Committee set up to assess unclaimed amount in saving schemes

Finance Minister Arun Jaitley Wednesday appointed a committee to assess the unclaimed amount deposited in the public provident fund (PPF), post office saving schemes, and to suggest steps for utilisation of these funds for the benefit of senior citizens.

According to a Finance Ministry statement, the new committee has been set up under the chairmanship of Reserve Bank of India's (RBI) deputy governor.

"Procedure for bringing such unclaimed deposits to a common pool to be suggested by the committee. Changes, if any, required to be made in the legal framework may be suggested. Committee to also suggest if such a pool should be placed within Government account or outside it," the statement said about the scope of the new committees work.

The committee will submit its report by Dec 31, 2014.

Jaitley in his Budget speech had said had proposed to set-up a committee to examine and recommend how this amount can be used to protect and further financial interest of the senior citizens.

"A large amount of money is estimated to be lying as unclaimed amounts with PPF, Post Office, Savings Schemes. these are mostly out of investments belonging to the senior citizens and on their demise, remain unclaimed for want of relevant payment instructions," Jaitley had said.