Repayment of pension arrears leads to summons being struck out in prosecution taken by The Pensions Board
26 October 2012: In Kilkenny District Court, on 16 October 2012, Judge Eamon O’Brien, having regard to the fact that guilty pleas were entered and the arrears of contributions were repaid to the Construction Workers Pension Scheme, struck out the summonses as against Lachen Engineering Ltd and its directors, James Coogan, Thomas Murphy and William Hennessy.
A case was brought by The Pensions Board against Lachen Engineering Ltd and its directors for failing to remit employee pension contributions to the trustee of the Construction Workers Pension Scheme within the statutory time limit for the period of February 2009 to February 2011. However, this amount was repaid by the directors prior to the sentencing hearing and Judge O’Brien struck out the summons as against both the company and its directors.
Commenting on this case, the Chief Executive of The Pensions Board, Mr. Brendan Kennedy, said, “This case should act as a warning to all employers and company directors that The Pensions Board treats the failure of the employer to remit pension contributions to the trustees of the pension scheme as a very serious offence. We advise any employer with outstanding pension contributions to immediately contact the pension scheme to regularise their position.”
For further information, contact:
Head of Information
The Pensions Board
Tel (01) 6131900
Notes for Editors
The Pensions Board
The Pensions Board is the statutory body established by The Pensions Act 1990 to regulate occupational pension schemes, trust based RACs and Personal Retirement Savings Accounts (PRSAs) and to advise the Minister for Social Protection on overall pension policy development. See www.pensionsboard.ie
Under the Act, the Board has power to investigate the state and conduct of Irish pension schemes, and to ensure that trustees, employers, pension administrators and their advisers comply with the obligations they owe to current and former employees in relation to their pension contributions and benefits.
The Board’s powers allow it to conduct on-site visits without notice, seize and copy relevant documents, enter dwellings on foot of a warrant, and to prosecute and or sue any person that contravenes the provisions of the Act.
The Construction Workers Pension Scheme (CWPS)
CWPS is an occupational pension scheme approved by the Revenue Commissioners and registered with The Pensions Board. It was established pursuant to a Registered Employment Agreement (“REA”) on Construction Industry Pensions, Assurance and Sick Pay, which is registered by the Labour Court and was concluded between employers and employee organisations operating in the construction industry.
Under the REA, all employers operating in the construction industry are required to become a party to an approved contributory pension scheme to provide pension and death-in-service benefits to employees. These obligations are discharged by deducting pension contributions from their employees and remitting them to CWPS or another appropriate scheme.