Part IU.K. Occupational pensions

Modifications etc. (not altering text)

C1 Pt. I modified (6.4.1997) by The Personal and Occupational Pension Schemes (Miscellaneous Amendments) Regulations 1997 (S.I. 1997/786), regs. 1, 2

C2Pt. I applied (with modifications) (6.4.1997) by The Personal and Occupational Pension Schemes (Miscellaneous Amendments) Regulations 1997 (S.I. 1997/786), reg. 2

C3Pt. I: Pensions Act 2004 (c.35), Pt. 3 construed as one with Pt. I of this Act (4.12.2005 for specified purposes, 30.12.2005 in so far as not already in force) by Pensions Act 2004 (c. 35), ss. 233, 322(1) (with s. 313); S.I. 2005/3331, art. 2(1)(a)(b), Sch. Pt. 1

Supervision by the AuthorityE+W+S

4 Suspension orders.E+W+S

(1)The Authority may by order suspend a trustee of a trust scheme—

(a)pending consideration being given to the making of an order against him under section 3(1),

[F1(aa)pending consideration being given to the institution of proceedings against him for an offence involving dishonesty or deception,]

(b)where proceedings have been instituted against him for an offence involving dishonesty or deception and have not been concluded,

[F2(ba)where an application has been made under section 263H of the Insolvency Act 1986 for an order making him bankrupt and the application has not been determined,]

(c)where a petition has been presented to the court for an order adjudging him bankrupt, or for the sequestration of his estate, and proceedings on the petition have not been concluded [F3or an application has been made by him for a debt relief order (under Part 7A of the Insolvency Act 1986) and the application has not been determined],

(d)where the trustee is a company, if a petition for the winding up of the company has been presented to the court and proceedings on the petition have not been concluded,

(e)where an application has been made to the court for a disqualification order against him under the M1Company Directors Disqualification Act 1986 [F4or under [F5the Company Directors Disqualification (Northern Ireland) Order 2002]] and proceedings on the application have not been concluded, or

(f)where the trustee is a company or Scottish partnership and, if any director or, as the case may be, partner were a trustee, the Authority would have power to suspend him under paragraph [F6(aa),] (b), (c) or (e).

(2)An order under subsection (1)—

(a)if made by virtue of paragraph (a) [F7or (aa)] [F8or, in a case where the Authority would have power to suspend a director or partner under paragraph (aa), by virtue of paragraph (f)], has effect for an initial period not exceeding twelve months, and

(b)in any other case, has effect until the proceedings in question are concluded [F9or, in the case of an application for a debt relief order, the application is determined];

but the Authority may by order extend the initial period referred to in paragraph (a) for a further period of twelve months, and any order suspending a person under subsection (1) ceases to have effect [F10in relation to a trust scheme] if an order is made against that person under section 3(1) [F11in relation to that scheme].

(3)An order under subsection (1) has the effect of prohibiting the person suspended, during the period of his suspension, from exercising any functions as trustee of any trust scheme to which the order applies; and the order may apply to a particular trust scheme, a particular [F12description] of trust schemes or trust schemes in general.

(4)An order under subsection (1) may be made on one of the grounds in paragraphs (b) to (e) whether or not the proceedings were instituted, petition presented or application made (as the case may be) before or after the coming into force of that subsection.

(5)The Authority may, on the application of any person suspended under subsection (1), by order revoke the order, either generally or in relation to a particular scheme or a particular [F13description] of schemes; but a revocation made at any time cannot affect anything done before that time.

[F14(5A)An application under subsection (5) may not be made—

(a)during the period within which the determination to exercise the power to make an order under subsection (1) may be referred to [F15a tribunal] under section 96(3) or 99(7) of the Pensions Act 2004, and

(b)if the determination is so referred, until the reference, and any appeal against [F16the determination of the tribunal concerned], has been finally disposed of.]

(6)An order under this section may make provision as respects the period of the trustee’s suspension for matters arising out of it, and in particular for enabling any person to execute any instrument in his name or otherwise act for him and for adjusting any rules governing the proceedings of the trustees to take account of the reduction in the number capable of acting.

F17(7). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Textual Amendments

F1S. 4(1)(aa) inserted (6.4.2005) by Pensions Act 2004 (c. 35), ss. 34(a), 322(1) (with s. 313); S.I. 2005/275, art. 2(7), Sch. Pt. 7 (with S.I. 2005/695, arts. 5(8), 6, Schs. 2, 3)