ALSO READSBI lowers min balance to Rs 3,000; exempts pensioners, minors How the fakes are eating into the dues payable to genuine pensioners Senior citizens can earn good returns from NPS Madras HC dismisses plea to revoke censor certificate of 'Mersal' Atal Pension Yojana finds 62 lakh takers in 2 years
A Bench of Chief Justice Indira Banerjee and Justice Nisha Bhanu gave the interim order at the Madurai Bench of the court on a public interest litigation filed by advocate S Louis, who sought exemption of the minimum balance criteria for the accounts in which old-age pension amount is credited.
The petitioner had submitted that the collection of penalty in such cases would defeat the purpose of the old-age pension scheme, which was aimed at helping people aged 65 and above who did not have financial support and to those suffering from certain conditions such as physical and mental challenges.
The petitioner said he wrote to the branch manager to stop the practice of deducting money from the old-age pensioners’ accounts. But there was no response.
Under such circumstances, it was not fair to ask the account holders to maintain a minimum balance.
If Rs 350 was deducted from such account, it would defeat the purpose of the scheme itself. The SBI had claimed that it had collected Rs 235.06 crore as penalty from 388.74 lakh account holders who did not maintain the minimum balance.
In all fairness, the amount collected as penalty from the old-age pensioners should be deposited back in their accounts.
He urged the court to intervene and direct the Reserve Bank of India, the Social Welfare Secretary, chairman of the SBI among others to exempt the minimum balance criteria to the accounts of old-age pensioners in the nationalised banks.