NAPSA prosecutes 4,013 non-compliant employers

The National Pension Scheme Authority (NAPSA) says it prosecuted a total of 4,013 employers in the country for various NAPSA-related offenses during last year.

In a statement, NAPSA head corporate affairs Cephas Sinyangwe stated that among the offenses were: evading paying of contributions, making a false statement or representation, and failing to register within the period specified under the NPS Act, among others.

“NAPSA has prosecuted a total of 4,013 employers countrywide for various NAPSA-related offences during the period January to December, 2019. This action was taken in accordance with section 51 of the National Pension Scheme (NPS) Act No. 40 of 1996, which provides for prosecution of various offenses committed by employers. The offenses include: evading paying of contributions, making a false statement or representation; failing to register within the period specified under the NPS Act; failing to furnish any information without lawful excuse when required to do so or furnishing false information; failing to pay to the Scheme within the period specified, any contribution which the employer is liable to pay under the Act; obstructing an inspector, officer or servant of the Scheme in the discharge of his or her duties; failing, without lawful excuse, to produce required documents; and deducting from a member’s wages any amount by way of the member’s share, which is in excess of the amount due to be deducted under the Act,” Sinyangwe stated.

“The above offences attract penalties upon conviction, which include a fine, imprisonment or both. The Court may also order that a convicted person or entity pay to the Scheme the amount of any contributions, together with any interest or penalty, certified to be due from that person or institution to the Scheme at the time of conviction.”

And Sinyangwe stated that NAPSA Director General Yollard Kachinda said the Authority would intensify inspections countrywide to crackdown on evasive employers or individuals.

“We are intensifying inspections countrywide in a bid to enhance compliance, which currently stands at an average of 82 per cent. We will not leave any stone unturned in ensuring that perpetrators are brought to book,” Sinyangwe quoted Kachinda as having said.

“I would like to urge all employers to take advantage of our countrywide presence to have their matters addressed. We are very flexible and open to amicable settlement of cases for organizations that may be faced with challenges.”




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