hypothecation clause included and made for Comprehensive risk.
4 Mortgage Bond duly signed by the Executive vide page................ The transactions are within
the time allowed. After perusal, the documents above may be returned to Shri ..........................
UNIT HEAD
*****
24-1
24(A). RULES RELATING TO HOUSE BUILDING ADVANCE

24.(A).1. ELIGIBILITY:
The advance can be sanctioned to employees who have
(i) Completed five years of continuous service and
(ii) Yet to serve for more than three years counted from the date of sanction of
advance.
In case both husband and wife are employees of the Company, only one of them will be
eligible for the advance. Teachers in Company’s schools are not eligible for the advance.
“Continuous Service” includes service on casual basis followed without break by regular
service and also initial service of employees on foreign service terms in the company.
(iii) The applicant should not have availed any Housing loan from any other source, for
example, Central / State Housing Scheme.
(iv) The applicant or his wife / her husband / Minor children should not already own a
House / Flat in the Town or Urban Agglomeration where the House / Flat is
proposed to be constructed or acquired with the advance.
24.(A).1.1. Employees covered by the Payment of Wages Act will be sanctioned the
advance subject to the provisions of the Act.
In the case of re-employed Ex-servicemen, the past military service would be
counted only for reckoning the minimum period of five years to become
eligible for sanction of House Building Advance subject to the condition that
the applicant should not have availed HBA in his earlier period of service.
ELIGIBILITY OF PERSONS SPONSORED FROM OTHER PSE / GOVT. DEPTS.
It has been decided that in respect of the employees who have joined the Corporation on deputation
and absorbed permanently in NLC, the services rendered by such employees in the PSE / Govt.
Depts. in which they were in service prior to their absorption in the Corporation, will also be counted
for the eligibility for the grant of House Building Advance provided they have come on deputation
initially and been absorbed later with the concurrence of both the undertakings. It has also been
decided that the same concession may also be extended to those who have been selected on their
applications sent from other Public sector Undertakings, but who have joined in the corporation on
relinquishing their posts at the previous Government Company. The past services in parent
department would be counted only for the purpose of reckoning the minimum period of five years to
become eligible for sanction of house building Advance and will not be counted for any other benefit
or purpose in NLC.
24.(A).1.2. The implementation of the above decisions will also be subject to the
conditions that
(i) the employee has not drawn House Building advance during the period
of his service in the parent department / previous Government
Company and
(ii) the total past services rendered by them in the parent department /
previous Public sector Employer will be taken into account for
purposes of the counting the total service for deciding eligibility. (i.e.
minimum of five years of continuous service) for grant of House
Building Advance under the Rules applicable to employees of the
Corporation.
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24.(A).2. PURPOSES FOR WHICH HBA MAY BE SANCTIONED:

24.(A).2.1. Construction of a new house / flat
Advance for the purchase of land alone is not admissible
24.(A).2.2. Purchase of a ready built house / flat from State Housing Boards, Registered
Co-operative Societies or other Government or Semi-Government
Organizations subject to satisfaction of the following conditions:
(a) The house is a newly built one.
(b) The house has not been lived-in since its construction.
(c) It is to be acquired on outright purchase basis and not on hire
purchase basis.
(d) The employee gets from the allotting agency the right to
mortgage the house / flat to the company.
24.(A).2.3. Purchase of a ready built house / flat from private parties, subject to the
satisfaction of the following conditions:
(a) The house / flat is a ready built one.
(b) The house / flat has not been lived-in since its construction.
(c) It is to be purchased on outright purchase basis and not on hire
purchase basis.
(d) The applicant will have to get the house / flat valued by a
registered Valuer. The Valuation fee will have to be paid by the
applicant himself.
24.(A).2.4. Enlarging living accommodation in an existing house owned / jointly owned
by the employee with his/her wife/husband.
24.(A).2.5. Repayment of a loan or an advance together with interest thereon taken for
acquisition of a house from a Government source (such as Central or State
Housing Schemes, Co-operative Housing Societies, City Improvement trust,
Similar Government / Quasi Government Bodies) or even from a non-
government source, even if the construction of the house has already
commenced.
24.(A).2.6. Advances are not admissible for the purchase of old houses / flats and house
/ flats with tiled asbestos roofing either in full or part. Houses / flats should
have RCC roofing only.
24.(A).3. AMOUNT OF ADVANCE:
24.(A).3.1. FOR PURCHASE / CONSTRUCTION:
75 times of monthly pay or Rs. 4 Lakhs or estimated cost of house / flat or the
amount eligible with reference to repaying capacity, whichever is less.
24.(A).3.2. FOR ENLARGEMENT OF HOUSE / FLAT:
75 times of monthly pay or Rs. 1 Lakh or actual cost of enlargement or the
amount eligible with reference to the repaying capacity, whichever is less.
24(A).3.3. Pay means Basic Pay, Personal Pay, Special Pay, Non-Practicing allowance
and Fixed DA.
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24(A).3.4. In cases where an employee has made a final withdrawal from PF in

connection with construction / acquisition / enlargement of house / flat in
addition to availing of advance under the HBA Rules, the total amount of
advance sanctioned by the company and that withdrawn from PF should not
exceed the ceiling limit.
24(A).3.5. Subject to the ceilings above, the company will have the discretion to fix the
amount of advance taking into account the repaying capacity of the applicant,
the amount which the applicant can repay partly from his gratuity and partly
by convenient monthly deductions from his pay during the balance period of
service until retirement, the limits laid down and the possibility of recovery
under the Payment of Wages (Amendment) Act, 1964, plans and detailed
specifications and estimates of the building etc. The amount of advance
once decided is final.
24(A).3.6. Not more than one advance shall be sanctioned during the entire service of
an employee.
24(A).4. OTHER CONDITIONS:
24(A).4.1. The title deeds of the land should be clear without any encumbrances. If the
site is located in a lay out, the Directorate of Town and Country Planning
should have approved the lay out. The Local Body should have approved the
Building Plan.
24(A).4.2. The employee should arrange for the necessary insurance against fire /
flood, lightning etc. and keep the house / flat insured till the advance together
with interest thereon is fully repaid.
24(A).4.3. The construction of house / flat shall be as per approved plans and
specifications.
24(A).4.4. The house / flat must be maintained in good repair by the employee
concerned at his own cost. The employee shall keep it free from all
encumbrances and shall continue to pay all the Municipal and other local
rates and taxes regularly.
24(A).4.5. The advance sanctioned if not utilised for the purpose within a reasonable
time (to be specified while sanctioning the advance) the employee will have
to refund the amount of advance and the interest thereon in one lump sum.
Violation of any of the conditions of the advance will entail disciplinary action
by the company besides any legal action including Disciplinary action as may
be initiated.
24(A).4.6. Title deeds for the land / house / flat will have to be deposited with the
company.
24(A).4.7. HBA under this scheme will NOT be admissible for the 69 villages listed those
lie in the lignite bed.
24(A).5. MODE OF DISBURSEMENT:
24(A).5.1. The advance will be paid in one lump sum for purchase of ready built house /
flat after executing the prescribed agreement and the surety bonds.
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TYPES OF FOR PLOT INSTALMENTS FOR CONSTRUCTION AFTER ALLOTTING A

CASES PURCHASE PORTION, IF ANY, FOR PURCHASE OF PLOT.
Ist 2nd 3rd 4th
1 2 3 4 5 6
1. SINGLE STOREYED HOUSE:
(a) Purchase of 20% or actual 30% on 40% when the 30% when the
developed plot Cost. Sale Deed mortgaging the construction house reaches
of land and to be produced for land together with reaches plinth roof level
construction inspection within house to be built level
2 months of thereon to the
drawal of advance NLC
(b) Only for 40% after 40% when 20% when
constructing mortgaging the house reaches house reaches
new house or land together with plinth level roof level
enlarging living house to be built
accommodation thereon to the
NLC
2. DOUBLE STOREYED HOUSE

(a) Purchase of 15% or actual 25% on mortgaging 30% when the 25% when the 20% when
developed plot Cost. Sale Deed the land together construction roof of the the roof of the
of land and to be produced with house to be reaches plinth ground floor first floor has
construction for inspection built thereon to level has been been laid
within 2 months the NLC laid
of drawal of
advance
(b) Only for 25% on 30% when the 25% when the 20% when
constructing new mortgaging the construction roof of the the roof of
house or enlarging land together with reaches plinth ground floor the first floor
living accommo- house to be level has been laid has been
dation in an built thereon laid
existing house to the NLC
3. FOR PURCHASE / CONSTRUCTION OF A NEW FLAT:

In one Lump sum or in suitable installments at the discretion of company after the applicant
executes the Agreement and the Surety Bonds.
NOTE: The entire amount or the first and further installments are to be paid only after the
execution of prescribed agreement after fulfillment of conditions regarding mortgage,
agreement, surety bond, production of sale deeds and stage of the construction.
AUTHORISING PAYMENT AT DIFFERENT STAGES OF CONSTRUCTION OF HOUSE /
FLAT – PRODUCTION OF CERTIFICATE FROM REGISTERED VALUER:
24-5
24(A).5.1 The payment of second and subsequent installments of HBA for construction of
House/ Flat is being authorised on production of certificate from a Registered
Valuer under Wealth / Income Tax etc., for the construction having reached the
particular stage. On completion of the construction the valuation report obtained
from a firm of Civil Engineers or Civil Engineers of repute is accepted.
24(A).5.2 The grant of advance will be made only when the employee prefers his application
in the prescribed form and also furnishes an agreement and surety in the
prescribed form. In addition, the employee shall also execute a mortgage deed in
the prescribed form. The applicant should also furnish a collateral security to the
company when the land on which the house / flat stands is not mortgaged to the
company. The stamp duty and registration charges in connection with execution of
agreement, deed, surety etc. are to be borne by the borrower.
24(A).5.3 TIME LIMITS FOR UTILISATION OF ADVANCE:
(i) In the case of purchase of plots, the land must be purchased and the sale deed
produced within 2 months. Failing this, the advance should be refunded in lump
sum.
(ii) In the case of purchase of house / flat acquisition and mortgage to company should
be completed within 3 months unless extension of time limit is applied for in
advance and granted.
(iii) In the case of purchase / construction of new flat, the applicant should utilise the
amount or the installment within one month unless extension of time is applied for in
advance and granted.
(iv) In the case of construction of a new house or enlarging living accommodation in an
existing house / flat, the construction should be completed within 18 months from
the date of drawal of first installment of advance unless extension of time limit is
applied for in advance and is granted.
24(A).6. REPAYMENT OF ADVANCES:
24(A).6.1. The advance together with interest thereon shall be repaid in full by monthly
installments within a period not exceeding 20 years. Firstly,the principal will
be recovered in 180 monthly installments and then interest will be recovered
in 60 monthly installments. In the case of an employee who is due to retire
within 20 years the recovery will be scheduled such that the recovery of
principal and interest is completed before his superannuation.
24(A).6.2. The employee may elect to repay the amount in a shorter period.
24(A).6.3. COMMENCEMENT OF RECOVERY:
Recovery of advance shall be effected through monthly pay / leave salary /
subsistence allowance bills as the case may be.
In the case of construction of a new house or enlargement of existing house,
recovery will commence from the pay of the month following the completion
of the house or from the pay of the 15th month after the date on which the first
instalment was paid, whichever is earlier. The employee may opt for
commencement of the recovery earlier.
24(A).6.4. In the case of purchase of a ready – built house / flat, recovery is to start from
the pay of the month following that in which the advance is taken.
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24(A).6.5. Failure on the part of the employee or his/her successors as the case may be
to repay the advance for any reason whatsoever, will entitle the company to
enforce the mortgage and take such other action to effect recovery of the
outstanding amount by sale of the house or in such other manner as may be
permissible under the law.
24(A).7. INTEREST ON THE ADVANCE:
24(A).7.1. The advance will carry simple interest from the date of payment of the lump
sum / first instalment.
24(A).7.2. The amount of interest is calculated on the balance outstanding on the last
day of each month.
24(A).7.3. RATES OF INTEREST:
The revised interest rates chargeable for HBA from 4/2001 are as follows:
(i) Upto Rs. 2 Lakhs - 7%
(ii) Upto Rs. 4 Lakhs - 9%
24(A).7.4.
(i) The benefit of allowing ½ % rebate in interest rate would be extended
to all Executives/ Employees who have undergone Family Planning
Operation after 01-09-1979.
(ii) The benefit would be effected from the date of drawal of first installment
of advance (in the cases of construction of house/flat) or drawal of
advance in one lump sum in cases of outright purchase of house / flat,
as the case may be or from the date of sterilization whichever is later,
subject to other conditions stipulated in this regard.
The rebate of ½ % in interest is not to be allowed.
(i) in those cases of construction of house / flat where the Government
Servant or their spouses have undergone the sterilization operation
after drawal of the final installment of House Building Advance and
(ii) in cases of outright purchase of house / flat where the beneficiaries or
their spouses have undergone sterilization after drawal of advance in
one lump sum, as the case may be.
(iii) In case of any violation of any of the conditions stipulated in the order of
sanction, subject to the discretion of the sanctioning authority, a penal
interest not exceeding 2.5% shall be levied.
24(A).8. OTHER MATTERS:
24(A).8.1. Any matter relating to other conditions / provisions, interpretations in regard
to the housing advance covered by this scheme will be governed by the
Government of India House Building Advance Rules.
24(A).8.2. Stamp duty, if any, chargeable on documents, registration fees and other
expenses to be incurred for the completion of legal and other formalities
have to be borne by the employee out of his own resources. The Mortgage
deed, Supplementary Mortgage deed and other deeds are required to be
registered under the registration Act while no such registration is necessary
for agreements.
24-7
24(A).8.3. The civil Courts having original ordinary civil jurisdiction over Neyveli shall
alone have exclusive jurisdiction in regard to all claims in respect of this
advance of whatsoever nature.
24(A).8.4. The stamp duty for execution of agreement, sureties and affidavit for sanction
of House Building Advance will be as under:
(i) Agreement: - (Non-Judicial Stamp Paper to the value of Rs. 20/-).
(ii) Surety Bond: - (One or two as the case may be to the value of Rs. 80/-
each on Non-Judicial Stamp Paper).
(iii) An affidavit sworn before a Notary Public. (Non-Judicial Stamp Paper
to the value of Rs. 20/-).
RENEWAL OF INSURANCE POLICIES IN RESPECT OF HOUSES / FLATS:
The House/Flat constructed/purchased out of advance should be insured against the fire and
lightning and the Policies are to be submitted to the section in case if there is any delay in
insuring the flat/house, penal interest to the extent of 2 1/2% over and above the normal rate of
interest will be levied on the entire House Building Advance drawn by them.
MORTGAGE OF PROPERTY AS SECURITY FOR ADVANCE AND DEPOSITING OF TITLE
DEEDS:
The applicant has to execute equitable mortgage and deposit of Title Deeds against the
advance sanctioned to him and he has to produce the following documents:-
1. Agreement (N.J.S. to value of Rs. 20/-)
2. One Surety Bond (to the value of Rs. 80/- on Non-Judicial Stamp Paper).
3. An Affidavit to the value of Rs. 20/- sworn before the Notary Public about the description of
title of property.
4. Memorandum evidencing depositing of Title Deeds.
5. Declaration about the drawl of loan from other societies, PF Trust etc., No Financial
Hardship and Encumbrance
6. Sale Deed and Parent Documents
2. A Register of equitable mortgage containing the following particulars will be maintained by the
P&A Department for the purpose of the above scheme. Execution of equitable mortgage and
depositing of title deeds and other documents and acceptance of the same will take place in the
office of the Regional Manager/ Madras, No. 135, Periyar EVR High Road, Kilpauk, Madras –
600010 once in a month in batches. The Deputy General Manager / P&A, who is the
sanctioning authority for House Building Advance will accept the equitable mortgage deed, by
receiving them along with other documents. Registration of equitable mortgage is not
compulsory.
1. After completion of all formalities of depositing of title deeds and execution of equitable
mortgage, the details of the same will be published in selected dailies of Regional
languages. This publication will be done in batches and the expenses in connection with
the publication of matter in dailies will have to be borne by the respective beneficiaries in
equal share.
2. In the event of payment of all dues by the borrower due to retirement, death, Resignation
etc., the documents will be returned to the borrower or his / her legal heirs, with simple
cancellation entry thereon and similar cancellation (cross line) entry will also be made in
the register of equitable mortgage.
24-8
3. With the introduction of the scheme of Equitable Mortgage and depositing of Title deeds,
the procedure hitherto adopted for execution of Mortgage deed on stamp paper of proper
value (duly registered in the office of the Sub-Registrar having jurisdiction over the place
in which the property is located) and execution of Agreement and Reconveyance deed as
per the old scheme is treated as withdrawn. The existing conditions governing the
execution of sureties will however continue.
GENERAL:
1. No TA/DA and/or other expenses in connection with the execution of equitable Mortgage
Deed and depositing of title deeds at the office of the Regional Manager, Madras will be
allowed to the borrower – employee.
2. The Corporation reserves the rights to cancel, postpone, change or modify the date of
execution of equitable mortgage and depositing of title deeds due to administrative and
other reasons.
3. No substitute or nominee will be allowed for execution of equitable mortgage and
depositing of title deeds on behalf of the borrower. The borrower himself should be
present on availing leave for execution of equitable mortgage. His/her absence will be
treated as leave only and not as “on duty.”
4. The borrower(s) should bring their photo identity card at the time of execution of equitable
mortgage and depositing of Title deeds to verify the bonafides.
5. The documents such as sale Deed etc. deposited with the company against HBA are
secured and they cannot be released from safe custody or Xerox copy made here as and
when required. They can be released only on repayment of loan together with interest
due in full by the beneficiaries subject to observing certain legal formalities.
RECONVEYANCE:
The property mortgaged to the company in the earlier procedure, will be reconvened to the
employee concerned or to his successors after the advance together with interest has been
repaid to the company in full. The registration expenses should be borne by the employee.
After the deed has been executed, and registered, the mortgage deed, the sale deed and such
of the documents deposited by the loaner shall be returned to him and a receipt for the
documents kept on record along with a copy of the reconveyance deed.
MORTGAGE OF PROPERTY IN RESPECT OF HOUSE/FLAT PURCHASED FROM TNHB/
SOCIETIES
In case, the loan is sanctioned for purchase of a House/Flat from Housing Board / Society, the
applicant has to execute the following documents.
i. Agreement (in NJS paper of Rs.20/-)
ii. Two surety Bonds (in NJS of Rs.80/-)
As and when the Housing Board or Society issues the Sale Deed to the borrower, he has to execute
equitable mortgage against the advance sanctioned and paid to him.
REQUIREMENTS FOR SURETY
(i) The Surety shall be a co-employee and should have put in more than 5 years of service
(ii) The surety should be in service in NLC up to the month of last recovery of principal and
interest of the borrower.
24-9
(iii) The surety should not have stood surety to anyone else for drawal of House Building
Advance.
(iv) The surety should not be a member of the same joint family of the borrower.
(v) If the surety happens to be relieved from NLC on any grounds such as resignation, CR
etc. the borrower should immediately produce another surety bond from another
employee of NLC fulfilling the above conditions.
DEFAULTS
1 In order to deter misuse of advance, it has been decided to charge penal interest at the
rate of 17 ½% (Seventeen and a half percent) over and above the normal rate of interest
stipulated in the sanction orders from the date of drawal of advance till its repayment in
full, and to add a similar clause in the agreement and mortgage deed in this regard.
2 The levy of penal interest mentioned in above will be imposed in the following cases of
defaults/violation of conditions of advance:
(i) Not constructing/purchasing the House/Flat after receipt of advance, within the
stipulated period.
(ii) Production of false certificates certifying the construction of the house at a level.
(iii) Not constructing the House/Flat but remitting back the advance to the Corporation
after a lapse of some months.
(iv) Not constructing the House/Flat with reference to estimate, approved plan, data
and standard specifications but carrying out construction with mud mortar,
substandard materials, providing asbestos roofing detailed roofing (either fully or
partially) reduction in plinth area or increase in plinth area without revised approved
plan and not following Municipal/Panchayat rules in getting approval, etc.
(v) Stopping construction of the House/Flat at a particular stage without any further
progress and not completing the same within the time limit specified even after
allowing extension of time as required under rules.
The levy of 17½% p.a. will be in addition to the departmental action on the Individual for violation of
condition of advance as per rules and as per the terms and conditions of agreement and mortgage
deed executed by borrower. The nature of defaults mentioned in 2 (ii), (iii), (iv) and (v) above will not
arise in case of outright purchases of ready built new House/Flat from the TNHB or from any private
source as one lump sum payment is made in these cases only after inspection of Flat/House by Civil
Engineering Department.
INSTRUCTIONS TO BE DEALT WITH THE CASE OF DEFAULT:
It is seen that few employees who draw advances for purchase of plot, House Building, conveyance,
etc., are not using the advances drawn for the purpose it was drawn or only a part of the advance
drawn is being actually used and the balance amount is not being remitted back within the stipulated
time. Such act/omission would constitute a major misconduct and is punishable as per the rules
applicable to NLC. Therefore, the following actions may be taken in those cases where employees
are found misusing corporation funds.
1. The employees should immediately be placed under suspension pending enquiry.
2. Charge memo should be issued and severe punishment is to be imposed.
3. The employees may be instructed to remit in one lumpsum the entire amount due to NLC
along with a penal interest of 17.5% in addition to the normal interest payable by him.
24-10
4. In case the employees fail to comply with the orders, the amount may be recovered from
the wages of the employees or by selling/disposing the property pledged with the
Management if any, at the discretion of the Management.
5. The employees may be debarred from drawing any advance in future including advances
like festival advance etc.
Documents to be submitted along with the application (Construction of House / Flat, Enlargement of
House)
1. Lay out plan approved by concerned authority of the Government.
2. Building plan approved by the Local Body.
3. Government pleader certificate in Form No.4
4. Encumbrance certificate for 30 years prior to sanction of HBA.
5. Copy of Sale deed (both sides).
6. Copy of Parent document (including power of attorney)
7. Building permit issued by the Local Body.
8. PF certificate from NLC PF Trust.
9. Self-declaration on the immovable properties (Self, Wife and Children).
10. Estimate (detailed estimate, abstract estimate, data sheet, structural soundness
certificate) from Civil Engineer
11. Latest Pay Slip copy.
12. Membership certificate issued by Thrift / Nirmala Society.
13. Self-declaration of owing other properties.
14. Copy of construction Agreement (in case of construction of flat) between the employee
and builder.
In case of outright purchase:
15. Agreement entered with the seller
16. “New and unlived Certificate” from the Local Body concerned
17. Registered valuer Certificate for the valuation of House
24(B). NLC HOUSE BUILDING ADVANCE
(Interest Subsidy) Rules
24(B).1.0. Scope:
24(B).1.1 This scheme envisages the grant of interest subsidy to eligible
employees of the Corporation for the loans taken from approved
agencies as per details given in para-4 below.
24(B).1.2 These rules shall be called the "NLC House Building Advance
(Interest Subsidy) Rules".
24(B).1.3 No employee can avail of the Interest Subsidy and also have an
advance sanctioned under house building advance scheme.
Employees are eligible to avail either of the schemes only.
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24(B).2.0 Date of commencement:

