Transfer of Pension Rights
9
1
This Regulation applies in relation to and only in relation to any officer or servant who is a participant in a funded scheme or, having immediately before becoming an officer or servant been a participant in a funded scheme, is by virtue of any regulations made by the Minister under section 98 of the Act of 1947 a participant in a general scheme.
2
In respect of any officer or servant to whom this Regulation applies, who loses his employment as an officer or servant in consequence of the relevant event, the cause of such loss having arisen within the relevant period, and obtains other employment in connection with which he has pension rights in another pension scheme (being a scheme approved in whole or in part by the Commissioners of Inland Revenue under section 379 of the Income Tax Act, 1952), the Commission may, subject to the provisions of this Regulation and not later than three months after the date upon which he so loses his employment, make arrangements with the persons administering that other scheme and, in the case of a participant in a funded scheme, with the persons administering that scheme, for the transfer to the persons administering that other scheme of a sum which equals in amount either—
a
the transfer value at the date on which the arrangements are made of his pension rights as defined for the purposes of his existing scheme; or
b
in the absence of such a definition, the estimated capital value at that date of his accrued pension rights;
with compound interest from the date on which the arrangements are made until such transfer is made:
Provided that no such arrangements shall be concluded unless and until the Commission shall have communicated the terms thereof to the officer or servant concerned, shall have furnished him with a copy of a certificate given by the actuary of that other pension scheme certifying that the pension rights to be conferred on him under the arrangements, if made, will be actuarially equivalent to his accrued pension rights under his former scheme and shall have obtained his consent to the making of the arrangements.
3
The reference in paragraph (2) of this Regulation to compound interest shall be construed as a reference to compound interest at the same rate and with the same rests as were applied for the purposes—
a
where the sum to be transferred is that referred to in sub-paragraph (a) of the said paragraph, of the last periodical actuarial valuation of the fund held for the purposes of the scheme;
b
in any other case, of calculating the estimated capital value of the accrued pension rights referred to in that paragraph.
4
The sum to be transferred under any such arrangements as are referred to in paragraph (2) of this Regulation shall be determined by an actuary appointed by the Commission and the fees of any actuary so appointed shall be defrayed by the Commission.
5
The persons administering any pension scheme to whom any sum is transferred under any such arrangements as are referred to in paragraph (2) of this Regulation shall indemnify the Commission or, where the sum is transferred in respect of a participant in a funded scheme, the persons in whom any fund held for the purposes of the funded scheme is vested, against any liability for the payment of income tax in respect of the sum so transferred.
6
Notwithstanding anything to the contrary in any such scheme as is referred to in the foregoing provisions of this Regulation or any statutory provisions relating thereto or trust deeds, rules or other instruments made for the purposes thereof, the Commission and the persons administering the scheme shall be authorised to make such arrangements (including the disposal of funds held for the purposes of any funded scheme) as are referred to in paragraph (2) of this Regulation and the said scheme, statutory provisions, trust deeds, rules and other instruments shall be construed accordingly and as though provision was duly made in the scheme for any arrangements so made.