National Provident Fund Restructuring Act 1990

1: Short Title and commencement
1: This Act may be cited as the National Provident Fund Restructuring Act 1990.
2: Except as provided in subsection (3), this Act shall come into force on the date on which it receives the Royal assent.
3: Parts 2 3 5 6 sections 18 19 78 82 Schedules 3 4 6 7 8
2: Interpretation
In this Act, unless the context otherwise requires,— actuary
a: a person who is a Fellow of the New Zealand Society of Actuaries Incorporated; or
b: a person whom the Board considers to have an equivalent professional qualification aircrew superannuation scheme beneficiary benefit Board section 12 corporate contributor
a: who is a contributor to that scheme; and
b: whose contributions are made solely for the purpose of subsidising the contributions of a natural person or obtaining a benefit for a natural person; and
c: who does not, as a result of those contributions, personally become eligible to receive a benefit Crown DBP annuitants scheme section 41(2)﻿(a) DBP contributors scheme section 41(2)﻿(b) debt security section 8 dedicated reserves defined benefit scheme Part 3 defined contribution scheme
a: a defined benefit scheme:
b: the aircrew superannuation scheme:
c: an old public scheme employee employer equity security section 8 existing investment arrangement Part 2 existing scheme scheme
a: means any superannuation scheme, benefit plan, or other arrangement having a similar purpose that is referred to in Part 1
b: includes any such scheme, plan, or other arrangement after it has, from time to time, been reconstituted, amended, amalgamated, or divided in accordance with its trust deed or
c: includes, on and after the transfer day, the DBP annuitants scheme, the DBP contributors scheme, and the aircrew superannuation scheme; and
d: includes any trust fund or property held in respect of any scheme, plan, or arrangement referred to in this definition free reserve
a: each of the old public schemes, less an amount certified by an actuary as equating as at that time with the value of the liabilities of that scheme (including any reasonable expectation of future increases in benefits based on past practice); or
b: the accumulated reserves of the arrangement known as the additional benefit plan Fund National Provident Fund Act 1950 GAT subsidiary
a: means a body identified as such in the proposal; and
b: includes, where the body is a unit trust—
i: which has more than 1 pool of property, each such pool; and
ii: the Board as trustee of that unit trust or pool global asset trust clause 2 instrument
a: any instrument (other than this Act) of any form or kind that creates, evidences, modifies, or extinguishes rights, interests, or liabilities or would do so if it, or a copy of it, were lodged, filed, or registered under any enactment; and
b: any judgment, order, or process of a court liabilities local authority
a: means a local authority within the meaning of the Local Government Act 2002
b: includes any body that, immediately before the repeal of the Local Authorities Loans Act 1956 on 1 July 1998, was a local authority within the meaning of Part 1 of that Act, whether by virtue of section 2 of that Act, or of any Order in Council under that Act, or by virtue of any other Act; and
c: includes any body that is declared by an enactment to be a local authority for the purposes of the National Provident Fund Act 1950 or this Act managed investment product section 8 management
a: in relation to any existing scheme, includes administration, and management of the investments, of the scheme:
b: in relation to the global asset trust, includes administration, and management of the investments, of the global asset trust:
c: in relation to any GAT subsidiary that is a unit trust, includes administration, and management of the investments, of that unit trust,— and manage manager market value
a: for the purpose of Schedule 2
b: for any other purpose, the market value calculated according to the same criteria as those applied by the Board in the preparation member Minister NPF group company old public scheme
a: the Level Premium Scheme; or
b: the Annual Single Premium Scheme; or
c: the Post-60 Scheme; or
d: the Staff Pension Scheme; or
e: the National Superannuation Scheme for Farm Workers participatory security section 2 pool section 25(1)﻿(b) property
a: units in the global asset trust and any GAT subsidiary which is a unit trust:
b: choses in action and money:
c: goodwill:
d: rights, interests, and claims of every kind in or to property, whether arising from, accruing under, created or evidenced by, or the subject of, an instrument or otherwise, and whether liquidated or unliquidated, actual, contingent, or prospective proposal section 9 section 10 or section 10A section 7(1) registered scheme section 6(1) rights solicitor Law Practitioners Act 1982 superannuation scheme means a retirement scheme (within the meaning of section 6(1) transfer day trust deed trust fund unclaimed money
a: that is or was payable to any person out of the Fund or any trust fund; and
b: for which no claim or demand has been made by or on behalf of that person; and
c: that remains as part of the Fund or any trust fund in case any person establishes a lawful claim to the money. 1986 No 129 s 2 1989 No 10 s 2 Section 2 actuary substituted 1 May 2011 section 82 Financial Markets Authority Act 2011 Section 2 debt security replaced 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 2 equity security replaced 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 2 existing scheme scheme amended 29 October 1997 section 3 National Provident Fund Restructuring Amendment Act 1997 Section 2 Government Actuary repealed 1 May 2011 section 82 Financial Markets Authority Act 2011 Section 2 local authority substituted 1 July 2003 section 262 Local Government Act 2002 Section 2 managed investment product inserted 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 2 market value amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 2 proposal amended 8 May 1992 section 2 National Provident Fund Restructuring Amendment Act 1992 Section 2 registered scheme inserted 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 2 superannuation scheme amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
3: Act to bind the Crown
This Act shall bind the Crown.
1: Restructuring of National Provident Fund
Proposal for restructuring of Fund
4: Preparation of proposal for restructuring of Fund
The Board shall, not later than the date that is 4 months before the transfer day (or such other date as the Minister and Board may agree), submit to the Minister—
a: a draft proposal for the restructuring of the Fund which complies with sections 5 to 7
b: a certificate from an actuary—
i: confirming that the requirements of section 6
ii: setting out the basis for calculating the interest in the Fund that is attributable to any existing scheme or investment arrangement.
5: Matters to be provided for in proposal
1: The proposal—
a: shall specify or provide for each of the matters specified in Schedule 2
b: shall include such other matters relating to the restructuring of the Fund as the Board and the Minister may agree.
2: Nothing in subsection (1) shall limit the matters that may be included in the proposal.
6: Principles governing restructuring of Fund
In preparing a draft proposal, the Board shall—
a: comply with section 5
b: subject to paragraph (a), ensure that the restructuring of the Fund is fair and equitable to all members and other beneficiaries of the existing schemes and to all persons who have deposited or invested money pursuant to the existing investment arrangements.
7: Matters to accompany draft proposal, etc
1: The draft proposal shall be accompanied by—
a: the proposed trust deed for the global asset trust; and
b: the proposed trust deed for any GAT subsidiary that is a unit trust; and
c: the proposed trust deeds to be prepared in respect of the DBP annuitants scheme, the DBP contributors scheme, and the aircrew superannuation scheme.
2: The Board shall supply to the Minister such additional information relating to the draft proposal as the Minister may from time to time require at any time before the date which is 1 month before the transfer day.
8: Changes to draft proposal by Minister
1: The Minister shall,—
a: not later than the date that is 2 months after the day on which the Minister receives the draft proposal referred to in section 4
b: after consulting the Government Actuary and, where the Minister proposes to require changes to be made to the draft proposal, the Board,— give written advice to the Board as to whether the Minister requires changes to be made to the draft proposal and, if so, the nature of those changes.
2: The Minister shall not require any changes to be made to the draft proposal that would be inconsistent with sections 5 6
3: The Board shall, not later than the date that is 35 days before the transfer day (or such other date as the Minister and Board may agree) submit to the Minister a final draft proposal consisting of the draft proposal submitted by it under section 4
9: Approval of proposal by Order in Council
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, approve any draft proposal prepared in accordance with this Part.
2: The Minister shall not make a recommendation for the purpose of this section unless he or she is satisfied that sections 5 to 8
3: The Order in Council under this section—
a: shall identify the draft proposal approved, but need not incorporate it in the order; and
b: is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 9(3)﻿(b) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
10: Amendment of proposal by Order in Council
1: The Governor-General may, by Order in Council made on the recommendation of the Minister, approve any amendment to the proposal at any time or times after it has been approved under section 9
2: The Minister shall not make a recommendation for the purposes of this section—
a: unless he or she is satisfied that the proposal as amended complies with sections 5 6
b: unless the amendment is approved in writing by the Board.
