ESIC seeks to revise the monthly automatic limit and transfer of funds


The Employees State Insurance Corporation (ESIC) on January 17, 2023, issued a notification regarding a revision in the monthly automatic limit and transfer of funds. ESIC has requested industrial units to send the proposal for revision of the monthly automatic limit of the units with the approval of the Head of the office before January 31, 2023, as per following conditions:

a. The fund request must be raised according to the Standard Operating Procedure (SOP) communicated. 

b. The fixed limit will be transferred 2 days before the last working day in every month. This fixed monthly transfer will not cover “other Administrative Expenditure”. Hence the proposal of fixed limit should only comprise Salary/Pension. PDB/DB and other cash benefits amount. 

c. Fund request should be raised for any other expenditure except (b) only after processing and passing of bills in ERP which is ready for payment. The Cash Book Balance must be mentioned in noting a portion of ERP as on date while raising fund requests which should be tallied with the online ERP Cash Book Balance. 

d. The concerned cash branch of accounting units should initiate the proposal for revision of the limit and place it before the Finance & Accounts Branch.

e. All the Accounting units must ensure that their quarterly expenditure is not exceeding the proportionate budget for the quarter and Annual Budget for the year. 

f. The proposal should be sent for RO/SRO and Branch Offices/DCBOs separately in detail as per the given proforma.

g. While preparing of Branch offices/DCBOs limit, the average expenditure of 6 months may be considered so that accumulation of funds at the Branch Office level may be minimized.

h. It will be the responsibility of AD(F), DD(F), and JD(F) of the accounting unit to avoid an accumulation of funds and keep a close watch on the Cash Balance of their Accounting unit as well as Branch Offices/DCBOs under their jurisdiction.

Leave a Reply

Your email address will not be published. Required fields are marked *

Fill in the form

    Labour LawsEnvironment, Health and SafetyDirect Tax lawsIndirect tax laws (GST/ Customs / VAT)Corporate Laws (Company Law, SEBI & FEMA)Food Safety LawsFinancial Service sectorInsurance SectorHealthcare SectorOther ancillary laws

    Do you want GST Refund ?

      Get In Touch

        Get Bulk Subscription