24(B).2.1 These rules 'NLC HBA (Interest Subsidy) Rules’, will come into
effect from 01-04-'88. The cases of employees who were
sanctioned loan by the approved agencies on or after 01-04-'88
only will be eligible for Interest Subsidy. Cases prior to 01-04-'88
will not be eligible for this concession.
24(B).3.0 Eligibility:
24(B).3.1. All employees of the "Corporation" including principal executives
and Directors of the Corporation are eligible for availing this
scheme.
24(B).3.2. The benefit of interest subsidy will be admissible to only those
who have put in 5 years of continuous service in the Corporation.
24(B).3.3. In case both husband and wife are employees of the Corporation
only one of them will be eligible to avail the interest subsidy,
provided the other spouse has not availed any house-building
advance from the Corporation.
NOTE:-
(i) Continuous service includes service on casual basis followed without break by
regular service and also initial service of employees on Foreign Service terms in the
Corporation.
(ii) In the case of re-employed ex-servicemen, the past military service would be
counted only for reckoning the minimum period of 5 years to become eligible for
sanction of interest subsidy.
(iii) In the case of employees who have been selected for appointment in the
Corporation on their application sent from other public sector undertakings, but
who have joined in the Corporation on relinquishing their posts in previous
Government services, their past government services would be counted only for
reckoning the minimum period of 5 years to become eligible for sanction of interest
subsidy.
24(B).3.4. The interest subsidy assistance shall not be sanctioned under
the rules, to an employee more than once during his/her entire
service in NLC nor it would be admissible to those who have
availed HBA from the Corporation.
24(B).3.5. The applicant or his wife/her husband/minor children should not
already own a house/flat in the town or urban agglomeration
where the house/flat is proposed to be constructed or proposed
to be acquired under the interest subsidy scheme.
24(B).4.0. Approved agencies:
Interest subsidy will be granted in respect of loans taken from any of the
following agencies for the purpose of constructing/enlarging/ purchasing
residential accommodation:
1. Housing Development Finance Corporation Ltd.
2. Housing & Urban Development Corporation Ltd.
24-12
3. LIC Housing Finance Ltd.

4. GIC Housing Finance Ltd.,
5. Scheduled Commercial Banks and their subsidiary Housing Finance
Corporations,
6. Scheduled State Co-operative Banks
7. Scheduled state Urban Co-Operative Banks
8. State Apex Co-Operative Housing Finance Societies,
9. State Co-Operative Agriculture & Rural Development Banks
10. ICICI Homes Finance Company Ltd.,
11. Sundaram Home Finance Ltd.
24(B).4.1. Other agencies engaged in advancing loans for housing, which
may be approved by Management for this purpose.
24(B).5.0. Conditions regarding the grant of Interest Subsidy
24(B).5.1. Purpose of loan:
Loan taken from the approved agencies for any of the following
purposes only will be eligible for interest subsidy:-
24(B).5.1.1. Construction of a new house/flat
24(B).5.1.2. Purchase of a ready built house/flat from Housing
Boards, Development Authorities, Registered Co-
operative societies, or other government/semi
government organizations, subject to the following
conditions:-
(a) The House/Flat is a newly built one.
(b) The House/Flat has not been lived in since its
construction.
(c) It is to be acquired on outright purchase basis and
not on hire purchase basis.
24(B).5.1.3. Purchase of a ready built house/flat from private parties,
subject to the satisfaction of the following conditions:
(a) The House/Flat is a ready built one.
(b) The House/Flat has not been lived in since its
construction.
(c) It is to be purchased on outright purchase basis and
not on hire purchase basis.
24(B).5.1.4 Enlarging living accommodation in an existing house
owned/jointly owned by the employee with his / her wife /
husband.
24(B).5.1.5 Interest subsidy is not admissible for the purchase of old
house/flats, and house/flats with tiled / asbestos roofing
either in full or part. House / Flats should have RCC
roofing only.
24-13
24(B).5.2 Other conditions:

24(B).5.2.1 NLC will not undertake any role or responsibility towards
getting the loan sanctioned from any of the approved
agencies. The operation of these rules is effective only
when a loan has already been sanctioned to the
employee.
24(B).5.2.2 The Corporation will grant subsidy to the employees to
meet the difference between Corporation's rate of interest
and the interest rates actually paid by them to the
approved agencies from time to time in accordance with
Rule-7 below subject to the following conditions: -
(a) The interest subsidy will be paid only after actual
verification of the receipts for payments made to the
approved financial agencies by the employee. The
interest subsidy payments will be made monthly.
(b) Interest levied by the Financial Agencies/ Institutions
for defaults in payments will not be subsidized by
NLC.
24(B).5.2.3 Interest subsidy is payable to employees only for the
period he/she is in service of the Corporation and not
beyond the date he/she ceases to be an employee of the
Corporation or up to the scheduled date of the last
repayment of loan, whichever is earlier.
24(B).5.2.4 In as much as the interest subsidy paid/payable by NLC is
by way of reimbursement of money paid by the employer
towards his personal obligation, the same has to be
treated as perquisite and specifically included in the
definition of ‘salary’ under section 17(1) of the Act and tax
deducted at source.
24(B).6. Amount of loan qualifying for interest subsidy
The Interest subsidy will be granted for the least of the following.
24(B).6.1. Purchase/Construction of House/Flat:
100% cost of house/flat including land, and cost of flat/house tenement
or 75 times the Employee's monthly pay or Rs.10 lakhs for Executives
and Rs.6.5 lakhs for Employees or the amount arrived at with
reference to repaying capacity of the employee whichever is less.
24(B).6.2. Enlargement/Extension of existing house:
75 times of monthly pay subject to a maximum of Rs.1,00,000/- or
actual cost of Enlargement/Extension or the amount eligible with
reference to repaying capacity, whichever is less.
Pay means basic pay, personal pay, special pay, fixed DA and Interim
relief. VDA and other allowances are not admissible for inclusion.
24-14
24(B).7. Rate of interest:-

24(B).7.1 The interest subsidy will be allowed on the amount limited to the loan as
admissible to an employee under the HBA Scheme of the Corporation
or the amount actually financed by the Authorised Agencies, for
housing purpose, whichever is less.
24(B).7.2 The interest subsidy will be limited to the difference between the
Corporation's rate of interest on HBA charged from time to time and the
rate of interest charged by the agency like LIC, Can Fin Homes, HDFC,
etc.
24(B).7.3 The rates of interest on HBA adopted by Corporation will be based on
the Government of India rates on HBA and subject to revision from time
to time. The rate of interest for the amount from 4 lakhs to 10 lakhs will
also be considered as 10% p.a. for calculating the payment of interest
subsidy.
24(B).7.4 Rebate of ½ % will be allowed for the applicants those who have
undergone family planning operation.
24(B).7.5 The interest subsidy will be paid for the pre-EMI period also.
24(B).8. ISSUE OF EMPLOYERS’ CERTIFICATE FOR OBTAINING LOAN FOR
HOUSING PURPOSES FROM LENDING AGENCIES:
24(B).8.1. The corporation will not issue any Certificate in the format as
prescribed by the lending agency. Employees of the Corporation who
intend availing loan from lending agency for housing purposes may be
advised to produce a copy of the computerized pay slip to the Lending
Organizations which would serve as a better proof in giving all
information such as gross earnings, deductions, take home pay etc.
24(B).8.2. As regards furnishing of information of date of birth, age, etc., the
lending organisation may verify the Education Certificate of the
concerned employee for the purpose. If, however, lending agency still
insists a Certificate, in this regard, the respective unit, with reference to
the entries made in the SB/CS Cards, may furnish the same.
24(B).9. CHECK LIST OF DOCUMENTS TO BE SUBMITTED ALONG WITH THE
APPLICATION FOR GRANT OF INTEREST SUBSIDY
24(B).9.1. Application Form.
24(B).9.2. A copy of the Layout Plan (Site Plan)
24(B).9.3. A copy of the approved Building plan of the house/flat constructed /
purchased / enlarged.
24(B).9.4. A copy of the Registered Sale Deed (Title deed) to the property or
any other document showing his/her title to the property.
24(B).9.5. A copy of the sanction order issued by the Lending Agency (or) Loan
Agreement entered into with lending agency with the borrower for
payment of loan (Brochure or pamphlet issued by the lending
agency to be enclosed).
24(B).9.6. A copy of the Building permit issued by the concerned local body.
24-15
24(B).9.7. Copy of House Tax Receipt for payment of House Tax issued by the
Local Body, if paid.
24(B).9.8. A certificate from the concerned authority of the local body that the
house is new and unlived one.
24(B).9.9. Copies of the Receipts issued by the lending agency for payment
made for EMI/Pre-EMI periods.
24(B).9.10. The pay slip pertaining to the month in which the payment of Regular
EMI to the lending agency commenced.
24(B).9.11. Family Planning Surgery Certificate as contemplated in this dept. Proc.
No. P&A/3/83, dated 06-01-1983, if undergone Family Planning
Surgery by Self / Spouse.
24(B).9.12. Declaration of other properties owned by Self / Wife / Minor Children.
24(B).9.13. Declaration from the Spouse that he/she has not availed loan facilities
from any lending agency / or availed the scheme of House Building
Advance of the Corporation.
24(B).9.14. PF certificate.
24(C). GROUP INSURANCE:

24(C).1. Scopes and Eligibility:
24(C).1.1. The NLC Employees (Housing/Conveyance Advances) Group
Insurance Scheme Provides an insurance coverage on the
outstanding House Building Advance/ Conveyance Advances for
purchasing a car drawn by the employees in the event of death
while he is in service.
24(C).1.2. The scheme will be applicable for all the employees who avail
House Building Advance/ Conveyance Advance for purchasing a
car and for whom there is an outstanding recoverable amount
either in full or in part towards the advance.
24(C).1.3. The scheme will be applicable for the employees who had
availed Housing Loan from outside approved agencies and
availing interest Subsidy from NLC, if the employee submits his
willingness to enroll his membership in the scheme.
24(C).1.4. The Insurance Scheme is effective from 01.06.2002 and
renewable on every year.
24(C).2. Amount Insured:
24(C).2.1. The sum assured in case of House Building Advance, will be
equal to the outstanding advance and interest on the effective
date of the scheme. The sum assured shall be increased from
time to time consequent upon increase in the outstanding
amount rising from further disbursement of loan and /or increase
in the rate of interest chargeable on the House Building
Advances.
24-16
24(C).2.2. The sum assured in case of Conveyance Advance drawn for

purchasing a car, will be equal to the outstanding amount and
interest on the effective date of the scheme. The sum assured
shall be increased from time to time consequent upon increase
in the outstanding amount rising from further disbursement of
loan and/or increase in the rate of interest charges on the
Conveyance Advances.
24(C).2.3. The sum assured shall be revised on every Annual Renewal date
deducting the aggregate of sums repaid or deemed to have been
repaid during the relevant year in accordance with the condition
of sanction of Advance and will not however include the defaults
in repayment of principal and/or interest.
24(C).2.4. In case of employees who have availed Housing loans from
outside agencies, the employee should submit a statement
mentioning the outstanding loan on the effective date from the
lending agency.
24(C).2.5. The assurances shall be held by the Corporation for the benefit of
the employees and to be utilized for the sole purpose of
liquidating their outstanding amount in the event of death.
24(C).2.6. Master Policy in respect of all the members of the scheme
governing the assurance will be kept with the Corporation.
24(C).3. Premium:
24(C).3.1. Premium amount will be calculated on the outstanding amount of
advance of the effective date/annual renewal date. The annual
premium payable by the employee will be paid in advance by the
Corporation to the Insurance agency. The amount of premium
paid on behalf of the employee will be deducted from the salary
of the concerned employee in equal monthly installments
covering the year along with interest chargeable on the amount
of premium paid in advance at 8 % p.a.
24(C).3.2. In case the employees is on EOL or whatsoever the reason, the
recovery towards the premium amount could not be made from
his salary, the employee shall remit the premium amount
immediately. If the member does not pay the premium, his
membership shall be terminated from the scheme.
24(C).3.3. The premium quoted would change every year according to the
loan outstanding at the time of renewal of scheme and with
reference to the age of the member.
24(C).3.4. In case of fresh entrants, the premium amount shall be
calculated from the date of drawal of advance and shall be
payable by the employee. The premium amount will be
proportionate to the annual premium to which the employee
becomes member of the scheme
24(C).3.5. In case of an employee who leaves in the middle of the year due
to his superannuation, the premium will be proportionate to his
remaining months of service.
24-17
24(C).4. Benefits:
24(C).4.1. Upon the death of a member of the scheme, whilst being covered
under the scheme, the sum assured under the Assurance then in
force shall become payable and shall be utilized for the purpose
of liquidating the outstanding loan of the member.
24(C).4.2. If the sum assured under the assurance exceeds the outstanding
loan, the excess sum assured shall be paid to the Nominee of the
member.
24(C).5. Terms and Conditions of Policy:
24(C).5.1. All the terms and conditions agreed to in the master proposal and
given in the schedule form signed with Assurance Company will
be applicable for all the members of the scheme.
24(C).6. Termination:
24(C).6.1. The employee shall become terminated from the scheme on the
following events and no benefits will become payable
hereunder:
i. The expiration of the period of the repayment of advances
i.e. if the employee repays the advance together with
interest in full as per the conditions of sanction
ii. If the outstanding loan is repaid any time prior to the
expiration of the period of repayment of advances
iii. If the employee attains the age of superannuation
iv. The member ceases to be an employee of the
Corporation
24(C).7. Other Conditions:
24(C).7.1. The benefits under the scheme are strictly personal and cannot
be assigned or charged or alienated in any way.
24(C).7.2. For and on behalf of the Members of the scheme, the
Corporation will act with Assurance Company in all matters
relating to the scheme.
24(C).7.3. The nominee appointed by the member for gratuity payment will
be the nominee for the Group Insurance Scheme also. In case,
the employee appoints no such nominee, his legal heir(s) will be
considered as nominee.
24(C).7.4. The Corporation reserves the right to withdraw/amend the
scheme and changes the Insurance Company at anytime
without any notice in this regard.
24(C).7.5. The conditions or Assurance Company and the Agreement
entered into with the Insurance Company by the Corporation
shall bind all the members of the scheme.
24-18
A.HBA - References
1) Proc.No.E&G/81/W.Agt./78, dt:04-05-1979
2) Memo.No.E&G/3/9113/CI-2/79-12, dt:28-08-1979
3) Memo.No.E&G/9113/CI-2/79-76, dt:19-11-80
4) Memo.No.P&A/218/11802/CI-2/81-5, dt:08-12-81
5) Proc.No.3/P&A/83, dt:06-01-1983
6) Proc.No.63/P&A/83, dt:30-03-1983
7) Endt.No.P&A/15104/HBA/82-14, dt:07-05-1983
8) Proc.No.142/P&A/83, dt:13-06-83
9) Proc.No.162/P&A/83, dt:28-07-83
10) Proc.No.85/P&A/84, dt:17-04-1984
11) Proc.No.P&A/37/HBA/85, dt:15-03-1985
12) Memo.No.P&A/19100/HBA/82-7, dt:18-03-1985
13) U.O.No.P&A/18984/HBA/82-13, dt:25-04-1985
14) O.O.No.19/F&AB/IA(Co-ordn.)/Cash/85, dt:17-06-1985
15) Memo.No.P&A/012729/HBA/85-1, dt:13-08-1985
16) Proc.No.P&A/19100/HBA/82-4, dt:29-10-1985
17) Proc.No.P&A/19100/HBA/82-8, dt:21-04-1986
18) Proc.No.7847/HBA-2/83-10, dt:03-04-1987
19) No.P&A/16956/HBA-2/84-12, dt:14-07-1987
20) Proc.No.P&A/19100/HBA/82-9, dt:15-07-1987
21) Memo.No.P&A/10856/HBA/87-1, dt:28-09-1987
22) Proc.No.P&A/19100/HBA/82, dt:07-01-1988
23) Proc.No.P&A/19100/HBA/82, dt:20-02-1988
24) Proc.No.P&A/19100/HBA/82, dt:02-09-1988
25) Cir.No.14602/HBA/88-8, dt:06-02-1989
26) Proc.No.P&A/19100/HBA/82, dt:03-05-1989
27) Proc.No.P&A/19100/HBA/82, dt:01-08-1989
28) Proc.No.P&A/19100/HBA/82, dt:13-09-1989
29) Proc.No.P&A/19100/HBA/82, dt:17-11-1989
30) O.O.No.P&A/15567/HBA/89-1. dt:16-12-1989
31) Cir.No.1253/HBA/90, dt:01-02-1990
32) Proc.No.P&A/19100/HBA/82, dt:06-02-1990
33) Proc.No.P&A/19100/HBA/82-6, dt:27-08-1990
34) Memo.No.P&A/2421/HBA/89-11, dt:15-09-1990
35) Proc.No.P&A/4530/HBA/90-3, dt:06-10-1990
36) Proc.No.P&A/295/HBA/91-1, dt:18-01-1991
24-19
37) U.O.No.P&A/15097/HBA/90-2, dt:29-01-1991