3: Any Order in Council under this section—
a: shall identify the amendment approved, but need not incorporate it in the order; and
b: is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 10(3)﻿(b) replaced 28 October 2021 section 3 Secondary Legislation Act 2021
10A: Amendment of proposal after transfer day
1: The Governor-General may, by Order in Council, made on the recommendation of the Minister, approve any amendment to the proposal at any time or times after the transfer day.
2: The Minister shall not make a recommendation for the purposes of this section unless—
a: he or she is satisfied that the amendment is necessary for the purposes of correcting any error in the proposal as approved under section 9
b: he or she is satisfied that the proposal as amended complies with sections 5 6
c: the amendment is approved in writing by the Board.
3: Any Order in Council under this section—
a: shall identify the amendment approved, but need not incorporate it in the order; and
b: is secondary legislation ( see Part 3
c: comes into effect in accordance with subsection (4), even if it is not yet published.
4: Every amendment approved under this section shall be deemed to have effect on and from the transfer day and the provisions of this Act shall apply to the proposal as so amended accordingly. The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 10A inserted 7 November 1991 section 2 National Provident Fund Restructuring Amendment Act 1991 Section 10A(3)﻿(b) replaced 28 October 2021 section 3 Secondary Legislation Act 2021 Section 10A(3)﻿(c) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Implementation of proposal for restructuring of Fund
11: Implementation of proposal
1: The Board shall, as soon as practicable after the proposal has been approved by Order in Council, arrange for the implementation of the proposal.
2: Any documents executed, and all other arrangements made, for the purpose of implementing the proposal shall become effective as at the transfer day.
2: Continuation and renaming of National Provident Fund Board
12: Continuation of Board
1: There shall continue to be a body corporate which shall be the same body corporate as that existing under the name of the National Provident Fund Board immediately before the commencement of this Part.
2: Upon the transfer day the Board shall be renamed the Board of Trustees of the National Provident Fund.
3: The Board is a body corporate with perpetual succession and a common seal and shall have and may exercise all the rights, powers, and privileges, and may incur all the liabilities and obligations, of a natural person of full age and capacity.
13: Membership of Board
1: The Board shall consist of no fewer than 4 members appointed from time to time by the Minister.
2: One member of the Board shall be appointed by the Minister as the chairperson of the Board.
14: Continuation in office of existing members of Board
1: The chairman and members of the Board established under the National Provident Fund Act 1950 holding office immediately before the transfer day shall, subject to subsection (2), continue to be the chairperson and members respectively of the Board on and after the transfer day.
2: The chairperson and members of the Board who continue to hold office under this section shall hold office during the pleasure of the Minister.
15: Members of Board appointed after transfer day
1: Any appointment to the Board on or after the transfer day (other than in accordance with section 14
a: consultation by the Minister with the groups identified in Schedule 3
b: consideration by the Minister of any recommendations that any such groups or persons may make.
2: Any member of the Board who is appointed under this section shall be appointed for such term not exceeding 3 years as the Minister shall specify in the instrument appointing that member.
3: Any such member may, at any time during his or her term of office, be removed from office by the Minister by notice in writing.
4: Any such member shall be eligible for reappointment from time to time.
5: Where the term for which any such member has been appointed expires, that member, unless sooner removed from office under subsection (3) or vacating office under clause 1
a: that member is reappointed; or
b: a successor to that member is appointed; or
c: that member is informed in writing by the Minister that the member is not to be reappointed and that a successor to that member is not to be appointed.
16: Board to be restricted to existing schemes and existing investment arrangements
1: The Board shall not establish or offer any superannuation scheme, benefit plan, or other arrangement having a similar purpose other than—
a: an existing scheme:
b: an existing investment arrangement:
c: the global asset trust.
2: The Board shall not carry on any business other than—
a: through or in respect of an existing scheme, an existing investment arrangement, the global asset trust, a GAT subsidiary, or a company that is wholly owned by the Board as trustee of the global asset trust or as trustee of a pool
b: providing life reinsurance to any existing scheme; or
c: as permitted by section 83
3: The Board may, in addition, provide services in respect of any fund or superannuation scheme that is managed by the Crown or a Crown entity or an entity whose board is appointed by the Crown and approved by the Minister for that purpose, on any terms and conditions that the Board thinks fit. Section 16(2)﻿(a) amended 7 November 1991 section 3 National Provident Fund Restructuring Amendment Act 1991 Section 16(3) added 22 August 2001 section 38(1) Government Superannuation Fund Amendment Act 2001
17: Further provisions applying in respect of Board
The provisions set out in Schedule 4
18: Board's power to settle claims
Without limiting any other powers that the Board may have, the Board shall have—
a: the power to settle any claim by or against the Board, whether the claim is actual or prospective and whether or not any proceedings have been commenced in respect of the claim; and
b: the power to meet out of the Fund, or any appropriate trust fund, pool, or GAT subsidiary, any liability arising out of or in connection with a settlement of any such claim against the Board; and
c: the power to enter into any commitments, obligations, or arrangements for the purpose of settlement of any such claim.
19: Board's power to invest
For the avoidance of doubt, it is hereby declared that, on and after 1 October 1988, the Board's power to invest in property any money belonging to the Fund shall include, or have incidental to it, the power to enter into a commitment, obligation, or arrangement under which the Board (or a nominee of the Board) may acquire, or be obliged to acquire, that property.
20: Existing appointments, etc, of Board
1: On and from the transfer day, the Board shall—
a: be deemed to have been appointed as the trustee of each of the existing schemes; and
b: continue as the person responsible for honouring the existing investment arrangements in the capacity specified in the proposal; and
c: continue as a sinking fund commissioner and depreciation fund commissioner for any local authority or other person, in any case where the Board held appointment as such immediately before the transfer day; and
d: continue in any other position held by the Board in any other official capacity immediately before the transfer day.
2: Except as expressly provided by this Act or the proposal, the continuity and operation of the Board shall in no way be affected, nor shall any property, powers, authorities, or liabilities of the Board, or any legal or other proceedings instituted or to be instituted by or against the Board, be affected by this Act or the proposal.
3: Subject to the provisions of this Act, and to the terms of any trust deed in respect of an existing scheme, the Board shall have the same responsibilities regarding that scheme as a trustee of a registered scheme that is a restricted scheme under the Financial Markets Conduct Act 2013 Section 20(3) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
3: Provisions relating to implementation of restructuring of Fund and Board
21: Vesting of property
1: The property held by the Board in the course of its administration of the existing schemes and existing investment arrangements and the performance of its functions under the National Provident Fund Act 1950 shall, on the transfer day, by virtue of this Act be deemed to be held by the Board or a GAT subsidiary, as the case may be, in the capacity and manner provided for by the proposal.
2: Where any property is vested on the transfer day in the Board as trustee of any existing scheme or pool, that property shall be property only of that existing scheme or pool and shall not be property of any other scheme or pool.
3: This section shall have effect notwithstanding any other enactment or rule of law.
22: Vesting of liabilities
1: The liabilities incurred by the Board in the course of its administration of the existing schemes and the existing investment arrangements and the performance of its functions under the National Provident Fund Act 1950 and any other liabilities of the Board or the Fund of whatever nature and howsoever arising, shall, on the transfer day, vest by virtue of this Act in the Board or a GAT subsidiary, as the case may be, in the capacity and manner provided for by the proposal.
2: Where any liabilities are vested on the transfer day in the Board as trustee of any existing scheme or pool, those liabilities shall be liabilities only of that scheme or pool, as the case may be, and shall not be liabilities of any other scheme or pool.
3: This section shall have effect notwithstanding any other enactment or rule of law.
