Funds deposited for NPS cannot be transferred to state govts

Jaipur: The central government on Monday again clarified that the funds deposited for National Pension Scheme (NPS) cannot be given to state governments as per the current laws. Both finance minister Nirmala Sitharaman and finance secretary Vivek Joshi said that if any state is expecting that the funds deposited for NPS can be returned to them then it is impossible.
Citing the recent crash in Adani group companies’ shares, Rajasthan chief minister Ashok Gehlot had earlier said that the employees of the state government cannot be left at the mercy of the share market where National Pension Scheme (NPS) funds are invested.He had also urged the Centre to give the funds of the state government employees deposited in NPS and said that the state will move to the Supreme Court if the funds are not transferred to the Old Pension Scheme (OPS) being implemented by the state government.“If one state expects that the funds deposited with the EPFO should be given to the states. If this is the expectation then no. Employees have the entitlement to the money. The deposited money is earning interest and there should be clarity that the money comes into the hand (employees) post-retirement. The money deposited will come into the hands of the govt, it is impossible,” Sitharaman told reporters.