IRELAND - The Pensions Board has successfully prosecuted an employer through the Dublin District Court for failing to meet its obligations in relation to Personal Retirement Savings Accounts (PRSA).

Boardside Ltd, trading as Slattery's, was fined the maximum penalty of €5,000 for failing to provide the Pensions Board with requested information, and in addition is ordered to pay a further €1,695 in costs.

The Pensions Board monitors employers' compliance with the PRSA legislation, which was introduced in September 2003 and requires all employers to provide access to at least one standard PRSA for all 'excluded' employees - for example employees of a firm where there is no occupational pension scheme, or where it only offers death in service benefits.
 
Following the ruling by Judge McHugh, Boardside now has six months to pay the fine and the Pension Board's costs, which were awarded for the firm's failure to provide the Pensions Board with three key pieces of information:

The names of all the occupational pension schemes established for the Boardside employees; A copy of the contract entered into by Boardside with a PRSA provider and copies of employee communication offering access to the PRSA, and Confirmation of any actions to meet the PRSA requirements.

Brendan Kennedy, chief executive of the Pensions Board, said: "The Pensions Board treats failure to respond to a request for information by the Board very seriously. It is an offence not to respond to the Board in relation to employers PRSA obligations."

"The Board has a responsibility to enforce this requirement and regards non-compliance as a serious issue," he added.

The prosecution against Boardside follows a similar victory in September when the Pensions Board won its case against Secure Services Ltd over its failure meet PRSA obligations, although the fine imposed was just €500, with costs of €1000, while in April the Board prosecuted Wexford-based firm Allerbrack Ltd for a similar offence. (See earlier IPE article: Firm fined for PRSA non-compliance)

The Irish pensions authorities appear to have been cracking down on instances of non-compliance over the last few months, as last month Dublin County Court issued an arrest warrant for the director of Limestone Construction following an earlier prosecution by the Pensions Board. (See earlier IPE article: Court issues warrant over missing pensions)

Meanwhile Paul Kelly, the Pensions Ombudsman, has also conducted successful civil and criminal cases against employers in the construction industry who have allegedly failed to pass on pension contributions to the industry-wide Construction Workers Pension Scheme (CWPS). (See earlier IPE articles: Court issues €5,000 fine for obstructing pension ombudsman and Ombudsman wins court case against building firm)

If you have any comments you would like to add to this or any other story, contact Nyree Stewart on + 44 (0)20 7261 4618 or email nyree.stewart@ipe.com

Topics