38) Proc.No.P&A/18217/HBA/84-15, dt:06-02-1991
39) Proc.No.P&A/1389/HBA/91-1, dt:08-02-1991
40) Cir.No.P&A/12025/HBA/91-3, dt:26-02-1991
41) U.O.No.P&A/3091/HBA/91-1, dt:23-03-1991
42) Cir.No.P&A/2801/HBA/91-1, dt:10-04-1991
43) U.O.No.P&A/3220/HBA/91-2, dt:08-07-1991
44) Proc.No.P&A/2782/HBA/92-3, dt:05-08-1992
45) Proc.No.P&A/15179/HBA/92-1, dt:16-12-1992
46) Cir./Legal Dept./93, dt:24-04-1993
47) No.006026/HBA/93-1, dt:17-05-1993
48) Proc.No.P&A/01744/CI-2/Rules/96, dt:07-03-1996
49) Proc.No.P&A/3896/W&A/HBA/96, dt:03-06-1996
50) Proc.No.P&A/19100/W&A(HBA)97, dt:10-04-1997
51) Proc.No.P&A/19100/W&A(HBA)/98, dt:17-06-98
52) No.P&A/DGM(RP)/1612/99/351, dt:08-04-1999
53) Cir.No.CO/HBA/1859/1/99, dt:04-05-1999
54) Proc.No.CORP/P&A/HBA/1850/2003, dt:24-11-2003
B. Interest Subsidy
1) Proc.No.P&A/1058/HBA/89-1, dt:16-09-1989
2) Memo.No.P&A/1058/HBA/89-2, dt:11-04-1990
3) Memo.No.P&A/1058/HBA/89-4, dt:30-04-1990
4) Proc.No.P&A/1058/HBA/89-6, dt:18-05-1990
5) Memo.No.P&A/7003/HBA/90-2, dt:19-07-1990
6) Memo.No.P&A/7654/HBA/90-6, dt:11-12-1990
7) Endt.No.P&A/15085/HBA/90-1, dt:13-12-1990
8) Proc.No.P&A/1058/HBA/89-8, dt:29-12-1990
9) Proc.No.P&A/6205/HBA/92-1, dt:25-05-1992
10) Cir.No.P&A/6205/HBA/92-2, dt:04-06-1992
11) Proc.No.P&A/6205/HBA/92-4, dt:25-09-92
12) Proc.No.P&A/1742/W&A/HBA/98-1, dt:11-03-98
13) Proc.No.CORP/P&A/WR/800/2001-3, dt:16-07-2001
14) Proc.No.CORP/P&A/HBA/1856/2002, dt:05-08-2002
15) Proc.No.CORP/HBA/1856/2003, dt:10-03-2003
16) Proc.No.CO/HBA/1856/2003-2, dt:31-12-2003
C. Group Insurance Reference
1) Proc.No.CORP/P&A/1914/2002, dt:12-07-2002
*****
SECTION- IV
MOTIVATIONAL EFFORTS AND HRD PROGRAMMES
Chapter
Subject Pages
No.
25 Bonus including Production Incentives 25-1 to 25-6
26 Service Awards / Gifts 26-1 to 26-3
27 Incentives for acquiring Additional 27-1 to 27-10
Qualification
28 Incentives for studying Hindi 28-1 to 28-8
29 Scholarship to Wards of Employees 29-1 to 29-3
30 Scholarship to Wards of 30-1 to 30-5
SC/ST Employees
31 Suggestions Scheme 31-1 to 31-6
32 Sports Activities 32-1 to 32-5
33 Training and Development Activities 33-1 to 33-12
25-1
25. BONUS INCLUDING PRODUCTION INCENTIVES

25.1 BONUS:
25.1.1 TERMS:
a. The payment of annual bonus shall be linked to productivity in Neyveli
Lignite Corporation as provided under Section-31A in-lieu of bonus based
on profit, payable under the Payment of Bonus Act, 1965.
b. The scheme would provide payment of minimum bonus (8.33%) for
weighted average percentage capacity utilization of 70% and below.
c. The maximum annual bonus of 20% of wages shall be payable on reaching
100% and above of weighted average capacity utilization.
d. For intermediate levels of achievement of weighted average capacity
utilization, the percentage of annual bonus payable under the scheme are
given in Annexure-I.
e. The capacities of the main Units are subject to change whenever there is
any change in technology or additional investments.
f. The scheme shall cover all employees covered under the Payment of
Bonus Act, 1965.
g. The eligibility, qualifying period, etc., shall be the same as provided under
the Payment of Bonus Act, 1965.
25.2 QUARTERLY PLANT PERFORMANCE REWARD:
The payment of Quarterly Plant Performance Reward (QPPR), which is effective up to
31.12.2006.
The salient features of the scheme:
Coverage:
25.2.1 The Scheme will be applicable to all regular employees / workmen including Board
level executives.
25.2.2 The targets for the purposes of the scheme will be computed based on M.O.U.
targets, which are agreed to between the Neyveli Lignite Corporation Limited and
the Government of India.
25.2.3 If the targets already prescribed are not achieved in full, the Quarterly Plant
Performance Reward will become payable proportionate to the Level of
achievement. However, if a particular Unit for which targets have been prescribed
does not achieve even the target at the first level, the employees who are otherwise
eligible for QPPR, will be paid the amount payable to “Semi Direct” Employees i.e.
70% of the average performance applicable to direct employees taking into
account the seven units for which targets have been fixed:
a. Mine-I
b. Mine-IA
c. Mine-II
d. Thermal Power Station-I
25-2
e. Thermal Power Station-II

f. Thermal Power Station-I Expansion
g. Bus Section
25.2.4 Plant Performance Reward payable per quarter are as follows:
LEVEL DIRECT SEMI-DIRECT INDIRECT
EMPLOYEESS EMPLOYEES EMPLOYEES
V Rs. 3010.50 70% of the average 65% of the average
IV Rs.2919.25 performance applicable performance applicable
III Rs.2828.00 to Direct employees taking to Direct employees taking
II Rs.2736.75 into account the 7 units for into account the 7 units for
I Rs.2645.50 whom targets have been fixed. whom targets have been fixed.
25.2.5 Employees / workmen who avail themselves of any kind of authorized leave such
as casual leave, sick leave, earned leave, authorized E.O.L. upto a limit of 20 days
in a quarter will be eligible for getting the full amount of Quarterly Plant
Performance Reward. Employees / workmen who exceed the leave limit
mentioned above will not be eligible for Quarterly Plant Performance Reward.
25.2.6 Employees in Bus Section who are covered by a Production Incentive Scheme
based on number of trips / collections, for which targets have been fixed, will
continue to be governed by the same scheme. While calculating the achievement
of targets, the average percentage of achievement in both collections and number
of trips will be reckoned for determining the level of performance.
25.2.7 Similarly, in respect of Mine-I, Mine-IA and Mine-II average level of achievement of
targets for Overburden and Lignite in each Mine during a particular quarter will be
taken into account, since separate targets have been prescribed for Overburden
and Lignite in respect of each Mine.
25.2.8 The absence of employees to perform the duties of Home Guards duly authorized
by the Management, participation in Sports and tournaments duly authorised by
the Management, special Casual Leave on account of donation of blood or Special
Leave on account of sterilization and Restricted Holiday will not be treated as other
leave for the purpose of payment of Quarterly Plant Performance Reward.
25.2.9 Compensatory Off allowed will not be treated as leave.
25.2.10 In view of full payment of salary/wage during disablement /special disability leave, it
has been decided to restrict the total number of days of leave/absence to a
maximum of 30 days in a quarter irrespective of the nature of leave / absence to
qualify for the payment of reward. (Authority– DCPM/P&A’s No.8250/P&A/IR/97,
dated 15-10-1997)
25.2.11 Stoppage of work on concerted basis will disqualify the persons concerned from
receiving Quarterly Plant Performance Reward.
25.2.12 Employees who die or retire during a particular quarter will be eligible for Quarterly
Plant Performance Reward on a pro-rata basis.
25-3
25.2.13 Persons on deputation for training elsewhere, either in India or abroad will be
eligible for Quarterly Plant Performance Reward only if the period of deputation
does not exceed one month and the employees concerned are not eligible for
deputation pay. The period of one month will also include the leave taken during
the quarter.
25.2.14 Fresh entrants who join as Trainees or Regular employees will be eligible for
Quarterly Plant Performance Reward for the quarter if the number of days worked
by them is not less than 70 days in the quarter.
25.2.15 Classification of Direct, Semi-Direct, and Indirect Employees:
a. Direct Employees:
The employees engaged in Production / Maintenance of the following areas will be
considered as “Direct” employees.
i. Mine-I
ii. Mine-IA
iii. Mine-II
iv. Service Units connected with Mine-IA and Mine-II
v. Thermal Power Station-I
vi. Thermal Power Station-II
vii. Thermal Power Station-I Expansion
viii. Bus Section
ix. Regular Employees of Industrial Canteens
b. Semi-Direct Employees:
i. All regular employees employed in Security & Fire Services.
ii. All regular employees employed in the Services Departments of TA
Dept.
iii. All regular employees employed in General Hospital
iv. All regular employees employed in CARD
v. All regular employees employed in MRT, Block-10 and Telecom
Centre, Block-26.
vi. Health and Conservancy Workers working in Mines and other
Factory Units
vii. Workmen attached to Chennai Office and Guest House working 8
hours and availing only weekly off and paid holidays.
viii. Cycle stand attendant working in Mines and other Factory Units.
c. Indirect Employees:
All other regular employees not covered in (a) and (b) of para – 25.2.15 and
all employees working in various Regional and Sales Offices will be
classified as Indirect employees. Apart from this, all employees working in
25-4
offices including Technical Supervisors and Executives working in the

Technical Planning and Contract Sections of all Offices will be classified as
Indirect employees.
25.2.16 The amount of Plant Performance Reward will not count for computation as wages
for any purposes including for determining payment under the Provisions of the
payment of Bonus Act, 1965 or determining the half monthly payment /
compensation under the workmen’s Compensation Act, 1923 etc. The Quarterly
Plant Performance Reward shall not also count for other benefits such as Provident
Fund, Gratuity, Paid Holiday Wages, etc.
25.2.17 The payment of Quarterly Plant Performance Reward for each quarter will be made
on the 20th of the month following the quarter to which it relates to and if the 20th
happens to be a holiday, the payment will be made on the next working day.
(Authority No. 008 / IR-2 / 99 dated 04-02-1999)
25.2.18 Quarterly Plant Performance Reward in the event of transfer - It has been decided
to pay the reward applicable to the unit where the employee/workmen worked for
70 days or more in any one of the units of a quarter, when transferred from one unit
to another unit during the quarter. If the employee/workmen has not worked 70 or
more days in the pre and post transferred units and if there is difference of reward
due to the level of achievement, the lowest quantum of reward of the two units may
be paid.
(Authority – CPM/P&A’s No. CORP/P&A/IR/743/2115/99, dated 22-11-1999)
25.3 HALF-YEARLY PRODUCTIVITY LINKED INCENTIVE:
The Scheme will be operative up to 31.12.2006 and will cover all regular employees working
in Neyveli Lignite Corporation drawing salary above Rs. 3,500/- per month and are not
covered by the Payment of Bonus Act.
The payment of Productivity Linked Incentive will be based on achievement made up of the
average of three major factors, viz., production, productivity and profitability assessed on the
basis of the following parameters:
a. The weighted average performance in capacity utilization.
b. The weighted average of specific consumption of raw materials with reference to
budgeted norms in the Thermal Power Stations, and of the working hours of BWE with
reference to standard norms.
c. Profitability index represented by the ratio of actual sales value to the budgeted sales
value.
Salient features of the Scheme and specific conditions for the payment of Productivity Linked
Incentive are as follows:
a. COVERAGE: The Scheme would cover employees whose basic pay + DA exceeds
Rs. 3,500/- per month. The executives holding Board level position will also come
within the purview of the Scheme.
b. PARAMETERS FOR EVALUATING PERFORMANCE:
The following parameters have been selected for evaluating the performance:
i. Weighted Average Capacity Utilisation of all the six Units, which are achieving
production.
25-5
ii. Average working hours of 1400 Litres Bucket Wheel Excavators.

iii. Specific consumption of Lignite in Kg per K.W.hr.
iv. Profitability index through sales turnover.
Actual Value of Sales
-------------------------------------X 100
Budgeted Value of Sales
c. INSTALLED CAPACITY: The installed capacity of the six plants of the Neyveli Lignite
Corporation is as follows:
Mine-I - 10.5 MT
Mine-IA - 3.0 MT
Mine-II - 10.5 MT
Thermal Power Station-I - 600 MW
Thermal Power Station-I Expn - 420 MW
Thermal Power Station-II - 1470 MW
d. WEIGHTS ASSIGNED TO SPECIFIC CONSUMPTION OF INPUTS AS WELL AS
CAPACITY UTILIZATION:
Based on the sales of the various items produced by the six plants of the NLC the
following weights have been selected:
Mine-I
Mine-IA
Thermal Power Station-I The weightage factors
Thermal Power Station-I Expansion are to be decided every year
Mine-II
Thermal Power Station-II
e. CALIBRATION:
The Threshold level for payment of PLI to the eligible employees will be 85% of the
combined indices and the amount payable for each half year on achievement of the
percentage of parameters evaluating performance will be as under.
Percentage of achievements of Amount payable per half-year
parameters (in Rs.)
85% 2970
86 to 90% 3300
91 to 95 % 3660
96 to 100% 4050
101 and above. 4500
25.4 SPECIFIC CONDITIONS:
25.4.1 The incentive will be paid on a half yearly basis for the half years ending 30th
September and 31st March in each accounting year.
25-6
25.4.2 Those who have become ineligible for Bonus under the Payment of Bonus Act by
exceeding the ceiling limit of Rs. 3,500/- per month in the course of the half year,
this incentive will be payable proportionately for the period of which the bonus has
not been paid.
25.4.3 Those who have joined the service afresh in the course of half year, the incentive
will be paid proportionately for their service subject to the condition as mentioned in
para 25.4.4 and 25.4.5.
25.4.4 Those who have not put in a minimum of actual attendance of 30 working days in
the half-year will not be eligible for the incentive.
25.4.5 Incentive will be proportionately reduced for the period of leave without pay.
25.4.6 Persons who are on deputation, training etc., will be eligible for this incentive.
(Authority – Procs.No.4248/IR-3/96 DT.24.11.1996)
ANNEXURE-I
ANNUAL BONUS PAYMENT UNDER SECTION 31(A) OF PAYMENT OF BONUS ACT.
Table showing percentage of Annual Bonus against
weighted average percentage capacity utilization.
Weighted average % % Bonus Weighted average % Bonus
Capacity Utilization: Payable: % Capacity Utilization: Payable:
70% 8.33% 86% 17.20%
71% 8.88% 87% 17.40%
72% 9.44% 88% 17.60%
73% 9.99% 89% 17.70%
74% 10.55% 90% 18.00%
75% 11.10% 91% 18.20%
76% 11.65% 92% 18.40%
77% 12.21% 93% 18.60%
78% 12.76% 94% 18.80%
79% 13.31% 95% 19.00%
80% 13.87% 96% 19.20%
81% 14.42% 97% 19.40%
82% 14.97% 98% 19.60%
83% 15.53% 99% 19.80%
84% 16.08% 100% 20.00%
85% 16.64%
[Extract of Agreement dated 18.07.1986 between Management of N.L.C. and Joint Council of Five
Trade Unions held at Neyveli.]
*****
26-1
26. SERVICE AWARDS / GIFTS
Long & Meritorious Service Award

26.1 Employees who have completed 15 years of Long and Meritorious Service in NLC will
be presented wrist watch and this will once in the entire service..
(i) For reckoning the eligibility, casual service if any rendered by an employee may also
be included had the casual service period been approved and entered in the service
record of the concerned.
(ii) That no disciplinary action is pending against the employee/workmen concerned.
(Authority:-Proc. No.P&A/10736/APM/AII/82-132, Date: 29-12-1982)
26.2 PRESENTATION OF WRIST WATCHES TO THE SPOUSES:
26.2.1 The spouses of employees who have completed 15 years of service would also be
presented with a Wrist Watch as a token of encouragement for having extended
their helping hands to their husband / wife for the Long and Meritorious Service in
the Corporation. The wrist watch will be given to the spouse of employee whose
name has been entered in the Medical Identity Book of the Service Record of the
Employee concerned.
26.2.2 If both Husband and wife are employed in NLC, Long Service Award will be
presented to them as and when they complete 15 years of Service in NLC.
26.2.3 The scheme was introduced with effect from the date of announcement i.e., 11-02-
1994. While reckoning the list of eligible spouses of employees, the Unit Heads
should verify the correctness of the cases with reference to the following details:
a. An employee has completed 15 years of Long and Meritorious Service in
the Corporation.
b. The name of the spouse of the employee has been entered in the service
record / Medical Identity Book.
c. No disciplinary action is pending against the employee concerned.
26.2.4 Long and Meritorious Service Award – procurement and distribution – General
Conditions:-
(a) The Heads of Offices / Units shall furnish the list of eligible spouses of
employees together with the list of eligible employees to Manager /
Corporate Office during the Republic Day and Independence Day.
(b) The Manager/Corporate Office shall arrange to purchase the watches by
consolidating the requirements.
(c) The distribution shall be made in a brief function arranged by the
concerned unit.
(d) The Units shall obtain acknowledgement from the concerned employee.
(e) Entries for having given the awards to the individuals should be made in the
Service Record of the concerned.
(Authority: 1. Proc.No.10736/AII-1/82-22, Dated: 04.08.1982.
2. Proc. No. P&A/4186/AII-1/94,Dated:18.06.1994.)
26-2
26.3 HONOURING EMPLOYEES ON THE EVE OF SUPERANNUATION:

