Rule 16. Intimation of deduction

(1) Where an employer makes any deduction in pursuance of the proviso to sub-section (2) of section 20 of the Code, he shall make intimation of such deduction electronically or otherwise to the Inspector-cum-Facilitator having jurisdiction within 10 days from the date of such deduction explaining therein the reason of such deduction.

(2) The Inspector-cum-Facilitator shall, after receiving intimation under sub-rule (1), examine such intimation and if he finds that the explanation given therein is in contravention of any provision of the Code or the rules made there under, he shall initiate appropriate action under the Code against the employer within thirty days from the date of receipt of such intimation.