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PenCom issued 16,536 private organisations with certificates of compliance

Operators invest N250bn pension funds in real estate

The National Pension Commission, PenCom, has revealed that about 16,536 private organisations were issued the commission’s certificate of compliance for the 2018 financial year.

PenCom revealed this in an update on compliance of the contributory pension scheme by employers in the private sector.

According to the commission, the cleared firms had remitted the workers’ pension deductions into the Retirement Savings Accounts with their respective Pension Fund Administrators, adding that in the fourth quarter of 2018, it received 3,046 applications for the issuance of pension compliance certificates out of which 2,044 were approved and issued while 1,002 applications were rejected for failing to meet appropriate requirements.

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“Accordingly, the sum of N7.42bn was remitted into the Retirement Savings Accounts of 966,155 employees of the 2,044 organisations.

“Therefore, the cumulative number of applications received during the year was 16,536 out of which, 16,100 were approved and issued certificates while 436 were rejected”, PenCom said in the update.

Continuing, the commission said it has also issued a general notice to the public against the use of touts in applying for a pension clearance certificate.

This, PenCom said was because of the increase in the activities of touts, who paraded themselves as agents, with regards to the pension clearance certificate.

The commission said that it discovered that most of them presented fake evidence of contributions remittances in their attempt to secure the commission’s approval for the certificate on behalf of employers, adding that all eligible employers might apply for the pension clearance certificates directly and there was no provision whatsoever for such to be done through an intermediary.

“The commission continued to apply various strategies to ensure compliance with the provisions of the Pension Reform Act 2014. This included the application of sanctions and collaboration with key stakeholders on public enlightenment campaigns as well as engagement of defaulting employers via pension recovery agents employed by the commission to recover unremitted pension contributions”, PenCom said.

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Timothy Enietan-Matthews

Timothy is a versatile journalist, down to earth with a critical and curious mind.

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