Insurers deny non-remittance of N17.4 billion pension legacy fund to PTAD

Some insurance companies accused of non-remittance of N17.4 billion pension legacy fund to Pension Transactional Arrangement Directorate (PTAD) have denied such allegation, insisting that, they have paid the directorate since 2017.

In an interview with newsmen yesterday, sources in NICON Insurance, AIICO Insurance, LASACO Assurance, among others, affected by the development, claimed they have settled their legacy funds with PTAD as far back as 2017, wondering why PTAD mentioned them in its briefing with the national assembly.

AIICO Insurance Plc, while denying non-remittance of pension assets to PTAD, said, “All pension assets due for remittance have been duly transferred to PTAD since the year 2017, in full compliance with the directive.”

According to a statement signed by its head, strategic marketing & communications department, Segun Olalandu, the company said, “Both parties are presently engaged in a reconciliation exercise to conclude the process. We implore the public to disregard any information that may suggest otherwise as there are no basis to that effect.”

Earlier, the senate committee on public accounts had summoned NICON Insurance Plc, AIICO Insurance and other insurance companies to appear before it by this Thursday, over their reported failure to remit N17.4 billion pension fund to PTAD. The senate based its summon on the 2016 report of the auditor-general of the federation (AuGF), which unraveled the non-remittance of N17.4 billion fund to PTAD.

When contacted at the weekend, the insurers claimed not to have received the senate summon, adding that they only learnt about it in the media just like everybody.

However, insider sources in PTAD disclosed that some of the companies expected to appear before the senate only had documentation issues as they did not submit the required documents after effecting their payments

Similarly, newsmen gathered that there was disparity between the valuation of the insurers on properties submitted to make the payment and the valuation of PTAD on same properties, hence, the senate will have to intervene to resolve the matter.

While few were yet to pay the legacy fund to PTAD as directed, most of the affected insurers have paid in cash, securities and properties.

The executive secretary, PTAD, Dr. Chioma Ejikeme, told the senate last week that, the directorates had written to all underwriters to make returns and remit whatever amount in their custody into a CBN dedicated account.