23: Certain matters not affected by restructuring
Nothing effected or authorised by any Part of this Act—
a: shall be regarded as placing the Crown or the Board (or any member of the Board) or any other person in breach of, or default under, any contract, or in breach of trust, or in breach of confidence, or as otherwise making any of them guilty of a civil wrong; or
b: shall be regarded as giving rise to any cause of action against the Fund; or
c: shall be regarded as giving rise to a right for any person to—
i: terminate or cancel or modify a contract or an agreement; or
ii: enforce or accelerate the performance of an obligation; or
iii: require the performance of an obligation not otherwise arising for performance; or
d: shall be regarded as placing the Crown or the Board (or any member of the Board) or any other person in breach of any enactment or rule of law or contractual provision prohibiting, restricting, or regulating the assignment or transfer or issue of any property or the disclosure of any information; or
e: shall release any surety wholly or in part from all or any obligation; or
f: shall invalidate or discharge any contract or security. 1986 No 129 s 6(g) Provisions relating to global asset trust
24: Interests in global asset trust
1: The global asset trust established in accordance with the proposal—
a: shall have the Board as its trustee; and
b: shall be deemed, on the transfer day, to have issued participatory securities to the Board as trustee of each of the existing schemes.
2: The trust deed for the global asset trust shall be in a form approved by the Minister.
3: The participatory securities referred to in subsection (1)﻿(b)—
a: shall be of such class and number as is determined in accordance with the proposal; and
b: shall be deemed to be participatory securities for the purpose of section 3 ; and
c: to avoid doubt, are managed investment products on and after the global asset trust is treated as a registered scheme under section 59A Section 24(3)﻿(b) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 24(3)﻿(c) inserted 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
25: Status of global asset trust
1: The global asset trust established in accordance with the proposal shall—
a: be treated as a registered scheme under section 59A
b: for the purposes of the Acts specified in the Schedule Tax Administration Act 1994
c: be deemed to be a superannuation scheme for the purposes of section EW 5(14) section EZ 48
2: Nothing in subsection (1)﻿(b) shall limit section 73 Section 25(1)﻿(a) replaced 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 25(1)﻿(b) amended 1 April 1995 Income Tax Act 1994 Section 25(1)﻿(c) amended 1 April 2008 section ZA 2(1) Income Tax Act 2007 Section 25(1)﻿(c) amended 1 April 2005 section YA 2 Income Tax Act 2004
26: Interim management of global asset trust
1: The Crown (acting through the National Provident Fund Department) shall be deemed to have been appointed by the Board as manager of all of the administration of the global asset trust, and of the investment of each of the pools of the global asset trust, for the period commencing on the transfer day and ending with the day that is 3 months after the day on which either the Crown or the Board gives written notice to the other of termination of such management, or 31 March 1992, whichever is the earlier.
2: The terms and conditions of such appointment (other than the period), including as to fees and expenses, shall be those agreed from time to time between the Crown and the Board. Provisions relating to GAT subsidiaries
27: Interests in GAT subsidiaries
1: Every GAT subsidiary which is a unit trust shall have the Board as its trustee.
2: The trust deed for any such GAT subsidiary shall be in a form approved by the Minister.
3: Every GAT subsidiary shall be deemed, on the transfer day, to have issued equity securities, debt securities, or participatory securities, or any combination of any of those types of securities, to the Board as trustee of the global asset trust as specified, and on the terms set out, in the proposal.
4: Any participatory securities referred to in subsection (3) shall be deemed to be participatory securities for the purposes of section 3
5: Nothing in section 60(1)﻿(b) or section 60(2) of the Companies Act 1955
28: Status of GAT subsidiaries
1: Any GAT subsidiary may, in accordance with the proposal, be either a company incorporated under the Companies Act 1955 or a unit trust.
2: All of the shares or units in, or other equity securities or participatory securities issued by, a GAT subsidiary shall be held beneficially by the Board as trustee of the global asset trust.
29: Interim management of GAT subsidiaries which are unit trusts
1: The Crown (acting through the National Provident Fund Department) shall be deemed to have been appointed by the Board as manager of all of the administration of each GAT subsidiary which is a unit trust, and of the investments of each such GAT subsidiary, for the period commencing on the transfer day and ending with the day that is 3 months after the day on which either the Crown or the Board gives written notice to the other of termination of such management, or 31 March 1992, whichever is the earlier.
2: The terms and conditions of such appointment (other than the period), including as to fees and expenses, shall be those agreed from time to time between the Crown and the Board. Use of property
30: Use of pools
No property forming part of any pool of the global asset trust shall be used for any purpose other than—
a: meeting any liabilities (including liabilities in respect of management fees and expenses) that arise in respect of the pool or pursuant to the trust deed that constitutes the pool:
b: meeting any liabilities arising out of any existing investment arrangement that has become a liability of the pool:
c: meeting any other liability vested as a result of the proposal in the global asset trust in respect of the pool, or which becomes a liability of the global asset trust in respect of the pool on or after the transfer day.
31: Use of trust funds
1: No property forming part of any trust fund shall be used for any purpose other than—
a: meeting any liabilities (including liabilities in respect of management fees and expenses) that arise in respect of the existing scheme to which the trust fund relates or pursuant to the trust deed of that scheme:
b: meeting any liabilities arising out of any existing investment arrangement that has become a liability of the existing scheme to which the trust fund relates:
c: meeting any other liability vested as a result of the proposal in the existing scheme to which the trust fund relates, or which becomes a liability of that scheme on or after the transfer day.
2: Where any existing scheme has a surplus on any winding up of the scheme, the surplus or any part of the surplus may, notwithstanding subsection (1), be applied or distributed as provided for in the trust deed of that scheme.
32: Unclaimed money
Where any property forming part of any pool or trust fund includes unclaimed money, that property may be applied in payment of any claims in respect of that money. Miscellaneous provisions
33: Registers
1: No Registrar of Deeds or Registrar-General of Land National Provident Fund Board Board of Trustees of the National Provident Fund
2: The presentation to any registrar or other person of any instrument, whether or not comprising an instrument of transfer, executed or purporting to be executed by the Board or a GAT subsidiary and relating to any property held immediately before the transfer day by the Board and—
a: in the case of an instrument executed by the Board, containing a recital that the name of the Board has been changed from the National Provident Fund Board Board of Trustees of the National Provident Fund
b: in the case of an instrument executed by a GAT subsidiary, containing a recital that the property is vested in the GAT subsidiary by virtue of the provisions of this Act shall, in the absence of evidence to the contrary, be sufficient proof that the property is vested in the GAT subsidiary. 1986 No 129 s 11 Section 33(1) amended 12 November 2018 section 250 Land Transfer Act 2017
34: References in other enactments or instruments
On and after the transfer day, every reference in any enactment (other than this Act) or in any regulation, order, or notice made or given under any such enactment, or in any instrument—
a: to the Board, shall be read and construed as a reference to the Board as continued under this Act and as renamed the Board of Trustees of the National Provident Fund or to the appropriate GAT subsidiary, as the case may be; or
b: to the National Provident Fund, shall be read and construed as a reference to the global asset trust or any pool of the global asset trust or any existing scheme as appropriate in the context; or
c: to a scheme under the National Provident Fund Act 1950, shall be read and construed as a reference to an existing scheme. 1986 No 129 s 12
35: Taxes and duties
1: For the purposes of the Acts specified in the Schedule
a: any existing scheme which is continued in existence after the transfer day, without any amalgamation or division, shall be deemed to be the same scheme which was in existence immediately before the transfer day; and
b: in relation to property held immediately before the transfer day by the Board that is vested under the proposal in the Board as trustee of the global asset trust, the Board established under the National Provident Fund Act 1950 and the Board as trustee of the global asset trust shall be deemed to be the same person with effect on and from the transfer day; and
c: in relation to property held immediately before the transfer day by the Board that is vested under the proposal in any GAT subsidiary, the Board established under the National Provident Fund Act 1950 and that GAT subsidiary shall be deemed to be the same person with effect on and from the transfer day; and
d: in respect of the liability for and the assessment, determination, or imposition of taxes, duties, levies, or other charges accruing on and from the transfer day under any such enactment, all transactions entered into by, and acts of, the Board before the transfer day shall be deemed to have been entered into by, or to be those of—
i: the Board as trustee of the global asset trust (in relation to property that is vested in the Board in that capacity under the proposal); or
ii: a GAT subsidiary (in relation to property that is vested in that GAT subsidiary under the proposal)— and to have been entered into or performed by the Board as trustee of the global asset trust or the GAT subsidiary (as appropriate) at the time when they were entered into by the Board established under the National Provident Fund Act 1950; and
e: any liability for, or credit or other benefit in respect of, taxes, duties, levies, or other charges arising before the transfer day in respect of any defined benefit scheme shall with effect on and from the transfer day be deemed to be a liability or credit or other benefit of the DBP annuitants scheme or the DBP contributors scheme, as specified in the proposal.
