Police Set up Closed Pension Scheme
As part of the efforts at stemming the irregularities in the management of police pensions, the Inspector General of Police (IG), Mr. Mohammed Abubakar, has revealed that the force have set up its own Pension Fund Administrator (PFA) to cater for its retirees, following the approval of President Goodluck Jonathan. Abubakar announced this yesterday, when he declared open a three-day capacity building workshop for Police Pension Desk Officers. He said the fund would operate in line with the Pension Reform Act, 2004 and would address challenges being faced by police retirees. In his words: “I am glad to mention the creation of a Police Pension Fund Administrator. As one of the biggest organisations in Nigeria in terms of staff size, the management of police pension needs has become cumbersome leading to inefficiencies from existing service providers.’’ He said some of those inefficiencies, included the difficulties in locating the service providers’ offices and accessing fund after retirement. “It becomes necessary that we take our destiny into our own hands, we know our needs. We are working to deliver them within the frame work of the Pension Reforms Act. “It is for this reason that President Goodluck Jonathan directed that the police should continue to be covered under the contributory scheme but approved that we should have a PFA of our own. “The PFA will be designed as prescribed by the law and as a corporation established under the Companies and Allied Matters Act (CAMA),” he said.
The IG added that a proportion of the dividends
from the business would be allocated to fund existing police welfare schemes. “It is my belief that a proper pension administration scheme is critical and complementary to the existing schemes already being implemented by the force”, he said. Abubakar charged the participants drawn from all police pension formations across the country to take the training seriously as it was designed to equip them to manage the new fund effectively. Earlier, the Deputy Commissioner of Police (Pension), Ibrahim Mohammed, had said the training was to empower the officers to manage the fund in line with the National Pension Commission’s guidelines. “I urge all participants to take this sensitisation workshop seriously to meet up our aspirations of having an efficient and most reliable fund administrator in the country,’’ he said.