Clarification on reimbursement of Hostal subsidy under children Education allowance6:19 AM 2 comments As per DOPT OM No: 12011/3/2008-Estt (Allowance) dated 2.9.2008 and clarification OM No: 12011/03/2008-Estt (Allowance) dated 11.11.2008, Hostel subsidy at the rate of Rs.3000 per month is allowed as reimbursement for two children of central government employees provided the children study in a hostel of a school away from the station at which the employee is posted or is residing.However, based on a opinion of Swamys Publications, many administrative authorities have rejected the Hostel subsidy claim under New CEA scheme of the employees on the ground that their children were not forced to study in hostel due to reasons such as transfer etc but they have been admitted in a school away from the working place of employees for the purpose of better education.Now to the relief of employees who have admitted their children in a school away from working place for better education, DOPT has issued categorical clarification to Swamys publications vide letter No: 12011/01/2010-Estt (Allowance) dated 11.1.2010. Extact of the same is published in Swamys monthly news for the month of March-2010 (Circular No: 44).It is clarified by DOPT that OM dated 2.9.2008 of DOPT and subsequent clarification of even number dated 11.11.2008 have been issued in supersession of all the earlier orders. Hostel subsidy is reimbursable to all central government employees for keeping their children in the hostel of a residential school away from the station they are posted or are residing irrespective of any transfer liability. Email This BlogThis! Share to Twitter Share to Facebook