|
| |
|
Pension Protection Fund) and the fund maintained under any corresponding |
| |
provision in force in Northern Ireland. |
| |
(4) | The Board must not appoint an individual or firm as a fund manager unless it |
| |
| |
(a) | in the case of an individual, that the individual has the appropriate |
| 5 |
knowledge and experience for managing the investments of the |
| |
Pension Protection Fund, or |
| |
(b) | in the case of a firm, that arrangements are in place to secure that any |
| |
individual who will exercise functions which the firm has as fund |
| |
manager will, at the time he exercises those functions, have the |
| 10 |
appropriate knowledge and experience for managing the investments |
| |
| |
103 | Investment principles |
| |
(1) | The Board must secure— |
| |
(a) | that a statement of investment principles is prepared and maintained, |
| 15 |
| |
(b) | that the statement is reviewed at such intervals, and on such occasions, |
| |
as may be prescribed and, if necessary, revised. |
| |
(2) | In this section “statement of investment principles” means a written statement |
| |
of the investment principles governing determinations made by the Board |
| 20 |
| |
(3) | Before preparing or revising a statement of investment principles, the Board |
| |
must comply with any prescribed requirements. |
| |
(4) | A statement of investment principles must be in the prescribed form and cover, |
| |
amongst other things, the prescribed matters. |
| 25 |
| |
| |
(a) | borrow from a deposit-taker such sums as it may from time to time |
| |
require for exercising any of its functions; |
| |
(b) | give security for any money borrowed by it. |
| 30 |
(2) | The Board may not borrow if the effect would be— |
| |
(a) | to take the aggregate amount outstanding in respect of the principal of |
| |
sums borrowed by it over its borrowing limit, or |
| |
(b) | to increase the amount by which the aggregate amount so outstanding |
| |
| 35 |
| |
| “borrowing limit” means such limit as the Secretary of State may specify |
| |
| |
| |
(a) | a person who has permission under Part 4 of the Financial |
| 40 |
Services and Markets Act 2000 (c. 8) to accept deposits, or |
| |
(b) | an EEA firm of the kind mentioned in paragraph 5(b) of |
| |
Schedule 3 to that Act which has permission under paragraph |
| |
15 of that Schedule (as a result of qualifying for authorisation |
| |
under paragraph 12 of that Schedule) to accept deposits. |
| 45 |
|
| |
|
| |
|
(4) | The definition of “deposit-taker” in subsection (3) must be read with— |
| |
(a) | section 22 of the Financial Services and Markets Act 2000 (c. 8), |
| |
(b) | any relevant order under that section, and |
| |
(c) | Schedule 2 to that Act. |
| |
| 5 |
The Secretary of State may pay the Board out of money provided by Parliament |
| |
such sums as he may determine towards any of its expenses, other than |
| |
expenditure which by virtue of section 156(3) or 171(3) is payable out of— |
| |
(a) | the Pension Protection Fund, or |
| |
(b) | the Fraud Compensation Fund. |
| 10 |
| |
(1) | Regulations may provide for the imposition of a levy (“administration levy”) |
| |
in respect of eligible schemes (see section 113) for the purpose of meeting— |
| |
(a) | the expenditure of the Secretary of State relating to the establishment of |
| |
| 15 |
(b) | any expenditure of the Secretary of State under section 105. |
| |
(2) | An administration levy is payable to the Secretary of State by or on behalf of— |
| |
(a) | the trustees or managers of an eligible scheme, or |
| |
(b) | any other prescribed person. |
| |
(3) | An administration levy is payable at the prescribed rate and at prescribed |
| 20 |
| |
(4) | Before prescribing a rate under subsection (3), the Secretary of State must |
| |
| |
(5) | An amount payable by a person on account of an administration levy is a debt |
| |
due from him to the Secretary of State. |
| 25 |
(6) | An amount so payable is recoverable by the Secretary of State or, if he so |
| |
determines, by the Regulator on his behalf. |
| |
(7) | Without prejudice to the generality of subsections (1), (5) and (6), regulations |
| |
under this section may include provision relating to— |
