Regulatory Alerts2018-03-31
Information Circular 2 of 2013: Right to Share in Surplus Accounts on Exit under the Pension Funds Act
The Registrar of Pension Funds mandates that all pension fund boards and administrators comply with Section 15G of the Pension Funds Act, 1956, by ensuring exiting members receive a proportionate share of credit balances from member surplus, investment reserve, and contingency accounts. Funds must immediately rectify past non-compliance by paying any outstanding surplus shares to former members and pensioners, regardless of existing fund rules. Failure to adhere to these requirements may trigger formal investigations by the Registrar and potential referral to the Enforcement Committee.
Share