2: Where any property which is vested under the proposal in the Board as trustee of the global asset trust or a GAT subsidiary consists of shares or an interest in shares, those shares shall not, by reason of that vesting, be treated as having ceased to be held by or on behalf of the same persons for the purposes of determining whether—
a: any taxpayer satisfies the requirements of section IA 5(2)
b: any taxpayer is included in a group of companies or a wholly-owned group for the purposes of section IA 6
c: any debit arises to be recorded in a taxpayer's imputation credit account, FDP account, or branch equivalent tax account under section OA 6(2), (3), or (5) and, for the purposes of determining the application of those sections in relation to any subsequent dealings in those shares, the shares (or interest therein) shall be treated as having been acquired by the Board as trustee of the global asset trust or the GAT subsidiary at the time they were acquired by the Board established under the National Provident Fund Act 1950
3: The vesting in accordance with the proposal of any property or liabilities of the Board established under the National Provident Fund Act 1950 in the Board as trustee of the global asset trust or in any GAT subsidiary, and any other steps taken to implement the proposal,—
a: shall not for the purposes of the Income Tax Act 1976
b: shall not, for the purposes of the Goods and Services Tax Act 1985
c: shall not, for the purposes of the Stamp and Cheque Duties Act 1971
d: shall not, for the purposes of the Estate and Gift Duties Act 1968
4: Nothing in subsection (2) or subsection (3) shall limit the generality of subsection (1). 1986 No 129 s 17 Section 35(1) amended 1 April 1995 Income Tax Act 1994 Section 35(2) amended 7 November 1991 section 4 National Provident Fund Restructuring Amendment Act 1991 Section 35(2)﻿(a) amended 1 April 2008 section ZA 2(1) Income Tax Act 2007 Section 35(2)﻿(b) amended 1 April 2008 section ZA 2(1) Income Tax Act 2007 Section 35(2)﻿(b) amended 1 April 1995 Income Tax Act 1994 Section 35(2)﻿(c) amended 1 April 2008 section ZA 2(1) Income Tax Act 2007
36: Protection of name National Provident Fund
1: No company or other body shall be incorporated or registered under a name that contains the words National Provident Fund section 2
2: Nothing in this section applies to the Board or to any GAT subsidiary or to any other person who is associated with the Board.
37: Final report and accounts
1: As soon as practicable after the transfer day, the Board shall arrange for a final report to be sent to the Minister showing the Board's proceedings and operations for the financial period ending immediately before the transfer day, and shall attach the revenue account for that period, and the statement of financial position Auditor-General
2: The Minister shall lay a copy of the report and accounts before the House of Representatives as soon as practicable after receiving it. Section 37(1) amended 1 July 2001 section 52 Public Audit Act 2001 Section 37(1) amended 1 October 1997 section 6(1) Financial Reporting Amendment Act 1997
4: Restructuring of National Provident schemes
Existing schemes closed to new members as at transfer day
38: Contributors to existing schemes
1: No person is entitled to be a contributor to any existing scheme unless that person—
a: was a contributor to that scheme immediately before the transfer day; or
b: was a contributor to another existing scheme immediately before the transfer day and is a person, or a person of a kind, whom the Board, in its discretion and after consultation with the Minister, has agreed may contribute to that scheme.
2: Any person—
a: who has, before the transfer day, contributed to an existing scheme; and
b: whose contributions, or part of whose contributions, remain in the scheme on the transfer day— shall, for the purposes of this section, be deemed to have been a contributor to that existing scheme immediately before the transfer day.
3: Any employer—
a: who was not a contributor to an existing scheme immediately before the transfer day; and
b: who, after the transfer day, is or becomes the employer of an employee who was a contributor to an existing scheme immediately before the transfer day— may, notwithstanding subsection (1) but subject to the terms of the existing scheme, contribute to any existing scheme to which that employee contributes, as a corporate contributor, for the purpose of subsidising that employee's contributions or obtaining a benefit for that employee.
4: Nothing in this section limits—
a: the terms of any existing scheme; or
b: any other provision of this Act. Section 38 substituted 8 May 1992 section 3 National Provident Fund Restructuring Amendment Act 1992 Terms and conditions of existing schemes
39: Terms and conditions upon which existing schemes are to continue
Except as otherwise expressly provided by this Act,—
a: every existing scheme shall continue in existence on and after the transfer day on the same terms and conditions as applied in respect of that scheme immediately before the transfer day; and
b: every provision of the National Provident Fund Act 1950 that constitutes a term or condition of any existing scheme, and every term and condition set out in any existing document authorised or executed by or on behalf of the Board, shall continue to be a term or condition of that scheme. Position of corporate contributors to existing schemes
40: Position of corporate contributors to existing schemes
1: Every person who is a corporate contributor to an existing scheme—
a: shall continue to be bound by the terms and conditions of that existing scheme; and
b: shall continue to be liable to pay contributions to the Board in respect of that scheme; and
c: is hereby empowered to make the necessary deductions from the wages or salary of each person in respect of whom those contributions are made,— in all respects as would have been required or authorised under the National Provident Fund Act 1950.
2: This section shall apply to every corporate contributor until such time as that person would, in accordance with the terms and conditions of the scheme or the provisions of the National Provident Fund Act 1950, have been entitled to cease contributing to the existing scheme.
3: Any person, whether currently required to contribute or not, who—
a: is or becomes the employer of an employee who is entitled to contribute to an existing scheme after the transfer day; and
b: would, if the National Provident Fund Act 1950 had not been repealed by this Act, have been required by section 44 of that Act to contribute in respect of that employee,— shall also be a corporate contributor for the purposes of this section, and section 38(3) Information to be provided to Board Heading inserted 29 October 1997 section 4 National Provident Fund Restructuring Amendment Act 1997
40A: Information to be provided to Board
1: Every corporate contributor or other person who is paying or has paid contributions to the Board in respect of an existing scheme, whether on its own behalf or on behalf of its employees or other persons, must ensure that there is provided to the Board (or to such person as the Board may from time to time nominate) at such time or times as are reasonably specified by the Board, such information as the Board may reasonably require of that corporate contributor or other person for the purpose of administering an existing scheme.
2: The information that the Board may require under subsection (1) may include any or all of the following:
a: reconciliations showing how much has been contributed to that scheme by each employee of the person, and how much has been contributed by the person for each employee:
b: confirmations from the person that the correct amounts required to be paid to the Board by the person (whether on its own behalf or on behalf of its employees or other persons) have been so paid:
c: where the scheme is a defined benefit scheme, salary and employment information relating to the employees of the person who are members of that scheme.
3: The Board must not require a corporate contributor or other person to provide information under this section unless the Board has first advised the person in writing of—
a: the provisions of subsection (1); and
b: if a person has been nominated by the Board under subsection (1), the name of that person. 1956 No 47 s 95D 1995 No 28 s 17 Section 40A inserted 29 October 1997 section 4 National Provident Fund Restructuring Amendment Act 1997 Payments to existing schemes Heading inserted 29 October 1997 section 5 National Provident Fund Restructuring Amendment Act 1997
40B: Timing of payment of contributions to schemes
Every person who is liable to pay contributions to the Board in respect of an existing scheme (including contributions deducted from remuneration or other money payable to another person, or held on behalf of another person) must pay those contributions to the Board (or to such person as the Board may from time to time nominate) by such time or times as are reasonably specified by the Board in a written notice to the person. 1956 No 47 s 95A 1995 No 28 s 17 Section 40B inserted 29 October 1997 section 5 National Provident Fund Restructuring Amendment Act 1997
40C: Interest payable on overdue amounts
1: Every person who is required to pay an amount to the Board in respect of an existing scheme under any law or legally enforceable document or arrangement, and who fails to pay that amount to the Board at the time required by that law, document, or arrangement, must pay, on demand by the Board, interest on that amount at the bill rate for the period from the time payment was due (or the date of commencement of the National Provident Fund Restructuring Amendment Act 1997
2: In this section, the bill rate
3: The interest must be paid to the Board or, if specified in the demand, to a person nominated by the Board.