| |
(a) | the collection and recovery of amounts payable by way of levy under |
| 30 |
| |
(b) | the circumstances in which any such amount may be waived. |
| |
| |
(1) | Regulations may authorise the Board— |
| |
(a) | to charge prescribed fees; |
| 35 |
(b) | to charge fees sufficient to meet prescribed costs. |
| |
(2) | Regulations under subsection (1) may prescribe, or authorise the Board to |
| |
determine, the time at which any fee is due. |
| |
(3) | Any fee which is owed to the Board by virtue of regulations under this section |
| |
may be recovered as a debt due to the Board. |
| 40 |
|
| |
|
| |
|
| |
108 | Annual reports to Secretary of State |
| |
(1) | The Board must prepare a report for each financial year. |
| |
| |
(a) | must deal with the activities of the Board in the financial year for which |
| 5 |
| |
(b) | must include the report prepared by the Non-Executive Committee |
| |
| |
(3) | The Board must send each report to the Secretary of State as soon as practicable |
| |
after the end of the financial year for which it is prepared. |
| 10 |
(4) | The Secretary of State must lay before each House of Parliament a copy of |
| |
every report received by him under this section. |
| |
(5) | In this section “financial year” means— |
| |
(a) | the period beginning with the date on which the Board is established |
| |
and ending with the next following 31st March, and |
| 15 |
(b) | each successive period of 12 months. |
| |
| |
Information relating to employer’s insolvency etc |
| |
| |
109 | Duty to notify insolvency events in respect of employers |
| 20 |
(1) | This section applies where, in the case of an occupational pension scheme, an |
| |
insolvency event occurs in relation to the employer. |
| |
(2) | The insolvency practitioner in relation to the employer must give a notice to |
| |
that effect within the notification period to— |
| |
| 25 |
| |
(c) | the trustees or managers of the scheme. |
| |
(3) | For the purposes of subsection (2) the “notification period” is the prescribed |
| |
period beginning with the later of— |
| |
(a) | the insolvency date, and |
| 30 |
(b) | the date the insolvency practitioner becomes aware of the existence of |
| |
| |
(4) | A notice under this section must be in such form and contain such information |
| |
| |
110 | Insolvency event, insolvency date and insolvency practitioner |
| 35 |
(1) | In this Part each of the following expressions has the meaning given to it by this |
| |
| |
| |
|
| |
|
| |
|
| |
| “insolvency practitioner”. |
| |
(2) | An insolvency event occurs in relation to an individual where— |
| |
(a) | he is adjudged bankrupt or sequestration of his estate has been |
| |
| 5 |
(b) | the nominee in relation to a proposal for a voluntary arrangement |
| |
under Part 8 of the Insolvency Act 1986 (c. 45) submits a report to the |
| |
court under section 256(1) or 256A(3) of that Act which states that in his |
| |
opinion a meeting of the individual’s creditors should be summoned to |
| |
consider the debtor’s proposal; |
| 10 |
(c) | a deed of arrangement made by or in respect of the affairs of the |
| |
individual is registered in accordance with the Deeds of Arrangement |
| |
| |
(d) | he executes a trust deed for his creditors or enters into a composition |
| |
| 15 |
| |
(i) | an insolvency administration order is made in respect of his |
| |
estate in accordance with an order under section 421 of the |
| |
| |
(ii) | a judicial factor appointed under section 11A of the Judicial |
| 20 |
Factors (Scotland) Act 1889 (c. 39) is required by that section to |
| |
divide the individual’s estate among his creditors. |
| |
(3) | An insolvency event occurs in relation to a company where— |
| |
(a) | the nominee in relation to a proposal for a voluntary arrangement |
| |
under Part 1 of the Insolvency Act 1986 submits a report to the court |
| 25 |
under section 2 of that Act (procedure where nominee is not the |
| |
liquidator or administrator) which states that in his opinion meetings |
| |
of the company and its creditors should be summoned to consider the |
| |
| |
(b) | the directors of the company file (or in Scotland lodge) with the court |
| 30 |
