N$28 million earmarked for Air Namibia Retirement Fund Payouts

Home Uncategorized N$28 million earmarked for Air Namibia Retirement Fund Payouts
N$28 million earmarked for Air Namibia Retirement Fund Payouts


Employees bemoan money still frozen in investments

Staff Reporter

The Namibia Financial Institutions Supervisory Authority (Namfisa) has released the figures for the retirement fund of Air Namibia, with a total of N$28,017,834.24 earmarked for payout to former employees in the retirement fund’s preliminary liquidation and distribution account.

However, employees have expressed dissatisfaction with the current allocated amount, as they will not be able to receive their full entitlement from the retirement fund distribution account. This is due to the fact that a portion of the retirement funds were invested in an unlisted investment, which will only be accessible in the year 2025.

Former senior cabin control officer Renier Bougard, spokesperson for the former Air Namibia workers, questioned how Namfisa, as the regulator, could allow the dispersal of former employees’ funds into an unlisted investment without an exit clause and without the knowledge of the former Air Namibia employees.

BRIGHTER DAYS: photo for illustrative purposes only.

He added that this investment holds funds owed to ex-Air Namibia employees and they now have to bear the consequences, despite not being consulted about the investment.

Additionally, Bougard stated that they are in the process of filing a court case against liquidators Bruni and McLaren for altering the claims of ex-Air Namibia employees and offering them a lower settlement fee from the liquidation process. Bougard also noted that the Master of the High Court should be investigated, as a document signed under oath concerning the claims was modified by the liquidators under her supervision.

In a public notice regarding the retirement fund liquidation process, Namfisa shared that in accordance with sections 28 (6-7) of the Pension Fund Act, 1956 (Act No. 224 of 1956), the Registrar of Pension Funds notifies the public that the preliminary liquidation and distribution account and preliminary balance sheet of the Air Namibia Retirement Fund (“the Fund”) will be available for inspection by all interested parties for a 30-day period from 15 August 2023.

The regulatory authority further stated that all interested parties with objections to the aforementioned preliminary liquidation and distribution account and preliminary balance sheet are required to submit their objections in writing to the Registrar of Pension Funds within 14 days following the conclusion of the 30-day inspection period.

The Air Namibia Liquidation process is being handled in two distinct ways: Liquidators Bruni and McLaren are responsible for disposing of the defunct airline’s assets, while Namibian commercial law firm Cronjé Inc is overseeing the winding up of the retirement fund.

Regarding the retirement fund, over N$28 million is allocated to the retirement fund distribution account, with approximately N$3.2 million designated for Liabilities and Administrative Fees, including Liquidator fees for Cronjé Inc valued at N$567,817.38.



Source link

Leave a Reply

Your email address will not be published.