
Former Robben Island CFO loses bid to unfreeze pension benefit
The ruling found sufficient prima facie evidence for withholding but did not determine whether Karabo Ramela committed fraud or caused the claimed losses.

The ruling found sufficient prima facie evidence for withholding but did not determine whether Karabo Ramela committed fraud or caused the claimed losses.

Although the retirement fund misapplied section 37C, the OPFA found the same outcome was equitable after applying the Constitutional Court’s guidance.

Most FSCA levies will rise by 3.2%, but retirement funds face a 15% increase in the OPFA levy, and charges are introduced for some entities.

The deputy adjudicator finds the ‘freeze’ clause the fund relied on is tied to its DB rules and can’t be used to block a DC member’s savings withdrawal.

Nearly nine years after the claim was lodged, the fund still could not confirm whether the benefit had been allocated or paid.

The Pension Funds Adjudicator finds that delays in processing a member’s withdrawal and transfer of retirement savings were wrongful and negligent.

Summonses and subpoenas may be used to address non-cooperation by funds and administrators, as the OPFA seeks to improve the efficiency of its investigations.

The framework formalises complaint-handling procedures, introduces mechanisms such as conciliation and summary dismissal, and will be implemented in phases.

The Pension Funds Adjudicator finds that prolonged administrative delays caused material prejudice to the member.

The OPFA says the fund did not respond to multiple requests for information relating to the non-payment of a death benefit.

The retirement funds correctly refused multiple savings component withdrawals and early access to vested benefits.

The draft Rules for the Office of the Pension Funds Adjudicator formalise existing procedures and align the OPFA with COFI and the cross-scheme framework.

Outgoing Adjudicator Muvhango Lukhaimane says the system has laid bare long-standing non-compliance with section 13A of the Pension Funds Act.

Expanding the Office’s mandate to include disputes involving advice will enhance member protection, but there are concerns over jurisdictional overlaps and operational costs.

The OPFA says it needs to take on more staff to handle the significant increase in the number of complaints.

Muvhango Lukhaimane says the SALA Pension Fund’s refusal to engage with her Office’s enquiries constitutes a breach of the fund’s fiduciary obligations.

When the paternity of a retirement member’s child is in doubt, boards must tread a fine line between equitable distribution and undue intrusion.