PenCom approves N2.8m for 50 Army, other agencies’ personnels

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By Favour Nnabugwu

The National Pension Commission (PenCom) has given approval for the refund of the sum of N2,789,553.79 to 50 personnel of Military and other Security Agencies’ personnel who were exempted from the Contributory Pension Scheme.

Following the exemption of the military and other Secret Security Agencies’ Personnel from the contributory Pension Scheme (CPS) in 2011, PenCom in 2012, commenced the refund of the employee portion of pension contributions to the personnel who were in service between July 2005 and December, 2011.

However, it has been observed that the some personnel are yet to receive their refunds.

The commission working in conjunction with the military Pension Board is desirous of bringing the refund exercise to close by 30 June, 2019.

Accordingly, all military Personnel who were in service between January, 2005 and December, 2011, but are yet to receive a refund of their employee portion of the pension Contributions, are required to contact the military pension Board or any Military Formations close to them to complete the “Request for Refund of pension Contribution Form”

The Commission received a total of 1,900 applications from private sector organisations for the issuance of Pension Clearance Certificates (PCCs).

Out of this number, PCCs were issued to 1,877 organisations while 23 applications were declined due to inability of the organisations to meet the requirements for issuance of certificates.

The records show that a total sum of N9,878,025,459.10 was remitted into the Retirement Savings Accounts of 41,923 employees of the 1,877 organisations.

The Comission also said 11,374 retirees went for programmed withdrawal as means of drawing their monthly pensions, while 1,596 embraced Retiree Life Annuity which is managed by life insurance operators.

PenCom in its fourth quarter report, noted that it granted approval for 11,374 requests, comprising 5,681 public (FGN & States) and 5,693 private sector retirees to draw pension through the Programmed Withdrawal mode during the quarter under review, adding that these retirees received a total lump sum of N32,631,748,404.55 while their total monthly pension amounted to N455,487,074.25.

The Pension sector regulators said it also granted approval to 1,596 retirees under the Retiree Life Annuity during the quarter under review, stressing that a total lump sum of N6,284,179,444.33 was approved for payment to the retirees, while the sum of N10,115,855,000.10 was approved for payment to 14 Retiree Life Providers as premium in return for total monthly/quarterly annuities of N111,677,547.01.

PenCom maintained that during the quartered, it granted approval for Enbloc payment of retirement benefits to 3,499 retirees whose RSA balances were N550,000.00 or below and considered insufficient to procure Programmed Withdrawal or Retiree Life Annuity of a reasonable amount for an expected life span. In this regard, a total sum of N848,920,264.47 was paid to the 3,499 retirees comprising 200 public (FGN & State) and 3,299 private sector retirees, it said.

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