4: The interest must be paid in addition to the overdue amount. 1956 No 47 s 95B 1995 No 28 s 17 Section 40C inserted 29 October 1997 section 5 National Provident Fund Restructuring Amendment Act 1997
40D: Recovery of debts
Every amount payable by a person to the Board in respect of an existing scheme under any law or legally enforceable document or arrangement constitutes a debt due by the person to the Board and—
a: may be recovered accordingly by the Board; and
b: following recovery, must be paid into the scheme. 1956 No 47 s 95C 1995 No 28 s 17 Section 40D inserted 29 October 1997 section 5 National Provident Fund Restructuring Amendment Act 1997 Provisions relating to defined benefit schemes
41: Amalgamation and subsequent division of defined benefit schemes
1: The defined benefit schemes shall, on the transfer day, be deemed to have been amalgamated into 1 superannuation scheme.
2: Immediately after the amalgamation referred to in subsection (1), the amalgamated defined benefit schemes shall be deemed to have been divided into 2 separate superannuation schemes as follows:
a: first, the DBP annuitants scheme, which shall have only annuitants as members; and
b: secondly, the DBP contributors scheme, which shall have only contributors as members; and
c:
3: For the purposes of this section, the term annuitants
a: persons who were, immediately before the transfer day, members or other beneficiaries of a defined benefit scheme, or who subsequently become members or other beneficiaries of the DBP annuitants scheme, who are in receipt of a pension or who on leaving employment elected to receive a deferred pension; and
b: such other persons as the Minister may determine to be annuitants for the purposes of this section.
4: For the purposes of this section, the term contributors Section 41(2)﻿(c) repealed 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
42: Provisions in trust deeds for DBP annuitants scheme and DBP contributors scheme
1: The trust deeds to be prepared for the DBP annuitants scheme and the DBP contributors scheme pursuant to section 45 Schedule 5
2: Despite sections 178 to 182
3: The Minister may require any provision included in the trust deeds for the DBP annuitants scheme or the DBP contributors scheme pursuant to section 56
4: Where a provision that is included in a trust deed pursuant to subsection (1) or any other section of this Act imposes obligations or restrictions on the Crown, the Crown shall comply with that provision as if it were a party to the trust deed. Section 42(2) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
43: Aircrew superannuation scheme
On the transfer day the aircrew superannuation scheme shall be deemed to—
a: have become a separate superannuation scheme; and
b: Section 43(b) repealed 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
44: Increased or decreased contributions by corporate contributors to certain existing schemes
1: If the Board becomes aware that the level of contributions being made to either the DBP contributors scheme or the aircrew superannuation scheme is, on the information available to the Board,—
a: unlikely to be sufficient to provide for the liabilities of that scheme; or
b: likely to be in excess of the level of contributions required to provide for the liabilities of the scheme,— the Board shall give notice to that effect to the Minister, with a statement of the Board's view as to what action would be required to rectify the position.
2: The Minister may, by notice
3: The Minister may give such notice whether or not the Board has recommended that there be any change to those contributions but shall not do so without prior consultation with the Board.
4: Neither the Minister nor the Board may give a notice under this section unless reasonably satisfied, after due enquiry
a: are necessary in order to ensure that any trust fund in respect of the DBP contributors scheme or aircrew superannuation scheme is not in a deficit or surplus position, or to reduce such deficit or surplus position, taking account of the scheme's projected liabilities, the value of its property, and the projected level of future contributions to the scheme; and
b: will result in contributions being at a level which, on reasonable assumptions, is likely to achieve neither a surplus nor a deficit in the trust fund of the DBP contributors scheme or aircrew superannuation scheme at the time that the last contributor to that scheme ceases to so contribute.
5: Any notice under subsection (2) shall specify the date on which such increases or decreases are to be implemented, but that date shall not be less than 3 months after the date on which the notice is published under the Legislation Act 2019
6: A notice under subsection (2) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication The maker must notify the Board in writing LA19 ss 73 74(1)﻿(a) cl 14 Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 44(2) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 44(4) amended 1 May 2011 section 82 Financial Markets Authority Act 2011 Section 44(5) amended 28 October 2021 section 3 Secondary Legislation Act 2021 Section 44(6) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
44A: Additional payments for period 1 October 2010 to 27 April 2011
1: Every person entitled to receive any allowance, annuity, or pension under a specified scheme is entitled to be paid by the Board, from any money paid to the Board by the Crown for the purpose, an additional amount equal to 2.02% of any amount of the allowance, annuity, or pension payable to him or her under the specified scheme in respect of the period commencing on 1 October 2010 and ending on the close of 27 April 2011.
2: An additional amount payable to a person under subsection (1)—
a: must be paid by the Board on the date or dates the Board in its discretion decides; and
b: must be disregarded for the purpose of calculating any adjustment for increases in the New Zealand Consumers Price Index under the specified scheme; but
c: must for all other purposes be treated as a payment of the person's allowance, annuity, or pension under the specified scheme.
3: In this section, specified scheme Section 44A inserted 20 May 2010 section 3 National Provident Fund Restructuring Amendment Act 2010 New trust deeds
45: Board to prepare trust deed for certain existing schemes
1: The Board shall, as soon as practicable after the commencement of this Act, prepare a trust deed—
a: for every existing scheme other than the old public schemes and the defined benefit schemes; and
b: for the DBP annuitants scheme, the DBP contributors scheme, and the aircrew superannuation scheme.
1A: The Board shall, as soon as practicable after the commencement of the National Provident Fund Restructuring Amendment Act 1991
2: Section 45(1A) inserted 7 November 1991 section 5 National Provident Fund Restructuring Amendment Act 1991 Section 45(2) repealed 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
46: Board to be bound by existing terms and conditions in preparing trust deed
Where any of the matters required to be specified in the trust deed of an existing scheme are provided for by the terms and conditions governing the scheme as at the date of execution of the trust deed, the Board shall, except as otherwise provided by this Act, ensure that the trust deed of that scheme incorporates those terms and conditions, either in the body of the trust deed itself or by reference.
47: Power to make amendments to existing terms and conditions
The Board may, in incorporating the existing terms and conditions of a scheme in any trust deed prepared under section 45
a: in order to reflect the restructuring of the Board or the Fund or the existing schemes that is carried out in accordance with the provisions of this Act; or
b: in order to ensure consistency with any new provisions that are included in the trust deed pursuant to section 48
ba: in the case of an old public scheme, in order to reflect the practice of the Board in relation to that scheme immediately before the transfer day (whether or not the practice was authorised by those terms and conditions or by any Act or rule of law); or
c: in order to ensure consistency with any provisions that are implied in the trust deed of a registered superannuation scheme by sections 9A 10 Section 47(ba) inserted 7 November 1991 section 6(1) National Provident Fund Restructuring Amendment Act 1991 Section 47(c) amended 7 November 1991 section 6(2) National Provident Fund Restructuring Amendment Act 1991
48: New terms and conditions may be included in trust deed
1: Notwithstanding any Act or rule of law or the provisions of any existing terms and conditions governing a scheme, any trust deed prepared in accordance with section 45
a: shall include any terms and conditions required by any provision of this Act to be so included; and
b: may include any other terms and conditions expressly authorised by any provision of this Act.
2: Subject to subsection (3), nothing in this Act shall authorise any reduction in benefits provided under an existing scheme.
