54. At the expiration of two months from the date of the first publication of the notice, the Military Secretary will, in the following cases, proceed to discharge demands of such claimants as lodge claims with him:

(1.) If the surplus does not exceed 1,000 rupees, and the claims lodged do not exceed in the whole 10 per cent. on the amount of the surplus.

(2.) If the surplus exceeds 1,000 rupees, and the claims lodged do not exceed in the whole the sum of 100

rupees.

(Section 26 of the Act, § (2).)

55. In those cases in which, after the discharge of claims under paragraph 54 of these regulations, the Military Secretary does not dispose of the surplus locally under section 7 of the Act, he will, as soon as possible after two months, and within six months after the first publication of the notice, remit the surplus as follows:

In the cases of officers of Her Majesty's Army constituting the Indian Staff Corps, and in the cases of officers and European soldiers of Her Majesty's Indian Forces, to the Secretary of State in Council of India.

In other cases to the Secretary of State for War.

NOTE.-The expression "Military Secretary" in these regulations means, in the case of the Madras and Bombay Presidencies, any officer who may hereafter be authorised by the Governor-General in Council of India to perform the functions of Military Secretary for the purpose of these regulations in those Presidencies.

Savings banks to be maintained.

Disposal of deposits.

Maximum deposits.

Deposits held

in trust

7. Military Savings Banks and Regimental

Charitable Funds.

REGULATIONS ESTABLISHED BY THE ROYAL WARRANT OF
NOVEMBER 15, 1894, AND AMENDED BY THE ROYAL
WARRANTS OF AUGUST 6, 1896, AND AUGUST 20, 1901,
UNDER THE MILITARY SAVINGS BANKS ACT, 1859.*

Section I.-Military Savings Banks.

Section II.-Regimental Charitable Funds.

SECTION I.--MILITARY SAVINGS BANKS.

1896.

1. To continue to certain non-commissioned officers and men A.O. 160, of the army who enlisted on or before the 31st March, 1896, facilities for depositing their savings in military savings banks, there will be maintained in the regular army, in every regiment, battalion, and depôt of cavalry and infantry, at the headquarters of every regimental district, and in every battery, company, or troop of the Royal Artillery, Royal Engineers, Army Service Corps, and departmental corps, a military savings bank for the safe custody and increase of such savings; and the following regulations will be observed and obeyed wherever the troops may be serving, India excepted.

2. Every officer commanding a company, &c., will receive as
public money, to be applied to the payment of those public
services which it is his duty to defray, such sums as the non-
commissioned officers and men under his command, having an
account in the military savings bank, may from time to time A.O. 160,
desire to deposit. No deposits will, however, be received from 1896.
ány non-commissioned officer or man who enlisted after the 31st
March, 1896; nor from any non-commissioned officer or man
enlisted on or before that date unless he was a depositor on the
31st March, 1897. No new account will be opened nor will an
account once closed be reopened.

3. The maximum of each deposit upon which interest will be
allowed is limited to 307. (exclusive of interest added) in any
one year (the year to be considered as ended on each 31st
March), and to 2007. in the whole (inclusive of interest added).
Any sum remaining deposited at the end of the year in excess
of the above limit of 307., will be considered as a deposit made
at the commencement of the ensuing year,
and will carry
interest from that time accordingly.

4. All moneys deposited in the military savings bank will be
held strictly in trust for the depositor's own use and benefit,

* The Regulations as amended in 1896 were issued with Army Order 88 of 1897 and the Amending Warrant of 1901 with Army Order 188 of 1901.

A.0.160,

1896.

and will on no account be transferable to any third party nor
be withdrawn except under his own order, signified to the
officer commanding his company, &c., unless the same, or any
portion thereof, become forfeited to the public.

None but nonofficers and men to make

commissioned

5. To prevent persons not in military employ from availing themselves of the advantages afforded by these banks, no non-commissioned officer or man will, on any pretence whatever, deposit in his own name the money of another person, whether deposits. a soldier or not; and in case any non-commissioned officer or man shall so deposit the money of another person, all sums so deposited will be forfeited to the public, and one-half the amount, not exceeding 5l., will be allowed to the informer, unless the whole amount shall, upon a special consideration of the circumstances of the case, be restored by the Secretary of State for War to the owner of the money deposited.

settlement.

6. Deposits will be made once only in each month, viz., on Day of the last working day in each month, which is hereinafter re- monthly ferred to as the day of monthly settlement. They will be credited to the public in the pay list of the company, &c., for the month in which they are made.

7. Every officer commanding a company, &c., will keep a Company, &c., savings bank ledger (Army Book 80) for the accounts of the ledger. non-commissioned officers and men under his command, and will enter therein, and on the monthly savings bank Form No. 2 (Army Form O 1743), on each day of monthly settlement, the deposits made on that day. The officer will, by his signature, in the ledger, acknowledge the receipt of each deposit, and he will record in the pocket ledger of each depositor, on the form therein inserted for the purpose, the savings bank balance due to him on each day of monthly settlement.

8. Except in the case of the deposits referred to in paragraphs Rate of 14 and 47, the rate of interest allowed upon deposits will be 37. interest. 15s. per cent. per annum, but no interest will be allowed upon any other parts of a pound sterling than 6s. 8d. and 13s. 4d. In all cases, no interest will be allowed upon any sums that shall not have remained in deposit for at least one month, to be reckoned from the last day of monthly settlement; and interest will be only allowed upon sums withdrawn up to the settlement day preceding the day on which the deposit is withdrawn, unless such day shall be the settlement day. Interest upon all sums in deposit (within the limit prescribed in paragraph 3) will be added to the principal quarterly, and will thenceforward bear interest; in cases of transfer, however, to avoid carrying forward the balance due to a depositor in two sums, the interest will be added to the principal, as provided by paragraph

25.

