Section 25: Employees’ State Insurance Fund.

1. Employees' State Insurance Fund:

 All contributions, user charges, and other funds collected by the Corporation are
placed in the Employees' State Insurance Fund.

 This fund is managed by the Corporation and used for the purposes outlined in
this Code.

2. User Charges and Other Beneficiaries:

 User charges collected from additional beneficiaries (as mentioned in section 44)
are considered contributions and become part of the Employees' State Insurance
Corporation.

3. Acceptance of Grants and Donations:

 The Corporation has the authority to receive grants, donations, and gifts from the
Central or State Government, local authorities, or individuals for the purposes
outlined in this Code.

4. Management of Funds:

 All funds received are deposited into a designated bank account, known as the
Employees' State Insurance Fund account.

 The Central Government approves the bank or banks where the funds are
deposited.

5. Investments and Deposits:

 The Corporation can deposit or invest the Employees' State Insurance Fund and
other monies in ways prescribed by the Central Government.

 The account mentioned earlier is operated by officers authorized by the Standing

Committee with the Corporation's approval.

Section 26: Purposes for which Employees’ State Insurance Fund may be expended.

1. Spending Guidelines for Employees' State Insurance Fund:

 The Employees' State Insurance Fund can be used only for specific purposes as
outlined below.
2. Benefits and Medical Treatment:

 Funds can be used for providing benefits, medical treatment, and attendance to
insured persons and their families as per the rules.

3. Compensation and Allowances:

 Payments include fees, allowances, salaries, and compensatory allowances to

various committees and members of the Corporation.

4. Infrastructure and Services:

 Expenses related to hospitals, dispensaries, and other medical institutions for the
benefit of insured persons and their families.

5. Contributions to Other Entities:

 Contributions can be made to State Governments, local authorities, or private

bodies for the medical treatment and attendance of insured persons and their
families.

6. Financial Management:

 Costs related to auditing, valuation of assets and liabilities, and expenses of

Employees' Insurance Courts.

7. Legal Obligations:

 Payments under contracts, court decrees, orders, or awards against the

Corporation or its officers.

8. Legal Proceedings:

 Costs related to instituting or defending civil or criminal proceedings arising from

actions under this Code.

9. Health and Welfare Measures:

 Expenditure on measures to improve the health and welfare of insured persons,

rehabilitation, and re-employment of those disabled or injured.

10. Other Authorized Purposes:

 The Corporation can authorize funds for other purposes with the prior approval of
the Central Government.
Section 27: Holding of property, etc

1. Property Rights:

 The Corporation has the authority, under conditions set by the Central
Government, to acquire, own, and manage both movable and immovable
properties.

 It can also sell or transfer any property it owns and perform necessary actions for
its established purposes.

2. Financial Investments:

 The Corporation, following conditions set by the Central Government, can invest
funds that are not immediately needed for Code-related expenses.

 It has the flexibility to reinvest or liquidate these investments as needed.

3. Loan Authorization:

 With prior approval from the Central Government and following prescribed
terms, the Corporation can raise loans and take necessary measures to repay those
loans.

4. Employee Benefit Fund:

 The Corporation has the authority to establish a provident or other benefit fund
for the benefit of its officers and staff or any specific class of them.

Section 29: Contributions

1. Components of Contribution:

 The contribution required under this Chapter for an employee includes two parts:
the employer's contribution and the employee's contribution. Both these
contributions are to be paid to the Corporation.

2. Prescribed Contribution Rates:

 The rates at which contributions, both from the employer and the employee, are to
be paid are determined and specified by the Central Government.

3. Wage Period Definition:

  The period for which an employee's wages are considered collectively is defined
as the "wage period." This period, specified in the regulations, is the unit for
which all contributions are calculated and paid under this Chapter.

4. Due Date for Contributions:

 Contributions for each wage period are typically due on the last day of that wage
period.

 In cases where an employee is employed only for part of the wage period or
works under two or more employers in the same wage period, the regulations
specify the days on which the contributions are due.

Section 31: Provisions as to payment of contributions by employer, etc.

1. Employer's Responsibility:

 The employer is required to pay both the employer's contribution and the
employee's contribution for every employee, whether directly employed or
through a contractor.

2. Recovery of Employee's Contribution:

 For employees directly employed, the employer can recover the employee's
contribution by deducting it from their wages, but only for the period related to
the contribution and within limits specified by the regulations.

3. No Deduction for Employer's Contribution:

 Neither the employer nor the contractor can deduct the employer's contribution
from the employee's wages.

4. Sum Deducted from Wages:

 Any amount deducted by the employer from the wages for contributions is
considered entrusted by the employee for the purpose of paying the specified
contributions.

5. Expense of Remitting Contributions:

 The employer is responsible for covering the expenses associated with remitting
the contributions to the Corporation.

6. Recovery from Contractor:

  If the employer has paid contributions for an employee through a contractor, the
employer can recover the amount from the contractor, including both the
employer's and employee's contributions.

7. Contractor's Register:

 The contractor must maintain a register of employees and submit it to the

employer before settling any amount payable under recovery from the contractor.

8. Recovery by Contractor from Employee:

 In cases mentioned in subsection (6), the contractor can recover the employee's
contribution by deducting it from the employee's wages, subject to specified
conditions.

9. Regulations by the Corporation:

 The Corporation has the authority to make regulations concerning any matter
related to the payment and collection of contributions under this Chapter.

Section 32: Benefits.

1. Entitlement to Benefits:

 Insured Persons, their dependents, or specified individuals are entitled to the

following benefits under this Code:

 (a) Periodical payments for sickness, certified by a qualified medical

practitioner (sickness benefit).

 (b) Periodical payments for women in case of confinement, miscarriage, or

pregnancy-related sickness (maternity benefit).

 (c) Periodical payments for disablement due to employment injury

(disablement benefit).

 (d) Periodical payments to dependents of an Insured Person who dies due

to an employment injury (dependants' benefit).

 (e) Medical treatment and attendance for Insured Persons (medical

benefit).

 (f) Payment for funeral expenses to the eldest surviving family member of
a deceased Insured Person, with a prescribed limit.
  Note: Funeral expense claims must be made within three months of the Insured
Person's death or as extended by the Corporation or authorized officer.

2. Extension of Medical Benefits:

 The Corporation has the authority, subject to regulations, to extend medical

benefits to the family of an Insured Person.

3. Qualifications and Conditions for Benefits:

 The qualifications for claiming sickness, maternity, disablement, and dependants'

benefits, along with the conditions, rates, and periods for these benefits, are
determined by the Central Government.

4. Regulations by the Corporation:

 The Corporation has the power to establish regulations concerning any matters
related to the accrual and payment of benefits under this Chapter.