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Salt Benefits Employees fined R20 000

Salt Employee Benefits have landed themselves in contravention of the Pension Fund Act. 

· Danielle van Wyk

Salt Benefits Employees fined R20 000

The Financial Services Board (FSB) announced yesterday that it has fined Salt Employee Benefits (SEB) (Pty) R20 000 in penalty fees.

This was as a result of a case brought against them by the Registrar for pension funds. The case was subsequently referred to the Enforcement Committee of the Financial Services Board.

The claim was based on the fact that SEB was found in “contravention of section 13B (1) of the Pension Funds Act, No. 24 of 1956 (Act) read with condition 7.3 as determined in Board Notice 24 of 2002, in that for the period ended 31 March 2014 Salt Employee Benefits failed to maintain liquid assets equal to or greater than 8/52 of its annual expenditure,” said the FSB.

The company in turn admitted to the contravention and agreed to settle the matter.

“The Registrar took into account, among others, that the officers of Salt Employee Benefits accepted responsibility for the contravention and co-operated with the Registrar’s investigation and the enforcement action, “accounted the FSB.

In light of this, the Registrar settled on a penalty of R20 000, which was executed by the Enforcement Committee, on 4 March 2016. 

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