9. When a depositor is desirous of withdrawing the whole Withdrawals. or any part of his deposits, he will give at least seven days' notice to the officer commanding the company, &c., to which he belongs, in order that the necessary arrangements may be made

18042

S 2

Disciplinary power of

officer commanding unit.

Deposits and withdrawals

for repayment of the amount at the next day of monthly settlement; but if such officer shall be satisfied that a case is urgent, and that the immediate withdrawal of the deposit would be for the depositor's advantage, he may direct payment to be made forthwith.

10. Whenever the officer commanding the company, &c., shall have strong grounds for believing that the depositor intends to make an improper use of his money, he may suspend the issue of the deposit until the officer commanding the unit at headquarters, or at the station, shall determine whether it shall be issued or not. Should the latter officer deem it essential to discipline to authorize such suspension, he will report, with the least possible delay, to the War Office, the circumstances under which he has felt himself compelled to exercise this power.

11. No soldier will deposit a smaller sum, nor leave a smaller sum, than one shilling in a military savings bank. When a (small sums). depositor applies for leave to withdraw a part of his deposits, it will be the duty of the officer commanding the company, &c., to ascertain, by an inspection of the ledger, the amount of the depositor's balance then remaining, and in those cases where the balance would be less than one shilling, to add such balance to the sum required to be withdrawn.

Receipts for withdrawals,

Supernu

merary staff, Royal Engineers.

Serjeants' mess fund.

12. Every withdrawal will, if possible, be paid to the depositor personally, and his receipt will be obtained and attached to the savings bank ledger. Another receipt will be obtained from him on the Form No. 2 (Army Form O 1743), which will be attached to the monthly pay list of the company, &c., and sent therewith to the paymaster as a voucher to the pay list. In cases where, from some unavoidable cause, the depositors' receipts have not been obtained in support of withdrawals, a certificate by the officer commanding the company, &c., will be annexed to the Form No. 2, stating that the men have received the amounts shown against their names.

13. The adjustments necessary on account of deposits or withdrawals by non-commissioned officers and men of the supernumerary staff of the Royal Engineers not at head-quarters, will be effected by means of "paymasters' advances."

14. In corps in which a sergeants' mess fund is established, the amount of the said fund may be invested in the savings bank irrespectively of the restriction in paragraph 6, as to the day of deposit, and interest allowed thereon, irrespectively of the limit prescribed in paragraph 3. The account of the fund will be opened in the name of the serjeant who acts as treasurer, and may be included in the ledger of the company, &c., to which he belongs; but all deposits and withdrawals will be made on written requisitions, which will be annexed to the Forms No. 2 on which the transactions are shown, signed by the treasurer and two other members of the mess fund committee; and this mess fund savings bank account will be kept in accordance with the Queen's Regulations, and perfectly distinct from the personal savings bank account of the serjeant

A.0.160, 1896.

Paras, 16 to

24 per cent.

who acts as treasurer. The rate of interest allowed on serjeants' Interest,
mess fund savings bank account is 27. 10s. per cent. per annum
upon each complete pound only.

per annum.

funds; no

interest.

15. In like manner, other regimental funds may, with the Regimental 20 of the 1894 special sanction of the Secretary of State for War, be invested in the savings bank for security, but no interest can be allowed thereon.

Regs, were

cancelled by

R.W., 6.8.96.

Para. 21 of

the 1894 Regs.

Para, 22 of

Transfers to civil savings

banks by depositors about to be

16. In all cases of depositors about to be discharged desiring to transfer balances due to them to civil savings banks, they are to be distinctly informed that such transfers are made solely upon their own responsibility and at their own risk, and that they will be subject to any loss that may occur in con- discharged. sequence of such transfer. It is desirable that the depositor should give some written directions for the new account to be opened, which would be held to be a sufficient authority to the civil savings bank to receive the sum and place it to his account. In all cases in which the transfer is to be made to the Post Office Savings Bank, the balance will be transferred to the War Office by means of the transfer statement Form A (see paragraph 25), accompanied by a letter reporting the purpose for which the transfer statement is forwarded, and giving the address of the depositor.

India.

17. The savings bank accounts of a unit of cavalry or in- Units prothe 1894 Regs. fantry, or of a unit of Royal Artillery or Royal Engineers, ceeding to proceeding to India, whether from the United Kingdom or from a colony, will, until after arrival in India, be carried on in precisely the same manner as if the unit were proceeding from the United Kingdom to a colony, or from one colony to another.

Para. 23 of

India.

18. After arrival in India the savings bank accounts will be Procedure on he 1894 Regs. made up to the last day of the month in which the disembarka- arrival in tion shall have taken place; and a nominal list of the depositors, showing the exact balance due to each, and the date to which interest is included, will be prepared. To this list will be appended, in the case of a unit of cavalry or infantry, the certificate of the officer commanding, the officer second in command, and the adjutant; or, in the case of a unit of Royal Artillery or Royal Engineers, the certificate of the officer commanding. The certified list will be handed over to the Controller of Military Accounts in order that the total balance may be charged against British funds. A certificate that the regimental bank has been opened in conformity with the general instructions issued by the Secretary of State for India in Council should be annexed to the final savings bank account rendered to the War Office, which should be transmitted by the next mail.

0.160,

596.

ara. 24 of e1894 Regs.

19. The savings bank balances in the military savings banks in India of such non-commissioned officers and men returning to the United Kingdom as are entitled to be depositors under paragraph 2, will be remitted to the War Office in conformity with the instructions promulgated by direction of the Secretary

Units or details returning from India.