IREC Rule No.2021: Recovery Towards Additional Establishment (FR-127)

2021. Recovery Towards Additional Establishment (FR-127):-

When an addition is made to a regular establishment on the condition that its cost or a definite portion of its cost shall be recovered from the persons for whose benefit the additional establishment is created, recoveries shall be made under the following rules;

(a)   The amount to be recovered shall be the gross sanctioned cost of the service, or the portion of the service as the case may be, and shall not vary with the actual expenditure of any month.

(b)   The cost of the service shall include contributions at such rates as may be laid down under rule 2007 (FR-116) and the contributions shall be calculated on the sanctioned rates of pay of the members of the establishment.

(c)   The Central Government may reduce the amount of recoveries or entirely forego them.