Approval was accorded by the Chairman to honour employees by presenting a VIP Suitcase
or of similar make on the eve of their superannuation.
The suitcase will be presented to
(a) The individuals who have rendered loyal and faithful service in the corporation and
(b) Against whom no disciplinary action is pending.
(Authority: Proc.No. P&A/25178/AII-1/86, Dated: 29.09.1986)
26.3.1 The retirement gift may be presented to the Functional Directors who retire from the
Service without insisting the minimum service of 15 years in NLC.
(Authority: Functional Directors approval dated: 07.10.1995)
26.3.2. The retirement gift may be presented to the Executive Directors who retire from the
Service without insisting the minimum service of 15 years in NLC.
(Authority: Approval of Functional Directors in the meeting held on: 25.08.2003)
26.3.3. In partial modification of the orders issued in Proc. No.P&A/25178/AII-I/86 Date:
29-09-1986, the purchase of suitcase will be made by the Manager / Corporate
Office taking into consideration of the half yearly requirements of all the Units of
NLC Limited.
26.3.4. The Heads of Units / Branches / Offices concerned shall furnish their requirement
for the first half of the year (i.e. from 1st January to 30th June) on or before 31st
December and for the second half of the year (i.e. from 1st July to 31st December)
on or before 30th June, every year to the Manager / Corporate Office.
26.3.5. The concerned Units/Branches/Offices will draw the suitcase from
Manager/Corporate Office and make the presentation, where the employee is
working.
26.3.6. Necessary entries for having issued the suitcase to the employee shall be made in
the service record of the concerned employee.
(Authority: Procs. No. P&A/25178/AII-1/86, Dated 23.12.1986)
26.3.7. In partial modification of the orders issued in Procs.No.P&A/25178/AII-I/86,
dt.29.09.1986, the Management is pleased to inform that, the suitcases shall be
presented to the employees who are retiring on Superannuation / VR Scheme
without taking into consideration the no. of years of Service they have put in the
Corporation.
All other terms and conditions remain unaltered.
The above modification will take effect from 09.05.2006.
(Authority: No.CORP/P&A/A2-6/1543/2006, dt.09.05.2006.)
26.4 MARRIAGE GIFT:
26.4.1 One pair of 1½ feet kuthuvilakku with the inscription of “NLC” will be presented on
the occasion of the marriages either of the employees/ workmen or their wards.
This scheme comes into force with effect from February 1988.
26.4.2 Kuthuvilakku will be procured and stocked in bulk by the Manager/Corporate Office
and distributed to the Heads of Departments/Units/Offices as and when required by
26-3
them for being presented on behalf of the NLC Management to the

employees/workmen on the occasion of the marriage of either the
employee/workmen concerned working under their control or their wards.
26.4.3 While drawing the Kuthuvilakku, the Heads of Department/Units/Offices shall
furnish a certificate with a requisition along with an Invitation stating that:
a. The Marriage is of a regular employee/workman of the Corporation.
b. The Medical Identity Book has been verified and found correct.
c. This is the marriage of a dependent son/daughter of an
employee/workman of the Corporation.
26.4.4 The Heads of Department/Units/Branches/Offices shall also make necessary entry
in the Service Book of the employee/workman indicating that the presentation is
made by the Corporation. They should ensure that they present the kuthuvilakku at
the time of marriage of employees/wards of employees.
(Authority: P&A/02527/AII-1/88, Dated 12.02.1988)
(Authority: Circular No. 2527/AII-1/88,Dated 22-07-1988)
26.4.5 Stainless Steel Utensils or Stainless Steel Articles equivalent to the cost of one pair
of 1½ feet kuthuvillakku will be presented to the Muslim and Christian
Employee/workmen and their wards on the occasion of their marriages by NLC.
(Authority: CMD’s Approval dated 30-08-1988)
26.5 FREE UNIFORM TO SCHOOL CHILDREN:
26.5.1 All School Children studying in classes up to and including Vth Standard in NLC
Schools will be supplied with Uniforms and Footwear free of cost every year.
26.5.2 The Head of Education Department shall take necessary action for procurement
and supply of Uniforms and Footwear to the Children as ordered in Para-1 above
as per the existing procedure. The supply will be effective from the year 1988-89
onwards.
(Authority: Procs.No.40/P&A/88,dated 15.07.1988)
26.6 FREE TEA TO EMPLOYEES:
All employees working in the Industrial Units where the facilities of Industrial Canteens are
available will be supplied one tea per day free of cost. This will be effective from 01.03.1988.
*****
27-1
27. INCENTIVES FOR ACQUIRING

ADDITIONAL QUALIFICATION
27.1 ADDITIONAL INCREMENTS TO ENGINEERS WITH B.E. OR A.M.I.E. WHO PASS M.

TECH. OR M.E. IN ANY BRANCH OF ENGINEERING AND TO DOCTORS FOR
ACQUIRING RECOGNIZED POSTGRADUATE QUALIFICATIONS:
It has been decided, with the approval of the Board, that additional increments as indicated
below will be granted to Engineers and Doctors as incentive for acquiring skills and
Professional qualifications.
For Engineers with B.E. or A.M.I.E.
who Acquire M.E. or M. Tech., in
any branch of Engineering after
joining service.
} Two increments
Doctors who acquire postgraduate

Diploma before or after joining
service (Special pay of Rs. 50/-p.m.
stands withdrawn)
} One increment
27.2
Doctors who acquire postgraduate
Degree qualifications like M.D.,
M.S., M.C.H. or D.M. } Two increments
THE GRANT OF INCENTIVE INCREMENTS MAY BE LIMITED TO EXECUTIVES WHO

ACQUIRE THE SAID QUALIFICATIONS WHILE IN E-6 (PRE-REVISED E - 4) OR BELOW
ONLY:
27.2.1 These increments may be by way of additional increments so that the normal date
of increments of the Executives do not get changed and consequent loss due to
fixation as per rules is avoided.
27.2.2 These incentive increments will be sanctioned from the crucial date following the
last date of the examination or 15.10.1993 whichever is later. The rate of increment
will be equal to the next increment falling due after passing the examination and will
be shown separately to be absorbed in any fixation due to promotion or pay
revision.
27.2.3 Those incentive increments will be personal to the employees concerned and
cannot be reckoned for rectification of pay anomaly.
(Authority: Procs.No.P&A/CI-2/1268/91,dt. 25.10.1993)
It has been decided that the said additional increments may be sanctioned to the
Engineers who have acquired M.E. or M.Tech Degree in any branch of Engineering
up to 25.10.1993 and are presently in employment, subject to the guidelines and
conditions laid down in this department proceedings cited.
(Authority: Proc.No.P&A/1268/CI-2/Rules/91-2, dt. 10.08.1994)
Doubts are being raised very often by the Unit Heads/Accounts Centres as to how
the incentive increment granted for acquiring additional qualification indicated in
the reference 1st cited, to be absorbed in future pay. The matter has been
examined in consultation with the F&AB and the following decisions are
communicated for adherence.
27-2
a. Incentive increments to be given from the crucial date immediately

following the last day of the examination or 15.10.93 whichever is later.
b. The rate of increment will be equal to next increment in the pre-revised
scale.
c. The incentive increment referred to in ‘b’ above will be taken into account
for fixation of pay on promotion/wage revision after 15.10.93 (i.e.) this will
be added to the pay while fixing the pay on the said purpose.
d. If any of the executives has been promoted on and from 01.01.92 and
before 15.10.93 the same procedure as indicated at (a) to (c) above have
to be followed.
e. In all the above cases monetary benefits will be only from 15.10.93.
(Authority: Cir. No.P&A/4007/CI-2/Rules/94-2, dt. 07.04.1995)
The following clarifications are issued for guidance of Unit Heads with
regard to grant of Incentive Increment to employees who acquired M.E. or
M.Tech. Qualifications.
POINTS CLARIFICATION
1. Whether an executive who has Yes, those who pass M.E. or M.Tech. after
acquired M.E. after 25.10.1993 or who joining in NLC is eligible.
will acquire M.E. or M.Tech after 25.10.1993
are eligible for two additional increments.
2. Those who have acquired M.E. or M. Tech. According to the orders issued in this Dept.Proc.
up to 25.10.1993 alone are eligible for dt.20.08.94 the employees who have joined in
sanction of two additional increments and NLC with M.E. or M.Tech. Qualifications up to
that those who have acquired M.E. or 25.10.93 are eligible for two increments.
M. Tech. after 25.10.1993 are ineligible The employees who join in NLC after 25.10.93
for those two additional increments with PG qualifications are not eligible, and those
who acquire the PG Degree after joining in NLC
are only eligible. This is subject to fulfillment of
conditions stipulated in Dept.Proc.No.P&A/CI
2/rules/1268/91,dt.25.10.93.
3. Whether the Engineers who have passed The sanction of additional increments for those
M.E. or M.Tech. Degree even before their who acquire the M.E. or M.Tech. Qualification
entry in this Corporation can be granted two prior to joining in NLC up to 25.10.93 may be
additional increments. If so the rate of regulated with effect from the date on which
increment applicable in these case may be they enter the service in NLC in the scale of
indicated in the event of their initial pay pay at the initial appointment.
being on lumpsum/stipend basis.
4. Whether the additional increments have to The orders issued in Proc. dt. 25.10.93 is clear,
be shown separately and to be absorbed in that the two increments should be shown
any fixation due to promotion or pay revision separately and absorbed subsequently on
as enunciated against para-4 of Proc. No. fixation of pay on promotion, wage revision, etc.
P&A/CI-2/1268/91, dt. 25.10.93 since it
does occur in different scales in respect of
certain cases.
27-3
POINTS CLARIFICATION
5. One individual has passed M.E. in January The sanction of two additional increments for
1988 (i.e.) before his date of joining in NLC passing the M.E. Exam in Jan.88 with effect
(The individual joined NLC on 07.10.89 in from the date of his joining as GET i.e. from
the scale of pay Rs.2250-100-4150) 10/89 in the scale of pay Rs.2250-100-4150
may be allowed, subject to fulfillment of other
conditions laid down under this Department
Proc.dt.25.10.93.
(Authority: U.O. NO.P&A/10232/CI-2/Rules/95 dt.10.04.1995)
27.3 GRANT OF TWO ADDITIONAL INCENTIVE INCREMENTS FOR PASSING DIPLOMA IN

ENGINEERING FOR WORKMEN/ EMPLOYEES:
The Management is pleased to announce a scheme of grant of two additional increments to

those workmen/employees who have acquired the Diploma qualifications in engineering by
attending part-time course. The following will be the conditions for the grant of additional
increments:
27.3.1 Two additional increments will be granted to workmen/employees who acquire

Diploma qualifications in engineering while in service by attending part-time
course.
27.3.2 The increments will be additional and will not change the normal date of increment.
27.3.3 These incentive increments will be personal to the employees concerned and
27.3.4 The scheme will be applicable with effect from the date of approval by the Board,
i.e. 29.04.1994 to the workmen/employees who have passed the Diploma in
Engineering by part-time study after joining N.L.C. and who are on the rolls of the
Corporation on the date of approval of the scheme.
27.3.5 In respect of those employees who have already passed recognized Diploma in
Engineering, the financial benefit will be given with effect from 29.04.1994 and the
rate of increment as applicable at the time of passing such Diploma Examinations.
27.3.6 In respect of such of those workmen/employees who pass the Diploma after
29.04.1994, the incentive increment will be granted with effect from the 1st of the
month following the last date of examination in which the employees/workmen
qualify for Diploma by passing the prescribed examinations.
(Authority: Procs.No.P&A/6332/CI-2/Rules/94,dt.24.05.1994)
Representations have been received from a number of employees for the grant of
additional increments after acquiring Diploma qualification in Engineering by
Private study conducted by the Dept. of Tech. Education, Govt. of Tamil Nadu. It
has since been decided in consultation with F&AB that the said additional
increment may be sanctioned also to the workmen/employees who have acquired
the Diploma qualification in Engineering by Private study conducted by the
Department of Technical Education, Government of Tamil Nadu, subject to same
conditions laid down in this department proc.dt.24.05.1994.
(Authority: Proc.No.P&A/9399/CI-2/Rules/94-1 dt.03.10.1994.)
27-4
27.4 ADDITIONAL INCREMENTS TO THE EMPLOYEES WHO PASS SPECIAL

EXAMINATION IN ACCOUNTS, PERSONNEL AND ENGINEERING:
27.4.1 The employees of the Corporation who pass the following examinations after
joining service are eligible for 2 incentive advance increments in the scale
applicable to the post held by them at the time of passing the examination.
a. Pass in the final examination - Two Advance Increments
(C.A., ICWA, Company Secretaryship)
b. Diploma holder passing - Two Advance Increments
AMIE/AIE/Part-time B.E.
c. Stenographer passing higher grade - Two Advance Increments
Examination in Shorthand (English)
27.4.2 The incentive increments mentioned above was by way of advance increments and
not additional increments. In other wards the normal date of increment in the time
scale of pay will get changed consequent on the sanctioning of these increments.
27.4.3 It was represented that by granting the advance increments to the employees who
pass the qualifying examinations mentioned above, there is anomaly in the actual
date of increment. To avoid this anomalous position, it is decided with the approval
of Board to grant two additional increments instead of two advance increments
without linking the incentive increments with the normal date of increment. These
orders will be effective from 01.10.1990.
(Authority: Proc.No.P&A/4515/CI-2/Rules/92-2 dt.29.02.92)
27.5 GRANT OF ADVANCE INCREMENT TO EMPLOYEES WHO PASS THE ASSOCIATE
COMPANY SECRETARY SHIP EXAMINATION:
The Chairman conveys the approval of the Board of Directors for sanctioning the following
incentives to employees qualifying themselves in Associate Company Secretaryship
Examination.
27.5.1 A Cash Award of Rs.200/- on passing Intermediate Examination and
27.5.2 Two advance increments for passing the final examination in Associate Company
Secretaryship Examination.
(Authority: Proc.No.493/E&G/71,Dt.20.12.1971)
27.6 INCENTIVE TO ACCOUNTS STAFF FOR QUALIFYING IN INSTITUTE OF COST AND
WORKS ACCOUNTANTS:
The following incentive Scheme to encourage the Accounts Staff to qualify themselves in cost
accounting has been approved by the Board of Directors.
27.6.1 A Cash Award of Rs.200/- will be given to those who pass Intermediate
Examination of the Institute of cost and Works Accountants, India or London.
27.6.2 Two advance increments will be granted to those who pass the final examination of
the Institute of Cost and Works Accountants, India or London, in the scale of the
post held by them on the day following the last day of the examination.
The Scheme will apply for all non-Technical Cadres up to and including the grade of
Junior Accounts Officers. It will not apply to those who acquired these qualifications
before joining the Corporation and to the cases where on the basis of these
qualifications appointments/promotions have been made.
27-5
The advance increments granted will not affect seniority in the respective grades.
(Authority: Proc. No. 22/FA/64, dt.16.04.1964)
27.7 INCENTIVE TO TECHNICAL STAFF FOR QUALIFYING IN INSTITUTE OF COST AND
WORKS ACCOUNTANTS:
The Chairman conveys the sanction of the Board of Directors to the extension of the incentive
scheme sanctioned in the Procs. Cited to the Accounts Staff for qualifying themselves in Cost
and Works Accountancy, to the Technical Personnel also upto the level of Assistant Plant
Managers who may acquire the qualification here after.
(Authority : Proc. No.407/E&G/64, dt.17.10.1964)
27.8 GRANT OF CASH AWARD FOR PASSING ICWAI INTERMEDIATE EXAM TO ALL
EMPLOYEES:
The Scheme of grant of cash incentive of Rs.200/- (Rupees Two Hundred only) for passing
AICWAI Examination Intermediate is extended to all employees up to E-3 (Pre-Revised E-2)
level irrespective of the category / discipline (including workmen).
(Authority: proc. No. P&A/9095/CI-2/Rules/90-3 dt.12.11.90.)
27.9 GRANT OF ADVANCE INCREMENTS FOR ACQUIRING PART-TIME B.E.
QUALIFICATION:
The diploma holders in Engineering who acquire degree qualification in Engineering i.e. Part-
time B.E., AMIE Part-A&B examination conducted by the Institution of Engineers in any
branch of Engineering will be granted two advance increments subject to the following
conditions.
27.9.1 These advance increments will be restricted to the personnel up to E-3 (Pre-
Revised E-2) level only.
27.9.2 These advance increments will be sanctioned from the date of passing the
prescribed qualifying exam or the 01.07.1986 whichever is later.
27.9.3 In respect of those who acquired the specialized qualifications mentioned above
prior to 01.07.1986, the advance increments will be sanctioned from the date of
passing the examination but the monetory benefit will be given only from
01.07.1986.
27.9.4 These advance increments will be ‘personal’ to the employees concerned and
27.9.5 The next increment in the post will fall due only after a year from the date of effect of
the advance increments. The date of passing the examinations will be the date
following the last day of the examinations.
(Authority: Proc.No.P&A/2009/CI-2/87,dt.30.01.1987)
In continuation of the above proceedings, the following orders are issued in regard
to sanction of advance increments for acquiring Part-time B.E. and AMIE.
a. The employees having B.Sc.(Chemistry) qualification and are working as
Junior Plant Manager (chemical) is to be treated on par with Diploma Holders in
chemical engineering and the incentive increment contemplated in the above
proceedings may be extended to these employees also.
27-6
b. Any employee who acquired the prescribed engineering qualification by

attending part time B.E. classes or by appearing section A & B of AMIE/Part-I, II
& III of AMIE (chemical) and who are working in E-3 (Pre-Revised E-2) and
below level may be allowed to draw incentive increments.
c. The advance increment shall be sanctioned from the crucial date following last
day of the final Examination.
d. The date of viva-voce may be ignored as it is susceptible of verification.
(Authority: Proc.No.P&A/2009/CI-2/87-3, Dt.30.04.1987.)
27.10 STENOGRAPHERS – ADVANCE INCREMENTS WHO QUALIFY IN SHORTHAND EXAM.

