F.No.

TA-2-01001/1/2020-TA-II/386
Government of India
Ministry of Finance
Department of Expenditure
Office of Controller General of Accounts
Mahalekha Niyantrak Bhawan,
GPO Complex, E-Block, INA, New Delhi-110023
…

Dated, the 30th April, 2021

OFFICE MEMORANDUM

Subject: Amendment in Civil Accounts Manual Revised Second Edition -2007 Volume- I &
II (Reprinted in 2012)

Please find enclosed a copy of the Correction Slip No. 12 to Civil Accounts Manual
issued by this Office for your kind information.

This issues with the approval of Controller General of Accounts.

(Neelakantan.R)
Sr. Accounts Officer(TA-II)
To

1. All Pr.CCAs/ CCAs/ CAs(ic) of Ministries/ Departments

2. DG(Govt. Accounts), O/o Comptroller & Auditor General of India, Bahadur Zafar Marg,
New Delhi
3. Addl. DG (B&A), Prasar Bharati, New Delhi.
4. Director of Accounts, UTs Administration- Andaman & Nicobar Islands/ Dadra and
Nagar Haveli and Daman & Diu/ Lakshadweep/Ladakh.
5. The AG(A&E), UT of Chandigarh Administration.
6. PAOs, Lok Sabha Secretariat/ Rajya Sabha Secretariat/ President Secretariat/Election
Commission, Delhi
7. PAO (Audit), O/o AG (Audit), AGCR Building, IP Estate, New Delhi-2
8. All Sections in CGA Office.
9. Sr. A.O. (ITD), O/o CGA for uploading the correction slip on the website of CGA.
Correction Slip No. 12.

S.No. CAM reference Amendments

1 Para 7.3.1 The following Note may be inserted below para 7.3.1.

Note: In accordance with Department of Pensions &

Pensioner’s Welfare OM dated 29.11.2016, all Heads of
Offices will have to mandatorily process all pension cases
and related benefits of Central Civil Pensioners through
BHAVISHYA portal only w.e.f. 01.01.2017. All the
stakeholders i.e. Head of Office (HOO), Pay & Accounts
Officer (PAO), Central Pension Accounts Office (CPAO) and
Pension Disbursing Authorities (PDA) will perform their
respective work of processing of pension cases and related
benefits of Central Civil Pensioners online through
BHAVISHYA portal. The main objective is to put in place a
seamless transmission of pension papers electronically from
Head of Office to Pension Disbursing Authorities for
disbursement of pensions.

PAOs who are competent to issue PPOs to various categories

of pensioners of Ministries/Departments shall issue PPO in
electronic form using their digitally signature through the
designated electronic payment platform used by PAO of the
Ministries/Departments. Such PPOs is termed as e-PPO. The
procedure for processing of pension cases online and issue of
e-PPO are given in Annexure-J.

Till such time as the seamless integration settles down, the

PAOs will continue to issue both the E-PPO and the manual
PPO. The banks will consume the e-PPO and reconfirm from
the manual PPO before crediting pension.
2 Annexure to Chapter After Annexure ‘I’, a new ‘Annexure ‘J’: Procedure for
7: Procedure for processing of pension cases online and issue of e-PPO'
Finalization, may be inserted.
Authorization and
accounting of
Pension payments

Authority: - CGA’s U.O. No. TA-3-6/4/2020-TA-III/CS-4750/33 dated 28-01-2021.

Encl.: Annexure-‘J’.
 ‘Annexure-J’
(para 7.3.1)

PROCEDURE FOR PROCESSING OF PENSION CASES ONLINE AND

ISSUE OF E-PPO

1.0 Role of retiring official: - The retiring official will submit online application in Form 5,
upload his/her joint photograph and signature through BHAVISHYA. He/She shall also submit
an undertaking through BHAVISHYA that he/she shall refund any sum credited by the
disbursing bank to which he/she is not entitled. The concerned Heads of Office will verify these
forms along with other documents and will forward to the PAO through BHAVISHYA after its
verification and due process.