3: Nothing in subsection (2) limits—
a: sections 47(ba) 50 54(d)
b: sections 15 16
c: section 12 Section 48(2) substituted 8 May 1992 section 4 National Provident Fund Restructuring Amendment Act 1992 Section 48(3) added 8 May 1992 section 4 National Provident Fund Restructuring Amendment Act 1992
49: Trust deed to be approved by Minister before execution
1: No trust deed prepared in accordance with section 45
2: The Minister shall not approve a trust deed in respect of an existing scheme unless—
a: the Board has supplied to the Minister a certificate confirming that the trust deed—
i: incorporates any terms and conditions required by section 46
ii: does not include any provision that is additional to the existing terms and conditions, or that is different from the existing terms and conditions, other than as authorised by this Act; and
iii: complies with section 7 sections 9A 10
b: the Minister is satisfied—
i: that, subject to sections 5 41 42 44 50 to 56 60 to 66 69
ii: that any provision included in accordance with any of sections 41 42 44 50 to 56 60 to 66 69
3: Any certificate required by this section may be given by the Board or a solicitor. Section 49(2)﻿(a)﻿(iii) amended 7 November 1991 section 7 National Provident Fund Restructuring Amendment Act 1991
50: Transfer to other superannuation schemes
1: Any trust deed prepared in respect of an existing scheme may—
a: enable any member or other beneficiary to transfer from the scheme to any other superannuation scheme upon such terms and conditions as are set out in the trust deed or as the Board otherwise determines; and
b: provide for the transfer of property from the existing scheme to the superannuation scheme to which the member or other beneficiary transfers upon such terms and conditions as are set out in the trust deed, or as the Board otherwise determines.
2: Except as otherwise approved in writing by the Minister, any such terms and conditions set out in the trust deed or determined by the Board shall include terms and conditions to the effect that—
a: subject to paragraph (c), the property to be transferred is to represent the share of the property of the scheme (including for the avoidance of doubt, that representing contributions received or due from corporate contributors) that is attributable to the transferring member or other beneficiary, plus a corresponding share of any reserves of the scheme; and
b: for the purpose of calculating the property of the scheme, no account is to be taken of any property that represents unclaimed money or of any contingent or prospective rights to require corporate contributors or other persons to make future contributions to the scheme; and
c: the transfer of property is to be fair and equitable to all members and other beneficiaries of the existing schemes affected, after taking into account the interests of any corporate contributor to those schemes and the Crown as guarantor of any liabilities of those schemes.
3: No such provision in a trust deed shall limit any right contained in the existing terms and conditions of the scheme to transfer to any other superannuation scheme.
4: For the purposes of subsection (2)﻿(a), reserves
5: This section is subject to section 42 Section 50 substituted 8 May 1992 section 5(1) National Provident Fund Restructuring Amendment Act 1992
51: Management of existing schemes
1: Every trust deed prepared in respect of an existing scheme shall provide for the appointment by the Board, on such terms and conditions as the Board thinks fit, of any person (including the Crown) to manage all or any part of the administration of the scheme or the investment of the trust fund of the scheme, or both.
2: All fees and expenses payable to a manager appointed pursuant to a trust deed for an existing scheme shall be paid out of the trust fund of the scheme.
52: Interim management of existing schemes
1: The Crown (acting through the National Provident Fund Department) shall, in respect of each existing scheme, be deemed to have been appointed by the Board as manager of all of the administration of the scheme and of the investment of all of the trust fund of the scheme for the period commencing on the transfer day and ending with the day that is 3 months after the day on which either the Crown or the Board gives written notice to the other of termination of such management, or 31 March 1992, whichever is the earlier.
2: The terms and conditions of such appointment (other than the period), including as to fees and expenses, shall be those agreed from time to time between the Crown and the Board.
53: Investments of existing schemes
1: The trust deed for each existing scheme shall provide that the property of the scheme may be invested only in the global asset trust, whether by way of debt securities or managed investment products
2: The property of an old public scheme may be invested only in the global asset trust, whether by way of debt securities or managed investment products
3: This section does not prevent the Board as trustee of an existing scheme depositing money of that scheme into a bank account (which may be a bank account for 1 or more existing schemes) to the extent necessary or desirable for the operation of the scheme.
4: Nothing in Trusts Act 2019 Section 53 substituted 7 November 1991 section 8(1) National Provident Fund Restructuring Amendment Act 1991 Section 53(1) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 53(2) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 53(4) amended 30 January 2021 section 161 Trusts Act 2019 Section 53(4) amended 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
54: Board's powers and authorities
Notwithstanding any other Act, any trust deed prepared in respect of an existing scheme may confer on the Board—
a: power to give guarantees, undertakings, and indemnities and incur all such obligations relating to the scheme as the Board in its discretion thinks fit; and
b: power to borrow money for the purposes of making any investment or paying any benefit or meeting any liability or for the purpose of management of the scheme; and
c: power to enter into any insurance or reinsurance contract relating to the payment pursuant to the scheme of any pensions or other benefits contingent on the death or survival of human life; and
d: power to restrict any option of members to temporarily suspend contributions to a scheme to situations where a member temporarily is not receiving his or her salary or wages.
55: Limitation of liability of Board
1: Any trust deed prepared in respect of an existing scheme may contain a provision limiting the liability of the Board.
2: Section 55(2) repealed 7 November 1991 section 9 National Provident Fund Restructuring Amendment Act 1991
56: Termination of scheme
1: Any trust deed prepared in respect of an existing scheme may contain a provision—
a: entitling the Minister or a proportion of the members or other beneficiaries of the scheme to determine that the scheme be totally or partially wound up, and authorising the Minister or any other person to determine the manner of such winding up:
b: restricting or prohibiting the winding up of the scheme.
2: Every provision under subsection (1)﻿(a) shall provide for the distribution of the property of the scheme on a winding up. Section 56(1)﻿(a) substituted 8 May 1992 section 6 National Provident Fund Restructuring Amendment Act 1992
57: Consequences of executing trust deed in respect of existing scheme
1: Where a trust deed is executed in respect of an existing scheme,—
a:
b: the existing scheme shall be treated, for the purposes of that Act, as a trust established by its trust deed, rather than an arrangement constituted under an Act of the Parliament of New Zealand; and
c: from the date of execution of that trust deed, the terms and conditions of that scheme shall be those contained or implied in that trust deed, as amended from time to time.
2: Section 57 substituted 8 May 1992 section 7(1) National Provident Fund Restructuring Amendment Act 1992 Section 57(1)﻿(a) repealed 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013 Section 57(2) repealed 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
58: Members to be notified of execution of trust deed
1: The Board shall, as soon as practicable after executing a trust deed in respect of an existing scheme, send each member a notice explaining that a trust deed has been executed.
2: Every such notice shall contain a summary of the main differences between the provisions that are included in the trust deed and the terms and conditions of the scheme existing before the trust deed was executed. Miscellaneous provision in respect of notices
59: Notices
1: Where any notice is required to be given under this Act, or under any other enactment, or under any trust deed executed under this Act, to any member or other beneficiary of an existing scheme, the notice shall be sufficiently given—
a: if it is posted to the last known address of the member or other beneficiary that appears in the Board's records; or
b: if, in a case where the Board has reason to believe that any member or other beneficiary of an existing scheme no longer lives at the address that appears in the Board's records, it is posted to any other address through which the Board has reason to believe that the notice may reach that person.