BY HIGHER GRADE:
27.10.1 The Managing Director conveys the approval of the Board of Directors to the
following proposals:
a. Grant of two advance increments to the Stenographers over the existing

pay for a pass in Shorthand examination by the Higher Grade with effect
from the crucial date following the date of passing the examination. If the
date of passing the examination is co-terminus with the crucial date, then
the increment will be granted with effect from that crucial date, i.e.,
synchronizing with the date of passing the examination by Higher Grade
itself.
b. In the case of the existing Stenographers who have passed the Higher
Grade Examination, the benefit of two advance increments will be given
from Ist April’69. Such of those Stenographers who are given the benefit of
two advance increments for passing the higher Grade Examination with
effect from 01.04.1969 will have their next increment drawn after a period
of one year thereafter, i.e. on 01.04.1970.
27.10.2 They are also authorised to grant two advance increments to other stenographers
who may pass the Shorthand examination by the Higher Grade in future with
reference to the policy outlined in Sub-Para-b above in consultation with F&AB.
For these cases also the next increment will accrue after a year thereafter.
(Authority: Proc.No.156/E&G/69,Dt.18.04.69.)
Some of the Stenographers appointed/promoted from the post of typist who have
passed Shorthand Higher Grade (English) while they were working as Typist have
been representing for grant of advance increments for passing Shorthand
examination Higher Grade (English).
The question of allowing advance increments to them was under examination of

the Management for some time and it has been decided to grant two advance
increments to the Stenographers who have passed Shorthand Higher Grade
(English) while they were working as Typists with effect from the date on which
fixation of pay under FR 22(c) was made on their promotion/appointment as
Stenographers. Their date of next increment will be after one year.
(Authority: Proc.No.4834/P&AVI-1/85-7,dt.22.05.1987)
27-7
27.11 GRANT OF ADVANCE INCREMENT TO EMPLOYEES WHO PASSED CHARTERED

ACCOUNTANCY:
27.11.1 The Chairman approves the following incentive scheme to encourage employees
to qualify themselves in chartered Accountancy:
a. Employees who have been initially recruited in the Corporation and who
complete the final Chartered Accountancy Examination after joining the
Corporation and promoted to the post of Junior Accounts Officer will be granted
two advance increments in the promoted post.
b. In the case of promotions ordered on a non-crucial date, the advance increment
will be given effect to from the date on which the employee enters the ‘full
grade,’ i.e. on the nearest crucial date fixed for increment.
c. If, however, where vacancies are not available in the post of Junior Accounts
Officer to appoint employees who had completed the final of the Chartered
Accountancy Examination after joining the Corporation such employees will be
given two advance increments in the same post held by them subject to the
condition that these advance increments will be tied up to the nearest crucial
date fixed for increment.
d. Such of those employees who had the benefit of two advance increments in the
lower post on completion of the final of the Chartered Accountancy Examination
will not be eligible again for the two advance increments on promotion as Junior
Accounts Officers.
27.11.2 The concession will not apply to:
a. the Chartered Accountants who are now working as Assistant Accounts
Officers.
b. To such of those employees, who had already enjoyed the benefits of advance
increments on their initial appointment as Junior Accounts Officers in the
Corporation.
27.11.3 The concession will, however, be applicable to all cases of employees who had the
Chartered Accountancy qualification at the time of recruitment and not had the
benefit of advance increment. Advance increments for all those eligible under
these orders may be granted with effect from 01.07.1965.
27.11.4 The advance increments granted will not affect the “inter se” seniority in the
respective grades or their normal dates of increments.
(Authority: 313/E&G, dt.11.05.1965)
GENERAL GUIDELINES
27.12 PROCEDURE FOR GRANT OF INCENTIVE INCREMENTS:
27.12.1 Chairman conveys the approval of the Board of Directors for the following
proposals:
a. For the purpose of the incentive schemes, the date of passing the Examinations
will be the day following the last date of the Examination.
b. The date of grant of the advance increment will be the crucial date immediately
following the date of passing the Examination.
27-8
c. If the date of passing the Examination coincides with a crucial date, then the
increment will be granted with effect from that crucial date (i.e. the coinciding
date itself).
d. The next increment will fall due only after a year from the date of effect of the
advance increment.
(Authority: Procs. No. 211/E&G/67 dt.25.05.1967)
27.12.2 The orders issued in the reference (Procs. No. P&A/4515/CI-2/Rules/92-2
dt.29.02.92) changing the character of increments from “advanced” to “additional”
will be effective from 15.08.89 instead of 01.10.1990. Other conditions regarding
sanction of additional increment will remain unaltered.
(Authority: Procs.No.P&A/4623/CI-2/Rules/95,dt.06.05.1995)
The character of increments from “advanced” to “additional” will be effective from
01.07.1986 notionally, and with monetary benefit from 15.08.1989 in respect of
Diploma Holders passing AMIE, AIE and Part-time B.E. The other conditions
regarding sanction of additional increments will remain unaltered.
(Authority: Procs.No.P&A/11648/CI-2/Rules/95,dt.08.11.1995.)
The character of increments from “advanced” to “additional” with effect from
01.07.1986 notionally and with monetary benefit from 15.08.1989, in respect of
Diploma Holders passing AMIE, AIE, Part-time B.E. etc. It has been now decided to
extend the facility to the employees who have passed in the final exam of C.A.,
I.C.W.A., Company Secretaryship and Stenographer passing Higher Grade
Examination in Shorthand (English).
The other conditions regarding sanction of additional increment will remain
unaltered.
(Authority: P&A/11648/W&A-2/96,dt.14.06.1996)
27.12.3 Rectification of anomaly arising out of Incentive Increment.
In order to follow an uniform procedure and to avoid anomaly in pay due to sanction
of additional increments, the following decision has been taken.
a. The additional increments for acquiring the above qualifications may be
sanctioned to eligible employees under the existing procedure upto
31.12.1996.
b. The rectification of pay anomaly in respect of senior employees on par with
junior employees may be allowed subject to satisfying other conditions
prescribed for rectification of anomaly, if the anomaly actually arises due to
sanction of additional/advance increments.
c. With effect from 01.01.1997 the additional increments sanctioned will be
shown separately as “Incentive Increment” as in the case of Family
Planning Increment and such increments will be taken into account for all
purpose as decided for Family Planning Increment except for fixation of
pay and calculation of Dearness Allowance.
d. It is also reiterated, in this connection that for rectification of anomaly in pay
on sanctioning the advance/additional increments, the senior and junior
employees should possess the same qualification (i.e.) B.E. to B.E., AMIE
to AMIE, ICWA to ICWA etc. and not equivalent qualifications.
(Authority: Procs. No.P&A/1359/W&A-2/97, dt.14.02.1997)
27-9
27.12.4 GENERAL CONDITIONS
v The Incentive Increments are sanctioned to employees for passing / acquiring

additional Qualification only after Joining Service except in the case of Doctors.
v The Incentive Increments will be granted with effect from the first of the month
following the last date of examination.
v The Additional / Incentive Increments will be sanctioned without linking the normal
date of Increment.
v The rectification of pay anomaly in respect of senior employees on pay with junior
employees may be allowed subject to satisfying other conditions prescribed for
rectification of anomaly, if the anomaly actually arises due to sanction of
additional/advance increments.
v For rectification of anomaly in pay in sanctioning the advance / additional increments,

the senior and junior employees should possess the same qualification (i.e.) BE to
BE, AMIE to AMIE, ICWA to ICWA etc., and not equivalent qualifications.
v With effect from 01.01.1997, the additional increments sanctioned will be shown
separately as “Incentive Increment” as in the case of Family Planning Increment and
such increments will be taken into account for all purposes as decided for Family
Planning Increment except for fixation of pay and calculation of Dearness Allowance.
(Authority: 1. Procs. No. P&A/ 4515/CI-2/Rules/92-2, dt: 29.2.92
2. Procs. No. P&A/6332/CI-2 /Rules/94, dt: 24.05.94
3. Procs No.P&A/1359/W&A-2/97, dated 14.02.1997.)
REFERENCES :
1. Chairman (F&AB)’S Proc. No. 22(FA)/64 dated 16.04.1964.
2. Chairman’s Procs.No.407/E&G/64 dated 17.10.1964.
3. Chairman’s Procs No.313/E&G/65 dated 11.05.1965.
7. Chairman’s Procs.No211/E&G/67 dated 25.05.1967.
8. Chairman’s Procs.No212/E&G/67 dated 25.05.1967.
9. M.D’s Procs.No.156/E&G/69 dated 18.04.1969.
10. Chairman’s Procs.No.483/E&G/70 dated 16.11.1970
11. Chairman’s Procs.No.493/E&G/71 dated 20.12.1971
12. Procs.No.49/E&G/72 dated 15.02.1972.
13. Memo.No.9860/RIV-1/72-1 dated 24.05.1972
14. Chairman’s Procs.No.11845/RIV-1/72-21 dated 31.10.1974.
27-10

17. Procs.No.P&A/2009/CI-2/87 dated 30.1.1987.
18. Procs.No.P&A/2009/CI-2/87-3 dated 30.4.1987.
19. Procs.No. 4834/ P&AVI-1/85 –7 dated 22.05.1987.
20. D.P’s U.O.No. P&A/12162/CI-2/88-1 dated 05.12.1988.
21. Procs.No.P&A/9095/CI-2/Rules/90-3 dated 12.11.1990.
22. Procs No.P&A/4615/CI-2/Rules/92-2 dated 29.02.1992.
23. Procs No.P&A/CI-2/1268/91 dated 25.10.1993.
24. Procs No.P&A/6332/CI-2/Rules/94 dated 24.05.1994.
27. Circular No.P&A/4007/CI-2/Rules/94-2 dated 07.04.1995.
28. U.O.No.P&A/10232/CI-2/Rules/95 dated 10.04.1995.
31. Procs No.P&A/11648/W&A-2/96 dated 14.06.1996.
32. Procs No.P&A/1359/W&A-2/97 dated 14.02.1997.
33. Procs No.1359/W&A-2/97-2 dated 28.06.1997.
*****
28-1
28. INCENTIVE FOR STUDYING HINDI
ELIGIBILITY FOR ADMISSION AND AGE LIMIT

28.0 In compliance with the Government of India Official Language Policy and as advised
by the Central Hindi Training Institute, Department of Official Language, Ministry of
Home Affairs, the Eligibility Criteria and other details pertaining to study of Hindi
Language are as under:
28.1 Eligibility :
Hindi training is obligatory for all employees of Central Government Organizations including
Public Sector Undertakings. There are three courses under this training viz., PRABODH,
PRAVEEN and PRAGYA. Prabodh is an elementary course. Its standards is equivalent to
Primary Class level as regard knowledge of Hindi. Praveen is an intermediate course and its
standard is equivalent to Middle Class level as regards knowledge of Hindi, whereas Pragya
is the final course and its standard is equivalent to High School level as regards knowledge of
Hindi. The main features of eligibility for these courses are as under:
28.1.1 PRABODH:
The employees / officers whose knowledge of Hindi is below primary level and
whose mother tongue is Tamil, Telugu, Malayalam or English, are eligible for
admission to Prabodh course.
28.1.2 PRAVEEN:
The trainees who have passed Prabodh Examinations or the employees / officers
whose knowledge in Hindi is below Middle School level and whose mother tongue
is Marathi, Gujarathi, Bengali, Assammese or Oriya, are eligible for admission to
Praveen course.
28.1.3 PRAGYA:
The trainees who have passed Praveen course or the employees / officers whose
knowledge in Hind is below High School level and whose mother tongue is Urdu,
Sindhi, Punjabi or Pasto, can seek admission to Pragya course.
28.1.4 Age Limit:
There is no age limit for admission to these courses.
28.2 Study Material:
All employees who are admitted to these courses will be supplied study material in eight
monthly installments from August to March consisting study lessons and response sheets.
The candidates will have to study the lessons and attempt the exercises in the response
sheet, which shall be returned for evaluation to the correspondence wing. The entire study
material shall be supplied free of cost to the candidates admitted to these courses. The
sponsoring authorities are requested to kindly ensure that the employees sponsored for
training send their response sheets for evaluation to the Central Hindi Training Institute
regularly.
28.3 Duration of courses and Examination Fee:
The duration of each course is one year.
28-2
As per the directions, all Public Sector Undertakings have to pay the Examination Fee in
respect of their employees appearing for various examinations under Hindi Teaching
Scheme and the examination fee payable by the Corporation is as follows:
1. Prabodh-Rs. 40/- per trainee
2. Praveen-Rs. 40/- per trainee
3. Pragya-Rs. 50/- per trainee
28.4 Examination and Assessment:
a. The examination time schedule for all the above courses will be issued by the
examination wing of the Hindi Teaching Scheme from time to time.
b. There will be two question papers having 100 marks each for written examinations for
each of the three courses i.e. Prabodh, Praveen & Pragya.
c. In order to qualify in the examination, a candidate must secure a minimum of 30 marks
in each paper but the aggregate of marks obtained in Paper – I & II should not be less
than 40 percent.
28.5 Internal Assessment :
a. Besides, 100 marks are earmarked for internal assessment, which shall be awarded
on the basis of the evaluation of the candidates’ performance in the Response Sheets
submitted by them for evaluation to this wing.
b. Marks secured in the internal assessment will not be added to the total marks
obtained by the trainees in written paper. However, the candidates securing less than
40 marks in internal assessment will not be declared successful in the examination
The sponsoring authorities are requested to ensure that the employees seeking admission to
correspondence course do appear in the examination also.
28.6 How to Apply :
For admission to these courses, the applications in the prescribed format duly forwarded by
the Controlling Officers may be sent to the Deputy Director (Sansthan), Central Hindi Training
Institute, Department of Official Language, Ministry of Home Affairs, Government of India, 2-
A, Prithviraj Road, New Delhi – 110 001
(Ref: No. O.M. No. 19015/5-2003/C.C./C.H.T.I/1292-2792, Dt: 22.04.2003)
28.7 INCENTIVES FOR STUDYING HINDI
The Management is pleased to announce Scheme for grant of incentives and cash awards for
passing Examinations in Hindi as detailed below:
Sl Examination Lump sum Cash awards for Personal pay
No for passing high marks
1. Prabodh (Hindi Rs.500/- Securing 70% or more –
Teaching Scheme) Rs.400/-
Securing 60% or more but Nil
below 70% – Rs.200/-
Securing 55% or more but
below 60% –Rs. 100/-
28-3
Sl Examination Lump sum Cash awards for Personal pay

No for passing high marks
2 Praveen (Hindi Securing 70% or more –
Teaching Scheme) Rs.500/- Rs.600/-
Securing 60% or more Nil
but below 70%– Rs.400/-
Securing 55% or more but
below 60% –Rs. 200/-
3 Pragya (Hindi Securing 70% or more – Equal to one increment
Teaching Scheme) Rs.600/- Rs.600/- for a period of twelve
Securing 60% or more but months. In respect of
below 70% – Rs.400/- Executives this will be
Securing 55% or more but admissible only if they
below 60% –Rs. 200/- have secured 60% or
more marks.
4 Hindi Typewriting Rs.400/- For Securing 97% or more Personal pay equal to
Examinations under marks – Rs.450/- one increment for a
the Hindi Teaching For securing 95% or more period of twelve months.
Scheme of Govt. of marks but less than
India for Jr. Assts., 97% – Rs.300/-
Typists and For Securing 90% or
Stenographers more marks but less
than 95% – Rs.150/-
5 Hindi Stenography Rs.750/- For Securing 95% or more Personal pay equal to
examinations under marks – Rs.450/- one increment for a
the Hindi Teaching For securing 92% or more period of twelve months.
Scheme of Govt. of marks but less than
India for Jr. Assts., 95% – Rs.300/-
Typists and For Securing 88% or more
Stenographers marks but less than 92% –
Rs.150/-
6 Such Hindi Rs.600/- Nil Personal pay equal to
Examinations one increment for a
conducted by the period of twelve months
voluntary Hindi to non-executives only.
organizations
recognized by the
Govt. of India as
equivalent to or
higher than the
Matric examinations
7 Hindi Parichaya Rs.600/- Nil Personal pay equal to
examinations of the one increment for a
Central Hindi period of twelve months
Directorate to non-executives only.
28-4
The following examinations of the Dakshina Bharat Hindi Prachar Sabha have been recognized by
Govt. of India as equivalent to the examinations noted against each:
Praveshika = Matric
Visharad = Inter
Praveen = B.A.
(Authority: 1. Chairman’s Procs.No.345/E&G/80,dated 10.11.1980.
2. Procs. No.P&A/1723/CI-1/91-2, Dated: 26.06.1991.
3. Proc.No.P&A/2833/CI-1/Rules/95,dated 09.06.1995.
4. Proc.No.P&A/12601/CI-1/Rules/95,dated 07.03.1996.)
28.8 INELIGIBILITY FOR THE AWARDS:
i The employee who has passed matriculation or Not eligible for passing any
equivalent examination or a higher examination Hindi Examination
with Hindi as a subject or through Hindi medium
ii. Who has passed the Middle (Class VIII) or Not eligible for award for passing
equivalent examination or a higher examination Prabodh or Praveen examination
with Hindi as a subject or through Hindi medium.
iii Who has passed the primary (Class V) or Not eligible for award for passing
equivalent or higher examination with Hindi Prabodh examination
as a subject or through Hindi medium.
iv Who before joining the employment of the Not eligible for incentive for Hindi
company had a speed of 25 words or more Typewriting Examination.
per minute in Hindi Typewriting
v. Who has already received training in Not eligible for incentive for Hindi
Hindi Typewriting from an Institution Typewriting Examination.
recognised by the Government and has
passed a test in Hindi Typewriting there from.
vi. Who before joining the employ of the company Not eligible for incentive for Hindi
had declared that he had a speed of 80 words Stenography Examination.
or more per minute in the Hindi Stenography
vii. Who had already received training in Hindi Not eligible for incentive for Hindi
Stenography from an institution recognised Stenography Examination.
by the Government and has passed a test in
Hindi Stenography there from
viii. Who pass an examination higher than the Not eligible for incentive for Hindi
one prescribed for them as the final examination Stenography Examination
will not be granted the incentive
28.9 Scheme for Cash Award for Praveen Uthrardh Course:

In order to encourage the study of Hindi Language among employees and their family members,
a scheme for Cash Awards for the first three rank holders in Praveen examination, every year
was introduced with effect from July 2002. The details of the scheme are as under:
28-5
A. Eligibility:
a. Those who pass the ‘Praveen Uthrardh” conducted twice (February / August)
every year by DBHPS or “Praveen” conducted by Central Hindi Training
Institute, MHA, GOI, through correspondence are eligible.
b. The scheme is applicable to NLC employees (including those working in
Regional Offices), their spouses and wards only.
B. Categories excluded from the scope of the scheme
a. Those whose mother tongue is Hindi
b. Those who have studied Hindi as a language /medium of instruction at school
level.
C. Mode of selection and Award
a. Eligible applicants will be ranked and selection will be made by a committee.
b. The cash awards and merit certificates will be presented by the Chief Guest
participating in the Republic Day and Independence Day Celebrations
organized by DBHPS, Neyveli Chapter, every year in January / August.
c. The scheme will be managed by W&A/CO, in liaison with DBHP Sabha,
Neyveli.
D. Nature of Award
a. Cash Award of Rs. 1000/-, Rs. 750/- and Rs. 500/- for the first three rank holders
in Praveen Examination, twice every year.
b. The Merit Certificate / letter of merit applications along with copies of the mark
sheets may be submitted to Welfare & Amenities Division / P& A Department,
Corporate Office.
(Ref: Circular No. CORP/P&A (W&A)/1307/Hindi Award/2003, Dt: 29.04.2003)
28.10 Scheme for Cash Award for Praveen Uthrardh Course:
The trainees of correspondence courses of such as Prabodh, Praveen and Pragya who
participate in the personnel contact programmes organized by the correspondence courses
wing of Hindi Training Institute, will be treated as “On Duty” and TA/DA expenses will be borne
by NLC subject to following conditions.
a. The candidates should attend the contact programmes conducted by the Office of the
Hindi Teaching Scheme situated nearer to their place of Employment. Details of the
office situated in various places along with the respective region where the candidate
is to attend the personal contact programme is furnished below.
1. Dy. Director (South) For Trainees from Tamil Nadu,
Hindi Teaching Scheme Andra Pradesh and Kerala
E-3-C, Block, Besant Nagar,
Chennai – 600 090.
2. Dy. Director (East) For Trainees from West Bengal
Hindi Teaching Scheme Orrisa, Assam, Nagaland
18th Floor, Nizam Place Tripura, Port Blair, Lakshdeep
234/4, Acharya Jagdish
Chandra Bose Road,
Calcutta – 700 020.
28-6
3. Dy. Director (West) For Trainees from Maharastra,

