Retirement Compensation Arrangements Regulations, No. 1 — 67.01
67.01 (1) Subject to subsection (2), if an amount is paid to an eligible employer in respect of a participant under subsection 24.1(3) of the Royal Canadian Mounted Police Superannuation Act , the Minister shall transfer to an external retirement compensation arrangement established by that employer the lesser of (a) an amount equal to the aggregate of (i) an amount, calculated by the Minister, equal to the actuarial value of the participant’s benefits accrued under this Division and section 68 as of valuation day, that value being determined on the basis of the paid-up contributions of the participant under this Division and in the same manner and using the same actuarial assumptions as set out in the agreement referred to in subsection 24.1(2) of that Act with the employer, except that the rate of interest shall be one half of the rate of interest referred to in paragraph 63(1)(b) of the Royal Canadian Mounted Police Superannuation Regulations , and (ii) an amount representing interest after valuation day on the amount determined under subparagraph (i) calculated at the same rate and in the same manner as set out in the agreement with the employer, and (b) an amount calculated by the employer as being the amount that is required in order to pay to the participant, under the external retirement compensation arrangement, the benefits that accrued to the participant under this Division and section 68. (2) If the eligible employer has not established an external retirement compensation arrangement or has established an external retirement compensation arrangement but that arrangement does not provide for the payment of benefits in consideration for the amount to be transferred, the Minister shall not transfer the amount to that employer’s external retirement compensation arrangement, but shall pay to the participant (a) if, on valuation day, the participant has two or more years of service in the Force to the participant’s credit under the Royal Canadian Mounted Police Superannuation Act , the lump sum amount calculated in accordance with section 67.02; and (b) in any other case, a lump sum amount equal to the sum of the contributions that the participant has made under this Division plus interest calculated at the rate and in the manner set out in subsection 9(6) of that Act. (3) If the amount transferred under subsection (1) is less than the lump sum amount that would be paid to the participant under subsection (2), the Minister shall pay to the participant an amount equal to the difference. (4) If a division of a participant’s pension benefits is effected under the Pension Benefits Division Act before the date on which the transfer or payment is effected, the amount transferred or paid shall be reduced to take into account the adjustment to the participant’s pension benefits made in accordance with section 21 of the Pension Benefits Division Regulations . (5) The transfer or payment of an amount under this section shall be made within the time limit for the payment of an amount to an eligible employer provided for in the agreement with that employer or within 12 months after the day on which this section comes into force, whichever is the later. (6) When all amounts referred to in this section have been transferred or paid, the participant shall no longer be entitled to any benefit under this Division or under section 68 in respect of the period of service to which the transfer or payment relates. (7) For the purposes of this section and section 67.02, valuation day has the same meaning as in the agreement with the eligible employer. SOR/2012-131, s. 9