(1) The Commissioner shall credit to the account of each member interest at such rate as may be determined by the Central Government in consultation with the Central Board.
(2) (a) Interest shall be credited to the members account on monthly running balances basis with effect from the last day in each year in the following manner :
(i) On the amount at the credit of a member on the last day of the preceding year, less any sums withdrawn during the current years-interest for twelve months;
(ii) On sums withdrawn during the current year-interest from the beginning of the current year up to the last day of the month preceding the month of withdrawal;
(iii) On all the sums credited to the members account after the last day of the preceding year-interest from the first day of the month succeeding the month of credit to the end of the current year;
(iv) The total amount of interest shall be rounded to the nearest whole rupee (fifty paise counting as the next higher rupee).
(b) In the case of a claim for the refund under Paragraph 69 or 70, interest shall be payable up to the end of the month preceding the date on which the final payment is authorised irrespective of the date of receipt of the claim from the claimant concerned :
Provided that interest up to and for the current month shall be payable on the claims which are authorised on or after the 25th day of a particular month along with actual payment after the end of the current month :
Provided further that the rate if interest to be allowed on claims for refund for the broken currency period shall be the rate fixed for the financial year in which the refund is authorised.
Provided also that the rate of interest to be allowed on claims for refund for the broken currency period shall be the last declared rate on Employees Provident Fund and if the rate declared for any current year happens to be less than the previous year s declared rate, then it would accrue as bonus to the outgoing members and it shall be incorporated into calculation for deriving the current year s rate of interest at the end of the year and the claims settled under this proviso shall be final.
Explanation.- If an establishment is covered for the first time under the Act/Scheme during the course of the currency period the interest shall be allowed on all the sums credited to the members account on and from the first day of the month succeeding the month of credit to the end of the current year.
(3) The aggregate amount of interest credited to the accounts of the members shall be debited to " Interest Suspense Account".
(4) In determining the rate of interest, the Central Government shall satisfy itself that there is no overdrawal on the "Interest Suspense Account" as a result of the debit thereto of the interest credited to the account of member.
(5) Interest shall not be credited to the Account of a member if he informs the Commissioner in writing that he does not wish to receive it. If, however, the member subsequently asks for interest, it shall be credited to his account with effect from the first day of the period of currency in which he makes request therefor.
(6) Interest shall not be credited to the account of a member from the date on which it has become Inoperative Account, under the provisions of sub-paragraph (6) of paragraph 72.
