20Deduction of contributions from wages

20 Deduction of contributions from wages

20 Deduction of contributions from wages

(1) Contributions required to be paid to the Fund shall be deducted by the employer from the salaries or wages of contributors at each payment thereof and shall be paid by the employer to the Board within 7 days after the last day of the month to which the contributions relate.

(2) Nothing contained in this section shall operate to prevent a contributor from making, with the approval of the Board, direct payments to the Fund in respect of his contributions.

(3) Where contributions are not paid by the employer or contributor in accordance with subsection (1) or (2), the Board may, by notice in writing, require the employer or contributor to pay, in addition to the contributions, interest calculated at the average earning rate on the Fund during the immediately preceding financial year, compounded annually at the end of each financial year, on the amount of contributions not so paid for the period from the expiration of seven days after the last day of the month to which the contributions relate or the due date for payment by the contributor, as the case may be, to the date on which the contributions are paid to the Board, and, upon receipt of the notification, the employer or contributor shall pay to the Board within seven days the amount of interest specified in the notification.

(4) Any contributions deducted by an employer in accordance with subsection (1), or payable by a contributor referred to in subsection (2), and any interest required to be paid by an employer or contributor in accordance with subsection (3) shall be debts due to the Board and shall be recoverable in a court of competent jurisdiction.

(5) Where the contributions that have been deducted from the salary or wages of a contributor and paid to the Fund or have been paid directly by a contributor to the Fund exceed the amount of contributions that the contributor is required to make under this Act, the Board shall refund to the contributor the amount of the excess contributions.

(6) Where the contributions that have been deducted from the salary or wages of a contributor and paid to the Fund or have been paid directly by a contributor to the Fund are less than the amount of contributions that the contributor is required to make under this Act, or contributions have not been paid, the Board may—

(a) reduce, to the extent that it considers appropriate, having regard to the actuarial value of the deficiency, the amount of the lump sum benefit for which the contributor is eligible, or