2: Notwithstanding any provision of this Act or any other enactment or of any trust deed of an existing scheme, if the Board knows of no reasonable means of contacting any member or other beneficiary of an existing scheme, the Board—
a: shall be relieved of any obligation to give the notice; and
b: shall be under no liability arising from the notice not having been given. Application of Financial Markets Conduct Act 2013 Heading inserted 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
59A: Application of Financial Markets Conduct Act 2013
1: The Financial Markets Conduct Act 2013 scheme clause 19
a: the scheme must be treated, for the purposes of that Act, as a trust established and governed by a trust deed that is interpreted and administered in accordance with New Zealand law, rather than under this Act; and
b: the scheme must be treated for the purposes of that Act and any other enactment as if it is registered on the register of managed investment schemes under the Financial Markets Conduct Act 2013
c: the Board is the manager of the scheme for the purposes of that Act; and
d: the following provisions of Part 4
i: section 133 section 127 sections 135 to 137
ii: sections 135 141 section 141
iii: sections 142 to 147 151
iv: section 169
v: section 171
vi: sections 178 to 181
vii: section 183
viii: sections 205 206 212 to 214
ix: subpart 4
x: section 228 Part 4
e: the duty on the manager under section 143(1)﻿(b)
f: the duty under section 144 section 53
2: On and after the effective date for an existing scheme, every reference in the trust deed of the scheme to—
a: participatory securities must be read as a reference to managed investment products; and
b: a registered superannuation scheme or a superannuation scheme registered under the Superannuation Schemes Act 1989 section 6(1)
3: This Act continues to apply to a scheme, as if it had not been amended by the Financial Markets (Repeals and Amendments) Act 2013
4: Schedule 4 clauses 21 to 25 27 28 30 31 Section 59A inserted 1 December 2014 section 150 Financial Markets (Repeals and Amendments) Act 2013
5: Guarantees and subsidies
Crown guarantee of existing schemes and investment arrangements
60: Crown guarantee continued in respect of existing schemes
The Crown hereby guarantees to every member and other beneficiary payment of the benefits payable to that person under any existing scheme. 1950 No 55 s 71(1)
61: Crown guarantee continued in respect of existing investment arrangements
The Crown hereby guarantees—
a: the repayment of money that is deposited with the Board before the transfer day in accordance with any existing investment arrangement; and
b: the payment of all interest payable on that money by the Board. 1950 No 55 s 3C(4)
62: Crown guarantee continued in respect of provident advantage account
Section 62 repealed 8 May 1992 section 8(1) National Provident Fund Restructuring Amendment Act 1992
63: Application of withdrawals
For the purposes of section 61
a: first, a withdrawal of, or other dealing with, such money so deposited before the transfer day, together with interest thereon; and
b: secondly, a withdrawal of, or other dealing with, such money so deposited on or after the transfer day together with interest thereon. Section 63 amended 8 May 1992 section 8(2)﻿(a) National Provident Fund Restructuring Amendment Act 1992 Section 63 amended 8 May 1992 section 8(2)﻿(b) National Provident Fund Restructuring Amendment Act 1992
64: Minister may direct Board in respect of matters relating to Crown guarantees
1: Notwithstanding any other enactment or rule of law, the Minister may, after such consultation with the Board as the Minister considers appropriate, by notice in writing direct the Board in respect of such matters relating to any existing scheme or the global asset trust or any GAT subsidiary as the Minister considers necessary for the purpose of protecting the Crown's interest as guarantor of the benefits under the existing schemes and investment arrangements, and the Board shall be bound to act in accordance with such directions.
2: Without limiting subsection (1), directions may be given under that subsection in respect of—
a: the investments and management of the trust fund of any existing scheme, or of any pool, or of any GAT subsidiary:
b: the incurring or entering into of any liabilities, obligations, or expenses by the Board or any GAT subsidiary:
c: any increase in or augmentation of benefits payable pursuant to an existing scheme:
d: any increase or decrease in the level of contributions pursuant to section 44
e: any use of free reserves:
f: the entitlement of any member to transfer from any existing scheme his or her interest in that scheme.
3: No direction that is inconsistent with the provisions of Schedule 5
4: No liability of any kind shall attach to the Board or any member of the Board for any action or omission of the Board consequent upon a direction given under subsection (1).
65: Additional obligations of Board and powers of Minister
1: The Board shall—
a: forthwith upon becoming aware of a breach of this Act or any trust deed or any direction under section 64
b: forthwith notify the Minister in writing of any proposal by the Board to vary any contributions or benefits or in respect of the transfer to another superannuation scheme of all or part of the interest of members or other beneficiaries in an existing scheme; and
c: provide reports or any other information to the Minister from time to time as the Minister requires in respect of any existing scheme or the global asset trust or a GAT subsidiary, including—
i: the management of any existing scheme, pool, or GAT subsidiary:
ii: the investment performance of any pool or any GAT subsidiary:
iii: the compliance with the provisions of any trust deed and any directions under section 64
iv: transfers out of any existing scheme; and
d: give notice to the Minister of all meetings of the Board.
2: The Minister may—
a: direct the Board at any time to provide the Minister with an audited report of any existing scheme, pool, or GAT subsidiary:
b: attend any meeting of the Board or of any committee of the Board:
c: obtain or inspect any information held by or on behalf of the Board or in relation to any existing scheme, pool, or GAT subsidiary:
d: delegate to any person or persons any power of the Minister under this section.
66: Additional provisions relating to Crown guarantees
1: Any money required to be paid by the Crown by virtue of section 60 section 61 section 62
2: Any money paid under this section—
a: shall be held on behalf of the persons entitled to the benefit of the guarantee; and
b: shall be applied in payment of the benefits or repayment of the deposits, as the case may be, for which the money was paid; and
c: shall not be available to meet any other liabilities; and
d: shall not in the case of money paid to the Board be subject to, or give rise, directly or indirectly, to any liability or increased liability for, any taxes, duties, levies, or similar charges.
67: Annual reports to Minister
1: As soon as practicable and in any event within 6 months after the end of each financial year, the Board shall send to the Minister such reports for each existing scheme, pool, and GAT subsidiary, and such financial statements, as the Minister may require.
1A: As soon as practicable after the end of each financial year, the Board shall send to the Minister an annual report on its performance in carrying out its responsibilities under this Act and as trustee of the existing schemes.
1B: Without limiting the contents of the annual report required by subsection (1A), that report shall, in respect of existing schemes, cover the following matters:
a: scheme asset allocations and scheme investment performance:
b: the investment performance of the separate classes of assets:
c: the allocation of costs to existing schemes:
d: any changes in the actuarial basis for valuing scheme liabilities.
2: The Minister shall lay a copy of each such report and financial statements before the House of Representatives as soon as practicable after receiving them. Section 67(1A) inserted 21 December 1992 section 42 Public Finance Amendment Act 1992 Section 67(1B) inserted 21 December 1992 section 42 Public Finance Amendment Act 1992
67A: Other reports to Minister
In addition to the duties imposed on the Board by section 67 Section 67A inserted 21 December 1992 section 42 Public Finance Amendment Act 1992
68: Actuarial examination
1: The Board shall arrange for the actuary of each existing scheme to examine and report to the Board and the Minister on the existing scheme, and the existing and prospective property and liabilities of that scheme, as at dates that are no more than 3 years apart.
2: Notwithstanding the provisions of subsection (1), the Minister may nominate from time to time (but not at intervals of less than 6 months) an actuary (who may be the actuary of the scheme) to examine and report to the Minister on an existing scheme and the existing and prospective property and liabilities of that scheme.
3: Any such examination shall be carried out at the expense of the scheme concerned.
4: The Minister shall lay a copy of any report prepared as a result of any such examination before the House of Representatives as soon as practicable after receiving it. Subsidies
69: Consequences of removal of Crown subsidy of existing schemes on and after transfer day
1: The Board shall, if required to do so by the Minister, require any employer to increase the contributions payable to any existing scheme by that employer to take account of the fact that the Minister is not required, except as provided in section 70
2: Every employer whose contributions are increased in accordance with subsection (1) shall be liable to pay the increased contributions in all respects as if the terms and conditions of the scheme required the increased contributions to be paid instead of the existing contributions.
3: Nothing in subsection (1) shall limit any right contained in the terms and conditions of the scheme to increase contributions to the scheme.
70: Continuation of Crown subsidy of existing schemes in certain cases where employer is a charity
1: The Minister shall, in respect of each year commencing on or after the transfer day, pay a subsidy equal to one-fourth of the total contributions paid during the year in respect of each contributor to an existing scheme who is employed by a charity.
2: Any such subsidy shall be paid only in respect of the contributions that would, but for the repeal of the National Provident Fund Act 1950, have been subsidised by the Minister under that Act.
3: Any such subsidy shall be paid annually out of public money, without further appropriation than this section.
4: The subsidy shall be paid to the Board as trustee of the existing scheme concerned.