Hindi Teaching Scheme Gujarat, Goa and Karnataka
3rd Floor, Commerce House
Qurrimonoy Road, Ballard (E),
Mumbai – 400 038.
4. Dy. Director (Central) For Trainees from UP., Bihar
Hindi Teaching Scheme and Madya Pradesh,
646, Naiper Town, Bhavar Tal (Excepting Meerut, Mathura
Jabalpur – 482 001 and Faridabad).
b. They should produce of their travel (Bus Tickets) and proof of attendance (certified
by the concerned authority)
c. The TA/DA will be paid irrespective of whether the candidates pass the
examination or not.
As done in the case of incentive for passing Hindi Examinations, processing these TA/DA
claims rest with Hindi Cell of P&A Department at Corporate Office
(Ref: Circular No. CORP/P&A (W&A)/1307/5635/99, Dt: 29.10.1999)
28.11 OTHER CONDITIONS FOR THE GRANT:
28.11.1 For the grant of lumpsum award, the employees concerned will have to pass the
prescribed examination within a period of 15 months from the date of their first
appearance at the said examinations.
28.11.2 The employees, who had at any time received training at any Centre of the Hindi
Teaching Scheme, for howsoever small a period, will not be eligible for the grant of
lumpsum award on passing the examination pertaining to the said training
excepting in the case of operational staff. (Operational staff has been generally
defined to cover such staff as have no fixed place of duty or uniform hours of work or
who remain mostly on tour and for that reason, cannot be spared or are unable to
attend Hindi classes regularly).
28.12 PERSONAL PAY:
The personal pay will be granted to the concerned employee for 12 months with effect from
any one of the following dates of his choice:
a. The first of the month following the month in which the results of the examination are
announced;
b. The date of annual increment which falls due after the announcement of the results of
the examination (which would mean an advance increment over and above the
increment).
The concerned employee will have to exercise his option in this connection within a period of
three months from the date of the declaration of the results. The option exercised shall be
treated as final. If an employee is on leave on the date of the declaration of the result, the
period of three months will count from the date on which he resumes duty after return from
leave.
If an employee does not exercise his option within a period of three months from the date of
declaration of the results of the examination, it will be deemed that the concerned employee is
not interested in the personal pay. No personal pay will be granted to such an employee.
The personal pay for acquiring qualification in Hindi will not count for any purpose such as
CPF (Member’s subscription and employer’s contribution), gratuity, DA etc.
28.13 PROCEDURE FOR APPLYING FOR THE AWARD:
Applications for the award should be sent to the P&A Department in the form below in a
complete shape together with the prescribed enclosures.
28-7
APPLICATION FOR CASH AWARD FOR PASSING HINDI EXAMINATION

1. Name in Block Letters -
2. Designation -
3. Unit/Office in which working -
4. Mother Tongue -
5. Highest Educational Qualification (Non-professional) -
6. Date of initial appointment in NLC -
7. i. Name of the examination passed for which -
the award is now claimed
ii. Month and year in which passed -
8. If the examination mentioned in Column 7 is -
Praveen / Pragya, month and year of
Passing the previous examination(s)
9. Enclosures attached:
a. Mark list of the examination mentioned
against item 7 (original or attested copy) -
b. Mark list of the Matriculation or SSLC
examination (original or attested copy) -
c. Mark list of the examination mentioned
against item 7 (original) -
10. Certified that:
i. Hindi is not my mother tongue.
ii. Hindi was not a subject in any of the
examinations passed by me at the end of the
School or college courses.
iii. I have not passed an examination in Hindi
equivalent to Matriculation or having Hindi
as one of the subjects in an examination
equivalent to matriculation conducted by the
Dakshan Bharat Hindi Prachar Sabha or any
other public or private organisation.
11. I opt to draw the personal pay with effect from the first of the month following the
announcement of results of the examination viz., .……………/ from the date of my
next increment.
SIGNATURE OF THE EMPLOYEE
Endt. No.
Forwarded to P&A Dept.
2.The particulars given above have been verified and found to be correct.
SIGNATURE OF THE HEAD OF UNIT/OFFICE
28-8
28.14 FREE USE OF HINDI – ENGLISH DICTIONARY:

Ten copies of Hindi – English Dictionary will be kept with the Additional Chief Manager
(Corporate Office), Corporate Office Buildings, Block–1. Employees who appear for
Praveen or Pragya Examination can get the Dictionary on loan from the Additional Chief
Manager/Corporate Office for use in preparing for the examination and return it after the
examination is over.
(Authority: 1. Chairman’s Procs. No. 345/E&G/80,dated 10.11.1980.
2. Proc.No.P&A/2833/CI-1/Rules/95,dated 09.06.1995.
3. Proc.No.P&A/12601/CI-1/Rules/95,dated 07.03.1996.)
*****
29-1
29. SCHOLARSHIP TO WARDS OF EMPLOYEES

29.1 NLC EMPLOYEES CHILDREN MERIT SCHOLARSHIP
SCHEME:
With a view to encourage improved performance among wards of employees in Education, merit
scholarships, and cash awards were introduced in N.L.C. in 1982.
In order to widen its scope and to encourage the wards to pursue higher education, the eligibility
parameters/rates of scholarship are revised with the approval of Board in April 1999. The salient
features of cash award and scholarship schemes are as under:
29.1.1 SCHOOL LEVEL - CASH AWARDS
STANDARD PATTERN RANK/POSITION LUMPSUM

CASH AWARD
XII CBSE All India Rank Holders/First in School Rs.2000/-
XII CBSE Others who secure 80% and above Rs.1000/-
XII STATE PATTERN State Rank Holder / First in School Rs.2000/-
XII STATE PATTERN Others who secure 90% and above. Rs.1000/-
X CBSE All India Rank Holders/First in School Rs.1500/-
X CBSE Others who secure 80% and above Rs.500/-
X STATE S.S.L.C./
MATRIC. State Rank Holder / First in School Rs.1500/-
X STATE S.S.L.C./
MATRIC. Others who secure 90% and above. Rs.500/-
29.1.2 MEDALS - GOLD / SILVER MEDAL TO RANK HOLDER:
All India / State first rank holder - Gold Medal (8 gms.)
Second / Third rank holder – Silver Medal ( 75 gms.)
Chairman-cum-Managing Director has announced that medals will be presented to
the rank holders from among pupils learning in various schools of Neyveli as
detailed below:
a. Gold medal for the Topper in the State Syllabus among the schools of
Neyveli (State First).
b. Silver medal for subject Toppers among the Neyveli Schools. (CBSE)- If
secured among the ranks announced by CBSE.
c. Second Top Student of the State Syllabus will also get a Silver Medal.
(State Second) – If secured among the rank announced by Tamil Nadu
Government.
(Authority: Chairman’s Secretariat Note Order Dated: 24.06.1986.)
29.2 MERIT SCHOLARSHIP: (DIPLOMA / GRADUATION LEVEL):
29.2.1 NLC EMPLOYEES CHILDREN MERIT SCHOLARSHIP SCHEME:
The eligibility parameter / rates of merit scholarships are as under.
29-2
This Scholarship is extended to only Wards of employees who secure 75% and
above marks in the qualifying examination viz, ‘ XII Standard’ for Degree Courses
and ‘X Standard’ for Diploma Courses.
All eligible Wards of employees will be ranked each year and First
175 students in the Descending Order for XII Standard and 25 students for
X Standard from among the applicants irrespective of the school in which they
study (in Neyveli and else where) will be considered for Scholarship, respectively
for graduation and Diploma courses. The enhancement of number of scholarships
is approved to accommodate all the students who have secured same marks as to
that of the 175th/25th student.
29.2.2 It has been decided to increase the number of Scholarship under Employees
Children Merit Scholarship Scheme from 175 to 300 with effect from the academic
year 2006-2007.
All other terms and conditions for awarding scholarships will remain unaltered.
(Reference: Lr.No.CORP/P&A(Welfare)/1305/Scholarship/2006, dt:13.11.2006)
29.2.3 It has been decided to increase the number of Scholarship under “Employees
Children Merit Scholarship Scheme” from 300 to 375, with effect from the academic
year 2007-2008.
(Reference: Cir.No.CORP/P&A(Welfare)/1305/0001/Scholarship/2007-1,
dt:27-07-2007)
The Rates of Scholarship as under:
SL. NATURE OF Amount payable per Annum REMARKS
NO. THE STUDY /
COURSE For Study For Hostel
1. General Degree / Rs.2,400/- Rs.2,500/- Hostel – Rs.250 x
Diploma Courses per annum per annum 10 Months
maximum
per annum.
2. Engineering / Rs.3,600/- Rs.2,500/- Hostel – Rs.250 x
Medicine Per Annum per annum 10 Months
maximum per annum.
3. Engineering Actual (Admission Rs.3,000/- Hostel – Rs.300 x
BITS / IIT Fee,Tuition Fee + per annum 10 Months
(Exclusive) Fee towards maximum
Project Studies) per annum.
29.3 REGULATIONS GOVERNING THE SCHEME:
29.3.1 The Scheme covers the Wards of employees only.
29.3.2 The Scholarship is awarded only for higher studies in institutions such as
Polytechnics / Colleges, up to Diploma / Degree Level.
29.3.3 The previous practice of awarding the Scholarship amount only after the
completion of the given academic year is done away with. Under the present
scheme the scholarship amount will be paid to all selected students during the year
of study.
29-3
29.3.4 Those who are already enjoying scholarship benefit for higher studies under any
other scheme, of any organization / agencies are not eligible to apply for the same
under this scheme.
29.3.5 In case of discontinuance of studies or moving out of college / hostel after receiving
the benefits under this scheme, the employee whose ward is receiving the
scholarship should inform the management in writing without fail and total amount
of scholarship received by the employee should be refunded to N.L.C. Failure to
do so will attract penal interest at the rate of 17.50% in addition to taking disciplinary
action against them.
29.3.6 The Merit Scholarship is also extended to those wards of employees who were
selected for the Scholarship while the concerned employees were in service and
subsequently ceased to be the employees of the company on account of death or
Superannuation or Voluntary Retirement till the completion of the course, subject to
Rules and Regulations.
(Ref. No.CORP/P&A (W&A)/1365/1349/Scholarship/2002, Dt.28-6-2002)
29.4 PRIVATE HOSTEL:
Payment of Hostel fee for those who stay in Private Hostels is subject to the following
conditions:
29.4.1 A certificate should be obtained every year by the student from the educational
Institution stating that,
a. The Institution is not running any hostel on its own, or
b. The Institution could not accommodate the student in their hostel and / or
c. The Private Hostel is Sponsored / patronized by the Institution.
29.4.2 Production of Bonafide Hosteller Certificate from the concerned Hostel Warden for
the year of claim
(Ref. No.CORP/P&A (W&A)/1305/4770/Scholarship/2000, Dt.21.11-2000)
29.5 Shri S. YEGNESWARAN (FORMER CMD, N.L.C.) SCHOLARSHIP FOR B.E. MINING at
Anna University , Chennai:
The Management has instituted a Scholarship in the name of Shri. S. Yegneswaran, former
CMD, N.L.C. exclusively for the study in Mining Engineering at Anna University, subject to the
following conditions.
29.5.1 Number of Scholarship is ONE only.
29.5.2 The Scholarship is restricted to the wards of N.L.C. Employees only.
29.5.3 The ward should have secured admission in B.E. Mining Engineering Degree
Course at Anna University, on his own merit.
29.5.4 In case of more than one application, the ward of the Parent employee whose total
income is the lowest will be given preference.
29.5.5 Selected candidate is eligible for reimbursement of his Admission/tuition and other
relevant fees subject to Maximum of Rs. 60,000/- (For the entire course).
(Authority: Procs.No.P&A/743/CI-1/Scholarship/1996, Dt: 08.03.1996.)
*****
30-1
30. SCHOLARSHIP TO WARDS OF SC / ST EMPLOYEES
30.1 NLC SC-ST SCHOLARSHIP FOR THE WARDS OF SC / ST EMPLOYEES:

30.1.1 The scheme covers wards of employees belonging to SC/ST community only.
30.1.2 To seek full representation of scheduled Castes / Scheduled Tribes candidates
against reserved points, NLC SC/ST Scholarship was introduced from January
1984 to award scholarships to students studying in Engineering Colleges /
Polytechnics in Tamil Nadu. On successful completion of the graduation / diploma
and subject to availability of vacancies such scholarship holders will be considered
on priority basis for employment in N.L.C.
30.2 COURSES ELIGIBLE FOR AWARD OF SCHOLARSHIPS:
30.2.1 The scholarship is limited to study of only full time Professional Courses in the
Recognised College / Institution in any of the following disciplines:
DIPLOMA IN ENGINEERING
DEGREE IN ENGINEERING /MEDICINE (BE/ MBBS/ BDS)
30.2.2 Total number of scholarship is restricted to 100.
30.2.3 It has been decided to enhance the annual intake of the SC/ST Scholarship
awardees from the present level of 100 to 125 with effect from the Academic Year
2006-2007.
(Reference: Lr.No.CORP/P&A/1211/SC-ST CELL/2006, dt:31-05-2006)
30.2.4. It has been decided to increase the number of Scholarship to the wards of NLC
SC/ST Employees from 125 to 175 and extend the Scholarship to all Under
Graduate Degree and Diploma Courses as in Merit Scholarship Scheme with effect
from the academic year 2007-2008.
(Reference: Lr.No.CORP/P&A/1211/SC-ST CELL/2007, dt:27-07-2007)
30.3 AMOUNT AND DURATION OF SCHOLARSHIP:
30.3.1 The scholarship amount payable per annum is restricted to Rs.4,200/- for
Diploma/General Degree Courses and Rs.5,500/- for Degree in Engineering/
Medicine. This is apart from the Hostel expenses which will also be reimbursed at a
rate of Rs.250/- per month, subject to a maximum of 10 months per academic year.
30.3.2 Once selected, scholarship shall be given till completion of course even if the
employee Retires / Dies during the course of study.
30.4 ELIGIBILITY CRITERIA AND CONDITION FOR AWARD:
Revised scholarship with effect from the academic year 2001-2002 is as follows:
30.4.1 With a view to encourage improved performance among wards of SC / ST
Employees, the rates of the scholarship and eligibility criteria were revised. In
order to make the scheme more pragmatic and in tune with the General Merit
Scholarship scheme, the scope of this scheme is widened as under:
30-2
30.4.2 Total number of scholarship is restricted to 175. If the number of applicants exceeds
this limit, the wards will be ranked based on marks scored by them in the qualifying
examination, and the first 175 students in the descending order will be selected for
scholarship.
30.4.3 In case of discontinuance of studies or moving out of college hostel after receiving
the benefit(s) under this scheme, the employee whose ward is receiving the
scholarship should inform the Management in writing without fail and the total
amount of scholarship received by the employee should be refunded to NLC.
Failure to do so will attract penal interest at the rate of 17.50% in addition to taking
disciplinary action on the employee concerned.
30.5 PROCEDURE FOR AWARD OF SCHOLARSHIP:
30.5.1 The previous procedure of awarding scholarship amount only after the completion
of the given academic year is done away with and instead scholarship to all
selected wards will be paid during the year of study.
30.5.2 Those desirous of availing the benefit under this scheme will have to apply, at the
first instance with the following Certificates.
v Bonafide Studentship Certificate and Hosteller Certificate issued by the
respective College / Institution authorities.
v Attested Copy of the Mark Sheet.
v Attested Copy of the Community Certificate.
v Certificate from the Principal / Head of the Institution where the student is
studying confirming that the student is not in receipt of any other
scholarship.
For subsequent years only the Bonafide Studentship Certificate and Hosteller
Certificate (for the year of study) need to be enclosed.
30.5.3 Rules pertaining to stay in Hostel is also relaxed and wards who pursue their
education by staying in Private Hostels are also eligible to get the reimbursement of
hostel expenses, subject to the following conditions:
1. A Certificate should be obtained every year by the student from the
concerned Educational Institution stating that:
v The Institution is not running any hostel on its own (or)
v The Institution could not accommodate the student in their hostel,
and / or
v The Private Hostel where the student staying is sponsored /
patronized by the Institution.
2. Production of Bonafide Hosteller Certificate from the concerned Hostel
Warden for the Year of claim.
However, no hostel fee is payable in cases where the Hostel facilities are
provided free of cost by the State Government / Central Government or
any other agency.
30.5.4 Cheques for the scholarship amount will be drawn infavour of Students and handed
over to the students through Liaison Officer.
(Reference : DGM/P&A's Lr.No.CORP/P&A/1211/SC-STCell/2007-2
dated 27.07.2007)
30-3

SC/ST CELL : P&A DEPARTMENT : CORPORATE OFFICE
APPLICATION FOR SC/ST SCHOLARSHIP
01. NAME OF THE APPLICANT :

02. DATE OF BIRTH :
03. WHETHER BELONG TO SC/ST :
(Mention the Community & sub-caste)
04. NAME OF THE EMPLOYEE :
05. C.P.F. No. :
06. DESIGNATION :
07. DIVISION/ UNIT/ OFFICE :
(with phone no.)
08. RESIDENTIAL ADDRESS :
09. TOTAL MARKS OBTAINED IN THE
QUALIFYING EXAMINATION : * X / XII /.......... out of …....Marks
10. NAME OF THE INSTITUTION WHERE :
THE CANDIDATE HAS JOINED/
NOW STUDYING
11. COURSE OF STUDY :
12. YEAR OF ADMISSION TO THE COURSE :
13. WHETHER STAYING IN HOSTEL : * YES/NO
14. IF YES, IS IT RUN BY THE INSTITUTION
OR PRIVATE : * Run by the Institution / College
or Private Hostel
SIGNATURE OF THE EMPLOYEE SIGNATURE OF THE APPLICANT
............................................................................. Office of the ...................................….
NLC Limited, Neyveli.
Certified that the particulars furnished above under Col.No.4 to 7 have been verified with reference to
Service Register and found to be correct.
Signature of the Unit/Division Head
* Strike whichever is not applicable
ENCLOSURES TO BE SUBMITTED ALONG WITH THE APPLICATION
Copy (Attested) of the Community Certificate Issued by the concerned. Revenue Authority
not below the rank of Tahsildar.
(a) Copy (Attested) of the Mark sheet of qualifying Examination.
(b) Bonafide Studentship Certificate.
(c) Bonafide Hosteller Certificate.
(Those who are already in receipt of this scholarship need to enclose item mentioned under
(c) & (d) only).
30-4
DECLARATION
I.....................................................................Son/Daughter of...............................................
Address.......................................................................................Pursuing full time Degree /
Diploma in ........................................................................………………....…(course) doing I/II/III/IV
(Year) at .....................................................................(College/Institution) Under
...............................................................................(University) certify that:
a. I belong to Scheduled Caste/Scheduled Tribe Community as defined in Government

of India, SC/ST directives,
b. I have read and understood the conditions and procedures for award of NLC SC / ST
Scholarship. I hereby undertake to abide by the said conditions and Procedures,
should I be selected for the said scholarship
c. All the particulars furnished are correct and true to the best of my knowledge
d. I am fully aware that violations if any will result in Penal Action as deemed fit by the
Management.
SIGNATURE OF THE
PARENT(EMPLOYEE) SIGNATURE OF THE STUDENT
PLACE:
DATE:
* Strike whichever is not applicable
BONAFIDE CERTIFICATE
Certified that Selvan/Selvi .................................................................................is doing I/II/III/IV

(year) in .............................................................(course) in the
................................................................. (college / Institution) during the academic year
……….............…
He / She is not in receipt of scholarship from State / Central Government or any other agency.
SIGNATURE OF THE PRINCIPAL /

HEAD OF THE INSTITUTION
(with office seal)
Place:
Date :
30-5
HOSTELLER CERTIFICATE
This is to certify that we have Hostel* / no Hostel and Selvi/Selvan...........................……..... Who is

doing I/II/III/IV year in.....................………....................................................(course) in
the.................................................……………......................(college/institution) during the
academic year ……………...
· (a) residing in the college hostel (or)
· (b) residing in a private hostel patronized/sponsored by us (or)
· (c) staying in private Hostel on his free will.
SIGNATURE OF THE PRINCIPAL/