2.0 Role of Head of Office: - Head of Office can view the list of employees who are going to
retire in the next 15 months under Retiree Details after Log in to BHAVISHYA. He can also
track the pension process of every case. In order to ensure expeditious pension payment, the
Head of Office of the Ministry/ Department is required to ensure the following: -
i. The Head of Office undertakes the work of preparation of pension papers with reference
to the provisions of the rules applicable regarding timelines; he has to undertake the
preparation of pension papers in Form 7 one year before the date of superannuation, or on
the date on which he proceeds on leave preparatory to retirement, whichever is earlier. He
is required to complete the pension papers eight months prior to the date of retirement of
Government servant.
ii. The Head of office will go through the e-service book of the employee and ensure that the
service is verified and complete in all aspects.
iii. The Head of Office has to upload the scanned PDF copy of the Certificate regarding the
length of qualifying service proposed to be admitted for the purpose of pension and
gratuity and the emoluments and average emoluments proposed to be reckoned for
retirement gratuity and pension payments, eight months before the date of retirement.
The Head of Office shall also furnish a certificate to the retiring Government servant to
this effect and direct him to furnish the reason for non-acceptance, supported by the
relevant documents in support of his claim within two months if the certified service and
emoluments as indicated by the Head of Office are not acceptable to him.
iv. The Head of office will send Form 5 to the retiree 8 months before the date of
retirement and advising to submit the same duly completed in all respect so as to reach the
Head of Office not later than six months prior to the date of retirement.
v. The retiree should also be asked to update mobile number and e-mail ID in the system so
that SMS and Email alert can be sent for online filing of forms.
vi. Head of Office can fill the retiree pension forms from the retiree’s login itself in case the
individual is unable to do so.
vii. Worksheet of Form 5, Form 7 and Form 8 are filled online along with calculation sheet
and other forms are to be checked by Head of office (HOO) before finally submitting to
 Pay Accounts Office (PAO). If any correction is required, forms can be returned online
with remarks /reasons.
viii. All the forms duly digitally signed by the Head of Office and the pensioner as the case
may be, along with e-Service Book of the Government Servant duly completed up to date
and any other document relied upon for verification of service shall be forwarded to the
Accounts Officer not later than four months before the date of superannuation of a
Govt. Servant and in cases other than retirements on superannuation not later than three
months after the date of submission of Form 5 by the Government Servant.
ix. The Head of Office will make available a copy of the pension calculation sheet, which
will include the details of period of service rendered, emoluments for pension, scale of
pay, etc. at the log in of the pensioner in the BHAVISHYA Portal.
x. Even after forwarding of the pension documents, if the Head of Office comes across any
event that may have a bearing on the admissible pension, he should immediately intimate
the same to the PAO.
xi. The Head of Office shall, after ascertaining and assessing the Government dues referred
to in Rule 71 of CCS (Pension) Rules 1972, furnish the particulars thereof to the Accounts
Officer in Form 8 (Rule 61 of CCS (Pension) Rules, 1972).
xii. The Head of Office can sanction Provisional Pension, if he is convinced that it will not be
possible to finalize the pension papers to be sent to the Accounts Officer within the
prescribed period. The sanction letter in such cases will be addressed to the employee
with a copy endorsed to the Accounts Officer.

3.0 Role of Pay and Accounts Officer- The BHAVISHYA portal has been integrated with the
pension module of PFMS. Therefore, pension papers forwarded by the Head of Office through
BHAVISHYA will be shown in the Pension Module of PFMS. PFMS- Pension
module comprises a provision of obtaining a retiree's/ pensioner's data electronically from
BHAVISHYA application of the Department of Pensions & Pensioner’s Welfare after data
verification from the Head of Office. On receipt of these documents in the pension module of
PFMS, Pay and Account officer is required to do the following: -