5: A statement of the amount so paid shall be included in the annual report supplied to the Minister pursuant to section 67
6: For the purposes of this section, charity
71: Contributions by government departments
Where contributions are made by a government department on behalf of the employees of the department, the contributions shall be paid by the department out of money appropriated by Parliament. Section 71 substituted 8 May 1992 section 9 National Provident Fund Restructuring Amendment Act 1992
72: Crown payments to meet deficiencies
1: Where any deficiency in the accounts of any superannuation scheme established pursuant to section 38A(6) of the National Provident Fund Act 1950 arises from the application of paragraph (b) of that subsection in respect of persons who were contributing employees (within the meaning of that subsection) before the transfer day, the Minister shall, at the request of the Board, without further appropriation than this section, pay to the Board as trustee of the existing scheme concerned, by way of subsidy out of public money, such amount as may be required to meet the deficiency.
2: Where any deficiency arises under any agreement entered into before the transfer day which implements the provisions of section 60(4)﻿(d) of the National Provident Fund Act 1950, the Minister shall, at the request of the Board, without further appropriation than this section, pay to the Board as trustee of the existing scheme concerned, by way of subsidy out of public money, such amount as may be required to meet the deficiency.
3: The annual report sent to the Minister pursuant to section 67 1950 No 55 ss 38A(8), 60(5)
72A: No Crown subsidy
1: For the avoidance of doubt, it is hereby declared that the Crown's liability to pay subsidies under section 71 of the National Provident Fund Act 1950 ceased to have effect with the repeal of that Act.
2: Nothing in this section limits sections 69 to 72 Section 72A inserted 8 May 1992 section 10 National Provident Fund Restructuring Amendment Act 1992
6: Amendments, repeals, and revocations with effect on and after transfer day
Amendments in relation to Income Tax Act 1976
73: Position of Board in relation to income tax
1: For the purposes of sections 225A and 232B of the Income Tax Act 1976—
a: the Board in its capacity as trustee of the global asset trust, in relation to property held immediately before the transfer day by the Board that is vested under the proposal in the Board as trustee of the global asset trust, shall be treated as the trustee of a superannuation scheme and that scheme shall be treated as having been in force on 1 April 1988; and
b: any property held by the global asset trust which was an investment made or acquired by the Board before, or held by the Board on, 1 April 1988 shall be treated as an investment of the global asset trust made or acquired before, or held on, 1 April 1988 (as the case may be); and
c: to the extent that any participatory securities issued by the Board as trustee of the global asset trust are held by any superannuation scheme which was or was deemed to be a category 1 scheme on 1 April 1988, the global asset trust shall be deemed to have been a category 1 scheme on 1 April 1988; and
d: to the extent that any participatory securities issued by the Board as trustee of the global asset trust are held by any superannuation scheme which was or was deemed to be a category 2 scheme on 1 April 1988, the global asset trust shall be deemed to have been a category 2 scheme on 1 April 1988; and
e: for the purposes of this section, participatory securities issued by the Board as trustee of the global asset trust which are held by the DBP annuitants scheme, the DBP contributors scheme, or the aircrew superannuation scheme shall be deemed to be held by a superannuation scheme which was a category 1 scheme on 1 April 1988; and
f: for any tax year taxable taxable
g: in relation to any property which under the proposal is vested in a GAT subsidiary, being property which was held immediately before the transfer day by the Board and was an investment made or acquired by the Board before, or held by the Board on, 1 April 1988, the previous provisions of this section shall apply to assess the amount of profit or loss on any sale or other disposition of that property that is to be taken into account in calculating the taxable
2: Nothing in this section limits section 35 Section 73(1)﻿(f) amended 1 April 2005 section YA 2 Income Tax Act 2004 Section 73(1)﻿(f) amended 26 July 1996 Taxation (Core Provisions) Act 1996 Section 73(1)﻿(g) amended 26 July 1996 Taxation (Core Provisions) Act 1996
74: Amendment to Income Tax Act 1976 in respect of National Provident Fund Board
Section 74 repealed 1 April 2005 section YA 2 Income Tax Act 2004
75: Approval and classification of old public schemes
Section 75 repealed 1 April 1995 Income Tax Act 1994 Amendment in relation to Superannuation Schemes Act 1989
76: Old public schemes deemed to be registered superannuation schemes
The old public schemes shall, on and after 1 April 1990, be deemed to be superannuation schemes which are registered under the Superannuation Schemes Act 1989 Amendment to Unit Trusts Act 1960
77: Exclusion from definition of term unit trust
Amendment(s) incorporated in the Act(s) General
78: Regulations
1: The Governor-General may from time to time, by Order in Council,—
a: amend Schedule 3
i: any new name of the group; or
ii: a reference to any group with which the group has amalgamated, or by which the group has been taken over; or
iii: a reference to any other group that has substantially similar responsibilities to the group identified in that schedule:
b: make regulations providing for such matters, not inconsistent with this Act, as are contemplated by or necessary for giving full effect to the restructuring of the Fund or of the existing schemes, or for giving full effect to any of the provisions of this Act.
2: The following are secondary legislation ( see Part 3
a: an order under subsection (1)﻿(a):
b: regulations under subsection (1)﻿(b). The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication PCO must publish it on the legislation website and notify it in the Gazette LA19 s 69(1)﻿(c) Presentation The Minister must present it to the House of Representatives LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 78(2) inserted 28 October 2021 section 3 Secondary Legislation Act 2021
79: Repeal of local authority monopoly
The following enactments are hereby repealed:
a: Amendment(s) incorporated in the Act(s)
b: Amendment(s) incorporated in the Act(s)
c: Amendment(s) incorporated in the Act(s)
80: Consequential amendments to other Acts
The enactments specified in Schedule 6
81: Repeals and revocations
1: The enactments specified in Schedule 7
2: The regulations and the notice specified in Schedule 8
82: Power to determine earning rates of schemes for periods up to transfer day
1: Notwithstanding any enactment or rule of law or the provisions of any existing scheme, the Board may from time to time, with the consent of the Crown and in respect of any period ending before the transfer day,—
a: determine a specific earning rate for any existing scheme in existence during that period, which rate may be the same or different from the rate determined in respect of any other existing scheme; and
b: pay, or credit, the accounts of contributors to that scheme in respect of that period accordingly.
2: Amendment(s) incorporated in the Act(s).
3: All determinations, payments, and credits made or purported to be made by the Board under section 67A of the National Provident Fund Act 1950 before the date on which this section comes into force are hereby validated and deemed to have been lawfully made.
4: A determination under subsection (1)﻿(a) is secondary legislation ( see Part 3 The following table is small in size and has 3 columns that are grouped under the heading Legislation Act 2019 requirements for secondary legislation made under this section. Legislation Act 2019 requirements for secondary legislation made under this section Publication It is not required to be published LA19 s 73(2) Presentation It is not required to be presented to the House of Representatives because a transitional exemption applies under Schedule 1 LA19 s 114 cl 32(1)﻿(a) Disallowance It may be disallowed by the House of Representatives LA19 ss 115 116 This note is not part of the Act. Section 82(4) inserted 28 October 2021 section 3 Secondary Legislation Act 2021 Savings
83: Board may be appointed Sinking Fund Commissioner or Depreciation Fund Commissioner
1: Notwithstanding any other enactment, it shall be competent for any local authority to appoint the Board, and the Board to accept appointment, on such terms and conditions, including those as to fees and charges, as may be agreed,
2: Where a local authority has appointed the Board as sole Commissioner of any Depreciation Fund of the local authority, the Board shall invest the money, together with all interest and profits accruing from the money, in such manner as may be agreed by the local authority and the Board, and the investment of any money under this subsection shall, for the purposes of any enactment authorising or directing the investment of the money, be deemed to be an investment authorised or directed by that enactment.
3: For the purposes of this section, the expression Depreciation Fund 1950 No 55 s 6(6), (7), (9) Section 83(1) amended 7 November 1991 section 11 National Provident Fund Restructuring Amendment Act 1991
84: Saving in respect of validation of certain lump sum schemes
1: The repeal of section 6 of the National Provident Fund Amendment Act 1988 by section 81
2: All contributions by any local authority in respect of any lump sum superannuation scheme under the provisions of Part 2 of the National Provident Fund Act 1950 are hereby validated and deemed to be and always to have been valid and lawful and authorised, but the Crown and the Minister shall not be liable to pay by way of subsidy any amount in respect of such contributions.