PenCom charges workers of defunct banks, others to claim N12b transition pension funds

The National Pension Commission (PenCom) has advised former employees of defunct companies in the country to approach their pension fund administrators (PFAs) to reclaim N12 billion in the transition contribution funds (TCF) in their custody.

According to the commission, the defunct organisations include Diamond, Intercontinental, Citizen, Mainstream and Oceanic Banks whose workers have yet to claim their funds.

Speaking at a media parley organised by the Pension Fund Operators (PenOp) PenCom’s Director-General, Aisha Daniel-Umar, said that out of the N12 billion, N58 million had been transferred to retirement savings accounts (RSAs) of beneficiaries who provided necessary documents for fund payment.

The DG, who was represented by the Head of the Investment Supervision Department, Ehimeme Ohioma, said: “In September, what we did was to put a list of all the beneficiaries on our website according to each PFA where these funds are located and we expect beneficiaries to search their names there and approach the PFAs for payment.”

Detailing the payment process, she said PFAs are banned from making cash payments and must transfer funds to the RSAs, particularly individuals working in other institutions who already possess RSAs.

“Most of them are working in other institutions and have RSAs so it can be transferred once they make their documents available,” Daniel-Umar said.
The discovery of unclaimed funds was attributed to recovery agents engaged by the commission, with the funds currently held by the PFAs.

Regarding pension payments under the CPS, Daniel-Umar, assured that the commission consistently ensures pensioners receive their funds on or before 25th of each month. He emphasised the importance of quality service delivery, stating that addressing contributors’ concerns is crucial for the industry’s success.