Pension: EFCC To Prosecute Defaulting Companies – PenCom.

The National Pension Commission (PENCOM) is currently compiling list of companies and companies defaulting in remitting employees contributions to Pension Fund Administrators (PFAs).

The Commission also said it would involve the Economic and Financial Crimes Commission (EFCC) and other law enforcement agencies to prosecute defaulters.

Director-general of PENCOM, Mrs Chinelo Anohu-Amazu, who disclosed this in Lagos yesterday at a world press conference to announce the third edition of the World Pension Summit Africa which would be hosted by the agency in Abuja between September 27 and 28,said it is a criminal act for any one or bodies to collect employees’ fund for pension purpose and refuse to remit same to the relevant PFA.

The PENCOM boss said her agency’s current effort was designed to continually nurture transparency in pension administration in Nigeria.

“In its 12years of existence, PENCOM has painstakingly built a strong, transparent and dependable pension system in Nigeria, which is overseen by a dynamic and efficient regulatory structure. Its efficient regulation has enabled generation of pool of long-term funds in the region of N5.73trillion as at the end of June 2016,”she said.
She said of the 24 states that have embraced the employees scheme, only 10 had since commenced full implementation of same.

She added that her agency is desirous to ensure that all the states in the country as well as the self-employed in Nigeria embraced the scheme so that employees would have something to fall back on at retirement age.
On the summit theme: “Pension Innovations: The African Perspective,” the DG said the topic was chosen because her agency seeks to drive the revolutionary strides and achievements of African governments in the area of pensions and social benefits.

“PENCOM also seeks to galvanize not only the Nigerian pension system but also those of other African countries towards sustainability and socio- economic impact,” she added.

The take home from the above are stated below:
1) Companies that have failed in the past to make deductions should start with immediate effect.
2) Where any employer had made deductions but failed to remit same, now is the time to remit all outstanding deductions.
3) For those that have not correctly account or keep proper records of the amount deducted and remitted, it is high time you corrected all past mistakes and also ensure such errors are avoided going forward.



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