documents and statements in accordance with paragraph 7(1) of |
| |
Schedule A1 to that Act (moratorium where directors propose |
| |
| |
(c) | an administrative receiver within the meaning of section 251 of that Act |
| |
is appointed in relation to the company; |
| 35 |
(d) | the company enters administration within the meaning of paragraph |
| |
1(2)(b) of Schedule B1 to that Act; |
| |
(e) | a resolution is passed for a voluntary winding up of the company |
| |
without a declaration of solvency under section 89 of that Act; |
| |
(f) | a meeting of creditors is held in relation to the company under section |
| 40 |
95 of that Act (creditors’ meeting which has the effect of converting a |
| |
members’ voluntary winding up into a creditors’ voluntary winding |
| |
| |
(g) | an order for the winding up of the company is made by the court under |
| |
| 45 |
(4) | An insolvency event occurs in relation to a partnership where— |
| |
(a) | an order for the winding up of the partnership is made by the court |
| |
under any provision of the Insolvency Act 1986 (as applied by an order |
| |
under section 420 of that Act (insolvent partnerships)); |
| |
|
| |
|
| |
|
(b) | sequestration is awarded on the estate of the partnership under section |
| |
12 of the Bankruptcy (Scotland) Act 1985 (c. 66) or the partnership |
| |
grants a trust deed for its creditors; |
| |
(c) | the nominee in relation to a proposal for a voluntary arrangement |
| |
under Part 1 of the Insolvency Act 1986 (c. 45) (as applied by an order |
| 5 |
under section 420 of that Act) submits a report to the court under |
| |
section 2 of that Act (procedure where nominee is not the liquidator or |
| |
administrator) which states that in his opinion meetings of the |
| |
members of the partnership and the partnership’s creditors should be |
| |
summoned to consider the proposal; |
| 10 |
(d) | the members of the partnership file with the court documents and |
| |
statements in accordance with paragraph 7(1) of Schedule A1 to that |
| |
Act (moratorium where directors propose voluntary arrangement) (as |
| |
applied by an order under section 420 of that Act); |
| |
(e) | an administration order under Part 2 of the Insolvency Act 1986 (as |
| 15 |
applied by section 420 of that Act) is made in relation to the |
| |
| |
(5) | An insolvency event also occurs in relation to a person where an event occurs |
| |
which is a prescribed event in relation to such a person. |
| |
(6) | Except as provided by subsections (2) to (5), for the purposes of this Part an |
| 20 |
event is not to be regarded as an insolvency event in relation to a person. |
| |
(7) | The Secretary of State may by order amend subsection (4)(e) to make provision |
| |
consequential upon any order under section 420 of the Insolvency Act 1986 |
| |
(insolvent partnerships) applying the provisions of Part 2 of that Act |
| |
(administration) as amended by the Enterprise Act 2002 (c. 40). |
| 25 |
(8) | “Insolvency date”, in relation to an insolvency event, means the date on which |
| |
| |
(9) | “Insolvency practitioner”, in relation to a person, means— |
| |
(a) | a person acting as an insolvency practitioner, in relation to that person, |
| |
in accordance with section 388 of the Insolvency Act 1986, |
| 30 |
(b) | in such circumstances as may be prescribed, a person of a prescribed |
| |
| |
| |
| “company” means a company within the meaning given by section 735(1) |
| |
of the Companies Act 1985 (c. 6) or a company which may be wound up |
| 35 |
under Part 5 of the Insolvency Act 1986 (unregistered companies); |
| |
| “person acting as an insolvency practitioner”, in relation to a person, |
| |
includes the official receiver acting as receiver or manager of any |
| |
| |
(11) | In applying section 388 of the Insolvency Act 1986 under subsection (9) |
| 40 |
| |
(a) | the reference in section 388(2)(a) to a permanent or interim trustee in |
| |
sequestration must be taken to include a reference to a trustee in |
| |
| |
(b) | section 388(5) (which includes provision that nothing in the section |
| 45 |
applies to anything done by the official receiver or the Accountant in |
| |
Bankruptcy) must be ignored. |
| |
|
| |
|