Section 4 of PFIOFS Act, 1983 : Section 4: Declaration Of Fidelity And Secrecy

Explanation using Example

Imagine a situation where a new employee, John, is hired as an officer at a public bank, which is a public financial institution under the mentioned Act. Before John can officially start his work, he is required by law to sign a declaration. This declaration is a formal statement where he pledges to maintain the confidentiality of the bank's sensitive information and to be faithful in his duties. This is in accordance with Section 4 of The Public Financial Institutions (Obligation as to Fidelity and Secrecy) Act, 1983.

In another scenario, if the Act came into force after Sarah, an auditor, had already begun working at the institution, she would have a period of thirty days from the date the Act became applicable to sign the same declaration. This ensures that all current and future employees are legally bound to uphold the principles of fidelity and secrecy in their roles.