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With reference to the para ‘1’ to ‘12’ of the board proceedings for streamlining Bye Laws of Death cum

Retirement Benefit scheme of Naval Dockyard (Mbi).

The database & statistics are not complete and matching with the data published vide MADMIN CAN
message dated 17 July 2015 (02 years back). The statistics mainly like no. of employee compared and
found mismatched. Therefore without knowing the actual year-wise statistics like nos. of employees,
nos. of death / retired / transferred / removed etc. the correctness of the said numerical/fund position
cannot be accepted or commented.

Also the outstanding DCRB balance as on 31.12.2011 is not provided.

In para ‘5’, the Liability with & without interest calculation not supported with any factors, therefore it is
difficult to understand how it has been calculated.

Corpus DCRB fund: held as fixed deposit: presently it is Rs. 14.35 Cr.

Yearly subscription is @ Rs. 1200 /- per head. In 2016 there were 8660 employees subscribed the DCRB,
at present it may have decreased from 8660. Hence assuming roughly the employees would be 8500 for
2017, will contribute Rs. 1.02 Cr.

When the comparison made between para ‘11’ of current proposal and ‘Status for 2013 & 2014’, it is
found that the old data for 2013 & 2014 showing Rs. 86 Lakhs surplus for each year after calculating
inflow and outflow of the fund. Whereas para ‘11’ of current proposal showing loss of Rs. 12.43 Lakhs &
Rs. 9 Lakhs respectively for year 2013 & 2014 which is a matter of great concern. How the deficit is
calculated when there was surplus fund….God knows

FOUR proposals are given for consideration in place of current DCRB:

Option –I

Introduction of Group Term Life Insurance plan: It is quite acceptable idea that all employees shall be
covered under group insurance. It is better to take Term life insurance for amount of Rs. 10 Lakhs (sum
assured) rather than lower value of 3 or 5 Lakhs. The said Group insurance will automatically protect the
other liabilities of employee like loan from Naval Dockyard Bank; therefore taking other Loan protection
policy in bank can be eliminated.

Closing down existing DCRB when Group Life Term Insurance has been introduced may be accepted. But
at the closure of DCRB scheme the ‘future of DCRB scheme’ as quoted at para 17 (b) of the current
proposal is NOT AT ALL ACCEPTABLE because the cause for retention the entire DCRB corpus of Rs.
14.35 Crores is without proper reason.

The para ‘17(c) & 17 (d)’ having no logic for retaining entire corpus of Rs. 14.35 Crores. It is money of all
employees contributed through the monthly subscriptions. The immediate Assistance at the time of
death of a member @ Rs. 10000/- can be given continuously, if only Rs. ONE Crore kept in fixed deposit
/ saving account (since the mortality rate is not more than 50 per annum, and for 50 cases Rs. 5 Lakhs
are sufficient, so for next 20 years Rs. 01 Crore will be considered sufficient). Therefore the rest corpus
i.e. Rs. 13.35 Crores shall be distributed amongst the employees pro-rata basis of their contributions.


Increasing subscription amount along with sum assured is not viable solution for long time.


Investing the DCRB fund in Mutual funds is highly risky game shall be avoided


Board itself not recommending NGIF scheme as it is for Naval service personnel.