i. Verify the service records through the Service Book/e-Service book and apply prescribed
checks with reference to the applicable Pension rules, and assess the amount of
pensionary benefits.
ii. Determine the pensionary benefits admissible in respect of the incumbent with reference
to the relevant rules.
iii. Record necessary entries with regard to the authorized entitlements in the Service Book/e-
Service Book under the digital signature of PAO to avoid double payment.
iv. Apply the requisite checks, complete Part II of Form 7, assess the amount of pension,
family pension and gratuity, assess dues and issue the electronic pension payment order
(e-PPO) within three months of the date of receipt of pension papers from the Head of
Office in the cases of retirement otherwise than on attaining the age of superannuation.
 v. All the information forwarded by the Head of Office will be captured/filled for processing
pension and preparation/generating Electronic Pension Payment Order (e-PPO). These
data will be verified by the PAO.
vi. The amount of gratuity determined by the Accounts Officer should also be intimated to
the Head of Office electronically along with the details of other retirement benefits, for
the preparation of bills to be submitted online through pension module of PFMS to the
PAO for payment.
vii. The PAO concerned after applying the necessary checks prepares/generate the e-PPO in
the prescribed format given in CAM..
viii. The pensionary benefits admissible in respect of the incumbent will be determined with
reference to the relevant rules and necessary entries in the Terminal Benefits Register
with regard to the entitlements. Necessary entries with regard to the authorized
entitlements shall also be recorded in the Service Book/e-Service Book duly digitally
signed by PAO to avoid double payment.
ix. PAO will forward the e-PPO duly signed digitally along with requisite documents to the
Central Pension Accounting Office atleast one month in advance of the date of the
retirement of a Government servant on attaining the age of superannuation. The final
responsibility of the correctness of calculations and authorization of admissible pension is
that of the PAO.
x. In special circumstances if pension cases can’t be sent to PAO through designated digital
system by Head of Office, such pension cases may be allowed to enter manually in
Pension module of PFMS in order to generate e-PPO through PFMS.
xi. As and when the pension case is passed by the concerned Pay and Account office after
verifying the details of the pensioner in respect of the pension cases which are processed
through pension module of PFMS, the PPO Number will be allotted to the Pensioner.

4.0 Role of Central Pension Accounting Office: -

i. Central Pension accounting office will provide web service to the Pension Module of
PFMS for generating the Pension Payment Order Number in respect of the pensioners
covered under Old Pension Scheme and the pensioner covered under New Pension
System – Additional Relief. (NPS-AR).
ii. Directory of the authorized signatory of e-PPO will be shared by the PFMS, along with
public key with CPAO.
iii. On receipt of the e-PPO in both formats xml and PDF will appear in the Pension
Authorization Retrieval Accounting System (PARAS) as per the integration with pension
module of PFMS.
iv. The AO of CPAO will check the pension and other pensionary benefits with reference to
the Last Pay drawn mentioned in the e-PPO.
v. Thereafter, the CPAO shall forward the e-PPO along with the Undertaking from the
retiring government servant and other documents to the concerned CPPC of Authorized
 Banks. As soon as the data of the e-PPO is verified by the PAO of CPAO, the same will
be saved in the CPAO data base (PARAS).
vi. The information regarding issue of e-PPO by CPAO to Bank will be shared with PFMS
by CPAO.
If there is some discrepancy in the e-PPO, the pension case will be returned to PAO for making
necessary changes in PFMS.

5.0 Role of Pension Disbursing Banks

i. The Pension disbursing Banks will consume the e-PPO (both pdf and xml) sent by CPAO
to their Secured File Transfer Protocol (SFTP) servers and provide an acknowledgement
to CPAO.
ii. The Bank will consume the details provided in e-PPO in their pension software without
the need for any manual intervention and will process the pension payments based on
extant instructions.
iii. The Bank will verify the KYC details of the pensioner as per the details available in the e-
PPO and credit the pension to the bank account of the pensioner.
iv. The Bank will provide the e-scroll to CPAO with the list of pension payments made (PPO
number-wise). All cases of arrears paid will be so indicated in the e-scroll and the Paid
and Payable Statement based on which the arrears were drawn by bank shall be shared
digitally with CPAO.
v. The Bank will provide e-Pension slip, a copy of e-PPO, the Paid and Payable Statement
for each payment of arrears and relevant documents relating to pension to the pensioner.
vi. The Bank will also deduct TDS as applicable as per Income Tax Act from the pension
payment due and provides Form-16 to the pensioners.
vii. The Bank will take the life certificate through ‘Jeevan Pramaan’ from the pensioners in
electronic mode.

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