PFA threatens errant companies with prosecution
Publish date: 19 January 2007
Issue Number: 1747
Diary: Legalbrief Today
Category: Corruption
Companies that fail to pay over retirement fund contributions deducted from their employees to pension and provident funds, are being targeted by the Pension Funds Adjudicator, who is promising harsher action, including prosecution.
The PFA has also asked regulators and prosecuting authorities to help bring them to book, says a Business Day report. This follows the adjudicators latest ruling against a security company that pocketed the deductions it took from an employee. The ruling was reminiscent of that handed down against the Nigerian owners of failed newspaper THISDAY, who were ordered to pay R639 017 in pension fund payments they had not made on behalf of employees. While companies that did not make contributions to retirement funds were at fault, Deputy Adjudicator Naleen Jeram said the onus was also on fund members and trustees to ensure payments had been made. Full Business Day report Latest PFA ruling on the Legalbrief Today site