HOSTEL WARDEN
(with Office Seal)
Place:
Date:
·Strike whichever is not applicable.
*****
31-1
31. SUGGESTIONS SCHEME
With a view to motivate the employees to make valuable suggestions utilizing their job
knowledge, skill experience and expertise, on the belief that only employees closest to their
jobs are the best persons to suggest changes for improving the overall performance in terms
of enhanced efficiency / productivity, production, quality of operation / services and cost
effectiveness, the following “Suggestion Scheme” is introduced with immediate effect.
31.1 SCOPE OF THE SCHEME:
The scheme covers all employees below the grade of M3. The areas covered are as under:
a. Suggestions for improving production/productivity in any Section / equipment /
Department.
b. Suggesting new methods, devices for making the work simpler and improving the
output.
c. Suggestions for improving the quality of product/maintenance/services.
d. Improving the safety in working conditions and reduction in accidents.
e. Avoidance or reduction in waste or wasteful procedures.
f. Improvement of general upkeep and cleanliness.
g. Elimination of bad, corrupt and wasteful practices.
h. Improvement in technology, methods and procedures of work.
i. Curbing pilferage of materials, equipment, etc if any.
The Scheme does not cover matters concerning employee grievances, Disciplinary action,
wage revision anomaly etc. and allied issues.
31.2 OPERATION OF THE SCHEME :
Employees who want to submit their suggestions may do so by filling up the prescribed
Format in duplicate and place it inside a sealed cover, with Name, Designation, Unit /
Department of the employee prominently described on top of the cover and put in the
Suggestion Box. The suggestion boxes will be kept in prominent places in all Units and
Offices and will be opened every month. The Unit level Committees concerned will study the
suggestions in detail at Unit level and all valuable suggestions will be forwarded to the
Corporate level Committee for further action.
31.3 UNIT LEVEL COMMITTEE:
The Unit Head concerned as its “Chairman” will head the Unit level Committees. The Unit
P&A Head will be the Secretary. The Unit Head will nominate 3 additional members including
from Finance, IE Wing, if available. Unit Heads at their discretion may co-opt from Technical
areas. The total strength of the committee will be restricted to minimum of 5 and a maximum
of 10 in each unit.
Unit Heads concerned will form the Unit level Committees within 15 days with the approval of
concerned Functional Director and communicate the same to the Secretary / Corporate level
Committee. Further changes in the composition of the Committee, will have to be with the
approval of concerned Functional Director and duly communicated to the Secretary /
Corporate level Committee.
31-2
31.4 THE CORPORATE LEVEL COMMITTEE:
The Corporate Level Committee will be headed by a Functional Director and members will be
Senior Executives from Mines, Thermal, Service Units, IE, Finance and P&A. The member
representing P&A will be the Secretary.
Accordingly the following Corporate Level Committee is constituted.
Director / Personnel - Chairman
CGM / Thermal - Member
CGM / Mine – II - Member
Head of the Dept. of Contracts - Member
CGM / Finance - Member
Head of the Dept. of I.E.Wing - Member
CGM / P&A - Secretary
The Corporate Level Committee will meet every two months.
31.5 SELECTION PROCESS AT UNIT LEVEL:
a. The Secretary of the Unit Level Committee will open the Suggestion Boxes during the
last working day of each month, collect all suggestions and record the relevant details
in a separate Register. He will convene the meeting in Consultation with the
Chairman of the Committee and prepare the minutes at the end of each meeting and
obtain signatures of all members.
b. The Committee will examine all Suggestions in detail and if need be, the concerned
employee(s) may be called for, further clarification.
c. The Committee is also empowered to seek expert opinion as and when required,
within the Unit/Organisation.
d. After a thorough study, the Committee based on its adaptability and usefulness will
select the Suggestions under the following categories.
Category-1 : BEST TECHNICAL SUGGESTION –resulting in increased output/

savings in production cost/maintenance etc.
Category-2 : BETTER EFFICIENCY - suggestions that offer better efficiency either

through elimination of pilferage / corrupt practice or otherwise.
Category-3 : BETTER SAFETY– suggestions that offer better safety standards to

men and machine.
e. In case of suggestions of General nature such as those on safety/efficiency/

pilferage/corrupt practice etc., wherein savings in terms of money cannot be
quantified, the value in terms of its easy adaptability and usefulness in improving the
efficiency of the machine and/or the workmen, the protection it offers to both, and the
improvement in the quality of work / work environment it tends to bring in, may be
quantified through technical evaluation, with the help of technical/ safety officials.
31-3
f. Employee(s) whose suggestion(s) whether accepted or not, may be intimated of the

fact in writing, using the Format enclosed.
g. The participation of the Chairman and Secretary are must in all meetings and the
majority will form the quorum.
31.6 FORWARDING OF SUGGESTIONS:
All selected suggestions may be forwarded to the Secretary, Corporate level Committee for
Suggestion Scheme. While one copy of the selected suggestions will be retained at Unit
level, the selected suggestion(s) in original, in independent sealed covers, along with the
detailed report of the committee on its merits, demerits, implications, expenditure involved for
implementation / modification, anticipated savings, etc., and the category of award
recommended, may be forwarded for further action.
31.7 FUNCTIONS OF CORPORATE LEVEL COMMITTEE:
The Secretary / Corporate level Committee who is the Co-ordinator will receive all
recommendations and seek clarifications if required and put up a brief status report, before
the meeting and call for the Corporate Level Committee Meeting, with the consent of the
Chairman/ Members.
All suggestions will be examined in detail by the Corporate level Committee and if need be the
services of the concerned employee, Chairman / Secretary / Member of the Unit level
Committee(s) will be called for. The Committee is also empowered to seek expert opinion
from internal/external source.
The Committee will finalise the list of winners on or before 30th April and submit the
recommendations to the CMD who will be the Approving Authority.
The awards will be presented during the “Independence Day” Celebrations every year.
31.8 NATURE OF AWARDS:
There will be three awards each year with amount varying from Rs.1,000/- to Rs.5,000/- and a
citation. The Committee could also recommend Consolation Award with lesser amount for
deserving cases.
Apart from this, the photos of all prize winners will be published in the House Journal. Based
on merits, Best Suggestor will be nominated for National level Competition conducted in this
regard.
31.9 GENERAL CONDITIONS:
a. NLC Ltd. will be the rightful owner of all suggestions sent, irrespective of whether
selected for award or not.
b. Management reserves the right to implement the suggestion, modify or to reject any
suggestion without assigning any reason.
c. Management has the right to effect changes in the scheme, as and when required.
31-4

Suggestion Form
Guidelines :
a. Form to be submitted in duplicate to Secretary / Unit (Suggestion Committee)

b. Main feature of the suggestion should give complete technical details of the scheme.
c. Sketch / drawings may be enclosed, if necessary.
d. Please tick whichever applicable.
e. Techno – economic details should indicate the efficiency / cost saving / any other
improvement. Economic results, if anticipated may also be indicated.
f. Additional blank sheets may be used, if necessary.
Unit / Department : ___________________ Division : _________________
Name : CPF No. : ………………………

Designation : Category : Executive
Supervisor
Workmen / Staff
Category of Suggestion : Technical Efficiency Safety
A. Title of the suggestion :
B. Main Features of the Suggestion :

C. Techno-economics / Savings :
D. Date of implementation :
(if implemented already)
Date: Signature of Suggestor

List of Enclosures:
-----------------------------------------------------------------------------------------------------------------------
For use by Secretary / Unit (Suggestion Committee)
Suggestion No:Received on:
Brief note on Action Taken:
Decision taken:
Date: Signature of Secretary
Replied on:
31-5
FORMAT FOR LETTER OF ACCEPTANCE
From: To :
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
Dear Sir,
Sub : Consideration of Suggestion - Reg.
Ref : Suggestion No...............received from Shri……………………………………
On behalf of the Unit (Suggestion) Committee, I would like to convey that the Committee
has appreciated the initiative and interest shown by you in contributing a suggestion on
……………………………………………………………………… and the same has been accepted
for further consideration.
It is also expected that you will continue with your innovative drive and come out with
many more valuable suggestions in future too.
A copy of this letter is being kept in your personal file.
With best wishes,
Yours Sincerely,
(SECRETARY )
UNIT (SUGGESTION COMMITTEE)
DATE: UNIT: ……….……………………..

31-6
FORMAT FOR LETTER OF NON-ACCEPTANCE
From: To :
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
--------------------------------------------------------- -------------------------------------------------
Dear Sir,
Sub : Consideration of Suggestion - Reg.
Ref : Suggestion No................ received from Shri…………………………
******
We thank you for initiative in giving the suggestion and after careful scrutiny, it has been
found your suggestion is not feasible.
It is expected that you will send valuable suggestions in future.
With Best Wishes,
Your Sincerely,
(SECRETARY )
UNIT (SUGGESTION COMMITTEE)
DATE: UNIT: ……….……………………..
*****
32-1
32. SPORTS ACTIVITIES
32.1 Objectives of Sports & Cultural Department

The objectives of the NLC sports & Cultural Department shall be:
32.1.1 To build up National level teams in sports and games and to arrange for their
participation in competition under NLC Banner, to uphold NLC’s honour at the
highest level in the Sports & Cultural field and to bring laurels to NLC Organization.
32.1.2 To Promote sports and games both among employees and Neyveli School
Students.
32.1.3 To provide institutional framework for channelising all sports activities.
32.2 Activities :
The NLC Sports & Cultural Department shall undertake
32.2.1 To field NLC teams for external tournaments
32.2.2 To sponsor District level / State level / All India level Tournaments
32.2.3 To sponsor sports activities during National holidays / celebrations
32.2.4 To Promote Inter Unit Matches within NLC Complex
32.2.5 To sponsor Inter Public Sector tournaments in Neyveli
32.2.6 To Sponsor Inter schools tournaments for schools within NLC Complex
32.2.7 To Sponsor Coaching camps for the promotion of Games and sports among the
public and schools in Neyveli and prepare the NLC teams for major competitions
32.2.8 To promote cultural activities and to support Cultural Bodies / Associations in
Neyveli.
32.2.9 To extend necessary financial assistance/support to the recognized Cultural
associations /Literary Associations for promoting cultural activities.
32.3 Other Procedures required for Sports & Cultural Department.
32.3.1 All the Sports & Cultural activities and expenditure shall be got approved by the
competent authority.
32.3.2 New tournaments and inviting new teams shall be got approved by the Unit Head. If
there is any gate collection for Sports or cultural programme, the gate collections
shall be credited to the funds of the corporation on a day-to-day basis.
32.3.3 The assets acquired from the funds of the corporation from time to time shall remain
the assets of the corporation and will not be disposed of without prior approval of
the corporation. The Sports & Cultural Department will observe all the relevant
procedures as have been prescribed by the Corporation for procurement of sports-
gear, equipments and other materials for use, by the Department. They will route all
the proposals relating to the above to the P&A Department which will be the
coordinative agency for such purposes. The representatives of the Sports &
Cultural Department shall be associated in Tender Advisory committee for the
selection of materials and equipments.
32-2
32.3.4 The used and unserviceable sports materials shall be disposed of by public auction
after giving notice to the general public with the approval of competent authority.
The proceeds shall be credited to the Corporation.
32.3.5 Sports & Cultural department may become members of various Sports
associations as may be necessary for furtherance of sports activities in NLC.
32.4. Award & Facilities for NLC employees and Neyveli School Students for meritorious
achievements in Sports &Games.
Meritorious students and employees are granted cash awards as per existing Cash Award Scheme.
Students are also provided TA,DA, Lodging charges for their participation in Tournaments
The details are as under:
Table – I Cash Awards for Neyveli School Students
Rank Cash Award for National Cash Awards for State and
Championship South Zone Championship
RS. P. RS. P.
First 750.00 375.00
Second 600.00 300.00
Third 450.00 225.00
Table – II Cash Awards for NLC Personnel

Rank Cash Award for Cash Award for
National Championship International Sports events
Rs. P Rs. P
First 2250.00 7500.00
Second 750.00 4500.00
Table – III DA, Lodging charges for Neyveli School Students

during Sports participation
Sl. No Allowances Rates per Day
1 DA Rs. 50.00 other than State Capital Rs. 60.00 for State Capitals
2 Lodging Rs. 50.00 other than State Capital Rs. 60.00 for State Capitals
Table – IV Other Incentives/Awards for coaches and Neyveli School Students

Sl. No Details Awards / Incentives
1 Incentive exclusively for Rs. 250.00 for representing District
students involved in team sports Rs. 500.00 for representing State
Rs. 1000.00 for representing the Nation
2 Blazer for students who represent To provide blazer with NLC emblem
the State Team in the Nationals costing around Rs. 1500.00 (or) Rs. 2000.00
32-3
Sl. No Details Awards / Incentives

3 Cash Award to honour Coaches Rs. 2000.00 for coaches producing National
with a maximum award of Medallist
Rs. 6000.00 in a financial year Rs. 1500.00 for accompanying State Senior
/ Junior team based on appointment by
respective state associations
Cash Award for Rs. 1000.00 for coaches
accompanying State School Team
(Ref Note No Sr.Mgr/110/SCB/dt. 30-10-02 approved by CMD )
32.5 Grant of On Duty/Special Casual Leave
a. Competent Authority for grant of On Duty for Sports and Cultural Activities within
Tamil Nadu will be General Manager in charge of Sports &Culture, for travel to other
States, approval of Director / Personnel will be sought.
(Cir Corp/P&A/1130/2001 Dated 18.08.2001)
b. Special Casual Leave for Sports and Cultural Activities (Delegation of Powers for
Director/Personnel in respect of grant of Special Casual Leave)
SLNo Nature of Work Extent of Powers Remarks
34 Grant of Special Casual Leave to Up to 30 days in a Only against an
employees for participation in the calender year approved list of Sports
athletic contests, Inter District, Inter (amended vide Lr.No and Games by the
State and All India Tournaments for 409/B3/2001-4 Management(amended
participation in other recreational and dt 20.08.2001) vide Lr.No 409/B3/2001-4
cultural activities of regional, National dt 20.08.2001)
and International Importance and for
injuries, if any, sustained by them and
as a result of such participation
32.6. Injury:
The employees participating in Sports &Games will be governed by the W.C.Act of 1923
wherever the provisions of the act is applicable or as per the above provisions which ever is
advantageous to the employees. If any injury is partial or permanent, total disablement
occurs to the employees due to participating in the Sports, he /she will be considered for any
available alternate employment purely at the discretion of the management.
32.7. Uniform and Kit
To maintain the decorum of NLC organizations, all selected employees for participation in
National championships/All India Public Sector tournaments shall be supplied Sports kit as
below:
a) Athletics One set of shorts, banians, spikes and warm up shoes and socks
b) Ball Badminton One set of banians, shorts, canvas shoes and socks
c) Shuttle
Badminton One set of banians, shorts, canvas shoes, socks and bats
d) Basketball One set of banians, canvas shoes, socks and shorts
e) Cricket One set of boots, socks, pants and T.shirts
32-4
f) Football One set of banians, shirts, boots, shorts and Hose

g) Hockey One set of banians, canvas shoes, socks, hose and sticks, shorts
h) Kabaddi One set of banians, shorts, canvas shoes and socks
i) Swimming One set of banians, swimming trunck, shorts, canvas shoes
and socks
j) Table Tennis One set of banians, shorts and canvas shoes and socks
k) Volleyball One set of banians, canvas shoes, socks
32.8. Flag/Banner
All Major Sports & Cultural activities within N LC Campus will be organized and staged under
the auspices of NLC Sports & Cultural Department and its banners as displayed in the
enclosed drawing .
The Blue signifies brawn and brotherhood
Green – riches economic and ecological
White – environ of industrial Peace
Yellow – all that is sanctimonious
Red and White – the radiating energy that sustains all
32.9. Sports & Cultural department Officer
A systematic approach of promotion of games needs vast organizing and the Senior
executive should handle all the correspondence on behalf of Secretary, Sports &Cultural
Department. The Senior Manager/Sports will be in charge of all sports materials and the
Stadium.
32.10. Inter School Competitions
Competitions in Games and Athletics at different levels shall be organized for students who
are studying in Neyveli Schools.
Coaching Camps
Best Players and athletes can be selected and coaching camps can be organized for them
Talent development programme for boys and Girls in Schools
At present there are 32 schools (Elementary, Middle, High and higher Secondary) in Neyveli
and more than 40,000 students are studying in these schools .To the hidden talent various
schemes are organized by the NLC Sports Control Board.
Rolling Trophies
Rolling trophies for winners and runners up will be given to highest points scoring of two
schools.
Indoor Competitions
It has been decided to conduct competitions in Carom, Chess and Table Tennis also
Coaching Camps
a) Swimming : It has been decided to conduct coaching camps for boys and Girls who
are below 14 years of age
32-5
b) Athletic Coaching Camps : Periodical Coaching camps will be conducted for the best
athletes who are selected from the Inter School Competitions. The Athletic Coach will
go to all schools and organize coaching camps. Summer Coaching camps will also be
arranged.
c) Games Coaching Camps: Intensive coaching will be given to 50-60 best players
selected in each game from Inter School Competitions. Coaching will be organized
regularly.
32.11. Sports Programme for Employees
Inter Unit Competitions: NLC is conducting Inter Unit Competitions in the following games
and Athletic Events every year.
Games Events
1. Ball badminton 100 mtrs
2. Football 200 mtrs
3. Cricket 400 mtrs
4. Shuttle cock 800mtrs
5. Tennis Long Jump
6. Hockey High Jump
7. Chess Javelin
8. Carroms Shot-put
9. Table Tennis Discus
10. Bridge Pole Vault
11. Basket ball Slow cycle Race
12 Tug of War Fancy Dress Competitions
13. Volley ball Swimming Competitions
Coaching
Coaches are giving coaching to the employees / Children who are coming regularly for
practice
Coaching Programme
The following will be the daily Coaching Programme of Coaches
Summer Winter Programme
05:45 Hrs 06:15 Hrs. Assembly of Students
06:00 to 06:30 Hrs. 06:30 to 07:00 Hrs. General Conditioning
06:30 to 8:00 Hrs. 07:00 to 8:00 Hrs. Coaching Students
10:00 to 13:00Hrs. 10:00 to 13:00Hrs. Office Work
16:00 to 18:30Hrs. 15:30 to18:00Hrs. Coaching students
Duties of the Executives / Coaches may be decided by the Unit Head / Management
from time to time.
*****
33-1
33. TRAINING & DEVELOPMENT ACTIVITIES
33.0 SCOPE OF TRAINING:

