Kisan Vikas Patra Rules, 2014

RBI/2014–15/463
IDMD(DGBA).CDD.No. 3484 /15.02.001/2014–15

Feb­ru­ary 09, 2015

Kisan Vikas Patra, 2014

1. We for­ward here­with a copy of the Gov­ern­ment of India Noti­fi­ca­tion No.G.S.R.705 (E) dat­ed Sep­tem­ber 23, 2014 regard­ing the Kisan Vikas Patra (KVP), 2014 Scheme for nec­es­sary action at your end. The Gov­ern­ment of India, vide this Noti­fi­ca­tion, has noti­fied the Kisan Vikas Patra Rules, 2014, which came into force with effect from Sep­tem­ber 23, 2014. As per the Noti­fi­ca­tion, the new Kisan Vikas Patra, 2014 Scheme, is required to be imple­ment­ed through the des­ig­nat­ed branch­es of the Agency banks, which have been autho­rized for Pub­lic Prov­i­dent Fund, 1968 (PPF, 1968) Scheme, togeth­er with Post Offices, doing Sav­ings Bank Work.

2. As per Rule 2(f) of the Kisan Vikas Patra Rules, 2014, autho­rized branch­es of the Agency banks, which are con­duct­ing PPF, 1968 busi­ness, are also eli­gi­ble for con­duct­ing the Kisan Vikas Patra, 2014 busi­ness. Agency banks may fol­low the same report­ing pro­ce­dure as pre­scribed for PPF, 1968 Scheme.

3. Details of account­ing pro­ce­dure for var­i­ous trans­ac­tions under the scheme are under final­iza­tion. Pend­ing this, trans­ac­tions under the Scheme may be clas­si­fied as under:
Receipt & Pay­ment : 8002 — Sav­ings Certificates
00–107 — Post Office­Cer­tifi­cates (New Series)
01- Cur­rent Series
02 — Kisan Vikas Patra
Inter­est : 8008- Income &Expenditure of Nation­al Small Sav­ings Fund
02 — Inter­est Pay­ment to Subscribers
102 — Inter­est on Nation­al Sav­ing Certificates
08 — Post Office Nation­al Sav­ing Certificates
09 — Kisan Vikas Patra
45 — Interest.

4. Report­ing of the KVP, 2014 trans­ac­tions i.e. receipt, pay­ment, penal­ty, etc. may be direct­ly cred­it­ed to the Gov­ern­ment Account at Cen­tral Account Sec­tion, Reserve Bank of India, Nag­pur on dai­ly basis like the trans­ac­tions of PPF, 1968, in order to have uni­for­mi­ty in report­ing, rec­on­cil­i­a­tion and accounting.

5. The Agency banks are required to observe the rules and reg­u­la­tions of the Scheme, and non-obser­vance of rules and reg­u­la­tions would attract penal action, includ­ing de-autho­riza­tion of the branch or bank. Pecu­niary lia­bil­i­ties, if any, aris­ing from such non-obser­vance shall be borne entire­ly by the bank.

6. You may, there­fore, approach Cen­tral Account Sec­tion, Reserve Bank of India, Nag­pur for nec­es­sary arrange­ments to report KVP, 2014 trans­ac­tions with imme­di­ate effect.

7. The respec­tive Agency bank will place the indent for the Kisan Vikas Patra cer­tifi­cates before the Nation­al Sav­ings Insti­tute (NSI), Sem­i­nary Hills, Nag­pur and pick up the required stock of KVP cer­tifi­cates from India Secu­ri­ty Press (ISP), Nasik. All the Agency banks are required to sub­mit peri­od­i­cal report regard­ing progress of the col­lec­tion in respect of KVP to the Bud­get Divi­sion, Min­istry of Finance, Gov­ern­ment of India, and New Delhi.

8. The con­tents of this cir­cu­lar may be brought to the notice of the branch­es of your bank oper­at­ing the PPF, 1968 Scheme. These instruc­tions should also be dis­played on the notice boards of your branch­es for information.

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