Over N12bn Pension Contributions Belonging To Employees Of Failed Coys Trapped In PFAs

Harboursandport.com: Lagos - Over N12 billion pension contributions belonging to former employees of some defunct or acquired companies, especially banks, is still trapped in the Transition Contribution Funds, TCF, being managed by Pension Fund Administrators, PFAs.

According to the National Pension Commission, PenCom, the defunct entities include Diamond Bank, Intercontinental Bank, Oceanic Bank, Mainstreet Bank, Citizens Bank, among others. PenCom said some former contract staff of Julius Berger Construction Company are also affected.

Director General, National Pension Commission (PenCom), Aisha Dahir-Umar

Head of Surveillance Department of PenCom, Mr. Ehimeme Ohioma, who disclosed this at a media parley in Lagos, urged the former employees of the various defunct companies to approach their respective PFAs to reclaim their money.

According to Ohioma, of the N12 billion trapped in the TCF, only N58 million has been transferred to the Retirement Savings Accounts, RSAs, of beneficiaries who provided necessary documents for payment.

Ohioma said: “In September what the Commission did was to put a list of all the beneficiaries on its website according to each PFAs where these funds are located and we expect these people to go to the website, search their names and approach the PFAs for payment.

“I had funds there too since 2014, I didn’t know they were there, I have to let my colleagues know too.”

Detailing the payment process, Ohioma clarified that PFAs are prohibited from making cash payments and must transfer funds to RSAs, particularly for individuals working in other institutions who already possess RSAs, “virtually most of them are working in other institutions and they have RSAs. So it can be transferred once they make documents available,” he said.

“So those in the banks between 2004 and 2007 before they collapsed or acquired should go to PenCom’s website and search for their names and the respective PFAs where their funds have been allocated for reconciliation into their RSA pins.”