The Corporation’s training policy is based on the realization that the development of Human
Resource is crucial to the success of the Organisation. The Company believes in the efficacy
of Human Resource Development and has evolved Training and Development policy on a
dynamic setting. The following are the Corporation’s objectives as far as the Training &
Development policy is concerned.
To provide training opportunities for every employee to develop his/her potential.
To offer developmental training to employees matching with the Corporation’s as well as
individual’s growth needs.
To make the Training and Development activity continuous and updated, based on the
Technological, Social and Economical Development in the Environment.
33.1 NLC’S APPROACH TOWARDS THE ABOVE POLICY
Towards the achievement of the above objectives, the following Training & Development
activities are undertaken.
33.1.1 For existing employees:
33.1.1.1 In-House Training
Keeping in view of the Management Development and its objectives,
NLC conducts a variety of In-house Training Programmes of short
duration ranging from 1 to 5 days for different categories of employees
to ensure that they realise their full potential and perform at the peak of
their capacity.
Annual Training plan is prepared for every year by Training complex
and approved by competent authority. This plan indicates Type/Name
of the Programme, Collaborating Agencies, duration of each
programme, Number of such programmes contemplated for the year,
total participants to be covered by each type of programme; Level of
participation and approximate time of training programmes undertaken
& etc.
Evaluation Formats
For every In-house training program, an appropriate Learning/
Reaction/ Result/ Behavior evaluation format is to be designed by
training complex and all programs to be evaluated critically. Evaluation
formats to be approved by Director Personnel
Inter Organisation Training Programme
Since 1999 training programmes are extended to employees of near by
Organisation along with NLC employees under Inter-Organisation
Training Programme (IOTP) scheme, to achieve sharing of knowledge
and improve work culture. The external participants shall be charged a
nominal participation fee.
33-2
PROGRAM DAYS NON-RESIDENTIAL RESIDENTIAL

PARTICIPATION FEE PARTICIPATION FEE
1 DAY Rs.400/- per participant Rs.700/- per participant
2 DAYS Rs.800/- per participant Rs.1400/- per participant
For Residential participants, accommodation shall be provided at “H”
Block of Executive Guest House, Block-20 on double occupancy basis.
Participants shall also be provided with breakfast and dinner during
their stay
(NoteNo.GM/T&D/TC/IOTP/Fees/2004. Dt.01/04/2004)
33.1.1.2 Deputation Training:
The Second Stream of Management Development for the experienced
personnel is by deputation of key personnel in the area of Operation /
Maintenance / Service, etc., to a selected professional institutions to
gain specific skills and knowledge in the key areas. The number of
employees to be covered through this activity shall be decided every
year while deciding the Annual Training Plan & to be approved by
competent authority.
33.1.1.3 Foreign Training:
The third stream of training activities in this sector is foreign deputation
training. Based on their experience and professional knowledge,
employees are selected for foreign training to acquire know-how and
know-why skills of imported technology and science. The number of
employees to be covered through this activity shall be decided
depending on the requirement by the competent authority.
The following criterion shall be adopted for selection of executives for
various Advanced Management Programs abroad.
Approval of Chairman is communicated for adopting the following
criterion in respect of selection of executives to various Advanced
Management Programmes abroad.
33.1.1.3.1 Qualification: As per the requirements indicated in the
Notification/Invitation/Brochure of the respective
programme. However the individual under consideration
should not have gone abroad during the preceding 5
years.
33.1.1.3.2 Level: Executives of the level of DGM & above
33.1.1.3.3 Age: As per the requirements indicated in the
notification/Invitation/Brouchure of the respective
programme. However the individual shall not have
crossed 54 years.
33-3
33.1.1.3.4 Experience: As per the requirements indicated in the

Notification/Invitation/Brouchure of the respective
programme.
33.1.1.3.5 ACR Ratings: Ratings of the past 3 years of the

individuals is to be taken in to account. While a minimum
of “very good” rating is required, rating with “outstanding”
shall be preferred.
33.1.1.3.6 Reservation: Reservation for SC/ST as applicable based

on notification by the Govt. Presently it is 25% .
33.1.1.3.7 Selection Procedure: On receipt of notification/

invitation with brouchure, the relevance of the
programme vis-à-vis the requirement of NLC shall be
examined. Eligible names shall be circulated and
recommendations obtained from the respective
Functional Directors covering areas in which the
programme is scheduled. On receipt of suggestions/
recommendations the details of the individuals would be
scrutinised for their eligibility in respect of criterion at
Sl.No.1 to 4 above, the category to which the individual
belongs (SC/ST/ OBC/Gen.), number of training
programmes attended by the individual within
India/Abroad, number of slots to be nominated for the
programme etc. and the individuals will be short listed
with the concurrence of the respective Functional
Director. Upon short listing, the proposals would be
submitted along with vigilance clearance for approval of
CMD through Director/ Personnel.
33.1.1.3.8 Relaxation: Any relaxation on the above in deserving

cases be approved by CMD based on the
recommendation of the respective Functional Directors.
Ref:Lr.No. D(P)/45/2001. Dt.25.06.2001
33.1.2 Induction Training:
The intake of personnel for the organisation is taking place at two

places. One at the engineer level where young and qualified engineers
are recruited and two at the worker level (called Artisan level) where
youngsters duly qualified, ITI certificate holders, are recruited as
ARTISANS.
In both the cases, two separate schemes are under operation namely,
Graduate/Diploma Engineer Training scheme and Artisan Training
scheme. In both the cases well drawn out syllabus is in operation for a
period of one year, when at the end of the period after the process of
evaluation and declaring them fit they are regularised on requirement
basis in their respective levels. Orientation training of 15 days duration
is given to all newly inducted employees. Further, specific training
modules are to be designed to meet the requirements of the group.
33-4
33.1.3 Statutory Training:

As per the Apprentices Act 1961, certain statutory training schemes
are undertaken in the Training & Development Activities. Appropriate
training is given in different trades/disciplines for a period ranging from
1 to 2 years depending upon the trade/discipline. NLC has been
declared as one of the examination center by the Government for
conducting All India Trade Test. On an average every year about 800
ITI, Technician and Graduate Apprentices are trained under this
Scheme.
33.1.4 Collaboration Training:
Under this Scheme, NLC provides training facilities for
undergraduate/Postgraduate students/MBA Students for various
Universities and Educational Institutions.
INDUSTRY – INSTITUTION INTERACTION SCHEME:
Under this scheme, we provide Industrial Training (In-plant Training)
for the Diploma in Engineering, Under Graduate Professional Courses
such as B.E., for a period of 15 days and in some special cases up to six
months depending upon the curriculum requirement. Number of
students to be trained under this scheme shall be decided by Director
(Personnel) while finalizing the Annual Training Plan.
For B.Pharm., M.Sc., and other courses, the In-plant training is decided
on case to case basis with the approval of Director (Personnel)
Project Work facilities to the student of Professional Courses such as
B.E., M.E., MBA, MCA, M.Sc (Applied Science), M.Sc (Computer
Science) and other PG courses subject to the availability of facilities
and acceptance of the Unit Head. Number of projects to be given in a
year shall be decided by Director (Personnel) while finalizing the
Annual Training Plan.
M.Phil, Ph.D & Post Doctoral Research Scholars, etc., the project work
is decided on case to case basis with the approval of Director
(Personnel).
Training for BITS students
NLC is one of the Practice school for Birla Institute of Technology and
Science, Pilani since 1988. In an year around 20 students will undergo
Practice school I for two months and 14 students will undergo Practice
school II for five and a half months. A stipend of Rs 1000/= per month is
paid for the Practice school II students. The students will also be
provided free accommodation. Necessary budget provision shall be
made in the Annual Training Plan of Training complex.
33.1.5 Industrial Training for Professional Specialisation :
Under the Scheme, Industrial Training is provided to the Graduate
Mining Engineers and ICWA/CA Inter Passed Candidate on stipend
basis for a period of one year with the approval of the competent
authority.
33.1.6 Service Training Programme:
Regular Workshops/Seminars/Symposium are allowed to be
33-5
conducted at NLC Training Complex by various Manufactures and

Suppliers, to share their information of design of new products,
systems and procedures for the total benefit of employees. This
Service Training Programme is entirely sponsored by the
Manufactures and Suppliers. Facilities and halls shall be extended on
chargeable basis as decided by the Management from time to time.
Concerned Unit Head has to recommend for the Service Training
Programme.
Facilities for Outside Agencies:
Tariff structures for halls & Auditorium for outside agencies is given at
Annexure-I.
33.1.7 Resource Persons to Educational / Industrial Organisations.
The services of our Employees, as Resource persons, is extended to
the Educational Institutions and other Industrial Organisations as
Faculty/Consultants on specific request from the Institution/
Organisation, with the approval of competent authority. In such cases,
the Employees shall be permitted to offer such Services without any
financial commitment on the part of NLC.
33.1.8 Execution of bonds in connection with deputation for training abroad or
elsewhere in India and recoveries of amounts from employees who
default to fulfill the conditions of the bond executed will be as follows:
33.1.8.1 Bond Period:
Period of training.
For training elsewhere in India Bond Period
Less than two months No Bond.
Less than one year Three years
One year and above Five years
For training abroad Five years
(irrespective of the period of training)
33.1.8.2 Bond Amount
The bond amount shall be an amount equivalent to the
estimated expenditure on the training plus 10% towards
unforeseen expenses. The expenditure shall include not
only that incurred directly by the Corporation by way of
pay and allowances, tuition and other fees but also the
benefits such as stipends received by the individual as
well as cost of training, if any, borne by an outside agency
which will be roughly estimated if exact data cannot be
obtained. If these cannot be assessed before deputation,
the bond amount shall be provisionally fixed and a fresh
bond obtained later.
33.1.8.3 Recovery from defaulters
If a person serves for less than half the bond period, the
terms of the bond shall be fully enforced. In the case of
33-6
those who serve for half or more of the bond period,

recovery shall be proportionate to the unexpired portion
of the bond period with an addition of a further 20%
thereof towards an element of compensation to the
Corporation, for the loss of his services.
(Proc.No.204/E&G/67, Dt.23.05.67)
33.1.9 CONDITIONS FOR TRAINING FOR PERIOD FROM 7 DAYS AND
ABOVE UPTO 59 DAYS:
33.1.9.1 The period spent to the extent necessary to attend shall
be treated as duty. Employees shall be allowed TA & DA
as per Corporation’s rules.
33.1.9.2 Undertake to serve the Corporation after completion of
the Training for a period of one year. If he/she has to
leave the employment under the corporation during the
period of one year from the date of completion of the
training, he/she should remit the entire expenses incurred
by the Corporation on the Training.
33.1.9.3 Submit a detailed report on the work during the training
within one week of his/her return from the training. The
report should also indicate clearly and in specific terms
the benefits the corporation is likely to derive out of this.
33.1.9.4 Submit Acceptance Form before leaving for the program
& Course evaluation questionnaire after attending the
program to Training Complex. (Annexure II & III)
33.1.9.5 Arrange to see the concerned Unit Head within a week of
his/her return from the Training, Seminar, etc. and give a
presentation about the Training, Seminar, etc. and share
the experience.
33.1.9.6 Hand over the reading materials, pamphlets, study notes,
etc., supplied by the organisers to the Unit Library, for use
by all personnel and also for consultancy.
33.1.10 CONDITIONS FOR TRAINING FOR 60 DAYS AND ABOVE UPTO 1
YEAR:
(i) The period of absence from Headquarters to the extent necessary
to attend the training shall be treated as duty.
(ii) T.A. shall be paid for journeys from Neyveli to and other
places/sites during the training period.
(iii) Daily allowance shall be paid at the usual rates as per
Corporation’s rules during the training period.
(iv) The course fee of the trainee for the entire period of training
payable to the sponsor shall be borne by the Corporation.
(v) Employee should execute a bond for a sum (to be specified) each
in the prescribed form on a stamped paper. (value of stamp paper
to be decided as per the Government rules prevailing at the time.)
33-7
(a) Immediately on return after completion of training and in any case within
a week of such return, the employee should arrange to see the
concerned Unit Head and give him an account of the training they
attended. The fact of having met the Unit Head may also be reported to
Training Complex.
(b) Employee should hand over the reading materials, pamphlets, study
notes, etc., supplied by the sponsors during the training to the Unit
Library for keeping the same in a Central place for use by all personnel
and also for consultancy.
(Proc.No.TC/Trg/162/TI/85-3, Dt.6.2.85)
33.2 FACULTY HONORARIUM & TRAVEL REIMBURSEMENT:
I. Internal Faculty
Full Day (4sessions) Rs500/=
Half Day (2sessions) Rs250/=
1 session Rs125/=
The period of faculty services rendered by the Employees shall be considered as ON DUTY
with the approval of respective Unit Head & Unit Head of Training complex.
II. Professional charges for Guest Faculty from Neyveli other than NLC employees.
Up to Rs 750/= per day
III. Professional charges for Guest faculty from outside Neyveli.
1. Up to Rs 2000/= per day by Unit Head of Training complex.
2. Above Rs 2000/= up to Rs4000/= per day by Director (Personnel).
3. Above Rs 4000/= per day by CMD.
Guest Faculty shall be treated as the guest of the Corporation
Travel Reimbursement
Payment of Rs 1000/= towards conveyance without production of receipt. However if actual
fare exceeds Rs.1000/- shall also be considered for reimbursement to the Guest faculty on
production of documentary evidences with the approval of any one of the Functional
Directors.
IV. Professional charges for Ex-employees of NLC whose services are utilized as Guest
Faculty
As applicable to any other Guest faculty as at item II & III above.
(Note approval of CMD Dated 07/03/2003)
33.3 Unit Training Co-ordinators:
Unit Training Co-ordinator as recommended by the Unit Head shall be co-ordinating with
training complex, for nomination of participants.
33.4 FUNDING:
As per the National Training Policy, every year 1.5% of NLC’s salary budget shall normally be
allocated for the purpose of training. However, exact budget shall be allotted every year
based on the Annual Training Plan.
Annexure-I
TRAINING HALLS /AUDITORIUM TARIFF STRUCTURE
Programme Non-A/C Halls Mini Auditorium (121) &

A/C Halls Auditorium
Type Conference Hall (202)
GROUP-I GROUP-II GROUP-I GROUP-II GROUP-I GROUP-II GROUP-I GROUP-II
Prof. Govt./ Pvt.Inst/ Prof. Govt./ Pvt.Inst/ Prof. Govt./ Pvt.Inst/ Prof. Govt./ Pvt.Inst/
Bodies/ Org./ Samithis/ Bodies/ Org./ Samithis/ Bodies/ Org./ Samithis/ Bodies/ Org./ Samithis/
Edu.Inst/ PSU's Cultural Edu.Inst/ PSU's Cultural Edu.Inst/ PSU's Cultural Edu.Inst/ PSU's Cultural
Vol.Org. Org. Vol.Org. Org. Vol.Org. Org. Vol.Org. Org.
Training
Programmes/ 300 750 750 1500 1000 1750 1500 2500
Lecture/
Examinations
Other
750 1500 1000 2000 1500 2500 3000 4000
Programmes
Service
300 450 725
Charges
33-8
33-9
CONDITIONS FOR ALLOTMENT :
1. Allotment is subject to availability of the Halls after meeting the requirements of Training
Complex/NLC and also only if the written request is given in the appropriate letter Head and
authorized by the appropriate NLC officer as given in clause 8a & 8b of the Committee's
recommendation. Phone or Personal request need not be accepted.
2. Priority shall be given for Developmental Training Programmes such as

Training/Lecture/Examinations
3. Discount of 25% is admissible in the Tariff for programmes conducted in the evening hours of
working days.
4a. Dining Hall will be provided free of cost for programme arranged within the Training Complex
and Catering service is done by Training Complex Canteen.
4b. Rent for Dining Hall will be two times the applicable rent for Non-A/C Halls for programmes
arranged in Training Complex itself and catering service is not done by Training Complex
Canteen.
4c For programmes conducted outside the Training Complex, the dining Hall will not be permitted.
4d. Serving catering either in the verandas or in lawns, or in Training Halls is not permitted.
5. Using NLC Training Complex's LCD Projector with Computer will not be permitted
6. * Service charge as indicated above is applicable for the Halls & Auditorium on rent free basis
only. For the Halls allotted on rental basis no Service Charges will be collected.
7 To avail Training Halls for conducting Training Programmes/Lecture / Examinations, the

following conditions to be satisfied. Declaration to be given by any two Executives of NLC, in
the prescribed format given in Annexure-C in which they certify that i) it is a Voluntary
Organisation ii) it is only a Developmental Training Programme conducted free of participation
fees and any other fees and also it is not a sponsorship Programme.
8 The user should remit the Service Tax towards the rental charges/ Service Charges.
9. The next revision will be done 2 years after the implementation date.
10. Group-I includes Professional bodies, Ednl. Institutions, Established International Voluntary
Organization, Govt. Organisations. PSU'S
Group-II Private Organisations. Samithis, Cultural Organisations, Welfare Organisations

including Block Welfare Organisations, College Alumni / Old Student Associations, Linguistics,
Welfare Organs & Consumer Forum.
33-10
Annexure - II
ACCEPTANCE - FORM
(To be sent by the nominee, immediately after getting the proceedings, through proper channel)
From To
Name : The Unit Head
CPF No. : Training Complex
Design. : Block-20
Unit : NLC Ltd., Neyveli
Phone No. :
Procs. No. & Date :
Name of the Programme :
Duration :
Venue :
v I hereby communicate my acceptance to attend the above Programme
v I hereby communicate that I will not be able to attend the programme due to
...................................
Signature of the nominee
Date:
Strike out which is not applicable.
Endorsement No. with Signature of Unit Head.

33-11
Annexure - III
FEED BACK FORM
From To
Name : The Unit Head
Training Complex
Designation : Block-20
CPF No. : NLC Ltd., Neyveli
Division :
Unit :
Off.Ph.No. :
Procs.No. & Date :
Name of the programme :

Duration :
Venue :
Sir,
The Feed Back Form is furnished hereunder by duly answering the following questions, by entering
the appropriate alphabets in the boxes.
01. How far the programme fulfils the objectives?
a. Does not fulfil
b. Slightly
c. To a great extent
02. Did you learn anything that would be useful to you?
a. Nothing
b. A few things
c. A great deal
03. How do you rate the effectiveness of the Faculty?
a. Ineffective
b. Effective
c. Highly effective
04. How do you rate the effectiveness of the audio-visual aids used?
a. Not used
b. Slightly effective
c. Highly effective
05. How do you rate the effectiveness of the course materials received?
a. Not supplied
b. Slightly effective
c. Highly effective
33-12
06. Considering the course objectives, what was the level of the subject treatment?
a. Average
b. Advanced
c. Highly advanced
07. Please express you views on the case-studies, discussions, quizes, etc.
a. Few only used
b. Moderately used
c. Extensively used
08. Bearing in mind the general objectives of the course, what is your overall
assessment?
a. Unsatisfactory
b. Good
c. Excellent
09 How do you feel about the extent of the practical application of the Training input?
a. Not much
b. Good extent
c. Great extent
10. How do you rate the process and the organisation of the course?
a. Satisfactory
b. Effective
c. Highly effective
(SIGNATURE OF PARTICIPANT)
Date:
*****

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NLC PERSONNEL MANUAL

18 Leave Rules 18-1 to 18-49

19 Rules relating to Encashment of Leave 19-1 to 19-2

20 Rules relating to Travelling Allowance 20-1 to 20-26

21 Rules relating to L.T.C. and L.T.A. 21-1 to 21-22

22 Rules relating to Festival Advance 22-1 to 22-4

23 Rules relating to Conveyance Advance 23-1 to 23-27

24 Rules relating to House Building Advance 24-1 to 24-19

SECTION- IV - MOTIVATIONAL EFFORTS AND HRD PROGRAMMES

25 Bonus including Production Incentives 25-1 to 25-6

26 Service Awards / Gifts 26-1 to 26-3

27 Incentives for acquiring Additional Qualification 27-1 to 27-10

28 Incentives for studying Hindi 28-1 to 28-8

29 Scholarship to Wards of Employees 29-1 to 29-3

30 Scholarship to Wards of SC/ST Employees 30-1 to 30-5

31 Suggestions Scheme 31-1 to 31-6

32 Sports Activities 32-1 to 32-5

33 Training and Development Activities 33-1 to 33-12