PenCom assures on smooth transfer of pension assets to NPF Pensions

The National Pension Commission (PenCom) said it has put in place a workable framework for the transfer of assets of the personnel and men of the Nigerian Police Force to the newly established NPF Pensions Limited.

Emeka Onuora, head, Communication Unit, of the National Pension Commission(PenCom) said the personnel of the Nigeria Police Force are still under the Contributory Pension Scheme by virtue of Section 1 of the Pension Reform Act 2004.

“In order to ensure the smooth take-off of the NPF Pensions Limited, the Commission has developed an operational framework that will guide the reassignment of Personal Identification Numbers (PINs) and transfer of records of all Nigeria Police contributors to the NPF Pensions Limited, which would be spread over an 18 month period,” Onuora stated.

It would be recalled that following the enactment of the Pension Reform (Amendment) Act 2011, which exempted the personnel of the military and state security services from the Contributory Pension Scheme, the Nigeria Police and other Agencies agitated for exemption from the Scheme.

However, the Federal Government decided after careful consideration of the submission made by the Nigeria Police that the Police personnel should remain under the Contributory Pension Scheme and that the Nigeria Police Force should seek administrative solutions to the grievances of their personnel within the framework of the Scheme.

Accordingly, after extensive consultations with the Commission, the authorities of the Nigeria Police Force decided to incorporate a limited liability company (NPF Pensions Limited) and apply to the Commission for licence to operate as a Pension Fund Administrator exclusively for the Nigeria Police personnel in order to address their peculiar concerns.

Following a rigorous and thorough review of that application, the NPF Pensions Limited was found to have satisfied all the normal stringent A-I-P conditions without any concessions. Consequently, the Commission granted the NPF Pensions Limited an Approval-in-Principle for a licence to operate as a PFA.

According to Onuora, the NPF Pensions Limited, which is incorporated as a Private Limited Liability Company will be managed independently by professionals who must satisfy the fit and proper persons due diligence requirements and approved by the Commission in line with the Guidelines for Appointment to Board and Top Management Positions of PFAs and PFCs.

Furthermore, although the NPF Pensions Limited will be exclusively for police personnel, every police officer will, in line with section 11(2) of the PRA 2004, be at liberty to transfer to another PFA of his/her choice as soon as the transfer window is opened by the Commission, Onuora stated.