CHAPTER 255
PENSION SCHEME REGULATION ACT

Arrangement of Sections

   Section

PART I
PRELIMINARY

   1.   Short title

   2.   Application

   3.   Interpretation

PART II
REGISTRAR OF PENSIONS AND INSURANCE

   4.   Appointment of Registrar

   5.   Qualification of Registrar

   6.   Deputy Registrar

   7.   Functions of Registrar

PART III
REGISTRATION OF PENSION SCHEMES

   8.   Registration of Pension Schemes

   9.   Application for registration

   10.   Grant of certificate of registration

   11.   Creation of fund

   12.   Application of fund

   13.   Conditions of certificate of registration

   14.   Duration of certificate

   15.   Register of Pension Schemes

   16.   Use of Register in evidence

   17.   Inspection of Register

PART IV
PRUDENTIAL REGULATIONS AND SUPERVISION OF PENSION SCHEMES

   18.   Conditions of compliance of Pension Schemes

   19.   Appointment of Actuary

   20.   Qualification of Actuary

   21.   Actuary rights and duties

   22.   Accounts and Audits

   23.   Appointment of auditor

   24.   Investment policy

   25.   Investment of funds

   26.   Returns

   27.   Institution of legal proceedings

   28.   Unsafe and unsound practices

   29.   Examination of fund by Registrar

   30.   General obligation of manager

   31.   Protection against attachment

   32.   Liability insurance

PART V
DE-REGISTRATION AND APPEALS

   33.   De-registration

   34.   Notification

   35.   Rights of contributors

   36.   Powers of Registrar if assets insufficient

   37.   Appeals

PART VI
MISCELLANEOUS

   38.   General guidelines

   39.   Appointment of inspectors

   40.   Powers of inspectors

   41.   Obstruction of inspectors

   42.   General penalty

   43.   Exemption from Banking and Financial Services Act

   44.   Transitional provisions

   45.   Tax exemptions

   46.   Regulations

AN ACT

to provide for the prudential regulation and supervision of pension schemes; to provide for the appointment of the Registrar of Pensions and Insurance; to provide for the Registrar's powers and functions; and to provide for matters connected with or incidental to the forgoing.

[21st February,1997]

Act 28 of 1996,

Act 10 of 2000.

SI 27 of 1997.

PART I
PRELIMINARY

1. Short title

This Act may be cited as the Pension Scheme Regulation Act.

2. Application

This Act shall apply to any institution or company that establishes or manages a pension scheme except the National Pension Scheme established under the National Pension Scheme Act.

3. Interpretation

In this Act, unless the context otherwise requires—

"Deputy Registrar"  means the Deputy Registrar appointed under section 6;

"fund"  means the total assets of a pension scheme;

"member" means any person who has joined a pension scheme after the eligibility requirements have been met and has not ceased membership to a scheme or any person drawing a pension under the plan;

"manager" means a person who is licensed as a company or institution and is registered under this Act to establish or manage a pension scheme;

"Multi-employer trust"  means the legal entity established by a group of employers into which all contributions, investment earnings, surpluses and other moneys are accumulated on behalf of members of a pension scheme;

"pension scheme" means any private, occupational or personal defined benefit or defined contribution pension scheme or savings plan;

"pension plan rules"  means the regulations which shall be issued by each pension fund and which shall be distributed to each member;

"register"  means the Register of Pensions established under this Act;

"Registrar" means the Registrar of Pensions and Insurance appointed under section 4; and

"trust"  means the legal entity, separate from the employer, in which the pension scheme funds are accumulated.

PART II
REGISTRAR OF PENSIONS AND INSURANCE

4. Appointment of Registrar

The Minister, in consultation with the Minister responsible for labour and social security shall appoint a Registrar who shall be a public officer and who shall be head of the Registry Office for pension funds and the Supervisory Authority for pension funds.

5. Qualification of Registrar

A person shall not be qualified for appointment as Registrar unless the Minister is satisfied that the person has qualifications and experience in actuarial analysis, business management or accounting.

6. Deputy Registrar

   (1) The Minister shall appoint a Deputy Registrar who shall be a public officer and who shall be subject to the control and directions of the Registrar.

   (2) The Deputy Registrar shall be competent to exercise and perform any of the powers and functions of the Registrar.

7. Functions of Registrar

   (1) The functions of the Registrar shall be to—

      (a)   register and de-register pension schemes in accordance with this Act;

      (b)   ensure that a pension fund is established in the form of a multi-employer trust separate from the employer's business or alternatively, affiliated to such a trust by a corresponding affiliation agreement;

      (c)   ensure that the pension scheme is laid down in pension plan rules covering the contribution formula, all the benefits, type of plan, options provided and deadlines for choosing, calculation of portability rights and member's rights for participation in the management of the pension fund.

      (d)   examine the certificate of incorporation of the trust;

      (e)   ensure that an auditor and an actuary are appointed in accordance with this Act;

      (f)   examine the annual accounts, the report of the manager of the pension fund and the auditor's report;

      (g)   examine the actuarial valuation and ensure it is done periodically according to this Act;

      (h)   ensure that re-insurance arrangements are entered into in accordance with the actuary's recommendation;

      (i)   ensure that, in the case of a "multi-employer trust", a written affiliation agreement exists, which adequately protects the pension funds, the member's rights and the portability of accrued rights;

      (j)   enforce any conditions imposed under this Act on a pension fund, trust or the manager of such a fund or trust; and

      (k)   exercise and perform such other powers and functions as may be conferred on him by or under this Act.

   (2) The Registrar, jointly with the appointed auditor and actuary, or a pension scheme shall at all times—

      (a)   protect the rights, benefits and other interests of the members in accordance with their corresponding pension scheme; and