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The Local Government Pension Scheme Regulations (Northern Ireland) 2014

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Recovery or retention where former member has misconduct obligation

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104.—(1) This regulation applies where a person—

(a)has left an employment in which that person was or had at some time been a member of the Scheme, in consequence of grave misconduct or a criminal, negligent or fraudulent act or omission in connection with that employment;

(b)has incurred some monetary obligation, arising out of that misconduct, act or omission, to the body that was the employing authority in that employment; and

(c)is entitled to benefits under these Regulations which, for the purposes of this regulation, includes entitlement to a refund of contributions.

(2) The former employing authority may recover or retain out of the pension fund, the lesser of—

(a)the amount of the monetary obligation; or

(b)the value at the time of recovery or retention of all benefits in respect of the former employee with respect to that person’s previous membership (as determined by an actuary, except where the benefit is a refund of contributions).

(3) The rights specified in paragraph (2)(b) do not include earned pension credited under regulation 113 (effect of acceptance of transfer value payment), additional pension purchased by the member under regulation 18 (additional pension contributions) or AVCs paid by the member under regulation 19 (additional voluntary contributions).

(4) The former employing authority shall give the former employee—

(a)not less than three months’ notice of the amount to be recovered or retained under paragraph (2); and

(b)a statement showing the amount recovered or retained, how it is calculated and the effect on the person’s benefits or prospective benefits.

(5) If there is any dispute over the amount of the monetary obligation specified in paragraph (1)(b), the former employing authority may not recover or retain any amount under paragraph (2) until the obligation is enforceable under an order of a competent court or the award of an arbitrator.

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