BY JOHNBOSCO AGBAKWURU

ABUJA — AFTER several months of intrigues and disagreement, the Senate yesterday passed the Pension Reform Act, 2014, which stipulates at least a 10- year jail term on conviction for pension fund administrators or anybody who misappropriates or diverts pension funds and a fine of an amount equal to three times the amount misappropriated or diverted.

The Act also stipulated that any pension fund administrator or pension fund custodian or anybody convicted for diversion or misappropriation of pension funds would be compelled to refund the said amount.

It added that all monies received as penalty by the Pension Commission shall be paid into the Pension Protection Fund, which would had been established under Section 82 of the Act.

According to the new Act, whenever any person is convicted of an offence, the court in passing sentence shall in addition to any punishment which the court may impose in respect of the offence, order the forfeiture to the Federal Government of any property, asset or fund with accrued interest.

“Any Pension Fund Custodian who contravenes the provisions of Section 70 of this Act commits an offence and shall be liable on conviction to a fine of not less than N10,000.000 and each of its director or principal officers shall be liable to a fine of not less than N5,000.000 or to a term of not less than five years imprisonment or to both such fine and imprisonment.

“Notwithstanding the provisions of any other law, the Commission may in addition to the penalties stipulated under this Act, impose additional sanctions on the board, any director, management, manager or officer of Pension Fund Administrator or pension Fund Custodian that violates any of the provisions of this Act,” it stated.